Search engines are weakening Amazon’s hold on product search

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Where US Consumers start product searches

BI Intelligence

Amazon’s share of initial product searches dropped from 55% in 2016 to 49% in 2017, and search engines like Google appear to be responsible, according to a survey from Survata as cited by Bloomberg.

Search engines’ share went from 28% to 36% between 2016 and 2017, reversing the drop they saw between 2015, when they had 34%, and 2016.

The rise of mobile commerce (m-commerce) may be responsible for search engines’ turnaround.

Search engines are the most popular option for mobile shopping, with consumers favoring them over retailers’ websites and apps, which includes Amazon’s. M-commerce is estimated to have grown from 19% of US e-commerce sales in 2016 to 23% in 2017, so search engines’ mobile advantage may be helping it gain on Amazon in product search. Mobile shopping is projected to make up nearly half of all US e-commerce by 2021, so search engines would be wise to invest in their mobile shopping search experience going forward.

Winning back search is necessary when competing with Amazon because of its strong conversion rate. Amazon has a tremendous ability to convert searchers to purchasers, which blocks competitors from having an opportunity to steal them away. If search engines and retailers want to take back more control of search, they should note the reasons consumers gave for starting their searches on Amazon — navigation, product selection, prices, and shipping capabilities — and then look to improve in those areas.

Voice shopping and social commerce may be the next battlefields for e-commerce search.

  • BI Intelligence estimates that 31% of US adults will use voice to make a payment by 2022, up from 8% this year, opening up a new field for search. Amazon is already well established in the space, but Google is working with retailers in the hopes of overtaking it and claiming more of voice search for itself. And as the industry develops, there are sure to be even more players.
  • Social media is heavily influential on younger generations of shoppers, so many of them are likely to search for products there. Those trying to control product search will need to find ways to use social media to stay competitive in search, as Amazon is trying to do with its social platform Spark.

Americans go to buy products from Amazon before Google online (Business Insider)

Source: Americans go to buy products from Amazon before Google online: CHART – Business Insider

If you’re an American buying a product online, you’re probably going through Amazon.

Online marketplaces, a category that includes everything from eBay to Amazon, are the first stop for 38% of online shoppers in the US when they search for a product, according to a recent UPS survey charted for us by Statista. And Amazon itself is by far the most popular such destination, with 29% of the 5,000 shoppers surveyed heading to Amazon first.

That’s nearly twice as many as those who use search engines like Google, and equal to the total number of those who said they use specific retailers’ various channels.

The figure is yet another reminder of how much of a necessity Amazon, a  data-drivencompany, is becoming for companies who want their products to reach consumers.

That growing dependence creates a convenient all-in-one marketplace for consumers, but given Amazon’s ability to make and heavily promote its own versions of popular products, the ongoing shift toward online shopping, the ever-increasing number of Amazon Prime members, and Prime members’ tendency to only shop on Amazon, it’s also raised questions of how healthy the trend would be for consumers if it were to keep up in the coming years.


 Here’s How 5 Tech Giants Make Their Billions – Alphabet & Facebook: Advertising

Source: Chart: Here’s How 5 Tech Giants Make Their Billions

on May 12, 2017 at 1:03 pm

Chart: How 5 Tech Giants Make Their Billions

The Revenue Streams of the Five Largest Tech Companies

The Chart of the Week is a weekly Visual Capitalist feature on Fridays.

Last year, we published a chart showing that tech companies have displaced traditional blue chip companies like Exxon Mobil and Walmart as the most valuable companies in the world.

Here are the latest market valuations for those same five companies:

Rank Company Market Cap (Billions, as of May 11, 2017) Primary Revenue Driver
#1 Apple $804 Hardware
#2 Alphabet $651 Advertising
#3 Microsoft $536 Software
#4 Amazon $455 Online Retail
#5 Facebook $434 Advertising
TOTAL $2,880

Together, they are worth $2.9 trillion in market capitalization – and they combined in FY2016 for revenues of $555 billion with a $94 billion bottom line.


Despite all being at the top of the stock market food chain, the companies are at very different stages.

In 2016, Apple experienced its first annual revenue decline since 2001, but the company brought home a profit equal to that of all other four companies combined.

On the other hand, Amazon is becoming a revenue machine with very little margin, while Facebook generates 5x more profit despite far smaller top line numbers.

Company 2016 Revenue (Billions) 2016 Net Income (Billions) Margin
Apple $216 $46 21%
Alphabet $90 $19 21%
Microsoft $85 $17 20%
Amazon $136 $2 2%
Facebook $28 $10 36%


Each of these companies is pretty unique in how they generate revenue, though there is some overlap:

  • Facebook and Alphabet each make the vast majority of their revenues from advertising (97% and 88%, respectively)
  • Apple makes 63% of their revenue from the iPhone, and another 21% coming from the iPad and Mac lines
  • Amazon makes 90% from its “Product” and “Media” categories, and 9% from AWS
  • Microsoft is diverse: Office (28%), servers (22%), Xbox (11%), Windows (9%), ads (7%), Surface (5%), and other (18%)

Lastly, for fun, what if we added all these companies’ revenues together, and categorized them by source?

