New Google Shopping Actions - 'Google Marketplace' Launch

by Ben Pena March 20, 2018, 3:17
New Google Shopping Actions - 'Google Marketplace' Launch

Google Inc has just struck a deal with major USA retailers to allow them to list their products on Google Search.

In addition to offering better priority in search results, retailers also have the option to promote their products through Google Assistant and Google Express.

In exchange for Google listings and linking to retailer loyalty programs, the retailers will then pay Google a piece of each purchase. For instance, a shopper looking for decoration items for the home on their phone can see the listing of the same from a retailer and add that to their Express cart. The new program - called Shopping Actions - launched Monday, but several retailers have been testing it for months.

For retailers, Google said that Shopping Actions uses a pay-per-sale model, "meaning you only pay when a sale actually takes place".

"We see ourselves as part of a solution for retailers to be able to drive better transactions. and get closer to the consumer", he told Reuters.

Google started the new program after observing that mobile searches asking where to buy products had risen by 85 percent over the past two years, the company noted in its blog post. Plus, with Google claiming most people end up defaulting to Amazon eventually anyway, extra exposure for everyone else is an excellent incentive to take part. The same customer can then order something like foil through a voice-enabled device and then purchased both items at once through a checkout flow hosted by Google.

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By integrating Google search on different devices, the company wants to enhance the user experience, along with driving up the sales of the partner. The program is open to U.S. retailers of any size.

If Kelly does a search for "peach blush", for example, and she has opted to link her Google account with her Ultamate Rewards status, we'll recognize this and surface relevant blush results as well as related items - like makeup brushes - from Ulta Beauty to help her build a basket with her preferred retailer. Ulta Beauty's Chief Executive Officer Mary Dillon said that the brand's average order value has jumped 35 percent since partnering with Google. Smart home devices are considered a very lucrative portion of e-commerce.

Analysts said that the program will help retailers fight back against the dominance of Amazon.

"Google got the idea for the partnership from its users" behavior.

Both Walmart and Target a year ago struck deals to appear in search results via Google Home.

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