Prescriptions by Google, then? The company indeed lacks Amazon’s delivery capabilities but has a stranglehold on search and therefore on consumers’ connections to local businesses. It is not hard to imagine a world in which Google appears to keep its privacy promise by refusing to sell ads directly based on Fitbit user data but still capitalizes on the data by using it to connect Fitbit users with local health care service providers, pharmacists, and even gyms. That would just constitute one more way Google is edging out the digital middlemen that once closed the loop from Google search to a local service provider.
The putative benefits of competing in vertically oriented channels come at a greater cost than was the case when GMB provided a unitary platform for all industries. Simply put, Google is serving the specialized needs of price-conscious travelers or those who want greater assurances when hiring a service professional, and in so doing, the company is creating additional channels to generate revenue through ads. More and more businesses will have to get used to spending their way toward greater exposure to their desired audiences — which is only odd in light of the fact that so much of local marketing has historically been organic in nature.
David Mihm to Mike Blumenthal: As for our Halloween topic, a spooky good SEO, Scott Hendison, tweeted a link over the weekend that I found fascinating: https://crowdsource.google.com. Even for those of us who are used to these kinds of initiatives coming from Google, it’s the most brazen public effort we’ve seen to train their machine learning algorithm via user contributions across a whole range of data types.
Mike: It is certainly brazen. There is NO attempt to bury this as an activity within some other program like their Captcha. It’s a gamification of their ML plain and simple, and if I know Google, the reward will be either insignificant or worse: a discount on some “premium product” (i.e., an ad).
Almost a month has passed since Google officially killed its ‘average position’ metric. The metric was retired on September 30, and marketers using Google Ads have been encouraged to transition to using ‘prominence metrics’—made up of the search top impression rate and search absolute top impression rate—instead. Google’s announcement was designed to give brands the opportunity to update their strategies before the average position metric was axed to hopefully make the transition a seamless process.
To understand how that transition is actually working in the real world, and how brands are adapting to the change from one metric to another, we connected with Walker Sands Digital’s Ryan Sorrell. A digital marketing expert with experience deploying competitive content analysis for B2B clients, Sorrell shared his thoughts on how Google’s decision to axe the average position metric will impact brands going forward and which new opportunities are at play as Google shifts its sights toward automated bidding strategies.
This month, both Apple and Google released significant updates to their operating systems (OS) that will have a big impact on the way location data is shared and collected. It is just one of many ways the tech industry is trying to self-regulate and protect consumers’ information in the absence of federal-level privacy regulations.
These new location-sharing permission changes impact an app’s ability to gather the necessary data they need to build location-based app features, and while it’s too early to understand the significance of the impact, these changes give a clear indication of how the tech industry must evolve to be more transparent with consumers and provide clearer, opt-in consent through any data exchange.
Adapting and adjusting to these changes first and foremost require a high-level understanding of what specifically these updates include, and how they impact the interaction between an app and its users.
It will be key to see if the pace of Amazon’s overall and search ad revenue slows down in the next few years as it exhausts. For now, its ad success is just one more sign, like the news that it will likely sell its Go tech to retailers, that Amazon can find and dominate new businesses beyond its core identity as the Everything Store.
Ninety percent of consumers research restaurants online before dining—more than any other business type—and the vast majority of those web searches start on Google. The search giant plays an important role in the success of restaurant marketing online, making it a desirable partner for any digital platform serving the restaurant industry.
Partnering with Google often means increased search traffic and a strengthened position within the restaurant vertical, which helps to explain the enthusiasm coming from Olo’s recent announcement that it will be working with Google to allow its restaurant partners to receive orders directly from Google Search, Maps, and Google Assistant.
Blumenthal to Mihm: Obviously AI/ML vis-à-vis image recognition is going to play a huge role going forward in terms of discovery and conversion. But I would have to add that it is also critically important to Google as a way to engage the user in “immersive search” behaviors. That is, drawing the user deeper and deeper into Google so that they never feel the need or desire to go someplace else. This will further seal off the walled garden of local discovery search.
