Google to help Carrefour expand online
Alphabet’s (GOOGL) Google has struck a partnership deal to help French food retailer Carrefour boost its sales online. The partnership means that French consumers are expected to shop from Carrefour through Google platforms starting in 2019.
Through its Google Express online mall and other online shopping services, Google is already empowering traditional American retailers such as Walmart (WMT) and Target (TGT) to keep pace with their digital rivals such as Amazon and eBay (EBAY). Walmart and Target reported double-digit increases in their online sales in the first quarter.
Opportunity to sell more Home speakers in Europe
The partnership with Carrefour could unlock more growth opportunities for Google in Europe. In addition to Google potentially pulling more traffic to its sites through its partnership with Carrefour, the partnership with the retailer could also increase the demand for Google’s Home smart speaker in France and Europe in general.
The Home smart speaker is one of the interfaces through which French shoppers would be able to order products from Carrefour. As a result, Home could appeal to more French consumers, allowing Google to sell more Home speakers in the country. Google and Amazon are direct competitors in the smart speaker market.
Google wins cloud customer
In addition to using Google platforms to extend its online reach, Carrefour is also adopting Google’s cloud services. Carrefour is expected to adopt Google’s cloud-based G Suite productivity tools for its 160,000 employees. Alphabet reported a 26.0% increase in revenues to $31.2 billion in the first quarter.