Result:
1) Constant experiments and dropped products (just like Microsoft).
2) Consumers no longer trust your services to stick around and no longer even invest in your platforms (*see most of Microsoft's offerings).
3) The services you do have aren't the highest quality and your brand takes a hit as being "giant mediocre corporation" like Microsoft instead of "high quality company" like Apple.
The more things change the more they stay the same.
And it turned out to be huge mistake for them because they could've really used Checkout accounts from day one of Android, to get people to pay for Android apps. I still believe this has been one of the biggest obstacles on Android, because you need Google Wallet (which is brand new service, I guess) account to pay for apps, and obviously the vast majority of people didn't have one, and didn't bother to make one either, and they'd rather look for the free alternative of the app.
It's been getting a bit better since Android 4.0, since they are asking everyone to make an account at the set-up, but they are still behind, and it could've been much better early on if Checkout was popular.
I use google checkout for pretty much everything I can't buy at amazon. It's accepted at lots and lots of places. and usually it's my deciding factor when selecting for two stores.
I don't use paypal because their system sucks if you have international credit cards and because of the lack of moral grounds they showed. never missed it (but then, i don't send money to random people, just merchants)
edit: well, used.
Reality also is that there is often a declining marginal value in additional investments in the same area once you are already doing very well in that area, and that the marginal profit from doing something else mediocre may be greater than the marginal profit from doing the existing thing a tiny bit better.
And lots of Google's experiments that are outside of what are understood to be its core strengths when they are introduced end up as things that are at the top of their field: Gmail and Chrome, for instance, weren't at the center of what Google did when they were introduced.
Is it just a messaging problem? If they had instead said "We're renaming Google Checkout to Google Wallet. We're introducing API v2. API v1 is deprecated and will be turned off in 6 months so upgrade your apps." would that have changed your response?
With the new system, Google has an API to give you the users information, but the merchant must have some way of processing the payment.
So these two are not the same at all.
I can tell you for my ecommerce site, I intend to drop Google Wallet altogether.. After the numerous Froogle/Google shopping api changes, I have no hope that the new api will stick around for any reasonable amount of time. So I just don't think it's worth the effort.
Edit: for comparison to Google Checkout, I get roughly 15x the number of orders with PayPal.. and 25x the number of orders from Visa/MC/Dscv/Amex.
Google's implementation of Checkout was flawed from the start (esp how they handled/treated merchants).. So I'm not surprised it didn't go anywhere.
edit: IOW I agree with you.
Google Wallet looks like a big improvement over their old system.
Google Wallet looks like a big improvement over their old system.
I'm not trying to be a dick: How?I call this the Spaghetti Cannon strategy.
Load up a cannon with cash and different ideas, blow up the cash and see what sticks to the wall.
If we redrew the corporate boundaries of Google and Microsoft, we'd see them as investment firms tasked with turning a reliable long term cashflows into new reliable long term cashflows. Quasi-venture firms.
So far, Google has advertising. And that's it.
Microsoft have Windows, Office, Server & Tools and Xbox.
So in actual fact, Microsoft are proving that yeah, it sorta works. Sorta.
I think the amount of innovation and creativity that Google pushes for is amazing.
What if Checkout was the next big thing? At least they tried it and can put it in the history books now.
I do agree with point number 2, that they are making their services seem "legitimate" too quickly. Personally I would move them back to their Google Labs days to solve that problem. Where they would make a larger point of this service being in BETA and possibly not a long term goal.
From there if it passes BETA just streamline it, make it profitable, and keep it for as long as possible.
Perhaps that's what they're doing, but seeing a headline on HN every few days about "X Google Service Shutting Down" is incredibly disheartening and damaging to their brand, I agree completely on that one.
EDIT: The "Go Programming Language was first designed and developed at Google Inc." according to wikipedia. And we all love Go on HN. So it's hit and miss just like anything else, but godspeed to them for trying!
Hardware is kind of a different thing. The iPod was pretty nice. But now I want a shinier iPod with more features. Production of the Classic just has to match demand from those with niche uses for it. So a slow death makes sense?
Not sure what the situation is with the MacPro...
One company that I've seen not fall into this trap is Dropbox. Dropbox offers one amazing service and pours all it's efforts into that, and from what I hear they have some insanely smart people working there doing that. As a result they can afford to decline a $6 billion offer from Google and then go on to compete against Google's inferior offering.
IMHO The only reason Dropbox is successful because the alternatives e.g. SkyDrive, Google Drive are so much worse.
> 3) The services you do have aren't the highest quality and your brand takes a hit as being "giant mediocre corporation" like Microsoft instead of "high quality company" like Apple.
Yes, Apple never creates duds; we are all happily using our Newton.
