Google shutting down Checkout in favor of Google Wallet

Steven Loeb · May 20, 2013 · Short URL:

Google Checkout will be gone in the next six months

Google Checkout for merchants will be shutting down in six months as the company transitions to Google Wallet, it was announced on the Google Commerce blog Monday. 

"Today, we’re letting web merchants know that in six months, Google Checkout will be retired as we transition to Google Wallet — a platform that enables merchants to meet the demands of a multi-screen world where consumers shop in-stores, at their desks and on their mobile devices," Justin Lawyer, Senior Product Manager at Google Wallet, wrote.

"Just last week, we announced two enhancements to the Google Wallet platform that are simple to integrate. The Instant Buy API enables merchants to offer a fast buying experience to Google Wallet shoppers on their Android apps and websites, while processing their own payments. In addition, the new Wallet Objects API enables merchants to engage their customers with loyalty, offers, and more."

This decision will have an effect on merchants, developers and shoppers.

For mechants, they can continue to accept payments using Google Checkout until November 20, 2013. For those that do not have their own payment processing, they will "to transition to a different solution within six months."

To make things easier, Google says that it has partnered with BraintreeShopify and Freshbooks to offer merchants "discounted migration options."

For those mechants that do have payment processing, they can apply for Google Wallet Instant Buy, "which offers a fast buying experience to Google Wallet shoppers."

There will be a live webinar on May 23 to help merchants learn more.

For Google Play developers that sell through other Google properties, such as Google Play, Chrome Web Store and Offers Marketplace, these  will continue to be supported and will automatically transition to the Google Wallet Merchant Center in the next few weeks. 

And, for shoppers, they will have the opportunity to continue to use Google Wallet to make purchases on merchant apps and sites, including Priceline, Uber, and Rue La La, as well as on Google properties, such as Google Play and Chrome Web Store.

This news comes less than a month after Osama Bedier, the Vice President of Google Wallet, decided to leave the company after two years on the job.

No official reason for Bedier's decision has been revealed and there is also no indication as to what Bedier's next move will be.

Google Wallet is a mobile payment system which debuted in March 2011. It allows users to store debit, credit, loyality and gift cards. The system uses a "tap and pay" function wherever Mastercard PayPass stations are used. Users can pass their Google Wallet-functional mobile devices over the paypass stations to pay for retail purchases, the same way they could with a credit card.

Since its unveiling two years ago, Google Wallet has largely been seen as a disappointment. This may partially be because of its still limited availability. 

It can only be found on 14 smartphones: seven from Samsung, three from LG and one HTC. It is also only available on one major U.S. carrier, Sprint.

Another factor is the high amount of competition in the space, most notably Square, which uses an a square shaped dongle that allows users in the United States to accept credit cards through their iOS and Android mobile phones by swiping their credit card on the Square device.

Now it looks like Google is going all in on Wallet, and will perhaps finally be able to compete in the crowded space.

Google was unavailable for further comment. We will update if we learn more.

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