We’ve talked about the magic social media can do for marketing, but this isn’t always the case, especially for small, home-based businesses or brands that are just starting out. If this sounds just like you, you might wonder how you can leverage the power of social media to give your business a head start.

Well, it’s time to go back to the OG: Facebook—Facebook marketplace, to be exact.

Still in doubt? Well, here’s what Katherine, founder and owner of Pink Lemon Standard, has to say: “The biggest impact Facebook Marketplace provided me was the opportunity to make additional income to provide for my two little children when I became a single parent unexpectedly…I would not know or care to know what my life would have been like without the opportunity Facebook afforded me.”

Pink Lemon Standard is an online shop selling new and gently used handbags, travel bags, and accessories. Before the business became what it is now, Katherine started her journey with a single backpack sold on Facebook Marketplace. As more items flew off her virtual shelves, a realization dawned: this was the start of something truly special.

Fast forward 14 months, and Katherine’s dream has blossomed. She’s moved into a larger home for her two kids, created a dedicated Pink Lemon Standard workspace, and made the life-altering decision to leave her 9-to-5 job. Now, she pursues her passion full-time.

Are you ready to unlock Facebook Marketplace’s potential? Whether you’re looking to declutter, earn extra cash, or grow your small business, this guide has you covered. Learn how to create listings that attract buyers, manage smooth transactions, and navigate the platform like a pro.

What is Facebook Marketplace?

Facebook Marketplace is an ecommerce platform conveniently built into Facebook. It allows you to easily buy, sell, and trade items within your local communities. Think of it as a modern, social-media version of your classifieds section.

But how did Facebook transform from an ordinary social media platform to a thriving ecommerce website? Well, here’s a quick overview of how Facebook Marketplace began:

  • 2016: Facebook Marketplace launches, initially focusing on peer-to-peer transactions.
  • 2018: Expansion to include storefront listings from businesses, allowing more professional sellers to join.
  • 2021: Facebook introduces shipping options on Marketplace, making it even easier to buy and sell items across greater distances.
  • Today: With a continued global rollout and features streamlining the buying and selling process, Marketplace is now a formidable online commerce hub.

The relevance and potential of Facebook Marketplace

So, is Facebook Marketplace just a place for you to earn a buck from your vintage clothes or furniture? Absolutely not! Up to 40% of Facebook users shop on Facebook Marketplace, making it  a powerful tool for small businesses, marketers, and creators to thrive. 

If you run a small business, it’s a cost-effective way to connect with your local community. Imagine a neighborhood bakery listing fresh pastries to tempt nearby customers or a handmade jewelry shop offering unique gifts. 

And creators—whether you’re an artist selling prints, a woodworker showcasing custom furniture, or a vintage clothing curator—can also establish a loyal following and generate sales through Facebook’s massive user base. Facebook Marketplace makes it easier than ever to turn your passion into profit.

Marketers can also take advantage of the marketplace’s precise targeting. You can place Facebook ads for your products directly in front of potential customers actively searching for similar items. 

Setting up your business on Facebook Marketplace

To start selling on Facebook Marketplace, you only need a Facebook account. But mixing business with your personal account might be a disaster. A personal profile may not convey the same level of professionalism that a dedicated business page offers, hindering your ability to attract and retain customers outside of your immediate circle.

Customers on Marketplace might also gain access to information you’d rather keep private, blurring the line between your personal and professional life.

To prevent this, you can set up a business account and a business page. This provides you with the necessary tools to manage your budding business in more detail.

Creating a Facebook Business account

Ready to jumpstart your business on Facebook Marketplace? Let’s get started!

