In Berlin in 2014, Google’s Executive Chairman, Eric Schmidt, had this to say: “Many people think our main competition is Bing or Yahoo. But really, our biggest search competitor is Amazon.”
ComScore found that product searches on Amazon have grown 73 percent over the last year, while shopping searches on Google have been flat
Amazon accounts for over 40 percent of book sales, and over 60 percent of online sales. So when it comes to the product shopping space, Google is in second place and struggling to catch up.
Apart from taking away the search business away and leading in shopping. Amazon has made a daring entry in to the ad network, analytics space a Google stronghold, rattling it
With the wealth of user data that is available with Amazon
instant sales conversion
makes it an attractive offering for FMCG and other key advertisers
Amazon has already opened business with two key categories:
1. Endemic - which is advertitsing options given to brands selling their products on the site eg: FMCG, Electronics
2. Non Endemic: which is meant for categories that are not selling on the site, eg: Auto, Media & entertainment
Amazon already has strong presence on media listings and web analytics space with Alexa and IMDB with regional expansion in place
Their video offering of prime is going to take on YouTube directly with significant investments happening in key markets
With the ad network, search, Video & analytics space already under threat from Amazon,
Google has serious competition from Amazon on multiple levels with the ball already rolling!
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Public - 9/2/16, 2:11 PM