Shopify shares seem after Google introduced the enlargement of on-line purchasing
Google CEO Sundar Pichai
Google is deepening its partnership with Shopify by making it easier for the company’s 1.7 million merchants to reach customers on Google Search and a few other companies.
The move comes as Google and Shopify step up their efforts to take on Amazon in ecommerce. Amazon is also increasingly competing with Google on search ads for commercial inquiries, which typically means a consumer is actively considering a purchase and is expected to generate 19% of all search ad revenue that year, compared to about 57% on Google eMarketer.
Shopify’s shares rose up to 4% on the news, closing more than 3% that day.
Google announced this during its software developer conference, Google I / O, which began Tuesday. The company didn’t offer many details on the integration, but said that Shopify companies can be viewed “with just a few clicks” in Google Search, Maps, Lenses, Pictures, and YouTube.
In a blog post, Google said this would make Shopify merchants’ products more discoverable in their various properties.
“We believe you deserve the biggest choice and we will continue to innovate the way you shop wherever you go,” said Bill Ready, Google president of Commerce and Payments, during a presentation at I / O.
Separately, the company announced further improvements to its e-commerce functionality: For example, Google’s Chrome browser permanently displays shopping carts when users open new tabs so that they can shop again after other tasks.
At the start of the pandemic, Google waived commission fees for merchants participating in its “Buy” program, which allows consumers to search for and review products from retailers directly on their platform without being referred to retailers’ websites. The company also announced that it will open its platform to third-party vendors like PayPal and Shopify to give retailers more purchase options outside of its own platform.
Google is again trying to step up its ecommerce efforts as the pandemic has created long-lasting demand for online purchases that has benefited Google’s competitors.
In a blog post, the company said, “As we remove barriers like fees and improve our technology, we’ve seen a 70% increase in our product catalog and an 80% increase in the number of retailers on our platform.”