Marketing 2 min read

Google Plans to Turn YouTube into a Shopping Destination

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YouTube already functions as a form of a shopping destination.

According to Google, over 55 percent of shoppers say they use online videos while shopping in-store. What’s more, 50 percent of shoppers say online videos helped them decide the specific brand or product to buy.

Consumers looking to buy a product could log into YouTube to watch the review. After deciding to purchase the product, they then have to leave the video streaming platform to place the order on another site.

Not only is the process tedious for consumers, but it’s also taking people off YouTube.

Google doesn’t want that.

Using YouTube as a Shopping Destination

A Bloomberg report suggests that Google intends to turn its video streaming platform into a shopping destination.

In other words, consumers will be able to buy products that they see in videos without leaving YouTube. Besides, the company is testing a new integration with Shopify to sell products through the video platform.

Expectedly, the move could transform YouTube from an advertising giant to a new contender for eCommerce leaders. It would be competing with industry leaders such as Amazon and Alibaba for the top spot.

In a statement to Bloomberg, president of eCommerce startup Basket, Andy Ellwood said:

“YouTube is one of the least utilized assets. If they decided they want to invest in it, it’s a huge opportunity for them.”

There’s more!

Creating a Vast Catalog of Items for Shoppers on YouTube

According to Bloomberg, Google’s primary goal is to turn YouTube’s video library into a product catalog. That way, viewers can click on items they see and buy them directly.

To achieve this goal, the tech giant is reportedly testing product tagging features with a limited number of channels. A Google spokesperson also noted that creators would control what products they tag in their video.

Since the project is still an experiment, the details are still a bit hazy. For example, it’s unclear how Google will make money from the venture.

However, experts speculate that the search giant could take a percentage off each transaction. Moreover, the consumer data that Google is likely to collect is also useful for advertising purposes.

With that said, Google hasn’t made a formal announcement yet. With any luck, the feature would roll out in time for holiday shopping.

Read More: YouTube Reverts to Human Moderation Due to Over-Censorship

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Sumbo Bello

Sumbo Bello is a creative writer who enjoys creating data-driven content for news sites. In his spare time, he plays basketball and listens to Coldplay.

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