Google product listing ad proved its effectiveness already ever since it was available free as organic search result in the past. However, since it becomes a paid service, there is a doubt whether it still is a cost effective service over other sponsored Google services. The result is that it still is very cost effective solution and it becomes one of Google’s popular ad channels.
However, since it is paid service, there is no guarantee that this ad gives you a positive return. Thus, SEM manager needs to dig deeper on how to optimize ad performance and if possible, manages bid by cost per conversion or ROI. Because of this goal, more advertisers start tracking ad performance by product level instead of ad summary of all products. Once this ad is managed by product level, advertisers also need to manage bid by product level. Thus, we thought it is a good idea to show advertisers how to turn product ad summary into lines of product based ad and manage product level bidding by pay per click bidding software.
To list your product image on Google.com, you must have a Google Merchant account with a linked Google AdWords account. Here is how to link your AdWords account to your Merchants account.
- Log in Google Merchants account
- From the dashboard screen, click ‘Settings’ link on the left pane.
- Click ‘AdWords’ link and enter your AdWords customer ID.
Once you have your Google Merchant Center and Google AdWords accounts linked to it, follow these steps to create a new campaign (stand-alone) to run your Product Listing Ads and manage bidding by product level.
- Create a ‘Search Network only’ campaign from your AdWords account.
- From campaign setup screen, choose ‘Product listing ads’ for Campaign Type.
- Set ‘Default bid’ and Budget, and click ‘Save and continue’ button to set up AdGroup.
- Set AdGroup name and fill out optional ‘Promotion’ field. From ‘Auto targets’ section, uncheck ‘All products’ option and click ‘Save AdGroup’ button. By default (if ‘All products’ is checked), Google would create an AdGroup targeting ‘All products’ in the feed file with one bid price. That means you do not have any control managing bid prices by product level.
- Your will be automatically led to ‘Auto targets’ page. Click ‘+ Add product target’ button and then you are allowed to add product target.
- Select an attribute and enter the attribute value from Google Merchant Center feed file, and click ‘Validate’ button. Repeat it until you finish adding all your products. Google provides 6 different attributes, and you can choose ‘id’ or ‘adwords labels’ to manage bid by individual product level. If you want to manage bidding by group of products, ‘adwords grouping’ can be a good option. Keep in mind that these values must match the values in your Google Merchant Center feed exactly. To utilize ‘adwords labels’ and ‘adwords grouping’, your product feed file must have optional attribute columns with values.
- Now you can see the list of all products with individual bid fields, and you are ready to manage bidding for Product Listing Ads by product level.
There are a few major PPC management software, but it is not clear how many vendors support product level bidding for Google product ad. One of them is ClickSweeper PPC Management Software, which provide ROI bid management function which updates daily bid by cost per conversion or keyword ROI goal.
Once product ad is available from the screen of bid management software, you need to calculate cost/conversion that can achieve positive return after subtracting all expense where it includes ad spending and product cost. As for ROAS, 100% is equal to ad spending. Thus, adding product cost and target return will target ROAS goal at least 200% or higher.
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