Walmart is getting much more aggressive with their online strategy:

With some 1.4 million employees on its U.S. payroll, Walmart's world is about as large as the state of Maine. That's massive by any standard, but when you consider how social media amplifies that number, it's not simply a huge group but an influential one. No small wonder, then, that the earth's largest employer is taking greater measures to motivate and mobilize its people -- and opening up more opportunities for consumer brands to also reach them along the way.

These brands can not only leverage internal resources to further build off the boost Google offers them, but they can then take that attention and sell it back off to the highest bidder:

It's not clear how much ad revenue Walmart World has made or whether MyWalmart.com will become a profit center. But the former already takes in millions of dollars annually in ads from vendors seeking an audience with Walmart employees, according to people familiar with the matter.

If Google consolidates markets too aggressively then ultimately they create competition for themselves through vertical ad networks. In some cases (say travel) Google can buy out the market plumbing & then reassert control:

Wertheimer drew some criticism when he explained that “our airline partners were very clear” that they wouldn’t participate in Google Flight Search if online travel agency booking links were included in the core flight-search results.

But Google doesn't have that same influence over retail & each time they put the big brands front and center the more they reinforce that 3rd party dominance.

In addition to leveraging their workforce, it is also quite easy for these brands to use customer incentives to dominate social media.

Amazon.com is also carrying far more ads these days & they sell ads on 3rd party sites.

The above is another reason why Google is pushing so hard to control the second click. If they can taste the traffic again they add efficiency to their own model while introducing another layer of friction to other retailers.

When users finally manage to leave the Google click circus, Google tries to pull them back into Google with the Google Related toolbar

In the above quoted AdAge article there is some skepticism around how much a company like Walmart can get out of underpaid wage slaves:

"It's really hard when you're a person making poverty-level wages, just had your health-care premiums raised 60%, and you can only get part-time hours, to be a good ambassador for the brand, no matter how much you love it," said Jennifer Stapleton, spokeswoman for Making Change at Walmart.

However I think that skepticism is misplaced, as the less a person has the more thankful they tend to be for the little bits they do have. Most people who have nothing do not realize how systems are engineered to screw them over.

It is only when you have free time to think & are not clouded by arbitrary short-term stress that you can ponder the bigger & more uncomfortable questions in life. As long as you don't consider those uncomfortable questions it is far easier to push anything, because you don't know any better.

"The entire web has become full of garbage. The web has become almost a digital Detroit." - Roger McNamee.

If Walmart's strategy works then this ultimately will be why Google's brand-only approach to search will fall flat on its face. If this is successful I would then expect Google to put out some public relations drivel about celebrating the diversity of the web & move away from brand in the next 2 or 3 years.

In the meantime, I expect Google to keep increasing search complexity such that it's prohibitively expensive to make & market a small independent commercial website. That will force many smaller companies to live inside the Google ecosystem, with Google ranking the Google-hosted pages/products/locations for those companies, so that they can serve ads against them and get a bigger slice of the revenues.

Google's ad network is far more profitable than even the lowest waged employee, as it doesn't need to be fed & is designed to be an agnostic & amoral yield optimization tool. And it is effective enough that the biggest retailers are now becoming ad networks.

Average products for average people - with ads everywhere.

Welcome to the WorldWideMart. ;)

In the below video Matt Cutts states that "there is no such thing as white hat cloaking" ...

... yet Google is testing a new ad unit where users have to fill out a survey before they can view the content.

How long until the surveys include something like:

• did you vote in 2008
• what presidential candidate did you vote for
• how do you feel about issue x
• how strongly do you feel about your opinion on x

Then after the survey: "Thanks for your feedback. Candidate y supports your views on issue x."

Advertisers then get a report like: "in Ohio, 84% of the 289,319 swing voters with an average household income between $32,400 and $67,250 think issue x is vitally important and have a 6:1 bias toward option A. They respond to it more strongly if you phrase it as "a c b" and are twice as likely to share your view if you phrase it that way. The bias is even stronger amongst women & voters under 50, where they prefer option A by a factor of 9:1."

Couple that ability to flagrantly violate their own editorial guidelines with...

• knowing user interests (and many other pieces of vital information)
• search personalization
• ad retargeting
• quality-based ad pricing / selective price gouging
• arbitrary editorial discrimination
• active investments in various content channels
• let us scrape your reviews or you die bundling
• offering online safety tips & labeling anything Google can't get away with doing as something like malware in the search results (or spam in the editorial guidelines)
• political donations
• the ability to define or redefine any word or phrase as convenient & selective enforcement of defusing Google Bombing
• the "I know what you searched for last night" factor
• enhanced search yield from pushing desirable illegal ads & using that increased income to help buy marketshare to further reinforce network effects
• relevancy algorithms that can overweight content sources that Google profits from (eg: YouTube + ebooks) to create additional economic yield from search

... & Google is in an amazing position politically.

It is thus not surprising to see how politicians have a hard time being anything but pro-Google, as they are the new Western Union.

This isn't the first time Google experimented with cloaking either. Threadwatch had a post on Google cloaking their help files years ago & YouTube offers users a screw you screen if they are in a country where the content isn't licensed - yet they still show those cloaked pages ranking in the search results.

“The most perfidious way of harming a cause consists of defending it deliberately with faulty arguments.” ― Friedrich Nietzsche

It is common knowledge that you shouldn't mix business and politics, however if one looks at history, many of those who gave us those sage words did precisely the opposite - and often illegally so - selling us down the river.

What is so obnoxious about Google's survey trial is that a big site that was hit by Panda was hit because they used scroll cloaking & didn't let the users get to the content right away. Googlers suggested users didn't like it & voted against it, and then roll out the same sort of "wait 1 moment please" stuff themselves as a custom beta ad unit.

And today Google just announced that they might create an algorithm which looks at ad placements on a website as a spam signal outside of Panda:

“If you have ads obscuring your content, you might want to think about it,” asking publishers to consider, “Do they see content or something else that’s distracting or annoying?”

On the one hand they tell you to optimize your ad placements & on the other they tell you that those were not optimal & are so aggressive that they are spam.

For a while there was a period of time where you could use something like "would Google do this" as a rule of thumb for gray area behavior.

In the current market that won't work.

“No man has the right to dictate what other men should perceive, create or produce, but all should be encouraged to reveal themselves, their perceptions and emotions, and to build confidence in the creative spirit.” ― Ansel Adams

As ad units get more interactive & Google keeps eating more verticals the line between spam vs not will keep blurring.

Perception is everything.

“We are all in the gutter, but some of us are looking at the stars.” ― Oscar Wilde