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Google Shopping Changes

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Google Shopping that had previously listed companies and merchants for free will now become an entirely monetised service. On May 31 Google announced that the transition is expected to take place in October 2012 in United States on Google.com, whereas the change to paid inclusion outside the US will happen next year.

Implications

To begin with, Google will run a variety of experiments for a small percentage of searchers that merge listings from Google Product Listing Ads and Google Shopping together. It will work very similarly to how Product Listing Ads work now; the advertisers will provide data feeds and create product listings through Google AdWords. Search results will be based upon combination of perceived relevance and bid price. Rather than bidding on particular keywords, however, Google Shopping will be based on how much the advertisers are willing to pay for the listings appearance, clicks or conversions.

Benefits

From Google’s point of view, by moving to an all-paid model they will reduce clutter and have more trustworthy data that will improve the shopping search experience for its users. Google believes that having a commercial relationship with merchants will encourage them to keep their product information fresh and up to date. More accurate prices, frequently updated latest offers or product availability should translate to better shopping results for users therefore higher quality traffic for merchants. Google also says the new Google Shopping listings will be able to show any special deals or offers provided within the merchant’s data feed.

Essential Preparation

The good news is that the transition will not happen in the UK for at least couple of months, which allows enough time to undertake necessary steps beforehand. The new Google Shopping model will be based on the already available Merchant Center Platform and displayed via Product Listing Ads. As a first step it is important for all businesses to upload the product data to Google and create official Product Listing Ads within AdWords account to ensure their products appear in shopping search results. Once the data has been uploaded the next priority will concern optimising the data feed to improve the return on Google Shopping, which we will cover in the next newsletter.

Looking Forward To

In addition to forthcoming changes, Google Shopping will incorporate Google Trusted Stores badges into the listings, for those merchants who participate in the program. This feature is not currently available outside the US but it is expected to be introduced along with the launch of commercial Google Shopping experience.

Consultation

We’ll be regularly sending our newsletters with all of the important news about Google Shopping as well as updates on the essential preparation. If you have any specific questions or require support with regards to any of the steps outlined in the newsletter, however, just let us know and we will do our best to assist you.


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