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Struggling with large data feeds and high CPC in Google Shopping

VBE
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# 1
VBE
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I have approximately 10k products sitting in google merchant.  My shopping campaign CPC is costing me way too much on a per acquisition basis.  Any advice on driving these costs down?  Bidding more and selling nothing is not an ideal way to run a business.  

1 Expert replyverified_user

Re: Struggling with large data feeds and high CPC in Google Shopping

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# 2
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Hi Kevin,

Welcome to adwrods community.

You need to optimize your google shopping campaign so that you can reduce cost.
1. Download campaign serach term report form dimension tab and find negative keywords and add them into the campaign so that you can prevent all unrelevant clicks.
2. Download item report under dimension> shopping tab and find out on which product id you are getting click but no conversion, exclude all those items from campaing.
3. Download user location report and and try to add your bid on those location where you are getting click but no conversion.
4. Check your device report and take action according to them.
5. Try to retarget those audience through dynamic remarketing who have visited your website.

Hope it helps you.

Re: Struggling with large data feeds and high CPC in Google Shopping

VBE
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# 3
VBE
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That doesn't really help me.

Re: Struggling with large data feeds and high CPC in Google Shopping

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# 4
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Hi Kevin

 

As @sumanppc stated, optimization is the best way to attract the correct buyers and avoid non conversions.

 

This can be done at feed level and account level.

 

Within your feed, ensure you are providing accurate titles and descriptions, nothing that would have your items found for less relevant searches which can result in a non converting click. 

 

You can also include negative keywords, which can help with relevancy results. 

 

https://support.google.com/ds/answer/4601299?hl=en

 

Within your account levels, have you broken down your campaign into product groups? 

 

If not, then you can do this, this will allow you to bid with more control over higher/lower priced items. It will allow you to focus your money of the higher ROI items, and lesser on those less popular, or that provide a lower ROI. 

 

You may also need to take a look at your landing page, there may be something putting the user off purchasing when they arrive on your site? It is hard to advise on individual accounts, without knowing the exact set-up, but these would be the first steps that I would take tackling the situation.

 

Increasing your bids is one way to go, however, relevancy plays a huge part in shopping campaigns as keywords are not used, so feed quality is imperative.

 

Tom Wilson
Freelance Adwords & Google Shopping Consultant

If you find this or another response helpful within the forum "please accept as solution" to further assist and direct others.

 

Re: Struggling with large data feeds and high CPC in Google Shopping

VBE
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# 5
VBE
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I remember running older campaigns and getting hundreds of clicks for .01 - .05 and spending nothing. Now benchmark cpc etc causing clicks to cost upwards of .50, which is ridiculous. If you optimize a feed will that drive your ad higher up in shopping listings or does bid do that? How important is google category? If I throw a block of products into one generalized category could that hurt me? I have heard people say that as long as you have all the correct data and a google category..bid is all that matters.

Re: Struggling with large data feeds and high CPC in Google Shopping

[ Edited ]
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# 6
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both bid and quality determine outcomes in the auctions (shopping listings).

both benchmark-ctr and benchmark-cpc can help determine
which factors (bid or quality) may need more attention --
but both are always factors.

either an increase in quality or an increase in bids by
other merchants generally means that the auctions
have gotten more competitive.

yes, optimizing a feed can drive an ad higher up in the listings.

optimization can take many forms; including, improving the quality
of all existing attributes, adding additional relevant information,
and removing any invalid, irrelevant, or existing information that
does not adhere to the current guidelines or recommendations.

google_product_category and product_type attributes are important in two ways:

(1) quality -- accurate, relevant, and valid information can, for example,
help google assign search-terms to more relevant products, which can
increase quality and therefore performance in the auctions over time --
without a bid increase; importantly, conversely, inaccurate, irrelevant,
invalid, or generalized taxonomy category information can, for example,
confuse google and result in lower quality and therefore performance
in the auctions over time; which may be corrected by attacking the
specific underlying issue or indirectly by increasing the bid.

(2) bidding strategies -- product-groups can be created from both attributes;
product-groups can then drive a highly effective bid strategy for the auctions,
especially if a very large inventory is involved; of course, poorly designed
product-groups with too many broad categories or categories that do not align
with an effective bid strategy can result in poor performance in the auctions,
especially if other merchants are creating effective taxonomy-based strategies
such as bidding higher or lower on seasonal categories, for example.

both quality and bid strategies should be kept in mind for product-group
related attributes -- generally, the lowest-level, relevant, value is best.

simply bidding higher if quality is lacking will typically result
in only a short-term gain -- especially if other merchants in the
auctions have a much better ctr and are actively improving quality
and adopting more competitive bidding strategies over time.

also consider the website and overall business ratings and performance.

 

another measure to consider relates to inventory size, ad costs,

and the effectiveness of any changes; google does not require that

all physical inventory be submitted -- if other methods do not result

in lowering costs, consider removing specific very poorly-performing

items from the data-feed, at least on a temporary basis; or, if the

overall marketing-budget allows, use them as an opportunity to

verify which changes are the most effective at lowering ad costs

or increasing their return-on-investment.

click-through-rate, relevant and irrelevant clicks, the relevance of all
attributes submitted in a feed, product groups, website landing-pages,
and the overall historic performance in the auctions, can all have an
enormous effect on quality, both by helping or hurting, and therefore
on the cost of an ad over time.

consider a small group of items that have significantly increased ad-costs;
take as many measurements as possible, concentrate on improving their

overall quality or trying a different bid strategy; then take the same similar

measurements after each change to the feed, negative-words, website,

account details, or bid strategy, to see if each specific change has hurt

or helped over time.