  1. Visit Business.Facebook.com: If you don’t have one already, go to business.facebook.com and click “Create Account.” Log in using your existing personal Facebook account. If you don’t have one, click “Create account” to set one up.
  1. Enter Business Details: Provide your business name, your name, and a business email address.
  1. Complete Verification: Facebook may send a verification code to your business email to confirm ownership.
  2. Setting up a page: Once verified, you need to set up a page. Click on the “Go to Business Settings” button. From there, you have three options:
    • Add your existing page
    • Request access to another business’s page
    • Creating a new page
  1. Create a page: Let’s assume you don’t have an existing page, click “Create a New Page” then enter and confirm the following information:

Optimizing your profile or page

Whether you use your personal account or your business page, having an optimized profile is key to catching your future customers’ attention and building a strong reputation. Think of your profile as your digital storefront. No one wants to enter a store with a cluttered display that says nothing about the products it sells. 

So how exactly do you optimize your business profile?

  1. Have a name: First, choose a clear profile name that reflects your brand (your name for personal accounts, your business name for business pages).
  1. Complete your information: Then, introduce yourself or your business, and don’t leave fields blank on your profile! Fully complete your contact details, location (if relevant), and any other information that buyers might need. This builds trust and credibility. For business pages, make sure you include a link to your website or other online stores. 
  1. Add keywords: Include relevant keywords that describe your products or services. For example, instead of just writing “jewelry,” be more specific: “handmade silver jewelry,” “vintage costume jewelry,” etc.
  1. Visuals matter: Next, make the most of visuals! People are drawn to faces, so if you’re selling as an individual, a friendly headshot works wonders. Business pages must have visually appealing logos. Your cover photo also offers valuable real estate on your profile. Use this to showcase your best products, seasonal promotions, or even positive customer testimonials.

Navigating Facebook Marketplace

Facebook Marketplace is easily accessible within your Facebook account. If you’re on a desktop or laptop computer, look to the left-hand side of your Facebook homepage – Marketplace will be listed there. You can also see a small storefront icon at the top of your homepage. If you can’t find it, simply type “Marketplace” into the search bar at the top.

When entering the Marketplace, you’ll see featured items and recent listings tailored to your location. Explore by using the categories on the side or search directly for something specific – don’t forget to include your general location for the best results. To refine your search, use filters for distance, price range, and even item condition.

If you’re planning to sell on Facebook Marketplace, this is the part where you really need to pay attention. First, take note of the “Inbox” tab. This is where you’ll find any conversations with customers and the status of any orders.

Next, we have the “Selling” tab. Think of this as your command center. 

In this tab, you’ll find the “Seller Dashboard.” This tab is where you’ll manage all your listings: active, sold, and even those saved as drafts. It’s your go-to for tracking how items are performing and for any pending messages from interested buyers.

Then we have the “Your Listings” tab—pretty self explanatory. This is where you’ll find your listings, both active and inactive. From here, you can also create new listings or relist old ones.

Lastly, we have the “Insights” tab. You’ll be able to see the number of clicks, saves, and shares your listings have, as well as your marketplace followers.

Other important tabs include the “Announcement” tabs where you’ll find important policy updates.

You also have the “Marketplace” profile, where you’ll essentially get the POV of potential customers when they click your profile.

Listing items

Before we go to listing products, it’s important to know what you can’t sell on Facebook Marketplace:

  • Illegal, Prescription, or Recreational Drugs 
  • Tobacco Products & Related Paraphernalia 
  • Weapons, Ammunition, & Explosives
  • Animals
  • Adult Products & Services
  • Alcohol
  • Ingestible Supplements 
  • Medical & Healthcare Products 
  • Recalled Products
  • Digital Products or Subscriptions
  • Real Money Gambling Services
  • Documents, Currency, & Financial Instruments (this includes things like gift cards, lottery tickets, and fake currency)
  • Items that Infringe on Copyright or Trademarks

Now that we’ve got that out of the way, it’s time to get your first product onto your digital shelves.

Remember how we mentioned that the way you list items differs between a regular account and a business page? Well, this is because Facebook doesn’t allow business pages to list items directly on the marketplace. 

Listing items using a regular account

Using your account, click “Create New Listing” and choose a listing type. For example, let’s say you’re selling an item.

