Hannah White
Aug 24, 2017 · 1 min read

I think it could be more than just a checkbox partnership. Google and Walmart realized that Amazon had surpassed them in two different markets, voice assistants and e-commerce respectively. Amazon holds over 70% of both of those markets. What Amazon doesn’t have is seamless integration into tools everyday users already have (like the Android phones which now have Google Assistant) or a foothold in the grocery industry (where Walmart runs 14% of the market).

On top of that, 95% of Americans shopped at a Walmart this past year, while only 45% of American shopped on Amazon. Walmart also has affordability on it’s side, with Google Express getting rid of its yearly fee compared to Amazon Prime’s $10.99/month fee for its subscription service. There have been rumors that Walmart will offer in-store pickup for a discounted price through Google Express as well. Walmart even bought companies with millennial customer bases earlier this year and could see a rise in millennial consumers because of that.

The fact that the partnership isn’t a pure vertical integration is a weakness for sure, but also may be a bonus in the long run. There are many companies that don’t sell on Amazon that Google can target for the Google Express market place. If Google and Walmart play their cards correctly and recognize the potential of this partnership, I think we’ll definitely see an effect in the voice assistant and e-commerce markets. I’m not making any bets on which one will be successful, but I do think the market just became a lot more competitive.

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Hannah White

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VP Design & Product Experience@ Leverege and Managing Editor @ IoT For All| Coffee, design, data, repeat.