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The Cost to Buy Google Shopping Ads: What You Need to Know - how shop online

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Google Shopping Ads are worth the investment if you know how to use them. 

Are you considering running Google Shopping Ads? 

It’s an interesting option for your e-commerce store, but before you dive in, there are a few things you should know. 

Because much like the fishing adage, the only bad ad is the one that’s not running.

google shopping ads

What are Google Shopping Ads?

For starters, Google Shopping Ads is a new advertising method. In fact, they’re brand new in the US market.  

When first introduced, they were only being launched in 11 US States and 29 countries around the world.  

Right now, Google Shopping Ads are currently everywhere — including Canada, France, Germany, Italy, Spain, and the UK.  


What is the ROI on Google Shopping Ads?  

If you sell a product, you want the most customers possible.  And Google Shopping Ads help increase the number of customers you can bring to your website.  How?  

By leveraging demographic information on your customer base and advertising on search engines that attract your audience


How do Google Shopping Ads work?

The way Google Shopping Ads works is that Google looks at the data from your e-commerce store, like page views and click-throughs to different pages of your site, and then determines what products are likely to be linked to your store.  In other words, Google essentially scans your site for different products. It then displays these products in the Google Shopping Ads if they show a high correlation to your products.  I’ll come back to that in a moment. 

First, let’s talk about what you should know before running a Google Shopping Ad campaign.  

How do you get Google Shopping Ads?  

If you sell products on your site, the first step is to set up a Google Shopping Ad account.


Ad Extensions

First, an ad extension is an extra (non-removable) part of the ad that’s created to help a user experience and optimize conversions.  The most common ad extensions are featured snippets, product images, and navigation links.  

They help your ad stand out in the SERPs (search engine results pages), which brings in more organic clicks (fans) from your visitors.  If a visitor clicks on your ad, and Ad Extensions Manager shows up in your dashboard.  

In addition to the usual (removable) banner ads, these show up at the top of the landing page.  

Click on the Add Extension Manager to display the available ads and change the ad type (shopping, search) or add your own.  

One thing to keep in mind: Google Shopping Ads don’t work in certain formats.


What does a Google Shopping Ad cost?

Before you run any type of AdWords campaign, you should always take some time to measure the ROI of your ad campaigns.  

If you run AdWords or any other online advertising platform, Google has an excellent tool to do this for you.  

It’s called Analytics for AdWords, and it will analyze your campaign data to give you a better sense of how it’s working for you.  

We ran Google Shopping Ads a couple of years ago when we launched our Buyer’s Agent program.  

One of the things Google Analytics showed us was that Google Shopping Ads increased conversions for our Buyer’s Agent business by 200%!  But while Google Analytics tells us that this paid off in the short term, it may not be the right advertising solution for you long-term.  Our customer conversion data from AdWords is in the millions.


Cost of a product ad

Google Shopping Ads are currently the cheapest ad-buying option out there.  With paid search, the cost depends on a number of factors:  

  • Volume of traffic  
  • Type of queries  
  • Uptime  
  • Timing of launches  

What to Consider, There are two main types of Google Shopping Ads: product ads and shopping ads.  

In order to get the maximum return from your e-commerce ads, it’s important to know what each type is capable of.  

Product ads are a great way to get in front of people who are shopping for an actual product and need to make purchases.  When working with this ad type, you don’t need a product, and people who see this ad don’t know what product you sell.  

The key is that you set the price. People can then click and buy the product.  

A good example would be e-commerce stores selling face creams.


Cost of a shopping ad

Google Shopping Ads are reasonably priced.  For example, you could get a landing page campaign that works best for your site with a budget of $20 per day or less.  If you need more clicks than that, you can tack on a few dollars a day (or even $0.05/click) on to that.  

There are some larger ad formats, like an Instagram Feed Ad and a Full-Text Text Ad, which could cost $35 or more per day.  

But you could get a much cheaper ad with no text at all and still get some traffic.  

If you don’t want to spend money on advertising, you can do a shoppable product list ad.  Even with that, your cost per click will be a bit higher.  For example, $0.01/click will get you a shoppable list ad.  

A shopping ad is a great way to get traffic from the search engine for your e-commerce store.


How can I get started with Google Shopping Ads?

  1. Google Shopping Ads are easy to get started with, Here’s what you need to do:  
  2. In Google Search Console, create a product page for your Google Shopping Ads campaign. 
  3. Fill it out with information about your products and make it look like your main store listing. 
  4. In Google Shopping Ads, click the “Create Shopping Ads” button. 
  5. Give the page a descriptive title, click the “Create Shopping Ad” button, and choose your campaign type. 
  6. Choose your destination for the traffic you’ll receive. 
  7. For this example, let’s use your Google Search Console URL. 
  8. On the following screen, click the “Create Shopping Ad button.” 
  9. Choose your product category and shipping method. 
  10. Enter a conversion target, the product you’re selling, and the price you’re willing to pay.

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