Next, upload photos (you can add up to 10!). Write a title and description, and set your price. Don’t forget to include the item’s condition, delivery or shipping options, and if you’re open to negotiation. Once everything looks good, hit “Publish,” and you’re live!

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Take note: depending on your region, you might not have shipping options available. Instead, you might see “Meetup Preferences.”

Don’t worry! We’ll give tips on creating the best listings later!

Listing items using a business page

To use Facebook Marketplace through your business page, you’ll need a Facebook Shop. Here’s the simple process:

  1. Set up your shop

Go to Facebook’s Commerce Manager and click “Get started,” and then select “Create a shop.” Facebook will guide you through the setup.

You also have the option to link Shopify and other ecommerce platforms to your Facebook Shop. You will need to configure this in your ecommerce platform’s settings.

  1. Choose a payment channel

Choose how your customers will pay. You can have them check out directly on Facebook or Instagram or redirect them to your website. In this case, you should enable checkout with Facebook or Instagram.

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  1. Connect your page and start building

If you haven’t made your business page yet, you’ll be prompted to do it now. Once you have a page, you can build your catalog and start adding products to your shop.

  1. Shipping, returns, and the finishing touches

Set up shipping rates, how long it takes to process orders, your return window, and a customer service email. You can also let customers sign up for email updates.

  1. Get your shop approved

Double-check everything is correct, tick the box to agree to terms, and hit “Finish setup”. Facebook usually takes about 24 hours to review a new shop. Once you’re approved, your products will start appearing on Marketplace!

A quick note: Auto dealers in the US can directly list items on the marketplace through their business page.

Here’s an example from Pink Lemon Standard:

Using the marketplace on the Facebook App

To use the marketplace on the mobile app, look for the “Marketplace” icon (it looks like a little storefront) on your Facebook app’s home screen. If you don’t see it, tap the menu button (three lines) and select “Marketplace” from there.

From there, you’ll see the same tabs as on the desktop version. 

To list an item, click “Sell,” then “Create Listing.” 

From there, the process is the same as in the desktop version.

Best practices for selling on Facebook Marketplace

To maximize your success as a seller on Facebook Marketplace, it pays to follow some tried and true best practices. Here are a few key areas to focus on for a positive selling experience:

Crafting effective listings

Successful Facebook Marketplace listings hold the power to attract new customers and support your existing sales channels. Let’s explore how to make your listings stand out to drive more sales for your small business.

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Writing a comprehensive product description

Think of your product description as your best salesperson. It should clearly highlight the item’s features and benefits and answer any questions a buyer might have. Use descriptive keywords that people would likely search for (e.g., “women’s summer dress,” “vintage wall art,” etc.).

Clearly describe features, benefits, materials, and dimensions and be upfront about the item’s condition, especially for pre-owned items. If your descriptions already exist in your online store, it’s perfectly fine to adapt them for Facebook Marketplace.

Using high-quality images and videos

Visuals are your strongest weapon on Facebook Marketplace. Take several well-lit photos from different angles. Show off details, and if appropriate, demonstrate the item in use. Imagine a buyer is browsing casually– a video of a hand-knitted beanie being worn might just catch their eye! A short clip showing off its texture and how it looks in natural light outshines a static image.

Setting the right price

Pricing your creations can be tricky. Research similar items on Marketplace for a starting point. Consider the cost of your materials, the time spent crafting, and leave some room for negotiation. You should also factor in potential shipping costs if you plan to offer shipping options.

Aim for price consistency across your sales channels. If your items are listed on your online store or shop, consider using the same pricing on Facebook Marketplace for a streamlined experience.

Promoting your products

Once you have compelling listings on Facebook Marketplace, it’s time to boost their visibility. Here are effective strategies to promote your products:

Utilizing Facebook’s promotional tools

Facebook Marketplace offers built-in tools to help your listings reach a wider audience:

  • Boosting Listings: You can pay to promote a listing to targeted users based on location, interests, and demographics. This is a great way to get extra eyes on your items.
  • Facebook Groups: Share relevant listings in local buy-and-sell Facebook groups or groups that align with the type of item you’re selling. (Be sure to follow group rules!)

