Google Launches Boutiques.com

November 17, 2010

Update: Here’s a post from the Google Retail Blog.

The NYTimes got the scoop on Boutiques.com, which just went live. This is a Like.com inspired site. Google purchased Like.com over the summer.

From the About us page:

Boutiques.com is a personalized shopping experience, brought to you by Google, that lets you find and discover fashion goods through a collection of boutiques curated by taste-makers — celebrities, stylists, designers, and fashion bloggers. Boutiques uses visual technology to help fashionistas discover and shop their look and creates the opportunity for designers to showcase their collections and latest inspirations online.

Boutiques.com is built on technology developed by our team of fashion experts who work with engineers to “teach” our computer systems to understand various patterns, pairings, and genre definitions. When signed into your account, Boutiques.com learns about your style and preferences and in turn, provides you better results and recommendations over time. Ultimately, Boutiques.com will provide shoppers with a much richer and interactive shopping experience and help drive traffic to retailers’ websites.

The NYTimes’ article was pretty in depth, so if you want a review, go there.

My comment:
-Shopping search for hard products that normalize/sku up is pretty standard and works OK. Shopping search for soft goods like clothing is more difficult, and the shopping engines have not really offered a compelling reason for consumers to shop for apparel and accessories on their sites. That’s where Like.com and its experimental sites Covet and Couturious came into play. Visual search can be a much more attractive way to browse soft goods.

Other shopping search sites like ShopStyle (mentioned in the NYTimes article) and Polyvore have gained a following among fashionistas. They’ve basically created a 21st century lookbook. And that’s where a company like Pixazza comes around and tags every picture out there so you can buy the look you want immediately. Why should you have to change your habit and search for the right ensemble when you can just buy the celebrity look you love? And the smart fashion retailers realize this. Go to Amazon’s Shopbop, and you can checkout a slew of Lookbooks and ‘Get the Look’ immediately.

-No word of how Boutiques.com might be integrated into Google Shopping.


NexTag Rebranding, PriceGrabber Redesign

November 16, 2010

NexTag completely re-brands (click to enlarge). It’s a much friendlier external face, similar to the changes the company has made internally:
nextag re-branding

Pricegrabber re-design (click to enlarge):
pricegrabber site redesign

Big changes. Nice to see these guys try something different after all these years. These changes follow the Smarter.com redesign from a couple months back. Interesting to see these changes so far into the holiday shopping season.


Shopzilla Now Retargeting

November 10, 2010

For years, NexTag has made display advertising work. But while they’ve spent millions on impressions, no other shopping engines seemed to seriously follow suit. There have been on again off again tests, but for the first time in a while, I’m now seeing a lot of display ads from Shopzilla. Coming off of a turnaround quarter, Shopzilla might now be willing to spend to drive traffic to its properties.

Here’s the ad I saw on YouTube:

And here’s the associated Criteo page which explains the re-targeted ad:

I’ve always wondered why NexTag was able to make display work while the other shopping engines barely ran tests. These guys are all arbitrage and monetization experts. Nice to see Shopzilla stepping up its game with some re-targeting.


CPC Rate Changes – Thank you Amazon & Become

November 10, 2010

Tis the season for shopping engine CPC rate increases. Five years ago, it was common to see all the shopping engines implement a 25% CPC rate increase across the board…because, well…fork lifts also see a lift in conversion during the holiday shopping season. Yeah, I didn’t buy it either.

The original party line was that conversion rate goes up 3x during the holidays and the shopping engines were adjusting CPC rates to get their fair share for driving qualified leads. If you pressed a little bit, the shopping engines would talk about CPC rates on Google AdWords going up; and if the CSEs’ traffic acquisition costs (TACs) were rising, then they’d have to pass that additional cost onto the merchants. OK, that made sense, but that also pointed out how dependent the shopping engines are on Google AdWords.

Fast forward a couple years (to 2007), and Shopping.com did something different. They didn’t do an across the board increase in CPC rates, but rather implemented a variable rate increase. At the time, Alisa Weiner and Tomer Shoval explained:

We’ve done some analysis looking at previous years, looking at deltas in different categories in rate cards from our search partners. As opposed to one size fits all, we’ve done the analysis to figure out what’s needed to cover our costs. And we’ve moved the [rate increase] from November 1 to November 15 to better reflect when that increase kicks in. What we’re trying to do this year is be more sensitive to reflect what we’ve seen in the past. In some categories the keywords [cpc rates] increase more, in some categories the keywords [cpc rates] increase less.

So you’d expect the other shopping engines to follow suit. Well, that didn’t exactly happen the last couple years. Of the big, tier 1 shopping engines, NexTag and PriceGrabber have stuck with their across the board CPC rate increases. Bad!

Shopping.com stuck with its guns and maintains its variable rate increase. And they got Shopzilla and Pronto to copy that model.

However, for the first time in the last 5 years, two major shopping engines have no CPC rate increases. Amazon Product Ads and Become are my PPC shopping engine heroes of this holiday shopping season with no CPC rate increases in any categories.

