This week I am going to look at a new ad type that was recently rolled out, Product Listing Ads.
If you are a retailer, these new, compelling ads can bring in targeted traffic, by directly utilizing you ad feeds.
Let’s look at what they are, how to incorporate them, and some additional insight on tracking and more.
Product listing ads are an ad type, so realistically they can be added to any or every ad group. In this scenario, for a particular query you can serve a text ad or a product listing ad. You can also setup independent campaigns and ad group targets to better measure the results. We recommend setting up separate campaigns for product listing ads so their activity, budgets, and performance can be measured effectively.
Product listing ads are similar, but different, than product extensions.Both utilize the shopping feed associated with your Google Merchant account, which is then linked to your Adwords account, by completing settings on both sides of the connection.
While product extensions, show images and prices of a selection of products, once someone clicks on the plus box next to your ad, product listing ads include a single item and appear in the valuable upper right-hand corner of the Search Results page, as just the image and price, along with a brief tag line, and display URL.
To make the Product Listing ads work to their full potential, Google has taken some additional steps with incorporating your Shopping feed into your advertising. They do not target keywords, nor sites, not even site defined audiences like remarketing, they target what is aptly named “Product Targets”.
You can find this as a new tab in your AdWords account, called Auto Targets, if not,look to the button with the downward arrow at the end of the list of tabs and check the box next to Auto Targets.
This tab will allow you to align your product feed directly with specific advertising targets. You can filter your feed by existing attributes, including brands, product_type (or categories), and condition (if you want to target refurbished electronics or the like). They have also added two new categories merchants can incorporate into their feeds to directly correlate with the advertising structure, including adwords_grouping & adwords_labels. Grouping is a hierarchal attribution, that allows for a single category (including a campaign or ad group). Labels, can be a collection of terms, separated with commas that can then align products with certain seed key terms.
Google has also allowed for some pretty sophisticated bidding, with updates made to the conversion tracking. There are two options when you utilize product listing ads: Cost-per-click (CPC) and Cost-per-acquisition (CPA). The CPC model will be familiar to most advertisers as you bid on certain products in your feeds (if they are defined by specific attributes), and then keep all revenue generated.
CPA model will let you bid on how much you are willing to pay for a sale. These are going to be priced higher than clicks, but you won’t be charged for all of the traffic that comes to your site. To do CPA bidding on Product listing ads, updates will need to be made to your conversion code, so you can pass along products sold, quantities, Order ID, and other metrics beyond revenue.
For the CPC model product listing ads, we have noticed conversions are not being tracking within Adwords. Google has mentioned updates can be made through the merchant center account, to append product URLs, which can then be tracked through analytics. In the past we have found this method to track some activity, but not all of it.  We hope to see conversions to be tracked through existing AdWords conversion code, and bring that information directly into the UI as it is with other ad types.
I hope this video has been helpful!
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Thank you, this has been Chris for Exclusive Concepts Daily Concept: PPC Tuesday. I look forward to talking to you next time.