Category 2016 Revenue (Millions) % Total Description
Hardware $197,020 36% iPhone, iPad, Mac, Xbox, Surface
Online Retail $122,205 22% Amazon (Product and Media Categories)
Advertising $112,366 20% Google, Facebook, YouTube, Bing ads
Software $31,692 6% Office, Windows
Cloud/Server $31,396 6% AWS, Microsoft Server, Azure
Other $60,177 11% Consulting, other services (iTunes, Google Play), etc.
$554,856 100%

Note: this isn’t perfect. As an example, Amazon’s fast-growing advertising business gets lumped into their “Other” category.

Hardware, e-commerce, and and advertising make up 76% of all revenues.

Meanwhile, software isn’t the cash cow it used to be, but it does help serve as a means to an end for some companies. For example, Android doesn’t generate any revenue directly, but it does allow more users to buy apps in the Play Store and to search Google via their mobile devices. Likewise, Apple bundles in operating systems with each hardware purchase.

Top 10 – ‘Meaningful Brands’ – Belgique (Source: Havas – Infographie: Mediafin)


Meaningful Brands is a unique global study from Havas Group that links brand performance to our quality of life and wellbeing. This year, Meaningful Brands 2017 also reveals new data that tracks the relationship between a brand’s business performance, its meaningfulness and the content it produces.

The largest global study of its kind – spanning 33 countries, 300,000 people and 1500 brands – it is also the first study to analyse and measure content effectiveness at this scale.

Meaningful ?  Go beyond the product, exploring how brands tangibly improve peoples’ lives and the role they play in society !

More Meaningful News ?

Trips l’offre de voyages de Airbnb – Airbnb Trips | L’ADN

Après les hôtels, Airbnb s’attaque aux voyagistes en lançant une offre de voyages inspirée par une expérience globale.

Source: Trips l’offre de voyages de Airbnb – Airbnb Trips | L’ADN

Les signaux étaient là. Airbnb se diversifiait petit à petit organisait des circuits et des expériences qui laissaient présager une phase de beta-test avant de lancer une offensive plus globale. Cette fois-ci c’est officiel, la marque a annoncé la sortie de Trips « une plateforme communautaire conçue pour rendre le voyage à la fois facile et magique. Trips est lancé aujourd’hui avec trois offres clés – Expériences, Lieux et Logements. Les Vols et les Services seront ajoutés à l’avenir » précise le communiqué. Autrement dit, Airbnb se diversifie pour devenir un voyagiste complet intégrant toute la chaîne de valeur du voyage, du choix de la destination au retour d’expérience en passant par le vol et le logement.

Airbnb Trips présentation

Une nouvelle entrée dans le voyage

La grande originalité de Trips réside dans son approche par thème. Oubliez les « simples » vacances que vous choisirez avant tout pour la destination, le dernier né d’Airbnb mise sur l’expérience comme clé d’entrée pour une meilleure invitation au voyage : boxer à Detroit, apprendre à fabriquer un violon à Paris, vivre l’esprit du marathon au Kenya, atelier Samuraï au Japon, initiation aux voitures anciennes à Malibu, chasse aux truffes en Toscane… En proposant de vivre un centre d’intérêt avec les locaux, Airbnb vise juste pour les voyagistes en quête de sens, d’authenticité et d’expériences.

Airbnb va faire mal aux voyagistes

Renforcer le maillage local

Pour proposer le meilleur de l’offre locale à ses clients, Airbnb compte bien sur sa communauté d’utilisateurs pour recommander des lieux mais également sur les locaux. Pour cela la marque a constitué des Guides d’Experts composés d’experts culturels et d’initiés de quartiers qui proposeront leurs adresses. C’est ainsi que le chef montant vous recommandera le tout dernier restaurant tendance quand le barman mixologue vous confiera son bar local préféré. Car Airbnb a un véritable lien affectif avec les locaux mais surtout économique. Comme l’expliquait un récent article de Bloomberg, Airbnb générerait 4,5 milliards de dollars pour les restaurants locaux car les utilisateurs du service privilégierait les commerces de proximité lors de leur voyage.

Airbnb va faire mal aux voyagistes

Le logement : fondation du système

Ce développement n’aurait pas été possible sans une base travaillée depuis 2008 : celle du logement. Grâce à cet élément la marque a conçu un système de confiance qui lui a notamment permis de créer une communauté, de couvrir le monde et d’être au plus proche des locaux. Ce travail a permis à Airbnb de pouvoir proposer aujourd’hui plus de 3 millions de logements dans 191 pays, soit l’offre « la plus large et la plus diversifiée d’hébergements uniques pour les voyageurs » comme l’explique le communiqué.

Airbnb va faire mal aux voyagistes

Cette annonce semble bien faire écho à la dernière levée de fonds de 555 millions de dollars par la marque la valorisant ainsi à 30 milliards de dollars.

Si l’offre devrait faire trembler les voyagistes, elle devrait également tuer dans l’œuf des jeunes startups qui proposaient des verticales similaires (Trip Flint, Routes, Tours by Local…) sans la force de frappe globale travaillée depuis 2008 par Airbnb.