In a story put out last month by Media Post’s Laurie Sullivan surrounding Google’s recent addition of Shopping Ads to aggregate local search results with maps and other pertinent store information optimized for mobile including a new Ad format to indicate if items are in stock and near by. It is said that Google may be doing this to increase store traffic and slightly curb the over saturation of promotional offers by retailers.
Key excerpt:
In 2016, retailers have relied heavily on discounts and promotions, continuing the cycle of the poorly performing discounting strategies implemented over the holidays.
Retailers sold less merchandise at full price in first-quarter 2016 vs. 2015, according to the DynamicAction Retail Index: Spring 2016. The analysis released Monday at Shoptalk of more than $5 billion in consumer transactions found full-price sales down 4% in first-quarter 2016, compared with the prior quarter, and orders using a promotion rose 63%. March 2016 saw an 86% increase in orders with promotions.
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