How to Set up Your Google Shopping ADS For E-COMMERCE Business
What Every New Seller Should Know About Google Shopping Ads?
In This blog, You understand How to Set up Your Google Shopping ADS For E-COMMERCE Business The popularity of Google Shopping is increasing at an alarming rate. Google Shopping is a big traffic-driving source in the US, accounting for 55 percent of Google search ad clicks, resulting in increased earning potential for online businesses. Product adverts on Google are effective.
With extensive reporting and performance tools, you can create your ad content, set a budget and pricing that works for you, and simply measure the impact of your advertising.
Shopping advertising on Google has delighted both customers and advertisers since their inception as a paid channel in 2012. Shopping ads are among the most popular on Google’s platform. Shopping advertising accounts for more than 60% of all paid clicks for merchants. Shopping Ads routinely generate some of the highest return on ad expenditure of any paid channel for our clients. Google’s shopping advertising has also improved and changed over time. It’s now more intelligent, easier to set up, and has a wider reach.
What are Google Shopping Ads?
Shopping advertising is no longer limited to Google’s basic search results. They can also be found on the Shopping tab, search partner websites, the price comparison Shopping service and applications (iOS and Android), as well as YouTube and the Google Display Network. Because Shopping advertisements are so valuable to buyers and advertisers, Google has continually expanded its reach, giving advertisers additional options to contact shoppers.
Google uses two systems to support its shopping ad campaigns: Google Ads and Google Merchant Center. Your shopping campaigns are managed via Google Ads, where you can set budgets, adjust bids, gain insights, and make optimizations. Your product feed, as well as information about shipping and sales tax, is saved in Google Merchant Center.
Shopping ad creation and management differ significantly from typical text ad creation and management. Text advertisements allow you to establish campaigns, ad groups, and adverts based on keywords. Google utilizes your feed, your site, and other factors to determine which search queries will trigger your ads in the Shopping tab. As a result, setting up your product feed has a lot in common with SEO.
Success with Google Shopping boils down to three factors:
- Using an improved product feed, create the best, most relevant advertising imaginable.
- Creating a campaign structure that gives you the control you want while yet receiving the greatest results from Google.
- Obtaining clear reporting data in order to make informed optimization and expansion decisions.
Knowing your numbers and setting goals
Setting goals keeps you on track while also allowing you the flexibility and creativity you need to handle problems and achieve your objectives. Here are a few things to think about when making your goals:
What is your desired return on advertising investment (ROI)?
How much in sales do you need to make for every $1 you spend on ads? A variety of elements will influence your answer to this question, including your margins, client lifetime value, and growth objectives, to mention a few. Let’s pretend you’re selling a $100 product with a $50 profit margin. If you were to earn a 100 percent return on ad spend (ROAS), you would be losing money at first.
$100 in sales minus $100 in advertising costs minus $50 in cost of goods is a $50 loss.
To break even in this situation, you’d need to sell $150 worth of goods for every $100 spent on advertising. This means, for every $1 spent on advertising, $1.50 in sales is generated, resulting in a 150 percent return on investment (ROI). If you need to create $3 for every $1 spent on ads, your return on investment (ROI) is 300 percent. I propose calculating your break-even point before deciding on a ROAS target. You should be aware that a lower, more aggressive ROAS target allows you to bid more aggressively and, as a result, produce more sales volume from your Shopping campaigns. With a higher, more conservative ROAS target, Shopping advertisements will be more efficient and concentrated, with a smaller scope.
Is it more important to gain a customer than to make a sale?
Merchants can be divided into two groups: those who want to make sales (transactional focus) and those who seek to create customer relationships (relationship focus). Both methods can generate revenue, but only the latter can truly establish a long-term business and brand comprised of clients you can sell to again and again—and who, hopefully, will suggest you to others. The Shopping tab may or may not be useful to you, but your strategy will determine how aggressive you can be with your bids and optimizing efforts.
Google Shopping Set Up Guide
Step 1: Create Your Google Shopping Account
The first step toward running Google Shopping ads is to sign up for a Google Merchant Center account. Your Google Shopping feed data is listed and populates in a Google Merchant Center. To open your Google Merchant Center, go to www.google.com/merchants and complete the setup processes, which include entering basic business information, reviewing terms and conditions, and verifying your website.
Creating Tax and Shipping Policies
The next step is to create your tax and shipping regulations, which are both required to run Google Shopping advertising. To do so, go to the ‘general settings’ section and either enter your tax rates or if you’re a US seller, the states you’re dealing in, and Google will take care of the rest.
Creating a link between your Google Ads account and your other accounts
The next step is to link your Google Ads account to your Merchant Center account to launch your first campaign. You can link these accounts from your Merchant Center dashboard by going to your settings and selecting “Google Ads.” To link accounts, make sure both platforms have the same email address with admin access and that you have your Google Ads ID handy.
Configuring Your Product Feed
You can either manually build your product feed in Excel or use apps, plugins, or extensions to link product feeds automatically if you’re using top platforms.