Cross-promoting products on other platforms and groups

Maximize your reach on Facebook Marketplace by strategically cross-promoting your listings. If you have an established presence on other platforms like Instagram or your own website, subtly link back to your Marketplace offerings. Include a line in your social media posts like, “Love this necklace? Find it on Facebook Marketplace!”

Carefully target relevant Facebook groups where your ideal customers might be browsing. Remember to share your listings in an authentic way, respect group rules, and avoid spamming.

How to increase your listings’ visibility

Getting your Facebook Marketplace listings noticed requires a bit of effort. Respond promptly to inquiries and be open to offers—excellent customer service builds rapport. Share your best listings on your personal Facebook profile to tap into your existing network. Consider occasionally refreshing older listings to bump them back up in search results. Offer occasional promotions or bundle deals to entice shoppers.

Managing sales and interactions

Positive interactions are key to a successful Facebook Marketplace experience. Let’s cover how to manage your sales and communication for the best results:

Communicating with potential buyers

Prompt, friendly communication is crucial. Respond to messages quickly, even if just to say you’ll get back to them with more info. Be transparent – answer questions honestly and provide additional photos if requested. Set clear expectations regarding pickup/delivery options and payment methods.

Handling orders and feedback

Once a sale occurs, confirm details and arrange pickup or shipment promptly. Package items securely to prevent damage. Encourage buyers to leave positive feedback, boosting your reputation as a reliable seller. Always be polite and professional, even when responding to a less-than-ideal review.

Addressing common issues and concerns

Unfortunately, issues may arise. Here’s how to handle some of the most frequent Marketplace challenges:

  • No-shows: A buyer agrees to purchase but fails to follow through. Politely follow up once, but don’t waste too much time and energy. Sadly, this is part of the Marketplace experience.
  • Lowball offers: Ridiculously low offers can be frustrating. Counteroffer politely, or simply decline if it’s far below your asking price.
  • Item not as described: If a buyer makes this claim, try to resolve amicably. Offer a refund, exchange, or partial refund if fair. Take it as a learning experience – could your description have been clearer?
  • Difficult buyers: Occasionally you might encounter rude or unreasonable buyers. Remain professional and avoid getting drawn into arguments. If necessary, you can block a user.
  • Scams: Sadly, scams exist on Marketplace. Be wary of anyone asking for payment via unusual methods, offering to overpay with a strange arrangement, or refusing to meet in person. Trust your instincts.

Billing on Facebook Marketplace

Unlike some online marketplaces, Facebook Marketplace doesn’t handle billing directly. Instead, buyers and sellers work it out between themselves. This gives you flexibility in how you accept payment, but it’s important to be clear and upfront about how things work.

Overview of Billing on Facebook Marketplace

In general, billing on Facebook Marketplace can occur in two ways:

  • In-person transactions: The most common method on Marketplace. Cash, mobile payment apps (Venmo, PayPal, etc.), or other agreed-upon methods are exchanged at pickup.
  • Facebook checkout: If you have this enabled, billing will be handled by Facebook’s payment partners.

If you’re selling with shipping or delivery, you have two billing options: directly through your bank account or PayPal. Facebook will transfer your money to your bank or PayPal account within 4 days after confirmation of delivery.

Be transparent about billing. Clearly communicating your expectations regarding payment methods, shipping costs (if applicable), and any associated fees will minimize misunderstandings and prevent potential conflicts. 

This encourages repeat customers and positive feedback. Most importantly, having a clear billing process in place protects you from unjustified claims or disputes.

