Google Shopping Ads: The Top 8 Benefits You’ll Get From It

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How do google shopping ads work? Here’s everything you need to know about Google Shopping ads, your 8 biggest Google Shopping ads benefits, and how to get started. How to optimize google shopping campaigns?

Google Shopping ads are one of the most powerful tools in your online advertising arsenal. They’re simple to set up and provide the opportunity to tap into a high-volume, and low-cost way to drive traffic to your site.

NOTE: We also added a Google Shopping Ads Case Study at the end to get you started on your way.

Advantage of Google Shopping Ads, What They Are

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Google Shopping Ads are a way to direct traffic to your site through the power of search. They work on Google search results pages, not Google search itself.

When users use Google to search for products they buy, they generally use Google Shopping ads. And when they do, you get a chance to take a cut of that traffic.  Shopping ads appear on any platform and can boost your traffic. Shopping ads can appear on

Most people search for things they want to buy on Google first, followed by Amazon. As such, Google Shopping ads are the perfect choice for small businesses that are looking to grow. And they’re also a highly efficient tool for advertisers that have inventory, e.g. popups and ads.

Who Uses Google Shopping Ads? Over 200 million people search on Google each month. How do google shopping ads work?

Top Google Shopping Ads’ Benefits

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  • “Zoomed In” – Look-And-Feel Clicks on Google Shopping ads are guaranteed to be 100% “zoomed in” and it’s fun to watch. how to optimize google shopping campaigns

When you place your ad at the top of your Google ad chat, you get a ‘zoomed in’ description that shows the actual product photo from that product’s product listing page. You’ll be able to click on the zoomed-in ad to go directly to that product’s product listing page, which shows an expanded product image. 

  • Top-Ranking Google Ads – When Google delivers your ad to the top-ranking ad in its Google search results, the top-ranking ad will be able to claim the ‘Buy Now’ button in your ad text.

Google Shopping Ads benefits

How To Setup Google Shopping Ads

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How to use Google Shopping? Your first step is to become a customer of Google Ads. If you have a product that can be sold online, Google Ads can make it easy for you to set up and manage your account.

Once you’ve signed up, set up an account, go to the Ad Group section, and click the create Shopping Ads button. You’ll see a new set of reporting and analytics tools that will tell you how many clicks you’ve received so far, how many people actually converted, how much traffic was received, etc.

You’ll also see the Shopping Ads button in the section to show you how to create your Shopping Ad. Creating a Shopping Ad is very easy.

Just click the button to go through the process. Depending on your budget, you can create three or more Shopping Ad accounts. marketing strategy

Thoughts on Google Shopping Ads Benefits?

We hope you enjoyed this guide. We’re wrapping things up now, but if you’ve been struggling, feel free to email us at smartstride.com. How to use Google Shopping

Google Shopping Ads benefits

BONUS

The Google Shopping Ads Case Study: A Detailed, Practical Guide

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In this detailed post, I’ll walk you through the entire process of the Google Shopping Ads case study and how I successfully ran and optimize a Google Shopping campaign for a client.

You will also learn how to set up Google Shopping ads. Then I’ll show you what I did, what I learned, and how you can do the same. Is Google Shopping worth it?

Introduction

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I’m sure you’ve seen the banner ads on Google’s search results. Right after you type in a query, a plethora of shopping ads start appearing above the fold, alongside their search results. You may have even been tempted to click on some of them.

But, do you know what happens when you do? Is Google Shopping worth it? cost per click

You’ll be taking a considerable amount of risk on Google’s part. But without knowing the product or anything about it, you are taking a huge risk to “purchase” or “purchase and subscribe”. text ads

And you know what happens when you do? You will lose. how to set up google shopping ads

The bottom line is how much the client lost: $3,000 in conversion opportunities, $1,500 in marketing spend, $300 in additional services fees. That’s 3x what they would have lost without these ads.

The Goal

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In 2015, I helped a client execute a search-based product search campaign. We decided to set up Google Shopping Ads to target every site that sold a product for under $10, all in the hopes of increasing conversions on that one product search. how to set up google shopping ads

But… We ran into a few hurdles. One of the biggest things I noticed was that most people were offering the same stuff, including the same branded phrases, for similar prices. But that’s all fine and good for brand search ads. 

To rank for something like “BlackBerry” or “Marlboro”, you just need to be different. When people are already looking for a particular product, they’ll pay more attention to whatever you offer instead. So we ended up with a different product – the Google Cardboard, which was already a widely available product.

The Ad Campaign

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The campaign was an inventory reduction campaign. There were five items in the inventory. An expensive denim jacket ($200), jeans ($100), swimwear ($40), sunglasses ($200), and a pair of sandals ($20). 