Before you import from your feeds, conduct an audit to check that your shop’s backend product information is well-organized with keyworded product descriptions, structured names, and good photos.
Now you’re ready to launch your first Google Shopping campaign.
Step 2: Make Your First Google Shopping Ad
- Before You Continue
- You must link your Google Merchant Center account when launching a Google Shopping Campaign.
- Select a Subtype of Campaign
The next step is to select a campaign subtype. You can pick between an automated “Smart Shopping campaign” and a “Standard Shopping campaign.” Use Smart Shopping if you want Google to show your advertisements across the Google Search Network, Display, YouTube, and Gmail with automated bidding and targeting. For more control, we recommend avoiding Smart Shopping and instead opting for the Standard Shopping campaign.
Select Your Campaign’s Options
- You can choose your products, bid strategy, budget, and targeting using Standard Shopping.
- Setting up a Shopping Campaign
- Typical Shopping Conditions
- Select an ad group type
- After that, you’ll need to choose an Ad group type, a name, and a bid.
- Type of ad group
- Creating Product Groups to Make Optimization Easier
When developing your first Google Shopping campaign, start with well-structured, segmented groups, just like you would with any other Google Ads campaign. This will make optimization, which is critical for Google Ads success, more manageable. Unlike SERP advertisements, each Google Shopping campaign can only have one AdGroup. This ad category, however, can be further subdivided into product groupings.
You can do so by clicking the name of your Google Shopping Ad Group, and then grouping your products by category, brand, product type, and custom labels. Here’s a quick rundown of what’s going on.
Product Groups Should Be Divided
Product Groups by Category
Our least favorite of the four product groups is the category product group. Here you can categorize your products into Product Categories. The problem with this product group is that you can have a huge variety of products within one category. As a result, a segmented structure for greater optimization is not usually provided.
Product Groups by Brand
Branding is another approach to divide and organize your products. Different goods from the same brand are grouped in this section. This would not be an efficient technique to segment your products if you were selling only your brand’s unique products. If you’re offering a variety of products from several brands, this will assist you to organize by brand name and then evaluate data per brand.
Product Groups Product Types
This Google Shopping AdGroup subgroup is where you can organize products by type. This is the most effective technique to organize and segment your products because it is based on your site’s taxonomy and is much easier to improve.
Product Groups with Custom Labels
Finally, you can arrange your products into groups depending on your labels, such as ‘Most Popular,’ ‘Workout Clothes,’ ‘Back to School,’ ‘Christmas Gifts,’ or any other categories you think might be useful. You may choose from up to five different custom levels, and it’s a wonderful method to categorize seasonal products so you can quickly change bids for products that will be more popular during different seasons.
Negative Keywords (Pro-Tip)
Keywords are not triggered when your product advertisements appear, as they are with traditional ads; however, you can add negative keywords to each of your product groups to have some control over when your ads are not displayed. If you have a ‘silver earring’ product group, for example, you can avoid the possibility of uninterested shoppers seeing your product listings and hurting your ad numbers by adding ‘gold earrings’ as a negative keyword.
It’s time to arrange your delivery and bids after your groups are in place for your campaign.
Bids for Google Shopping Campaigns
To create a budget that assures you’re receiving sales for your money, look at your product price, profit margin, and average conversion rates, just like you would with any PPC campaign. When you just set up your campaign, you should set your bids for each category a little lower than you would for typical search advertisements, and then adjust them when impressions and CTR (click-through rate) statistics come in. Budgets should be kept low at first so that you may expand and scale up successful campaigns. To get you started, here are some pro-Google Shopping bid tips:
With geographic bid modifiers, bid higher in high-value/traffic regions and lower in low-value/traffic regions.
There are two types of bids: expedited and standard. To ensure faster product/search matching and access to optimization data, you should start with accelerated.
To ensure that product data and traffic in that feed go to that specific product, set your bids for ‘Everything Else’ product groups lower than your designated groups. Discover which product groupings have the most potential for growth using Search Impression Share indicators.
To determine the best location for you, start with mobile advertisements before moving on to desktop shopping ads. Because Shopping ad bids differ from standard search bids in that they are placed per product or product group, you should start with a bid of $0.10 to $0.85, depending on the level of competition.
Beginner Tip: If you’re new to Google Ads, start with a tiny product data feed of your current best-sellers or a few of your highest-profit-margins products to get a sense of how they work and how to improve them before scaling up.
Step 3: Fine-tuning Your Google Shopping Ads
The key secret to a successful Google Shopping campaign, like any other PPC campaign, dynamic or not, is optimization. In the end, three important variables determine Google shopping success: feed generation and optimization, bidding strategy, and monitoring and optimization. The first two factors have already been explored, but when it comes to monitoring and optimization, we’re only getting started. Setting up and integrating your Google Analytics account is the first step toward effective optimization and monitoring.
Creating a Google Analytics Account and Connecting It
Linking Google Analytics to Google Ads, setting up conversion tracking, and getting the relevant reports are the three things you need to do to ensure you have access to the data you need to optimize for more sales. Here’s a quick guide to all three.
