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Increased Bids in shopping campaign, sales nosedived

Explorer ✭ ☆ ☆
# 1
Explorer ✭ ☆ ☆

Hello to everyone reading my question (also to those not reading!). 

What I am going to ask may sound outlandish but I experienced it first hand. The other day (Jan last week) I increased bids in one of my shopping campaigns and almost instantly the campaign was transformed from a marquee campaign to below ordinary! Has not recovered yet. My question is - 1. is it a common phenomena or is lesser so? 2. Will moving a product from category to another hamper performance or will remain as it is?

 

Thanks in advance for viewing this post and answering.

 

Best

Ajay

1 ACCEPTED SOLUTION

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Marked as Best Answer.
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Accepted by topic author Ajay S
September 2015

Re: Increased Bids in shopping campaign, sales nosedived

[ Edited ]
Participant ✭ ✭ ☆
# 2
Participant ✭ ✭ ☆

Hi Ajay,

 

In what way has your performance been affected? Costs higher? Lower traffic?

 

I have not experienced any problems with poorer performance by increasing the campaign budget, however, by increasing the bid amount, alone, this can affect performance as your daily budget is then reached sooner and therefore your ad is shown less.

 

For instance

 

- Reducing the bid amount, increasing your budget, allows for you ads to be shown more often until the budget is reached. 

- Retaining current bid and increasing daily budget, again, will allow your ad's the chance to be shown more often.

- Raising bids and retaining current daily budget, your ad's will eat up your budget sooner than they previously did, which may miss clicks later in the day, when you may have been achieving your most traffic.

 

When you say moving from one category to another, can you elaborate on this?

 

Do you mean category as in Google_Product_Category ?

 

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.

View solution in original post

Marked as Best Answer.
Solution
Accepted by topic author Ajay S
September 2015

Re: Increased Bids in shopping campaign, sales nosedived

[ Edited ]
Participant ✭ ✭ ☆
# 2
Participant ✭ ✭ ☆

Hi Ajay,

 

In what way has your performance been affected? Costs higher? Lower traffic?

 

I have not experienced any problems with poorer performance by increasing the campaign budget, however, by increasing the bid amount, alone, this can affect performance as your daily budget is then reached sooner and therefore your ad is shown less.

 

For instance

 

- Reducing the bid amount, increasing your budget, allows for you ads to be shown more often until the budget is reached. 

- Retaining current bid and increasing daily budget, again, will allow your ad's the chance to be shown more often.

- Raising bids and retaining current daily budget, your ad's will eat up your budget sooner than they previously did, which may miss clicks later in the day, when you may have been achieving your most traffic.

 

When you say moving from one category to another, can you elaborate on this?

 

Do you mean category as in Google_Product_Category ?

 

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: Increased Bids in shopping campaign, sales nosedived

Explorer ✭ ☆ ☆
# 3
Explorer ✭ ☆ ☆
Thanks Tom, nosedived as in the CPC jumped up about 5 times (from 6-7 cents to 30 cents per click) and sales really dried up big time by around 50-60% in Feb, just after I increased bids.

By changing categories I meant just subdividing them further in Adwords as there are some options there AND/OR 'un-subdividing ' products into a bigger lot, does that makes sense please? Let me know if you need more info.

Re: Increased Bids in shopping campaign, sales nosedived

Participant ✭ ✭ ☆
# 4
Participant ✭ ✭ ☆

Hi Ajay,

 

No problem, I assume you raised your bid to reflect this new CPC? 

 

If, like I said in my previous reply, your budget was being met, then your available traffic to your site through your ad's would be reduced, so I would expect a certain level in drop of sales. Have you tried increasing your budget and only raising your bids slightly to allow for further clicks at a more manageable daily spend?

 

Creating product-groups for your items can help in better monitoring your spend on any particular group of items, be that a certain brand is more lucrative for you, choosing to spend a higher CPC on these will return a better ROI than using your budget on unprofitable items. However, ensure if you do this, you do not have the same items active within another ad-group, as this will result in competitive bidding. 

 

Speaking from a personal and professional view on this, I feel it is a value to have product-groups, but, its direct reflection in terms of performance is open to users own interpretation. Bidding and feed quality, along with the obvious, landing page and abidance to policy etc.. would be my main recommendation in terms of increasing performance, however, being able to see where in your account needs improving can obviously aid in this process.

 

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: Increased Bids in shopping campaign, sales nosedived

Explorer ✭ ☆ ☆
# 5
Explorer ✭ ☆ ☆
Thanks again Tom, I am trying to follow your instructions starting today - to incr bids slightly and incr budget to accommodate the increased bids- and others you have mentioned, will get back with the results soon. Appreciate your time and effort. Thank you.

Re: Increased Bids in shopping campaign, sales nosedived

Participant ✭ ✭ ☆
# 6
Participant ✭ ✭ ☆

Never a problem Ajay.

 

Yes, please do let me know how you get on.

 

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: Increased Bids in shopping campaign, sales nosedived

Explorer ✭ ☆ ☆
# 7
Explorer ✭ ☆ ☆
I will Tom, is there any other way I may contact you apart from this forum?

Re: Increased Bids in shopping campaign, sales nosedived

Participant ✭ ✭ ☆
# 8
Participant ✭ ✭ ☆

Hi Ajay,

 

If you want to reach me for anything that you feel I cannot assist you with here, you can check out my profile for communication links.

 

Tom