I think I'm going to start looking into my email setup, just in case.
First of all it's far form an unexpected announcement seeing as they have been developing another payment service in parallel, and second "monopoly" is a specific legal term, it shouldn't thrown around lightly, it's not just another synonym for "big".
As for your points:
1) Experimentation is net positive, and by definition most of said experiments will fail. You can't really be any sort of a self respecting tech company if you shun experimentation.
2) This is anecdotal, they have a selection of core products and when a peripheral one gets deprecated it's done through a reasonable process as spelled out in that post.
3) That's subjective.
First of all it's far form an unexpected announcement seeing as they have been developing another payment service in paralleled, and second "monopoly" is a specific legal term, it shouldn't thrown around lightly, it's not just another synonym for "big".
As for your points:
1) Great things could come out from experimentation so it's a new positive and by definition most of those experiments will fail, you can't really be any sort of a self respected tech company if you shun experimentation.
2) This is anecdotal, they have a selection of core products and when a preferential one gets deprecated it's done through a reasonable process as spelled out in that post.
3) That's subjictive.
Google Checkout was very good with their fraud protection to the point that I did not have to think about it. In fact, over the years I have been growing my business Google have been my rock---never a real issue with them.
PayPal was a similar story but it also seemed to attract the sort of customer that would open a dispute at almost any issue (or just threaten it). You can also count me in one of their horror stories that indirectly cost me £5k and even got to the point where they just flat out refused refunds for my customers who wanted them.
I have a Stripe and GoCardless account as well and I've been trying to make it work but their fraud protection is just not up to scratch compared to Google and PayPal, which is a real shame. I'm not sure if I'll ever be able to see enough data to get quite the same fraud protection. Stripe do look fun though.
Another perspective from a merchant: roll on Bitcoin. With exchanges offering guaranteed payouts in another currency (for me, GBP) I take on zero risk by accepting it and it solves so many problems. There's no wonder more and more websites are starting to accept it.
I integrated MtGox and BitPay. Compared to Google Checkout (XML mania) and PayPal (documentation drama) they take about 5 seconds to implement (test is another thing entirely).
I went with MtGox in the end since it was cheaper. I was then happy to offer a 3% discount to make up for the fees users got stung with purchasing BTC. However MtGox has a number of bugs that make it a show stopper for some customers.
If you ask the right questions they will acknowledge the bugs and tell you they are working on it and need plenty of time. I would probably not use MtGox if I had known about the bugs prior to integrating.
All of the Bitcoin options suffer from a long delay between "oh, I want to use your product/service" and "can pay", if your user doesn't already have bitcoin. As long as 5 days.
What I'd recommend, if you're selling a service, is to do a 15-30 day trial AND take Bitcoin (or give someone free initial service IFF they pay with bitcoin, if you don't do demo anyway), to give them a chance to get started immediately. Unless you're shipping a physical product, losing 5 days of service if someone's bitcoin payment doesn't happen isn't a big deal, usually.
From:
http://www.tnooz.com/2013/05/15/news/mobile-payments-get-ser...
I work at GoCardless. I would love to hear your feedback about ways that you think we could improve our fraud protection!
Feel free to reply here, or give me an email (kit AT gocardless DOT com), or to call me on 020 7183 8674.
We've had more declined transactions on Google Checkout than PayPal + GoCardless put together.
Sorry you haven't gotten one yet! I just sent an invite your way.
I'm definitely switching to stripe when it comes to the UK.
They looked good a year or two ago, and we did consider using them. They were certainly a better prospect than old school card payments where you had to apply for multiple services, make back room deals to get good fees, and all that nonsense. However, to start the application process with Braintree, it seemed you would still be faced with a lot of form-filling, followed by multi-week delays to get approval (or not), and on top of that the fees were unclear but didn't look competitive in most cases.
More recently, the likes of GoCardless and Stripe have become serious players on the UK scene, and both seem to be working on expansions further into Europe as well. They have all the same obvious benefits that Braintree offered: a single company to deal with, staffed by human beings rather than robots, reasonable APIs. But they also offer much faster sign-up and reasonable, transparent fees.
At this point, to be brutally honest, the likes of Braintree are simply outclassed. Unless anything very surprising happens, I expect the payments market for UK and probably European small businesses and start-ups to be completely dominated by GoCardless and Stripe within 2-3 years. Unless you're big enough to approach the old school players with enough leverage to get favourable terms, it's hard to see why you'd look any further if these are options, and I think both GoCardless and Stripe will do well because they're different enough not to be in direct competition but similar enough to keep each other honest.
After such treatment I'm very unlikely to use any future Google's payment systems (such as Google Wallet).