Setting up billing preferences

Managing how you get paid for your items on Facebook Marketplace is essential. Here’s a guide to setting up your billing preferences:

  1. Navigate to your Facebook account and locate the “Settings” section. Then go to “Account Settings.”
  1. Go to “Orders and Payments.”
  1. Click “Add Payment Method,” edit and then choose from the following:
    • Debit or Credit Card
    • PayPal

Creating Clear Billing Terms

As mentioned, setting transparent billing expectations is crucial for smooth transactions and avoiding misunderstandings on Facebook Marketplace. Here’s how to establish and communicate your policies:

  1. Clearly state which payment methods you accept (e.g., cash, PayPal, bank transfer).
  2. Specify when payment is expected (e.g., immediately upon pickup, within 24 hours of the sale agreement).
  3. If you require deposits for holds or custom items, state the deposit amount and whether it’s refundable.
  4. Outline your policy on returns and refunds, including timeframes for eligibility and any restocking fees.
  5. Make sure to include your basic billing terms in every product listing description.
  6. When a buyer expresses interest, reiterate your payment terms and clarify any potential questions.
  7. Consider adding a brief summary of your billing policies to your Facebook Marketplace profile.

Example of clear billing terms in an item description:

“Price: $50. Accepted payment methods: cash or PayPal. Payment is due upon pickup. No returns or refunds accepted.”

Handling Billing Disputes

Despite your best efforts to have clear billing terms, occasional disputes may arise on Facebook Marketplace. Here are some common billing issues you might encounter.

  • Non-payment: A buyer fails to pay for an item as agreed.
  • Delayed Payment: Payment is significantly delayed beyond your stated terms.
  • Incorrect Item Received: The buyer claims the item is not as described or was damaged.
  • Refund Requests: A buyer requests a refund outside of your stated policy or for reasons you believe are invalid.

Tips for Resolving Disputes

Remember, while it’s impossible to eliminate disputes entirely, maintaining professionalism and a willingness to find solutions can help you navigate these situations effectively and put your business in a good light.

  1. Stay Calm: Approach the situation professionally. Avoid emotional responses that could escalate the dispute.
  2. Document Everything: Keep records of all communication, agreements, and transaction details.
  3. Refer to Billing Terms: Remind the buyer of your billing terms that they agreed to upon purchasing.
  4. Offer Solutions: Be willing to compromise. For example, you might accept a late payment with a small fee or offer a partial refund if an item has minor damage.
  5. Utilize Facebook Support: If you cannot resolve the dispute directly, Facebook may offer mediation services or protection under their Purchase Protection policies.
  • Prevention is Key: Clear billing terms and open communication with buyers can significantly reduce the likelihood of disputes.
  • Safety First: If a situation feels unsafe or threatening, prioritize your safety and disengage. Report any concerning behavior to Facebook.

Understanding Facebook Marketplace fees

While Facebook Marketplace is a great way to buy and sell, it’s important to be aware of the potential fees you might encounter. 

If you choose to ship items you sell, Facebook charges a selling fee. This is currently 5% of the sale price or a flat fee of $0.40 for shipments of $8.00 or less. Face-to-face transactions where you exchange items for cash incur no fees from Facebook.

If you have a Facebook Shop or integrated Shopify or other ecommerce platforms, you’ll also have to pay an amount depending on the payment method used. Here’s a quick summary from Facebook:

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Keep in mind you might have other costs like shipping charges and the fees associated with your chosen payment methods (e.g., PayPal transaction fees).

Tips for minimizing costs

So how do you minimize fees and gain maximum profit? Here are three easy tips:

  • Sell Locally: Whenever possible, prioritize local sales to avoid selling fees. This also makes transactions simpler for everyone involved.
  • Bundle Products: If you’re selling several smaller items, consider bundling them into one listing to reduce the overall impact of selling fees.
  • Factor Fees into Pricing: Calculate selling fees beforehand and include them in your item’s price to ensure you’re covering your costs.

Special considerations for specific locations

Despite having a global reach, Facebook Marketplace’s features and availability can differ significantly depending on your location.

A good example of this regional difference is the availability of Facebook Shops. Unfortunately, not every country has access to this feature, and businesses from these countries won’t be able to list items directly from their business pages.