How Do You Connect Google Analytics To Your Google Accounts?
- Go to your Google Analytics account and log in.
- Navigate to the property you want to link by clicking on ‘Admin.’
- In the property column, choose Google Ads Linking.
- Linking Google Ads
- Select ‘+ NEW LINK GROUP’ from the drop-down menu.
- Click ‘Continue’ after selecting the appropriate Google Ads account.
What Is Conversion Tracking And How Do I Set It Up?
This can either be through the use of an eCommerce platform app or by manually adding code to your website. The simplest way to accomplish this is to use Google’s conversion setup procedure.
What Is The Best Way To Get Access To The Right Reports?
It’s time to look at the data for optimization after you’ve linked all of your accounts and begun running the initial ads. The Search Query and Product Performance Report Reports are the two most important reports to keep an eye on.
These reports can be set up immediately in your analytics account via your dashboard.
- Report on the Search Query:
- Report on Search Queries
- Report on Product Performance:
- Report on Product Performance
Step 4: Optimizing Google Shopping Feeds by Keeping Them Up To Date
Keeping your Google Shopping Product Feeds up to date is critical to the optimization and success of your Google ad campaigns. Google will not show your ads if your feed information is incorrect.
Setting up and maintaining your feed guarantees that you appear in the right searches, and the key to optimization and management is ensuring that you have set them up effectively from the start.
Let’s say you’re running advertising and your products generate a lot of impressions but a low click-through rate. You know Google finds your products relative because of the high impressions; but, the lack of clicks indicates one of three things: either your images aren’t attractive, your titles aren’t enticing, or – most likely – your product price isn’t competitive.
Here’s a breakdown of ideas for managing and A/B testing each part of your feed’s product information data for maximum optimization.
Your product titles should contain your core keyword or phrases, as well as the product name and model numbers, and should be no more than 150 characters long. You want to be as specific and clear as possible in your descriptions. Green cotton tennis socks, for example. In the end, your title, together with your photo, is the most important pull for potential customers and can make or break your campaign.
Descriptions of Products
Not only should your product descriptions be factual and concise, but they should also incorporate your most important keywords. You will ensure that your product descriptions are reviewed and updated if you manually loaded them.
Images of the Products
For Google Shopping ads, white backdrop photos are required, as well as the visibility of your thumbnail. Try A/B testing two or three images to see which one generates the most “interested” clicks.
Compare your product photographs to those of your competitors with Google’s Ad Preview and Diagnostics Tool.
Category of Goods
You can allocate your products to over 6k distinct categories and subcategories on Google. It’s critical to pick a category that’s as near to the product as possible, and we recommend looking over Google’s whole taxonomy list, which you can download here.
Type of Product
Although it is not mandatory, providing a product category is especially useful for individuals whose products do not entirely fit within Google’s categories. You can cut-and-paste your bread crumbs into the feed’s product type box if your site’s taxonomy is correct. Clothing > ladies > shorts > denim shorts, for example.
As previously said, ads will be performed separately for each country, therefore you must verify that not only the correct pricing is displayed, but also that it is in the correct currency.
Step 5: Improve the Quality Score of Your Product Listings
Your expected or existing CTR, the relevance of your ad, and your URL or product landing page experience all go into the quality of your product listings for Google Shopping Campaigns. To ensure that your advertising is constantly relevant, make sure your product feed information is correct. You must check that your destination product page URLs are active and free of 404 errors, as well as that the product description and names correspond to the content of the product pages to which customers are being directed when they click.
For example, if your product has a high CTR but few conversions, this not only indicates to Google that your product listings aren’t relevant, but it also indicates that your ROIs will suffer. Examine your competitors’ product pages; do they provide free shipping, warranties, discounts, or any other benefits that you don’t?
Because Google considers your ad history connected with your Product IDs, you want to make sure that while you’re optimizing, you only maintain the product IDs of high-performing ads. Changing Product IDs will reset your product scores, allowing you to ‘erase’ the performance of low-performing products.
Step 6: Bid Optimization
As previously stated, you should start your bids low and gradually increase good performers 1-3 times a week until you hit your ROIs. To maintain your ads operating at their best, you’ll need to check and alter them every week. So, how can you tell if your bids are too high or too low?
If you’re getting few impressions, it’s a hint that either your product feed information isn’t clear or, more likely, your bids are too cheap. In these circumstances, we recommend that you review your titles, categories, and descriptions, as well as your bids, to ensure that your bids, not your feeds, are the source of your low impressions.
Although certain goods in the group will have heavy competition, ensuring that bid increases aid ad effectiveness, large product groups may also contain low-competition products, resulting in you paying more for listings without seeing an improvement in your results.
When it comes to Google shopping, it’s critical that you optimize and adjust your bids in small increments, and that you don’t increase or decrease your bids by more than 20%. Instead, make minor tweaks and remove unprofitable products from groups entirely.