You can see this in the new search by photos feature where the user is led into a grid of visual business choices and ultimately served up the Local Finder via the View list link or, if they click on an image, a business profile. But to get to the phone number, the user had to totally commit to diving deeper into Google.
On this week’s Location-Based Marketing Association podcast: Skoda announces in-car voice assistant Laura, Philadelphia bans stores that don’t accept cash, Kochava teams with CubeIQ, GOAT let’s you try on exclusive sneakers in AR, Olo powering restaurant orders from Google search and maps, Amazon to roll-out hand recognition payment at Whole Foods.
Blumenthal: Google Maps is/has become the primary discovery tool in many categories. That is a significant shift of which agencies and owners need to be aware.
Mihm: Yep. I’m not sure I would even have had our ThriveHive data science team look for this data point specifically had you not tipped me off. But sure enough, across our dataset of nearly 20,000 GMB Profiles, we found that Maps impressions outweigh Search impressions by nearly 3:1 (72% to 28% over the last 18 months).
On this week’s Location-Based Marketing Association podcast: New York Yankees using Postmates, Uncle Ben’s goes Google Lens with Innit, Toy R’ Us back with Candytopia, Heineken teams with Grab in SE Asia, Walgreens delivers with Wing drones, Starbucks Japan let’s you pay with a pen.
The fact that this was an open practice that at least some consumers simply did not understand they were either opting into or automatically participating in points to calls for greater transparency and regulation. Google says it “fell short” of its “high standards” on the issue, but legislation like Europe’s GDPR, CCPA, and legislation in some 10 other US states indicates those standards may be imposed on tech companies by government agencies going forward.
Enter Phase Three. As my column’s title suggests, I would argue that the old concept of citation building has largely lost its relevance, and that thinking of the local network as a system of channels — parallel, somewhat independent sources of consumer traffic — is a more appropriate paradigm for where we are now.
In all, there are approximately 10 independent sites and site categories that together make up the primary channels where any business should be well represented in order to be competitive.
Mihm to Blumenthal: Our mutual friend and Local U speaker Cindy Krum has long highlighted Google’s ambition to become the “presentation layer of the internet.”
It’s been apparent for the last four years that they want to take that one step further and become the “transaction layer of the internet,” as we’ve discussed in this space before.
A little birdie told me that you’re seeing that ambition accelerate.
Google is in the news for the wrong reasons again. The search giant agreed to pay a 500 million euro fine (about $550 million) to settle a French fiscal fraud probe after investigators in the country accused it of dodging taxes, Reuters reported.
Google’s headquarters are in Dublin, Ireland, where it settles all sales contracts to avoid paying higher taxes in the rest of Europe. Alphabet isn’t the only company to take advantage of tax loopholes to avoid paying its fair share; Apple and Facebook also have large operations there.
As Google and Apple lead the way, we are getting closer to ubiquitous visual mapping. If that happens, there will be significant implications for entities that currently use search and mapping for marketing or online presence. They’ll need to make sure they are optimized in this new format.
This could lead to an extension of SEO to cultivate presence in visual experiences. Just like in search, correct business location and details will need to be optimized to show up in the right places. You don’t want the AR overlay for your restaurant floating above the salon next door.
Apple execs told the Times that the company’s apps show up so frequently in searches not because it tips the scales but because its apps are already very popular and are designed to please consumers. But that logic is in itself concerning: A company with nearly unparalleled power and insight into what consumers are looking for in terms of apps uses its understanding of consumer desire and vast resources to create apps that will defeat rivals (especially startups or young companies) in the App Store it owns. Even if there is no foul algorithmic play, the competitive advantage is clear. The question is whether it’s enough for antitrust action.
More than half of US state attorneys general are investigating Google for antitrust violations, the Washington Post reported. Officials anonymously told the Post that the probes are expected to be announced on Monday.
This marks a serious escalation in mostly recent government efforts to increase regulation of the giant tech firms that have become the most powerful private enterprises in the world, squashing competition in their home industries and disrupting adjacent ones. The Department of Justice and Federal Trade Commission are already looking into the potentially anticompetitive power of Google, Facebook, Amazon, and Apple.