National Post

Google aims to connect online ads to physical stores

- Michael Liedtke

• Google already monitors your online shopping — but now it’s also keeping an eye on what you’re buying in physical stores to try to sell more digital advertisin­g.

Google’s computers will be trying to connect the dots between what people look at after clicking on an online ad and what they purchase with their credit and debit cards at one of the advertiser’s brick-and-mortar stores.

For instance, if someone searching for a pair of running shoes online clicked on an ad from a sporting goods store but didn’t buy anything, an advertiser might initially conclude that the ad was a waste of money. With the new tool, Google says it will now be able to tell if the same person bought the shoes a few days later at a physical store.

Google says it has access to roughly 70 per cent of U. S. credit and debit card transactio­ns through partnershi­ps with other com- panies that track that data. By scanning this data, Google says it can automatica­lly i-nform merchants when their digital ads translate into sales at a brick- andmortar store.

If the program works, it could help persuade merchants to boost their digital marketing budgets. But it could also deepen worries among privacy watchdogs, who are already concerned about the digital dossiers Google has compiled on users of its search engine and other services, including Gmail, YouTube and Android.

The Mountain View, California, company already runs the world’s biggest online ad network, one that raked in US$ 79 billion in revenue last year. That puts it in the best position to capture any additional marketing dollars spent on computers and mobile devices.

Google unveiled the store-sales measuremen­t t ool Tuesday in San Francisco at an annual conference it hosts for its advertiser­s.

This meeting is an opportunit­y not only for Google to flaunt its new tools, but to work on regaining ground with advertiser­s who have recently boycotted YouTube.

Major advertiser­s began pulling back two months ago over concerns that Google hadn’t prevented major brand advertisin­g from appearing alongside extremist video clips promoting hate and violence.

Google is also introducin­g new ways to help merchants drive more traffic to their physical stores, such as by displaying locations of nearby stores when watching ads on YouTube, something Google already does for non-video ads. Other tools are aimed at giving merchants a better understand­ing on how digital ads appearing across a variety of devices are affecting their sales.

Most of these new analytics draw upon Google’s inroads in “machine learning” — a way of “training” computers to behave more like humans — to interpret the data.

Google gives i ts users the option to limit the company’s tracking and control what types of ads they are shown — although in practice, relatively few users tweak such settings.

GOOGLE SAYS IT HAS ACCESS TO ROUGHLY 70 PER CENT OF U. S. CREDIT AND DEBIT CARD TRANSACTIO­NS

 ?? MATT ROURKE / THE ASSOCIATED PRESS ?? Google attempts to integrate what customers look at after clicking on an online ad and what they actually buy at a brick-and-mortar location.
MATT ROURKE / THE ASSOCIATED PRESS Google attempts to integrate what customers look at after clicking on an online ad and what they actually buy at a brick-and-mortar location.

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