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Google Shopping’s imminent arrival – who should be worried?

  • Technology
  • January 21, 2016
  • Elly Strang
Google Shopping’s imminent arrival – who should be worried?

There has been no word on when the search engine giant will release Google Shopping in New Zealand.

However, the service rolled out in the US in 2012 and in Australia in 2013, while the buy now button was launched last year, so the New Zealand release may very well be on the near horizon.

The service works via merchants paying Google to list their products on the service. This means it shows up in relevant Google searches with the option to buy the products then and there using a button, which significantly cuts down the transaction time.

The listed products in a Google search are influenced by relevance and the amount the vendor pays.

Last year, Google rolled the “Shop on Google” service out to mobiles.

“For retailers, opting in to Purchases on Google means improved mobile conversions thanks to a simplified checkout process. Participating retailers only pay for clicks on the shopping ads to the product page; all clicks and interactions on the product page are free,” the company wrote in a blog post.

The move cuts into the market share of sites like Amazon and Ebay, removing the need for consumers to seek products out if they’re right there when they Google them.

First retail managing director Chris Wilkinson says Google Shopping should be seen as a competitor for retailers, as certain products from outside the New Zealand may be prioritised if that company has paid for advertising.

As well as this, buy and sell websites will be concerned about its impending arrival.

“Certainly the likes of Trade Me will be watching really closely, because their future success and growth will depend on it,” Wilkinson says.

The Wall Street Journal reports there are concerns felt amongst the retail community that Google will become a giant marketplace where purchases take place, rather than on retailers’ websites.

Experts also warned that although Google isn’t taking a cut of the sales revenue, retailers may miss out on important consumer data when a purchase is made.

But Google has stressed to retailers that shoppers will still belong to them, not Google, and that the service will increase mobile sales now that so much customer traffic comes from there. 

Small phone screens often make trawling through different ecommerce websites a hassle for shoppers, so Google thinks simplifying the process will result in more sales.

The number of people shopping on phones isn’t to be underestimated. Google said last year that searches on mobile devices now outnumber those on personal computers in 10 countries, including the US and Japan.

Also, as the Wall Street Journal pointed out, Google can’t risk upsetting large retailers because they are among the largest spenders on the company’s search ads.

Wilkinson says Kiwi retailers need to understand how the technology works, as it will create a one-click transaction that helps customers finds specific products instantly.

“It’ll be a real disruptor. Retailers need to understand it and in some cases, be a part of it,” he says.

Watch this space. 

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Hunting & Fishing New Zealand voluntarily pulls military-style assault weapons from sale

  • News
  • March 20, 2019
  • Sarah Dunn
Hunting & Fishing New Zealand voluntarily pulls military-style assault weapons from sale

In the wake of the attack on Christchurch’s Muslim community on March 15, strong calls for changes to New Zealand’s gun last have been made. Trade Me was the first retailer to act, halting the sale of all semi-automatic weapons on its platform, and it has now been joined by Hunting & Fishing New Zealand.

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Superette to open new concept store showcasing international brands

  • News
  • March 20, 2019
  • The Register team
Superette to open new concept store showcasing international brands

Apparel boutique Superette has announced it will open an ‘international flagship’ in Newmarket on April 4. The store will feature handpicked products from both established and emerging international designers.

Read more
 
 

What businesses can do to help support Christchurch and the Muslim community this week

  • Opinion
  • March 19, 2019
  • Rosie Collins
What businesses can do to help support Christchurch and the Muslim community this week

As many New Zealanders go back to work for the first time today since Friday’s attacks, feelings of anger, sadness, numbness, apprehension, and confusion will be shared around the country. Rosie Collins is the managing director of Step Changers, a registered charity working to normalise corporate social responsibility in New Zealand. In the wake of the Christchurch terror attack, she shares three ways businesses can help both their staff and the wider Muslim and Christchurch community this week.

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China and New Zealand’s year of tourism

  • Opinion
  • March 19, 2019
  • Juanita Neville-Te Rito
China and New Zealand’s year of tourism

Think about how to best welcome Chinese tourists into your store this year.

Read more
 
 

Coca-Cola reveals how much plastic it uses

  • News
  • March 19, 2019
  • Radio New Zealand
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  • News
  • March 19, 2019
  • Radio New Zealand
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The Warehouse has made a solid first half profit as it continues to restructure and invest in digital services.

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