=========
https://support.google.com/checkout/sell/answer/3098725
The ability to process recurring charges or subscriptions using the subscription beta feature will be shut down on November 20th.
=========
> If you don't have your own payment processing, you will need to transition to a different solution within six months. To make things easier, we've partnered with Braintree, Shopify and Freshbooks to offer you discounted migration options.
So you have 6 months and several options for migration.
And if I _do_ have my own payment processing then I won't need to "transition to a different solution within six months". What does that mean, are they going to give me all the subscribers credit card info so I can start charging their cards myself? I don't think so.
As far as I know Braintree only does direct credit card processing, similar to Stripe. If they are planning on migrating all the Google Checkout subscriptions to Braintree credit card subscriptions that would be great but it doesn't sound like that to me. And how would that work for the Google Checkout users who were able to manage their subscriptions through the Google Checkout interface? Does Braintree have an interface for all Google Checkout users or do they lose their interface and need to go through the merchant now?
This wave of product discontinuations is making me extremely hesitant to use anything new Google brings out. If Google brought out Gmail today I'd sign up and explore what it's about, but I wouldn't ever give out the email address for fear that it would be snatched back with no or little notice.
I'm not going to pretend to know Google's business better than they do, but to me it appears as though they're really dropping the ball here and losing a lot of credibility and trust.
Also, now with tumblr being bought I'm hesitant to jump ship and host my blog on my own server. Seems like the way forward.
Beside, I think Google is investing the proper resources in building Waller to be a formidable product against Paypal, Amazon, and other 3rd Party checkouts.
Side Note: For the Google Checkout devs that read this, I'm sorry for what I did (Michael Largent).
Time to move to stripe.
It seems like Stripe would have been a natural choice. Anyone know anything about the vetting process and want to comment? It would be interesting if there was a hangup or concern that led to the decision.
With Checkout, Google is a credit card processor.
With Wallet, Google isn't a credit card processor, they are partnered with Bankcorp Bank who is issuing virtual cards which are funded either by transferring funds from the users bank account or by charging credit cards.
* Shutting down payment processing which was a pretty fundamental part of the offering
* they're requiring you to reapply to get an instant buy account
* They're killing off the APIs
It's not a transition if you lose a core feature, don't transition the accounts in any meaningful way, and have to implement a new system - at that point it's about like switching to PayPal (except you get to keep payment processing if you switch).
To add an insult to injury, Google uses Doublespeak, so now we have to guess about what's really going to happen.
The "Gmail money" thing is a Google Wallet feature, as Google Wallet doesn't include credit card processing on the merchant side, I suspect that for things where Google is, effectively, the "merchant" (like sending money through Gmail), they are paying a third party for processing services.
All of our payments come through either Google Checkout or PayPal. And some people really hate PayPal, so we will be looking for alternatives (Amazon Payments springs to mind).
I could see the writing on the wall for Google Checkout a couple years back, though. They failed to add any new features in recent times in order to try to match PayPal. The reporting was weak. E-mail notifications didn't always work right. Declined charges were a hassle. E-mail payment requests couldn't be formatted and were too short. Those were my main complaints, I'm sure there were many more problems faced by people who had different requirements.
Checkout had huge potential to integrate into Google's other services. For example, it let Google see directly who the best and most reliable merchants were. In fact, I believe you can still have Adwords show stars on your text ad based upon Checkout customer feedback.
Another useful integration is with Analytics. They did attempt some information sharing there. Tying Analytics directly to sales information is fantastic, and I wish they had made them work together better.
Imagine the bank that you use for your business transactions, especially recurring billing, to one day walk in and say: so sorry, you won't be able to process your old payments any more, but here is a new and shiny service that we think is better that you'll have to use from now on.
Never mind the integration overhead, possible loss of business, customer service issues and all the other headaches that can come from a thing like this.
I'm scared just to change bank accounts given how far those bits of information have propagated, losing a billing platform is a nightmare for businesses that rely on it.
Why would anyone switch to another service by the same provider that just chose to shut you down or that chose to saddle you up with a bunch of overhead on this years calendar?
Google partnering with braintree, shopify and freshbooks is the saving grace here.
In payment systems only two things matter: fraud control and continuity. Google excels at the first, drops the ball on the second.
I checked out amazon's offer again and will likely add them as a replacement. They have a lot of existing customers, the charge is reasonable, and I will be able to integrate it in a fairly painless manner.
With enough sites on board Google would probably have been in quite good position in trying to figure out if the user is really going to make the purchase or not. If user is likely to purchase, then show him "pay per purchase" ads otherwise just regular "pay per click".
I really hope so, not being able to sell in the Play Store/Chrome Web Store is something we've been looking for a while.
I used it to buy the latest Humble Bundle.