Google draws closer to buy button

Google (NASDAQ:GOOG) plans to launch buy buttons on its search results pages sometime in the next few weeks, putting it in direct competition with online marketplaces such as Amazon (NASDAQ:AMZN) and eBay (NASDAQ:EBAY). The button will first display for users searching for products using a mobile device, according to those familiar with the launch.

Paid search results will feature the buttons, often under the "Shop on Google" heading, reported the Wall Street Journal. However, buy buttons will not be available for nonsponsored search results.

Once users click on a buy button, they will be taken to another Google product page to complete the transaction. That page will have product options such as size, colors and shipping. However, all products are being sold by retailers, not Google per se.

The buy button will not initially be available for those searching on desktop computers.

Some retailers fear the move will turn Google into a marketplace, weakening its relationship with shoppers. Sponsors will get paid by Google when shoppers click through to their websites.

The actual product pages on Google will be branded for the retailers, but Google will prompt shoppers to register payment information and keep the information for future purchases, without passing any of it on to merchants. Google will then defer customer payment to the retailers.

Google already began competing with Amazon and eBay when it jumpted into the online grocery store segment with Google Shopping Express, which is available for same-day delivery in Manhattan, Los Angeles and San Francisco.

For more:
-See this Wall Street Journal article

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