The original objective was to reduce the order value by $170. The profit would be: user search

  • Percentage of cost (Target cost) x 99 (Remainder of the cost) = $90 product feed

Since it was a 20% reduction, the total profit would be $340 (70% + 30%). 

The output of the campaign would be new sales in the next 6 months: visually appealing

  • Total cost – Target cost = $340 Total sales (before & after the campaign) = 100
  • Expected new sales for 6 months = 10

Now, this would not be a good campaign for just getting rid of an excess inventory. There were 5 expensive items.

The Shopping Campaign Setup

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The first step is setting the campaign with the relevant keywords for your brand or product. I recommend creating a separate category for each of your landing pages so you can manage them separately. 

Next, you’ll create a new targeting script, like this: I personally created two different callouts based on an assumed conversion path. The first one, called “Brand” is based on the assumption that people will first go to your homepage, where they will then see an ad asking if they’d like to continue shopping.

The second one, called “Product” is based on an assumption that people will first click on the “Buy Now” link on the bottom right side of the search results page. They’re different scenarios to account for variations in conversion rates.

The Product List

image source: Search Engine Land

The goal of this campaign was to drive targeted traffic from Google Shopping to this client’s website. As the name suggests, Google Shopping Ads are not limited to using Google Shopping. You can set a merchant listing, conduct a local search, do an image search, etc.

With that in mind, here’s the product list I used to reach my goal: I’ll dive into each product in detail in this post, but I want to share the following highlights. relevant products

The Campaign Objective

image source: SEJ

My client, who wanted to get paid for every single product they sold on Amazon, wanted a simple, cost-effective solution to increase their sales and help them gain exposure.

In short, they wanted to charge their customers 0.2% (0.02%) per sale. But what is this “0.2% fee” that you’re going to charge? Google Shopping Ads allow you to charge your customers up to 0.7% for your ads. 

Since the client was only making 50 sales per day, they didn’t want to have to pay $9 per order and also spend up to $2 for the SEO campaign that would provide their customers with the sale they wanted.

The Shopping Campaign

image source: Storeya

Back in July of 2014, I ran a Google Shopping campaign for a client. My client was a software developer, and the idea behind his campaign was to send traffic from Google to a new page he had designed. Unfortunately for him, I failed miserably. benefits of google shopping

The campaign involved, among other things:

  • Costs to manage: $200.00 / day
  • Costs to send ads: $15.00 / day
  • Web traffic to the page: about $1.00 / day
  • An overall cost to the client: $600.00
  • My initial cost estimate was $500.00

Lesson #1: Surveys to Google is an awesome way to save money. One of the best things about running a Google Shopping campaign is how simple it is. product page

When you have a Google Shopping campaign, your only expense is the cost of driving traffic to a new landing page on Google. While I used to spend $300.

The Performance

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When I first started running the campaign, my client’s target metrics looked promising.

  • On the first day, the results looked good: Not bad! online store
  • Day 2: You start to notice a decline. $5 worth of impressions delivered for $7.44. qualified leads
  • Day 3: Another drop. I was fairly comfortable with the trendline because it was based on a comparison to a much smaller competitor who was running a (relatively) similar campaign, which was performing the same way. However, the trend became darker the day after the campaign launched. product information
  • Days 4 and 5: The worst days: $0.00 worth of impressions delivered for $0.00. product title

Result: The campaign flopped. My client was a local restaurant chain with 12 locations. They have a very precise number of views each day they want to hit: 4,000 to be exact.

The Bottom Line

If you have a client that wants to run a Google Shopping campaign, take a look at this post. For a lot of people, this is where it all starts. 

That said, if you have some extra time, I highly recommend starting with our other blogs, Complete Guide to Google Adwords Budget for Small Business.

They are both equally as useful as this one. Regardless, I’d be happy to answer any questions you may have in the comments. Until then, happy hunting!

Conclusion

Right now, almost every e-commerce business on the web uses Google Shopping Ads. But before we go any further, I want to let you know that this is just the tip of the iceberg. This is just one client, and just one account.

There is no best Google Shopping ad network in the world, and there isn’t one algorithm that is better than any other. Just because you don’t see a result, that doesn’t mean you’re missing out on a lot of revenue. Just because you don’t see any traffic that’s good enough to convert, doesn’t mean you should give up on it. 

But I want to make one thing clear: Google Shopping ads can work for every business on the planet. But I can assure you, a lot of those businesses are trying to do it all wrong.

Related Topics

Local Ads by Google: Where Should Digital Marketers Spend Ads Budget?

Google Will Punish Sites That Use Annoying Pop-ups

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