So if you’re not up and running with Become or Amazon Product Ads, what are you waiting for?


Amazon buys Diapers.com, What’s Google to Do?

November 8, 2010

Amazon bought Quidsi, Inc., the parent of Diapers.com, Soap.com, and BeautyBar.com for $545M. Last year Amazon bought Zappos for about $1B.

This acquisition and Amazon’s continued ecommerce dominance has the greatest impact on Google. While Google’s ecommerce ambitions are widely reported, Amazon just seems to be firing on all cylinders while Google’s main ecommerce offering, Google Product Search, still says it’s in Beta. Now, I’m poking a little fun at my friends in Mountain View as Google Product Search is the largest shopping engine and Google owns a keiretsu like offering of commerce opportunities for merchants through Product Ads (a Google AdWords product), Google Checkout, Google Affiliate Network, Google Local Shopping, Google Commerce Search, and more. In other words, Google is no commerce slouch.

But Google needs to stand up and take notice of this acquisition and Amazon’s fairly fast movements because if Amazon has everything a shopper needs, Google’s relevance for shoppers is greatly diminished. And if you believe that 40% of searches are commerce related (I don’t know where that number comes from, but everyone uses it so I’m going to use it as well), then Google needs to figure out how to make sure consumers don’t bypass the search engine.

It’s not going to happen, but Google should just buy Amazon. We’d finally get the Googazon we’ve been dreaming of for years.


Shopzilla Q3 2010 Earnings – Revenue Increased 7%

November 4, 2010

Only caught a piece of the conference call as I was preparing for a couple meetings (busy morning!), but revenue was up 7.2% to $41.8M while segment profit was up 11% to $7.1M.

Highlights include strong European results, Beso reaching 2M uniques, and TaDa launching.

Read the press release.


Milo Launches Android App

October 29, 2010

Congrats to Milo on the launch of their new Android app. It’s in Beta. They’re just getting going.

Will be great to see usage stats on Milo and Google Local Shopping this holiday shopping season.

After a pretty great experience with ShopSavvy, I think I have to go window shopping this weekend and try out a half dozen new and not so new mobile/local apps:
-Target
-Tecca
-Checkpoints
-Shopkick
-Google Shopper


Holidays Come Early – Amazon’s One Day Sales

October 29, 2010

Sears got into the holiday spirit months ago with Sears Layaway and Kmart Layaway.

Driving into Palo Alto this morning at 6am, I noticed the holiday lights wrapping the trees on University Avenue.

Since getting into retail, I’ve always thought of the holiday shopping season starting November 1st, the day after Halloween. But as everyone has been reporting, the holidays arrived early this year.

Now Amazon is getting into the game with ‘Countdown to Black Friday’ sales. Not sure how many categories are running this promotion, but the first I’ve been notified of is in the Electronics category. This splash page should work for everyone. Today’s inaugural deal is the Toshiba 55-Inch 1080p LED HDTV with Net TV for $1199.99, a 50% markdown.

From Amazon:

We’re counting down the weeks until Black Friday with spectacular deals every Friday, starting October 29 and running weekly through November 19. Check back every Friday to find fantastic prices on select electronics, video games, and more. And all of these hot deals relate to a theme, including the Deal of the Day and Lightning Deals. Bookmark this page and come back each week to see how you’ll save on items that help you “Connect,” “Play,” “Watch,” and “Listen.” All deals are good while supplies last, so don’t delay!


Google Promoting Product Ads in Google Merchant Center

October 15, 2010

If you click on the Product link in your Google Merchant Center (GMC) account, you’ll now see a column for Product Ads.

Clicking on the ? next to Product Ads brings you to a basic page that discusses the various destinations for Product Listings. Here’s the Product Ads page which discusses the various attributes you can include in your data feed to control your Product Ads:

Grouping parameters
-adwords_grouping
-adwords_labels

Tracking parameters:
adwords_redirect
adwords_queryparam

As the holiday shopping season approaches and retailers are looking for any and every way to increase sales, expect more merchants to adopt product ads. Also expect some confusion as there have been a number of changes to the Product Ads specification over the last year. Get started testing right now.

Most important thing to note for merchants, though, is that you need to start with a high quality data feed. Go beyond the basics.


Morning Roundup – October 15, 2010 – MyPerfect Sale Acquited, eBay, Cataloger & Personalization, NexTag on Google, New Bazaarvoice CMO, Shopping Engines Hiring Mobile Experts, Google & Mobile

October 15, 2010

-eBay adds marketplace listings to recently acquired bar code scanning app. From Internet Retailer, “EBay today added product listings from the eBay marketplace as well as its Half.com marketplace—which sells books, textbooks, music, movies, video games, and video game consoles—to the app and also added two-dimensional bar code scanning capabilities.”

