E-commerce trends (by Google, who else)

It is amazing to see how much data Google actually holds and what they could do with it. You don’t always realise it, but it only hits you when they launch a new tool. Their new e-commerce trends tool is called Google Checkout Trends. The tool is similar to Google Web Search Trends, except that the Checkout Trends tool only aggregates useful sales data from Google Checkout merchants and charts the data on an easy to use, easy to read interface for the user to see. Basically, it shows users important trend data about who is buying and selling what from Checkout.

The tool only works for products that have enough volume to show graphs. So, it works well for popular products, like the Nintendo Wii, Playstation and Xbox. See it here!

Buy online, Payoffline.com

With 18% of internet users still thinking it’s too risky to shop on the web (source: GetSafeOnline), it’s clear that there is a big opportunity out there for etailers that can persuade these wily refuseniks that e-commerce is safe. One thing that might help them is PayOffline – a system launched in August 2007 that enables consumers to shop online but pay for their goods at one of 17,000 physical locations around the UK.

To see how it works, just click on the thumbnail below.

Payoffline charges between 1.25% and 3%, depending on the volume of business, so it is quite expensive. Not even as competitive as credit cards, but this is also due to the fact that there is a handling charge involved for cash. Payoffline hopes to decrease its commission once the economies of scale kick in.

One of their biggest merchants is Flattelly. It implemented PayOffline at the end of October and says 5% of its turnover is coming through the service. Still, a lot of merchants are hesitant of implementing yet another payment method; all of the big players liked the idea and saw the potential but said, “Come back in six months when there’s proof that there is a market out there”.

I quite like the idea, especially if you look into the future and towards other channels, like mobile shopping. Payoffline uses a standard format barcode to identify each customer’s transaction. Customers currently need to print these out. But, they could also send a text message to a mobile phone, and the customer can then access that barcode via a .mobi website. It can then be scanned at the outlet.

Also think of all some other sorts of applications they could offer – ticketing for concerts, for example, or charitable giving. At least I am curious how this new payment method will evolve. I wish them all the best.

Microsoft to acquire Shopzilla?

It is becoming more likely that E.W. Scripps, (NYSE: SSP) will sell Shopzilla. More and more rumors tend to support this, although this is not the case according to CEO Ken Lowe… But if you read between the lines:

“Shopzilla is a top online comparison shopping service in the US… [but] I wish I could say it’s been all smooth sailing.” Competition has been fierce, slowing growth and crimping margins. Outwardly, the company is still optimistic about the business.”

Scripps paid $525 million for Shopzilla in June 2005, and if they can get anything close to that, their bankers will have earned their fees. The acquisition has been a bust: Shopzilla makes up half of Scripps’ interactive group, which has managed to see revenues and profits decrease in a booming online market. Not very promising!

According to sources within Microsoft, MSN wants to buy Shopzilla. Microsoft just acquired Jellyfish, so they could plan to merge Jellyfish with the large(r) user base of Shopzilla. This could help Microsoft to compete with Yahoo Shopping and Google Products. Well, let’s see what happens!

Important role for Germany

According to eMarketer Britain may lead Europe in Internet penetration, online advertising spending and e-commerce revenues, but Germany has the largest online population. At the center of the continent, Germany—with its technical expertise—will play a critical role in Europe’s online future.

While consumers and advertisers in Britain were generally quick to explore the benefits and potential of the online channel, many Germans, and German businesses, took time to go online. One reason is that, socially and commercially, Germany is quite conservative. Practicality is a virtue, and established leaders in many industrial sectors are not inclined to pursue innovations in advertising and marketing until they are proven to bring results. But now the tipping point has arrived. In 2007, eMarketer projects that German online ad spending will reach €2.4 billion ($3.29 billion), and growth will continue at double-digit rates, taking online spending to €3.5 billion ($4.48 billion) in 2010.