The rumors have been circulating for a while now, and finally Facebook has officially announced it will be launching Facebook Deals. Facebook Deals will work similar to Groupon and LivingSocial’s existing services, and will bring group buying to the social networking site.
Deals is officially launching today, testing in 5 cities: Atlanta, Austin, Dallas, San Diego, and San Francisco. “It will be easy to share deals with friends, see when a friend buys something and find offers that your friends are interested in,” said Emily White, Facebook’s director for local. “Facebook will focus on offers for things that are best done with friends, like concerts or events,” she said.
Facebook Deals will be purchased with Facebook credits. Credits are currently only redeemable for online games, movie rentals, and virtual goods. Facebook Deals marks the first time Facebook users can turn those credits into a tangible item.
What do you think about Facebook Deals? Can you see yourself using the service, or would you prefer Facebook to stay out of the group buying market?