Google is preparing to rival Amazon’s e-commerce business in 2015. According to the Wall Street Journal, the tech giant plans to team up with retailers in order to introduce a “Buy” button within its platform. In addition, Google is said to be thinking on launching a marketing program that will resemble Amazon Prime.
The source reported that Google has tried to discuss its idea to offer online shoppers a one-click experience similar to that on Amazon.com. To achieve that, Google plans to release a “Buy” button. It will appear on Google pages and it will enable consumers to shop directly from Google.com without being redirected to another website. Affiliate marketing will go extinct, if this bold plan materializes!
Insiders, however, share that some of the retailers approached by Google were lukewarm towards the new business proposition. They fear that such a shopping service will cut down the traffic to their online stores and force them to greatly reduce prices in order to stay competitive. Nevertheless, sources also report that most retailers were less concerned about Google’s new shopping idea and more about Amazon’s online domination.
In addition to a “Buy” button, Google is also said to be thinking on releasing a marketing program similar to ShopRunner. It will enable merchants to promote their two-day shopping offers when available. However, Google will not deal with the shipping services and it will function only as a mediator between merchants and shoppers.
It is not hard to see that this service reminds of Amazon Prime. Nevertheless, while an Amazon Prime membership currently costs $99 per year, Google’s two-day shipping is reported to be priced at just $79 a year. Such small difference in the price will hardly become a convincing factor for online shoppers.
A few weeks ago, the search engine announced its Shopping Express service. It offers same-day or next-day shipping for $95 per year.
Google’s determination to directly compete against Amazon comes from the fact that the largest online retailer takes a big portion from the tech company’s market share. Just three years ago, most online shoppers used to start their product search from Google. Today, however, the search engine’s share in this lucrative niche has declined by nearly 50%, after Amazon became leader in online retail.
The new services will probably be just the start of Google’s battle against Amazon.com. Earlier this month, the U.S. technology company took down Amazon’s app from its Play Store.
