Facebook’s classifieds marketplace entry is good for everyone except Craigslist.

What a launch!! The wider availability of Facebook’s Marketplace Product was one of the most broadly covered press-releases of a product one can think of. Every major (and not so major) media outlet carried the story. It is a testimonial to Facebook’s clout in the media . Also, the fact that FB is making a serious attempt to claim this space “is a very big deal”.

Conspicuously absent in almost all the coverage was any reference to the other players. Facebook did not invent the product category, but their big bang entrance into the space currently occupied by OfferUp, LetGo and Close5, has powerful positive effects on the landscape in general. Here are some likely outcomes that could benefit all the participants.

1*Faster adoption of mobile classifieds: A high profile name showing serious commitment to enter the classifieds business with a Mobile initiative, significantly raises the profile of the Mobile classifieds product category validating its ability to disrupt incumbents. FB’s entry will accelerate the awareness and adoption of all Craigslist alternates.

2*Increase in addressable market: Because its easy to try out, FB will bring in more first time buyers and sellers, who will try to buy or sell something locally through the app. These first timers will eventually explore other options as well.

3*Improved Trust & Safety across all products: FB will up-the-ante of safety in classifieds. Using the profile data they have on their users, they can weed out bad actors from their marketplace. The competition will be forced to innovate and develop more creative ways of matching up to safety assurances FB can offer.

Facebook has the platform to reach their marketplace product to a Billion users worldwide, very quickly. This does not automatically mean that they will win the US and other markets. Their name & sheer size offers advantages, but it also comes with challenges.

FB has tried marketplaces before, but could not create (local) market-vibrancy. It is a completely different team this time around, it remains to be seen how well they execute and how many markets they can disrupt.