When I think about where to go to start my search on the web, Google almost always comes to mind first. To say that Google has won the game in Search is perhaps the understatement of the century. However, an increasing amount of the time when I'm searching for a specific item I'll go directly to Amazon, Jet, Walmart.com, or some other major online retailer.
Accordingly to this article in AdAge, I'm not alone in my behavior. As someone who spends a lot of time thinking about retail (I work in Market Research in the consumer purchasing sector) I spend most of my time thinking of the implications that Amazon is having on other retailers. Perhaps the bigger implication is what Amazon is doing to Google. Amazon is cutting into Google's market share in search and the implications could be huge.
Amazon's fastest growing segment is in Advertising, and while their search business is small potatoes compared to Google, what they have is billions of data points on consumer purchasing behavior. Ads drive sales, and if they can optimize the search experience for customers, more customers will make purchases there, and if more customers convert to purchase from Amazon ads, then advertisers will devote more of their ad dollars there.This could definitely be a changing tide for Google!
Link to the article in AdAge about Amazon's increasing share of search.
Link to the Business Insider article about Amazon's growing Advertising business.
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