Published on July 28th, 2012 | by Amy Edwards0
Amazon named as go-to site for online shopping
By Amy @BubbleJobs
When it comes to online shopping, where’s the first place you visit? If you head straight to good old Google, it seems you may, for once, be in the minority. Yep, a new study has found that online market place Amazon is actually the go-to site for online buyers in 2012.
The survey by Forrester Research found that around 30% of online shoppers begin researching their next online purchase on Amazon, while less than 15% started with Google – this marks a complete turnaround from two years ago when Google was still very much ruling the online market.
In 2010 a similar study found that 24% of respondents started searching via Google, while just 18% began on Amazon. So, what’s going on? Well it could have something to do with the fact that Amazon is quickly gaining ground, not just in the US, but all over the world.
In addition to accounting for nearly 20% of all online sales in the US last year, Amazon is growing at an incredible rate of knots in key countries like China, France, Germany and the UK – in fact, nearly half of its revenue now comes from international sources.
So, what’s their secret? According to industry experts, there are a few factors that could be pushing Amazon ahead of Google. Diversity in its product line is definitely playing a part in Amazon’s success – while it originally made a name for itself selling media products, as of 2010 revenue from non-media products now makes up more than half of its total revenue.
Similarly, Amazon’s platform for third party sellers is also helping to drive sales. Although revenue from this sector is still relatively small at 9%, the marketplace accounts for 40% of all products shipped(!), with profits strong and growing every day.
The official word from Forrester Research? Amazon are triumphing over Google thanks to some “key strategic differentiators”, namely great customer experience, acquisition and retention, low prices and “its willingness to play legal hardball” – remember, when they went after Apple for fixing the price of e-books?!
So there you have it; one situation where Google isn’t actually leading the pack! Could this be the start of Google’s decline? Are we going to see Bing take Google’s search crown next? Probably not this year but who knows what the future holds…!