Wired: Amazon's business model impact Google search business
Google is considered to be a tool for searching information, while Amason is a business service. This is two differentjeremy scott wings companies, is it? The United States of America venture partner Andreessen Horowitz, former president PayPal Jeff Jordan (Jeff Jordan) think, the answer is no..
Jordan recently in the "wealth" magazine said, shopping service is the key of Amazon's earnings, but the search is Google's current operations center. He said: "the Amazon is a vertical search engine, focus on helping users find goods. The main way to look for something in the Amazon website is search box. The user input keywords, then you can see the matching results. The search results ranking algorithm to decide, Amazon's algorithm for the relevance of search results and commercialization is optimized."
Jordan said, is the maximum difference of Amazon and Google shopping service, Amazon user experience better, including price, product selection and logistics etc.. He said: "the need to spend 1 hours shopping at Google and Amazon, in just 1 minutes."
So why Google should pay attention to this problem? After all, Google to make money through advertising sales, instead of electronic commerce.
This is because, advertising in the Google services advertisers is the sale of goods at the seller on amazon. If the buyer more through Amazon to find and buy goods, so the importance of Google will decline, the seller is not necessary to put in advertisement in google. In this case, the Amazon as a search engine will threaten the core business of Google, especially considering the consumer goods and retail industry is in the Google adshttp://www.lebronjamesshoess.com most industry. Although Google did not disclose classified according to the advertising industry advertising revenue, but many companies are marketing analysis in an attempt to determine the data.
However, Amazon currently does not seem to be attracted to the Google advertisers. An earlier this year of digital advertising management services Marin Software display, after paying products displayed in search results, advertisers will be this kind of advertising spending increased bjeremy scott shoesy 600%, and this kind of advertising click-through rate will increase more than two times.
Google also strengthen line of business services, for example in the San Francisco Bay area launched the same day delivery courier service. But for Google, the most effective way to build their own logistics transportation and warehouse network is not with Amazon competition. Google should find a way, to help users more easily in Google websitechan luu
search and purchase goods.
At the same time, Google can use an ironic fact to convince yourself and shareholders: as the world's largest online retailer, one of the largest advertisers is Google Amazon may.