|Courtesy of: Inferse.com|
By Lauren C.
For years, Google+ has struggled to compete with other social media platforms, Google’s stock has plummeted, and their advertising rates continue to decline.
What’s the cause of Google’s pain? According to Search Engine Land, “most of Google’s advertisers are companies trying to sell products to users who are looking for those products via Google. When a user clicks on one of their ads, that user goes straight to the advertiser’s online store.” In other words, Google is losing advertising revenue and stock value because it can’t effectively compete as a retailer. Furthermore, other bigwigs like Facebook have been putting the pressure on Google with their Custom Audiences targeted ad platform.
As we already know, nothing can stop Google. They have recently decided to add “buy” buttons for sponsored retailers, so customers can pay for products without having to visit the website. This feature will appear only on mobile phones, and will effectively boost advertising revenue for Google.
Here’s what we know so far:
1. You search. You shop. When users search for the product they are looking for through Google, buy buttons will appear on mobile devices for certain sponsored products.
2. If you pay, you play. Only retailers who pay for a Google AdWords campaigns will be able to join in Google’s new button game. Retailers who rely on organic search traffic will not experience the benefits of the new buttons feature.
3. When you click, you pick. Once the shopper clicks on the buy button, they will be directed to a product page hosted by Google. There they can pick products based on various factors such as color, size, and shipping options. When users decide to make a purchase, they will input their name, address, phone number, and credit card information into the product page. Google will then have access to this valuable information, not the retailer.
4. Retailers steer the wheels. All of the products will still be sold exclusively by the retailers, not Google. Google will not take a chunk of revenue from the sale itself, but only from the advertising fee charged to the retailer. The details of how this arrangement will work are still being sorted out.
Retailers Must Decide
If the retailer does decide to opt in, they should start to learn about AdWords campaigns and how it can drastically improve their overall marketing and revenue strategy. Plus, in order to be a part of the buy button launch, the retailer must be already paying for SERPS advertising anyway.
If the retailer decides to opt out to the new button buy program, it would be behoove them to make sure their mobile design is up to par and allows for a great user experience. Even if they do not utilize the new buttons, buying products or services on their website should still be as simple as possible for web users.
What do you about Google’s new button buy launch? If you were a retailer, would you take part? Let the Tek Team know in the comment section below.