Google finally has counter to Amazon in India

BENGALURU: Search engine giant Google will soon launch its’ Shopping’ tab in India, allowing users to search for products to buy and guiding them to merchant websites or ecommerce platforms for product enumerates, two people familiar with the company’s plans told ET.In the works for several months, the Shopping tab will be piloted soon, prior to a fullfledged launching before the end of the year, one of the person or persons said.Confirming the growth, a Google spokesperson in an emailed response said, “We are always exploring alternatives to help customers find the products they want to buy more quickly and efficiently from local merchants.”Google is already in talks with ecommerce players such as Flipkart, Paytm Mall and Snapdeal to partake in the company’s store tab initiative, according to one of the persons cited earlier. ET could not independently substantiates the same. To be sure, multiple informants ET spoke with clearly understood that Google will not, for the moment, fulfil online browse, either through its pay product or otherwise.Likely to Tap Into SMEsBesides big ecommerce websites, Google is also expected to tap into its big network of registered tiny and medium enterprises or SMEs — from neighbourhood kirana stores to high-end handicraft stores — to help users detect products they want. These merchants need not necessarily roster on platforms like Amazon or Flipkart.“They( Google) will partner with retailers of all sizes — it can tell the user where the product is available, is it available online, etc ., ” said another person in the know. For now, this service is being provided free of cost.Some experts check the Google shopping tab as a precursor of the internet giant eventually setting up an ecommerce marketplace.“It is like how Amazon launched cost comparison website Junglee.com before foraying into ecommerce full-fledged after they got consumer data, ” said one of the person or persons cited above. “Google will also firstly understand Indian store tendencies through the Shopping tab.”DECLINING AD REVENUESGoogle’s foray into product pursuit comes at a time when the tech giant is said to be losing market share to Amazon on product pursuits in the US, which translates into diminishing ad revenues.

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The US online retail sell is dominated by the powerful system has been established by Amazon through its Prime programme, which analysts believe is difficult to overcome by any other tech company.“In the US, 50 -6 0% product hunting begins at Amazon, bypassing Google and cannibalising the open market, ” said Arpan Sheth, a partner at consulting firm Bain& Company. “Google is losing online customers because of this and it is taking a reached at their publicize revenue.”Earlier this year, media reports was of the view that Flipkart and Amazon had reduced their ad spending on Google by as much as 30%. Google’s annual ad revenues are over $40 billion. Amazon’s annualised ad revenue is much lower at over$ 6 billion, but it’s growing at around 132% quarter-on-quarter.PRODUCT SEARCHAkin to the’ News’ or’ Images’ tabs on Google search page, the’ Shopping’ tab allows users to sift through different shopkeeper enumerates of the product they are looking for.At present, online shoppers generally go to an ecommerce website immediately to search for a particular product.While Google already lists products through its’ product enumerate ads’, the Shopping tab will give users much more control. For instance, users can filter the product they are looking for based on rate or any other properties, while at the same time getting more details of the product by going to the’ details’ page.On the seller side, anyone with a product feed can plug into Google’s merchant centre to be listed on the store tab, said the second person quoth earlier.“The idea is that of an open ecosystem. Google wants partners of all sizes and shapes — offline, online, pureplay, omnichannel, ” the person said.With 80 -8 5 million online customers, India is an important marketplace for Google.Google currently extends a Shopping tab in over 30 countries, and company generators said it has verified a high level of transition, because of strong user intent. On the subscribers back, the tab has also seen high rates of involvement, largely due to the specificity that product investigation lets( filter by features like colour and shape.Earlier this year, Google invested in omnichannel mode commerce company Fynd, which provides an online platform for labels to display their storage inventorying, besides backing hyper-local give service Dunzo.ET had reported last week that the search monster plans to launching an online storefront for its branded hardware products next month.

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