Google is dropping its commission fees for retailers selling their products using the Buy on Google platform.
The company announced the decision late last week, while also revealing that it would be adding integration for third-party services like Shopify and PayPal to make using the platform easier than ever.
For now, the commission-free program is starting with a pilot test which will be expanded to all U.S. retailers by early 2021.
Why It Matters
When paired with Google’s recent decision to include free product listings in search results, it is clear that the search engine is hoping to make it convenient and easy for businesses to transition to online sales.
The decision also gives Google a leg up on many other online sales services, such as Amazon. The massive name in online shopping typically charges retailers between 8% to 15% in fees per item sold.
With the ongoing wave of COVID-19 infections occurring across America, the removal of fees could open the door to an alternate revenue stream for many small businesses that are struggling at the moment.
Focus on Small Businesses
Speaking of small businesses, Google will also be adding a filter to the Google Shopping tab which will allow shoppers to specifically buy from SMBs.
“While we still have much work ahead of us, our goal is to make digital commerce more accessible for retailers of all sizes all around the world, giving consumers more choice and more ways to find the best products, stores, and prices,” Bill Ready, Google’s president of commerce, said in the announcement.
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