Google reportedly shutting down Google Compare

PanARMENIAN.Net - Google is shuttering its comparison-shopping site for auto insurance, credit cards and mortgages after one year, the Wall Street Journal said in a report.

The quick reversal is a setback to the Alphabet Inc. unit’s efforts to use its enormous reach to provide consumers with niche shopping services and financial-services tools.

The site, dubbed Google Compare, allowed online shoppers to view multiple offers from auto insurers, mortgage lenders and credit-card issuers after entering personal information. Google made money primarily on referral commissions from insurers and lenders. In some cases, the company was licensed to sell products directly to consumers.

But the company said in an email to partners on Monday, February 22 that the U.S. and U.K. service would start winding down this month and terminate on March 23. A spokesman confirmed the contents of the email, which was posted to Searchengineland.com.

The email said “the Google Compare service itself hasn’t driven the success we hoped for,” and that Google will be “focusing more intently on AdWords and future innovations” to provide its financial-services partners “with the best return on investment.”

Keith Moore, head of online insurance agency CoverHound Inc., which worked with Google on Compare, said he thought the closure of the site was temporary and that Google hopes to retool and eventually relaunch the comparison tool.

Google has had success with similar comparison-shopping sites for e-commerce and air travel. But offering auto insurance required state-by-state approval from regulators and more extensive information from users about driving habits, for example. To boost the airfare-comparison tool, Google acquired a flight-search software firm that received data from most airlines.

“Insurance is very complicated. It’s not like selling a flight or shoes online,” said Joshua Dziabiak, co-founder of insurance-shopping site the Zebra, a Google Compare competitor.