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What New Sellers Need to Know About Shopping Ads on Google

Raffy Wolfe Shopper Psychology, Store Owners Leave a Comment

Google Shopping Ads have proven to be successful since its launch back in 2012, it opened countless opportunities for both shoppers and advertisers.

No wonder shopping ads made up the majority of paid clicks for retailers. So wherever paid channel you look into, it consistently has the highest ad spend return.

Over time, a steady development and improvement is observed on Google Shopping ads. Now, new business owners might be wondering what exactly are shopping ads and where do they appear?

Simply put, Shopping ads are the product ads that you can see in Google Search results.

But not only that, they can also be seen on the Shopping tab, on search partner websites, in the price comparison Shopping service and apps (iOS and Android), and even on YouTube and the Google Display Network.

Google expanded the reach of shopping ads since it has become very useful for shoppers and very popular for advertisers to reach the consumers.

To succeed with Shopping in Google, you have to create the best, most engaging ads possible through an optimized product feed. You also have to establish a campaign structure that suits your ideal level of control while making the most out of Google.

Your optimization and decisions which will help in the growth of your business relies on clear reports and data.

One major part of this process is setting your goals and knowing your numbers.

These will keep you on the right path and give you the freedom and creativity to solve problems and achieve your objectives. Here are the things you should consider:

Your target Return on Ad Spend (ROAS)

When you spend on ads, you should set the amount of sales that you expect in exchange. This amount depends on your margins, your growth goals, and the lifetime value of a shopper.

Your sales and ad cost should not be equal because that means you will automatically have losses because of the cost of goods. The key here is to either set a ROAS target that is lower and more aggressive so you can generate more sales volume from your shopping campaigns or set a higher, more conservative ROAS goal complimented with efficient and focused small scale shopping ads.

What to prioritize: Larger Customer Base or Boosting Sale?

Generating sales and improving customer relationships are often the black or white of many merchants. But you can actually touch both. You can utilize your shopping tab to build a lasting business with loyal customers and steady income flow. This will be possible with the right approach in your bidding and optimization efforts.

Investing on Google Shopping ads is beneficial and necessary in this modern age. You get to make out of Google’s online shopping traffic though there are free product listings too that you can utilize to give yourself a little push. It’s all up to you really, any of these decisions may succeed or fail depending on your execution.

All we can say is that if you prefer a more prominent position in shopping results, then you should be looking at paid placements. These will also give you the volume of sales that is necessary to expand your business’ reach.

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