Another regional difference is in payment methods. The supported payment methods on Facebook Marketplace can vary from region to region. For example, bank transfers might be a standard option in some countries but completely unavailable in others. This can create limitations for both you and your buyers.

Another limitation is its popularity in your region. In certain regions, Facebook Marketplace may still be developing, meaning it may have less visibility and a smaller audience than in more established countries like the United States.

So how do you battle these barriers? Here’s how:

  1. Know Your Region: Thoroughly research the specific capabilities and restrictions of Facebook Marketplace in your target region. This knowledge will help you set realistic expectations.
  2. Adapt: If for example, you’re in a country where Facebook Shop is not available, you can create a separate account (not a page!) for your business and list your products from there. Then you can simply share your listings to your business page.
  3. Payment Flexibility: Offer a range of payment options, when possible, to cater to different preferences. Explore secure third-party payment processors if your region doesn’t support your preferred methods.
  4. Clear Communication: Always communicate your accepted payment methods and any shipping terms transparently in your listings. This avoids confusion and builds trust with potential buyers.

Final thoughts

Facebook Marketplace has transformed the way we connect for local commerce. By understanding its interface, creating compelling listings, promoting your products effectively, and maintaining smooth transactions, you can unlock its power as both a buyer and a seller.

Remember, clear communication, transparent billing practices, and a focus on customer experience are essential foundations for success.

Facebook Marketplace is a dynamic platform that empowers individuals, small businesses, and communities. By staying informed and adapting your strategies, you can thrive in this ever-changing online marketplace.

FAQs

How does Facebook Marketplace work?

Facebook Marketplace is a digital platform integrated within Facebook where users can buy and sell goods locally or ship them. Think of it as an online version of a community classifieds or garage sale. Listing items is easy, and you can browse various categories from electronics to furniture. Connect with buyers or sellers directly through Facebook Messenger.

What are the benefits of using Facebook Marketplace?

Facebook Marketplace offers convenience, wide reach, and low costs. It’s integrated into a platform you likely already use, giving your listings visibility to a vast audience. Unlike most online selling platforms, Facebook Marketplace has no listing fees and only a minimal selling fee.

Can I use Facebook Marketplace without a Facebook account?

Unfortunately, you do need a Facebook account to use Facebook Marketplace. This feature is integrated within the Facebook social network platform.

Why can’t I access Facebook Marketplace anymore?

There could be several reasons. Check if you meet the age requirements – you must be 18 or older. Sometimes account restrictions or violating community standards can result in losing access. If you think it’s an error, try contacting Facebook support.

How do I get onto Facebook Marketplace?

If you have a Facebook account and meet the eligibility criteria, you should be able to access Marketplace easily. On the Facebook app, tap the Marketplace icon (it looks like a storefront). From a computer browser, you’ll see it in the left-hand menu.

Is Marketplace safe on Facebook?

Facebook Marketplace can be safe, but always exercise caution as with any online transactions. Check buyer or seller profiles, look for ratings and reviews, and communicate through Facebook Messenger. Meet in public, well-lit locations when exchanging items in person.

How do you know if a buyer is scamming you?

Look out for red flags like unrealistic offers, requests for personal information beyond what’s needed for the transaction, or pressure to use payment methods outside of Facebook’s system. Trust your gut – if something feels off, it’s best to disengage.

What is the best form of payment for Facebook Marketplace?

For local transactions, cash is often the safest and most straightforward option. If you’re utilizing shipping, consider using payment platforms integrated with Facebook Marketplace, as these offer some protections for buyers and sellers.

How to sell on Facebook Marketplace for beginners?

Start by taking clear photos of your item and writing a detailed description. Price competitively by researching what similar items are selling for. Respond promptly to messages and be flexible with meeting times or shipping arrangements.

Who pays for shipping on Facebook Marketplace?

The buyer typically pays for shipping costs on Facebook Marketplace. When setting up your listing, you can select the option for shipping and then factor the shipping costs into the total price.

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