Skip to main content

Amazon and Google battle for shoppers, and that could help small retailers

amazon

When it comes to online shopping, Amazon has stolen search traffic from Google for years, says Mike Massey, founder of the e-commerce platform, Locally.

"The very first concept to understand is that this all comes down to a brewing war between Google and Amazon,” Massey told SNEWS, an outdoor newsletter owned by Active Interest Media, the parent company of several publications including Soundings Trade Only. "This is a shot across the bow from one of the largest tech firms in the world to the other.”

More and more, shoppers are beginning and ending their product searches on Amazon, from initial query to final purchase — bad news for Google, a company that makes most of its money from ads on product searches run through its various platforms.

Google offers most of its products — Gmail and Google Maps, for example — for free, meaning the revenue comes from product searches, Massey explained.

“They're trying to address this Amazon problem by encouraging people to start their shopping searches on Google. That's what this new move is about," said Massey.

That could be a game changer for small retailers, he said.

"The kind of exposure that retailers are going to get from this is potentially worth tens of thousands of dollars a month,” said Massey.

To understand Google's move from the consumer side, Massey said he tells people to imagine doing a basic search for the word "pizza."

"What comes up at the top of the page? Not the Wikipedia article for pizza, not the names of famous pizza restaurants in New York City, but relevant local information — pizza places near you — that guide you toward a purchase,”

Now, that same concept will come to retail.

Before, if consumers typed “Yeti cooler” into a Google search, it would have mainly yielded ads from companies that had spent a lot of money on them, said Massey.

“Now you’re getting links to local retailers,” said Massey. “Google is essentially giving away free advertising."

There are some caveats.

To take advantage of the program, retailers need to have a viable e-commerce operation that can feed data to Google for the listings. And they need to set up a merchant account with Google as well.

To solve these problems, Locally has partnered with dbaPlatform to offer a set-up service that handles all aspects of syncing in-stock inventory from local retailers with Google. The service costs $49 a month for one location and an additional $39 a month for each location after that.

"What retailers should understand is that, even though this is a battle between two tech giants, small shops are the winners right now," Massey said.

Related

VOLVO-EARNINGS

Volvo Penta Reports Q4, FY22 Results

Net sales of $470 million for the quarter were a 33% increase compared to the prior year period.

Pulse-Report

DEALERS: Are You Improving the Service Experience?

Our monthly Pulse Report survey asks this and other questions about your dealership. Take the survey here.

NMRA-SCHOLARSHIP

NMRA Sets Scholarship Deadline

Students pursuing education in the marine trades can apply for the National Marine Representatives Association awards until April 1.

MARINE-PRODUCTS

Marine Products Reports Record Q4

The builder of Chaparral and Robalo boats reported net sales were up 42% for the quarter and 28% for fiscal year 2022.

1_SHURHOLD

Shurhold Appoints COO

Forrest Ferrari has years of management, business development, IT and quality-assurance experience.

MOBILE-CATCH-CENTER

RBFF, Pure Fishing Partner for a First Catch Center

Pure Fishing will equip a mobile trailer with tackle and gear to bring fishing experiences to areas of South Carolina where participation is low.

Norm

An Oft-Overlooked Sales Opportunity

A recent report from the Recreational Boating & Fishing Foundation showed that women comprise 37% of all anglers. If you haven’t tapped this segment, you’re missing out.

1. 2023 new boat retail outlook

Too Many High-Priced Boats

To wrap up 2022, marine retailers reported lower demand, expressed more negative sentiment and voiced concerns about rising inventory. Boat prices and the economy remained top of mind for dealers in December.

Soundings Nov 2022

New-Boat Registrations Continue to Slide

As the gaudy sales figures from the pandemic continue to return to more realistic numbers, the main segments of the recreational boating industry saw new-model registrations of 4,421 in November, a 30.3% drop from 6,340 during the same time in 2021. .