Now Zero Commissions apply on Sales through Google Shopping Actions US

Now Zero Commissions apply on Sales through Google Shopping Actions US

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In a series of freebies, here is another big announcement from Google. Another paid method of getting your products on Google Shopping: The famous “Buy on Google” Program is now free. Google has announced a long list of exciting changes they are planning to make in the Google Shopping Actions US program benefiting merchants big time. But the major highlight is that Google will allow merchants to Sell “Buy on Google” Products for free through Google Shopping Actions US.

Zero Commission for sales through Shopping Actions US Program

Google has now made it so that sellers who are already selling through Google Shopping Actions or the new sellers will be invited to No Commission Shopping Actions program in the coming days. Which means Zero Commissions apply on Sales through Google Shopping Actions US for merchants.

The changes will be rolling out subsequently. Meanwhile, sellers will be paying commissions as they are till July 30, 2020. After July 30, 2020, for the sellers who still haven’t received the invite will be eligible for a commission rate of 5% or less.

The new sellers who will receive their invitation to onboard Google Shopping Actions US will be a part of this 0% commission model from the start. The existing sellers, on the other hand, will be invited to this model via mail.

Requirements and Eligibility Criteria for the Zero Commission on Google Shopping ActionsUS Program

In order to be eligible for the zero commission plan, sellers must have the following capabilities:

1. Handling Payments

Google now allows you to integrate a payment service provider with the Merchant Center account. Currently, you can choose PayPal as it is available for integration currently. You are required to either link accounts from the “Link Accounts” section of the Merchant Center or from the payments platform itself. Country of the PayPal Accounts and legal business entity should be the same as what appears on Merchant Center Account. After linking of the Merchant Center Account and PayPal Account, the PayPal Account will reflect the transactions. Whereas, the existing settlements from Merchant Center Account will reflect the transactions that occur with PayPal Account.

2. Handle Customer Support Directly

Unlike many marketplaces, Google now gives merchants the unique opportunity of directly handling Customers support to resolve issues and queries. Only when a customer feels unsatisfied with the merchant’s response, they will be able to file “Google Guarantee” Claim to seek Google’s Support in an issue. This also prompts merchants to take the appropriate action in case the Customer Service Contact Information is unavailable or not correct. This will be the email contact that Google will use to forward the customer’s query to merchants.

3. Select a Method for Generating Return Labels

So far Google has been handling the generation of Return Labels at a charge of $5.50/ Label. But according to the recent updates, Google is making so that Merchants will handle return labels on their own accord and they will be charged by the Carrier service they choose. The available options include:

  1. Google-facilitated Returns where Google automatically generates the labels and all you need to do is link the supported shipping carriers for returns. The carrier will charge you when the return is required.
  2. Merchant-managed returns where you don’t want to share the carrier’s information then you are required to undertake the process of returns. Once you receive a request from a customer for return, you will see it in the Google Merchant Center Account. Then you can share the Return Label through the Merchant Center or Google’s API.

You also have the possibility to mark specific products as “Special Processing Returns” to create separate return rules.

Series of Free Listings from Google: Short Recap

A few months ago, Google introduced Free listings on Google Shopping Tab which were chosen organically by Google without much action required from the merchant. Later, the listings expanded to main Google Search page. Also, the entire program was embellished with Local Surfaces Across Google program that highly promoted the local SMBs across nations. This was a piece of massive news in itself, wherein merchants were not required to pay commissions to Google for clicks made on the listings the way it happens with Sponsored Listings. The customer was redirected to the merchant’s online store where they made the transaction. The other model of listings that appeared on the Google Shopping Tab was “Buy on Google” products characterized by a tiny colourful cart with a plus sign designed on the top right corner of the listing. These were powered by the Google Shopping Actions Program. The speciality of these products was that a customer could add it to the “Universal Cart” and buy it right there from Google, without leaving the site. For these sales, merchants were required to pay commission and manage seller performance which at the end affected the rate of commissions which has all changed now.

Other Updates

To make sure that businesses of all Volumes, especially the SMBs Google has been actively bringing some of the amazingly helpful updates in the past few months. Opening up more and more opportunities and endpoints at the lowest possible costs is what Google is aiming to achieve for the benefit of small and local businesses. Irrespective of where the transaction occurs, the prime focus of Google is to bring a rich range of product options to the customers while bringing the best spot for merchants to meet customers. Major highlights included in this most recent update include:

More options to bring Third-Party Service Support

Google has obtained partnerships with several eCommerce Facilitators such as PayPal, Shopify, etc., to make the transition easy for the merchants. New Sellers can now continue with the tools they were using previously, making the entire process easier such as PayPal or Shopify Payment services. Google is planning to increase these options even further in the coming days.

Easy and Fast Feed Synchronization

Merchants can import their feeds much faster and easier than ever before as Google has now enabled most “Common-used” product feed formats. What this means essentially is that sellers can synchronize their feeds to Merchant Center and start selling on Google directly within a few clicks, without even reframing the Feed format. Merchants can also add a few information such as Image or Technical Specifications by drawing them out of Google’s Database and Technical Specifications without having to upload it again.

Amazon Feed Synchronization made easy

Google has finally made it possible to upload product feeds on Merchant Center in the format used while uploading Feed on Amazon. The feeds once uploaded will be mapped automatically without much action required manually. This feed will be available to use only if:

  1. The feeds have full product data and you just want to create or update existing products.
  2. You don’t have the full product information and wish to match the products to Google’s catalogue or update your inventory.
  3. You have data for price and quantity updates for already uploaded products.

Income Tax

The support payment service provider of your choice will also handle the Income Tax, TIN verification, 1099 reporting, Withholdings, etc. Thus, there is no need to maintain this information on Merchant Center Account once you migrate to Zero Commission model.

Small Business Support Filter

Google has also introduced a “Small Business” Filter selection which will remove all the listings except the ones from the registered Small Businesses. The attempt is to help the customers who desire to help and support the Small Businesses during the tough times of the pandemic.

Conclusion

Google has made the Google Shopping Actions free as well which means, on a sale of “Buy on Google” product, Google will no longer charge a commission from the merchants. Everything is too new to be concluded yet. Things will continue to roll for weeks and months to come and merchants are recommended to be on the vigilant watch out for more exciting changes form Google in the days following this update. Also, wait for the mail containing your invite for the Zero Commission model if you are an existing seller on Shopping Actions.

Free Listing Resources:

Shopping Actions vs Google Shopping vs Shopping Ads: Which is better?

Free Listing expands from Google Shopping to Google Search

Free Google Shopping Feed Updates: Shop Sales by Store

Google will now allow any business to list products free on Google Shopping

Free Listing on Google Shopping Updates: Local Surfaces Across Google

What is New with Google Shopping as Free Listing Rolls out?

If you have more to add or got questions, make sure you drop a comment and we will get back to you as soon as possible.

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