Amazon Prime is a quite popular service for Amazon customers to order goods easily and get them delivered in just one day after the booking.
Internetworld points out that Google conceded about 40 percent of revenue by dealers. Scot Wingo, working at e-commerce provider ChannelAdvisor, assumes that Amazon Prime records a growing client base, which cannibalizes the sales of Google.
Therefore, more and more customers save the visit to Google and search as well as order directly on Amazon instead. Amazon Prime promises for a one time annual fee of €29 in Germany or 79 dollars in the U.S. fast delivery with no minimum order value.
This service should be available for several online stores such as Macy’s, Gap or OfficeMax. So, Google won’t even sent the goods, but only wants to offer a consistent service to order products and deliver them via parcel delivery companies.
According to The Wall Street Journal, Google intends to build the delivery service around its existing Google Shopping service. If the customer finds the desired product, the fast-shipment will be available to order.
Referring to The Wall Street Journal, a pilot experiment will be launched in the region around San Francisco in 2012. The company did not comment on that information. Google and Amazon already compete in the business with music and videos on the internet.
We will see what’s gonna happen in the future(…)