
Google launched Google
Catalogs Tuesday to support consumers on tablet devices. The free app enables consumers to browse favorite catalogs and interact with new layers of rich-media content for brands such as Anthropologie,
Crate & Barrel, Neiman Marcus and Williams-Sonoma.
The app, only available for Apple's iPad in the iTunes App Store, enables online purchases and quick searches through interactive clicks
that allow consumers to find more information on specific products.
The rollout of Google Catalogs comes one day after Google announced its intention to acquire Motorola Mobility, begging
the question of how Web-based innovations will rock the world of tablets for advertisers in the coming year.
On Monday, Google agreed to acquire Motorola Mobility for $12.5 billion -- giving the
company access to intellectual property, smartphones, tablets and TV set-top boxes. The deal should help it become a more formidable mobile competitor to Apple.
Google's business model, built on
generating revenue from advertising, could become more closely aligned with Apple as it takes on monitoring the building of hardware devices.
Apple's business model relies on the proliferation
of hardware to sell digital content and lock in consumers to services. Google's latest strategy could prove similar, only based on open-source technology, rather than Apple's proprietary iOS.
Jason Cieslak, managing director of Siegel+Gale, points out that Google's deep pockets will try to convince advertisers that it broadens the platform. Most products for the Motorola line will become
cloud-based services, giving advertisers an entire line of different devices to reach consumers. (More on this in MediaPost's Search Marketing Daily on Wednesday.)
Google's innovation
through acquisition shows a different side of the tech company. Mike Solomon, vice president of marketing strategy at The Search Agency, said Android has always existed as an open platform, which
limits Google's ability to influence and control the total mobile experience. "If they can extend their proficiency in product development and user experience to capitalize on the growing mobile
advertising market, it will be a huge win for them and for advertisers," he said.
If Google can build out a network of hardware, the company can likely own it all. It already supports the
advertising base through a growing infrastructure, such as display ad targeting and retargeting, ad network, social network and video site.
"Google's focus to accelerate the development of new
handsets and devices for consumers could probably lead to an even greater market share of mobile consumers, as well as the living room via set-top boxes," said Frank Lee, head of sales and marketing
at DataPop. "We could see a deeper integration of ad products into hardware. For example, beyond apps, you might see more ad solutions for location-based targeting embedded into the devices, giving
marketers solid platforms for local-centric marketing."
Not all
analysts agree with Google's decision to acquire Motorola Mobility. Standard & Poor's equity researchers downgraded Google stock Tuesday to "sell" from "buy," and lowered the price target to $500
from $700.