Last month, Google has announced a new feature called Purchases on Google. Probably, this new little addition will drastically change ecommerce. Of course, we still don’t have enough information for making precise predictions, but a dramatic impact of the new feature seems quite realistic especially after the implementation of Mobilegeddon. So why are we so excited about Purchases on Google? Let’s shed light on the nature of the improvement to answer the question.
Purchases on Google is a new buy button related to mobile search. It appears inside ads Google puts above its normal search results. Having clicked on a CTA button, you are taken to a special purchasing page. This page is still hosted by Google and besides goods contains various options: you can choose the type of a desired product as well as an estimated delivery date. Note that you perform all this actions without leaving Google, which has all your personal information – it will even let you store credit card details for future purchases. Thus, the new improvement introduces the ability to buy goods without ever visiting a store’s website.
Why should merchants beware of Purchases on Google?
The new way of interaction between customers and merchants reduces two important ecommerce aspects. The first one is access to customer data; the second one is the ability to upsell and cross-sell. While merchants will still sell goods, the traffic to their websites will be decreased. Thus, they won’t be able to gather customer data required for various marketing campaigns. Consequently, the inability to implement a deep marketing strategy will negatively affect ecommerce businesses. Moreover, merchants will no longer offer a more expensive model of a desired product, as well as additional products from other categories, losing the opportunity to implement upsell and cross-sell strategies. At the same time, they will still have to handle the actual product fulfillment, while Google will continue to charge retailers via the existing advertising model.
Is the new button so dangerous?
Definitely not! Google is testing the feature only on mobile devices, so desktop search results are still secure. It is also said that Purchase on Google buttons will occupy a small amount of traffic. Furthermore, Google is trying to reduce the friction in the sphere of mobile purchases by introducing the merchant’s branding within the Purchase page.
The increase in smartphone usage leads to inevitable changes. Already, the number of mobile search queries exceeds desktop search indexes in 10 countries, such as Japan and the US. Recently, we’ve seen the impact of Mobillegeddon on ecommerce, so it’s time to get ready for even more complicated changes. If the Purchase on Google feature will be adopted as a worthwhile solution for mobile devices, there is a possibility to see the new button within desktop search results, which will totally reorganize current ecommerce relations between merchants and buyers.