-Cataloger provides personalized offer. Yesterday I received a catalog from Chadwicks (a Boston Apparel Group company), with a personalized offer. OK, I’m not going to go into why I get a Chadwicks catalog, but it’s pretty easy to guess. Anyways, the cover said “Wait, don’t say good-bye just yet…I’ve noticed you haven’t been shopping with Chadwicks for a while, and I want to let you know that we miss you!” The copy went on to point out lots of positive things about Chadwicks and then notified me that it might be the last catalog I receive. It ended with a ‘Bonus Coupon!’ for a Free Item with any purchase. Just think this is a smart move. I know that everyone personalizes these days, but I’d never seen a notice like this before.

-Search NexTag within Google Search. I just find this strange. Why would Google put a NexTag search box on the SERP?
nextag google

-BazaarVoice picks up another Dell exec to run marketing. As most of you know, Sam Decker, CMO of Bazaarvoice will be moving on soon. If you don’t know Sam, you should. He’s a great guy.

But it looks like another Dell exec, current CMO, Erin Nelson, will pick up where Sam leaves off. Forbes covers the story with the following questions:

Can you elaborate a bit more on Bazaarvoice and its potential?

Bazaarvoice has experienced tremendous growth in an exploding space. Social (media and commerce) for us now is like the Internet was 10 years ago. Bazaarvoice brings the power of ratings, reviews and brand stories to companies. It works with 950 brands, including Procter & Gamble, Best Buy and Sephora. Dell has been a customer for four-and-a-half years. They manage our ratings and review platform. We have been committed to this and found it very effective. We have products on site that customers provide feedback on. It has changed the way we do product development. It has gotten us closer to what customers really need. There are a lot of people happy with what they do. They are so close to the commerce transaction that it’s easy to demonstrate ROI.

The plan is for Bazaarvoice to go public, right?

It’s something (Bazaarvoice Founder and CEO) Brett Hurt and the executive team would like to see happen in the next couple of years.

How did this opportunity for you come about?

The world is really small. My [sons] are 7 and 10. [My husband and I] wanted to figure out where were we were going to be for the next 12 years. I’m CMO of Dell. It’s the job I aspired to have. I don’t know that I would find another 12 years of as much growth and change at Dell as I would at a small and growing company.

Brett [the CEO of Bazaarvoice] and I ended up having dinner together in the middle of August and just had a chat about what was important to him and what was important to me. It felt like this serendipitous match. I spent a couple of days with his executive team we quickly realized it was a good match for both of us.

-Shopping Engines looking for help with Mobile.
NexTag is looking for a Mobile Product Manager.
TheFind is looking for a Iphone / Ipad Developer, Android Developer.
Google is looking for a Product Marketing Manager, Google Commerce (initiatives can range from Google Product Search to mobile initiatives, such as Google Shopper for Android).

-Google on Mobile. If you didn’t hear, Google had a great quarter. In the earnings call (courtesy of Seeking Alpha), there was a quick Q&A on mobile as it relates to retailers:

Jason Maynard – Wells Fargo
Okay. And then just maybe a follow-up for Nikesh. When you think about mobile advertising, maybe just sort of help me frame, where do you think advertisers are at in their lifecycle of actually committing dollars to spend in this medium and form factor?

Nikesh Arora
I think the important part to understand on the mobile space is that the reason the billion dollar number is an interesting number is that just means that now the larger advertisers can get more interested, because we can help them spend reasonable amounts of money. It’s very hard to go and make a pitch to a large advertiser when the maximum inventory that you can offer them is in the five to 10 or $50,000 range, especially with advertisers who got $100 million or $200 million advertising budgets. So, to get them interested – if they get interested, they would like to be able to deploy reasonable amounts of money against this market.

So, the part I am excited about is that the inventory continues to grow. There is diversity in formats. People are interested in search-based advertising. People are interested in display-based advertising. They want to be in the middle of applications and get customer engagement. So we are seeing sort of reasonable broad-based interest. Clearly, the early adopters are people who can actually consummate a transaction. So, insurance services want a click-to-call, they want to be able to pitch, they want the customer to be able to pick up the phone and call them. There are now people who are in the local space, who want the customer to come to their restaurant. They want the customer to come show up, where they are offering a local service. So, that interest is going up.

Now the retailers who actually are interested when you are looking for a local J. C. Penney or RadioShack that, if we can tell you where it is and they can actually click and find out where it is. So, the interest continues to grow as you look at the local categories, as you look at the click-to-call categories. And as Jonathan said, as payment capabilities start getting bills into the phone, you will start seeing even more of an interest from the e-commerce players.

-MyPerfectSale acquired by Sugar Inc. From the release (via PaidContent), “Sugar Inc.’s acquisition will accelerate the growth of MyPerfectSale in the U.S. and enable it to expand into international markets where Sugar Inc. currently operates, including the UK, Japan, France, Germany and Australia. MyPerfectSale will be maintained as a separate brand while becoming a part of Sugar Inc.’s ShopStyle network of shopping sites. MyPerfectSale’s eight employees will join the growing Sugar Inc. team.”


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