Competition is fierce and nowhere is the market more competitive than in the mobile industry. Google has therefore decided to prevent users from going to competitors by adding buy buttons to mobile searches.
A recent report by the Wall Street Journal reveals that this buy button feature will be added in the following weeks and will only apply to certain sponsored searches. This means that organic results (which Google’s algorithm generates) will remain unchanged.
Of course, major online marketers, such as eBay or Amazon may see this as a potentially threatening move, yet the question is whether Google’s buy buttons will truly help the tech giant outsell these online marketers.
If and when an internet user decides to click on the provided buy button, they will land on another Google page set up for purchase completion. Much like online shopping carts, these Google pages will provide color selection options, shipping and payment options.
Of course, the items being sold will still stem from retailers and not Google. There are some retailers already discussing the buy button’s launch with Google.
This new service will store credit card information so that users aren’t required to add this information each time they wish to make a purchase. Despite this, sensitive information (including payment details) will not be shared with retailers, the report stated.
Though bold, this move does raise questions as to Google’s intentions. Rather than representing the major provider for information, it seems that the tech giant now wants to step into retailing and there are some who aren’t too pleased.
Several retailers did express concern as to the difficulties of retaining their online identities once Google adds such buy buttons, since they will inadvertently become subsumed into the brand that Google is establishing.
In order to ease these concerns, Google’s new service will allow users to select brand’s marketing programs, so that a specific retailer would still receive a user’s data if that users joins such a program.
Existing advertising models will continue to be the main way in which Google will be paid by retailers, so if you were thinking that with the addition of this buy button, Google was taking any cut of the sale price, think again.
Increases in smartphone usage may have sparked this Google initiative, especially since Google doesn’t dominate the mobile search business. In 10 countries, such as Japan or the United States, mobile searches have officially outnumbered desktop searches, making Google’s intentions much more understandable.
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