Google against Amazon
The U.S. search engine giant Google has become Amazon's competitor when it comes to online shopping. The digital economy is dominated by a few large corporations. These include:
The dominant position of the "Big Five" in the digital economy is difficult to break. The giants are in direct competition with each other. Google is now planning to take action against Amazon by changing its strategy. Amazon sees this as a frontal attack.
Google is undergoing change
Every customer who discovers products using the Google search function can also directly call up further detailed information and 3-D views. In addition, the customer will also be able to immediately fill the shopping cart with the desired products on the provider's site. Of course, something like this is only possible with a Google partner. One option, for example, is to use the Google payment service. Customer data can also be passed on directly. This has already been a proven strategy of the market giant for many years. In this way, Google is trying to further expand its supremacy. In order to be able to sell via Google, the providers must of course accept the corresponding conditions of the platform.
New measures to limit market power
It is no coincidence that Google is launching a frontal attack right now. New measures limit the market power of the giant; these are to be taken seriously. Unhindered expansion of online business is becoming increasingly difficult. Antitrust law is being invoked more and more often in the European Union. Only recently, Google had to pay a record fine of more than € 2.4 billion. The high in online trading due to the Corona pandemic is gradually receding, and sales are down slightly. Nevertheless, the Internet is still frequently used to search for products or product information - mostly via Google, of course. Amazon is thus virtually bypassed when the product can be accessed directly from Google.
Enormous market share of Amazon in online retailing
Despite everything, the attack comes relatively late; in the USA, Amazon already has a market share of 41 percent in online retail. Many customers there search for their product directly via Amazon instead of Google. That's why Google is now looking for allies such as Walmart or Shopify. Dates for the introduction of the new strategy are not yet known - but in any case it will be a global competition.