ecommerceprofit - 3:08 am on Apr 29, 2011 (gmt 0)
Good point - but you would think that if these companies did not get such a free ride in organic results that they would be forced to spend more money in advertising?
In fact, with a higher variety of web sites to share better search positions, these new stores soon would "taste" success. Like a drug, smaller companies would become addicted to the Google machine. Wow! the Internet is great - look at all of this free money (50K would seem like heaven) - they quit their job and/or expand their little empire and take lots of that money and reinvest it in Google ads.
Then their friends and family would see how successful they are and they give e-commerce a whirl too. The big companies like Amazon and Target may not be happy but would they stop advertising? I don't think so.
Not to mention...it's like China - I'm not being political but making a little point. The U.S. sends tons of money and jobs to China. Ok...so now China is huge - they build up their military, infrastructure while the U.S. declines...now take that thought to Google. Do I search Google for products? Not so much anymore - I go directly to Amazon. Even Target now - they are my competitors sure...but as a consumer this is how I search - Walmart - other big sites - Google is shooting itself in the foot.
Another example - Netscape used to promote all of the search engines back in 1994 and 1995 - big mistake - Yahoo paying Google to be their search engine - big mistake.