Google Commerce Search issues comparison shopping challenge | Blogs

Haig Kayserian is an internet business consultant with clients across Australia. His company - KayWeb Holdings - has offices in Sydney, Melbourne and Manila. KayWeb provides web design, web marketing and web applications solutions. Haig Kayserian has owned and sold multiple web businesses. He has overseen the launch of over 100 websites.

How does it work?

Regularly, if you search for a Canon EOS400D on Google, that product will be treated as a regular keyword. As a result, you will find regular search results relating to that word, which may or may not include links to some websites that sell the product.

With Google Commerce search, the Canon EOS400D will not be treated as a regular keyword. Rather, it will be treated as a product. The results will look different, and include prices you can sort and links to actually buy the product from your chosen website.

What's in it for Google?

A truckload of money from retailers, who will pay to feed their products to Google and appear in search results. Their investment will be US$50,000 at a minimum!

That may seem like a lot; but I know dozens of online retailers who are willing to spend double to achieve such exposure!

Who suffers?

For years, other companies - including Shopping.com, Shopbot.com.au, GetPrice.com.au - have provided a similar 'comparison shopping' service to their customers, and online retailers have paid to receive their benefits.

I predict these guys will suffer after the release of Google Commerce Search.

Most of the aforementioned spend plenty of dollars on PPC advertising under product names, so people click their website (e.g. shopping.com), then search again for the product, find their desired retailer at their desired price, and then buy.

Google Commerce Search gets rid of the middle man.

This innovation will re-energise this space, and I would be interested in what the 'shopping comparison' websites come up with in retaliation.

GOOGLE COMMERCE SEARCH VIDEO

Comments (2)

Haig Kayserian
Nov 13, 2009

Hi Grey, interesting point. Let's not forget that Commerce Search minimum spend is US$50K per annum. While the larger and more serious retailers spend more than that on shopping comparison websites now, the smaller players cannot afford it. In my opinion, this is where the likes of Shopbot still have life. And as long as they are around, the larger retailers will list on them as they wouldn't want to lose their competitive advantage in any market segment. I agree with you that they need to stay cheap though...

Grey
Nov 13, 2009

Very good blog Haig. I've read heaps on the Commerce Search, but the angle of shopping comparison websites, and the plight they no doubt face is very interesting. In fact, I am willing to say that this is the beginning of the end of the expensive players like Shopping.com. Shopbot.com.au in Australia will survive due to its competitive pricing.

Post Comment

Name	(required)
Email	(required)
Website

	Please copy the following numbers into the textbox (required)