Google’s Cloud Platform is now used more than Amazon Web Services (AWS) by retailers because they do not want to work with Amazon.
While AWS remains the market leader in the wider cloud infrastructure market, new research from Canalys suggests that it is not such a popular choice in the retail and ecommerce sector.
Amazon’s cloud service offers retailers a range of tools and a unique retail competency programme, but its retail arm remains the largest threat to brands launching their business online.
“Due to this competitive aspect, many major retailers have opted to work with other cloud service providers,” Canalys research analyst Blake Murray said.
While it didn’t provide any figures, Canalys Cloud Channels Analysis Service says Google has been pushing hard during the pandemic to sign up retail clients forced to shut their physical stores.
It explained: “By using its strength in advertising and search, Google Cloud can offer retail customers much more than compute and storage.”
Speaking to TechCrunch, founder and principal analyst at CRM Essentials Brent Leary added: “Retailers have to compete with Amazon, and I’m guessing the last thing they want to do is use AWS and help Amazon fund all their new initiatives and experiments that in some cases will be used against them.”
AWS currently accounts for around 60 per cent of Amazon’s total income, allowing it to pile money into its retail and growing services arm.