Hacker News Reader

Comment by jmathai | Hacker News Reader

> Google is trying to help the brick-and-mortar companies compete with Amazon

I'm not sure that wording is accurate. Google is leveraging the brick-and-mortar companies to compete with Amazon and collect more data about its users. Arguably some of the most valuable data they could get; spending and buying habits.

I doubt Target is thrilled that Google is looking to inject themselves as a middleman between them and their customers. Target has historically leveraged customer buying habits pretty aggressively [1]. I'd be surprised if their execs aren't frantically trying to figure out how to keep Google from "helping" them compete with Amazon.

[1] http://www.forbes.com/sites/kashmirhill/2012/02/16/how-targe...

View on HN

It'll be pretty easy for target to prevent google from helping them, they can just decline to participate in the program. They are participants though, which should tell you something about how target actually feels about the program. And they don't lose any customer habit data, as customers still use their loyalty cards through Google Express.

Almost all of Google's profit right now is derived from B2B relationships. Providing services to other businesses is what they do. Yes, they make a good profit while they're doing it, but to suggest the business who are google's customers don't see any benefit from it is silly.

Valid point. I'm not sure what "participate" really means though. Do Google Express customers have to provide their loyalty cards? Does Target get all of the data they'd get if the customer shopped in store or through their own delivery service?

It would be silly to imply that Google's customers don't see any benefit as they're obviously getting some revenue and data.

But it would be similarly silly to imply that Target participating in the program doesn't mean they're concerned about it and not looking for ways to handle the customer's experience end to end.

>Do Google Express customers have to provide their loyalty cards?

No. I order stuff from Target via Google Shopping Express multiple times a week without a loyalty card. I didn't even know Target had loyalty cards, in fact! Also if you're logged into your account you go go here and see what loyalty cards you can type in: https://www.google.com/shopping/express/#SettingsPlace:

The list includes Costco, REI, Staples, etc. but not Target.

Target offers 5% discount on purchases if you use the RedCard Debit (linked to your bank account), credit, or Visa credit cards (no longer offered for new customers.) Essentially, they give you the fees charged by the payment brands and processors as a discount for using their card instead.

Target could compete effectively with the Google and Amazon offerings by adding delivery to their Cartwheel app.

Exactly. Google isn't trying to help anyone but themselves, that's business 101. Just like Instacart is helping themselves by leveraging Whole Food's inability to delivery groceries to customers.

Reply on news.ycombinator.com