Google Shopping announces commission free sales to take on e-commerce giant Amazon

Tech and search engine giant Google anunced on Thursday that it would bring about a significant change in its e-commerce platform Google Shopping. company made anuncement in a blog post that it will stop charging commissions on its 'Buy on Google' checkout, which means sellers wouldn't require to pay commissions to Google. 

It would also allow retailers to use third-party platforms like Shopify and Paypal to get on ‘Buy on Google’ platform. 

However, initiative is said to be launching only in United States as of w, but company said it is looking forward to bringing it to international markets later this year and in 2021.

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“Soon, sellers who participate in our Buy on Google checkout experience will longer have to pay us a commission fee," company wrote in a blog post last night. 

However, Google is relatively new in e-commerce business and hence, move to discontinue charging commission is intended to attract more sellers on its e-commerce portal in a bid to build-up shopping platform and make it competitive against global e-commerce giant Amazon which charges a commission to sellers on portal. With this move, cost of products will is also likely to come down as sellers will t be required to pay commission to Google for its service.

“By removing our commission fees, we’re lowering cost of doing business and making it even easier for retailers of all sizes to sell directly on Google, starting with a pilot that we’ll expand to all eligible sellers in US over coming months," blog post read.

Amid pandemic, more people have resorted to buying online and reports show that e-commerce market is expected to surpass 45 percent market in terms of cover, in countries like India, giving opportunity to e-commerce portals to expand ir presence.

Even social media giant Facebook had launched its marketplace initiative and shops platform, wherein anyone can list products or services for sale and gain access to a local audience.

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