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Caroline O'Donovan reports at Buzzfeed that Google plans to announce a new product aimed at connecting Google search users with local home-service providers — like plumbers and electricians.
Currently, Google searches for things like plumbers and electricians return links to service providers along with associated AdWord advertisements. Sources said the new product would go beyond this presentation format to actually connect search users with service providers.
Google isn't the only tech company looking to tap into the huge and rapidly expanding home services industry. Amazon just launched its new Home Services site, which allows Amazon shoppers to search, select, and pay for things like landscapers and car mechanics without ever leaving the site.
Amazon is offering more than 700 services that include just about anything that might require a professional to come to your door. Tasks are searchable on Amazon, just like any other product, and there are no estimates — offers will be priced by the professional before the job takes place. Amazon says it vets all the professionals for the invite-only program before inclusion. "It's a pretty natural extension of our business to move into the service space," says Peter Faricy, vice president of Amazon Marketplace. "In talking to customers, they don't feel like anyone serves their needs end to end. You can pay a subscription to get reviews, but why not just do that on Amazon for free?"
(Score: 2) by kaszz on Monday April 13 2015, @08:28PM
The problem is that this scheme creates an elephant in the market place that will squash independent companies that perhaps does a better job. Or perhaps DARES to install smarthome equipment that isn't tied to a phone-home-marketing.
(Score: 2) by Leebert on Tuesday April 14 2015, @01:00AM
Eh, this isn't the Wal-Mart model of killing mom-and-pop stores (which is somewhat overblown to begin with), or some government-protected monopoly like Comcast/Verizon. I don't see any scenario in the forseeable future whree Amazon and Google are some existential threat to the hundreds of thousands of small business doing home services. Lots of the marketing there is inherent in day-to-day social circles (that guy at church that does HVAC, your co-worker's husband who installs window replacements...); those social circles are still going to be the go-to provider for many people. I personally see this more as a threat to folks like Home Depot and Angie's List. It's where that social network fails and people aren't comfortable or interested in doing their own direct research.
Take the article's example of landscapers. Heck, there's a whole under-the-table industry of landscaping that goes on that has neither killed the legitimate service providers nor is threatened by the legitimate service providers.
You're certainly right that, in some cases there is a risk of shenanigans like dumping lost cost installs on the market for long-term service contracts. But again, where that's a risk, it's already happening. Check out the home security alarm industry for an example...