What are Google Shopping Ads and How Do They Work?

January 9, 2023

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Across industries, the average ROI for a Google AdWords Shopping campaign is a whopping 200%. For every dollar spent on a shopping campaign, your business would see two dollars in increased revenue. No other PPC advertising network can boast those numbers, and it’s no wonder. There are over 3.5 billion that take place on Google every day. If you want to get your products in front of as many leads as possible, Google is where you want to place ads for your business.

Our digital marketing experts at Australian Internet Advertising know how to craft a successful Google Shopping ads campaign to get you the best ROI for your brand. With a professional Google AdWords shopping campaign, you’ll get the following benefits:


  • Increased Traffic to Your Website – 65% of customers click on ads when purchasinggoogle adwords shopping
  • Qualified Leads – 66% of buyer-intent keywords are paid clicks.
  • Broader Presence – Shopping ads boost brand awareness 80%
  • Retail-centric Campaign Management
  • Competitive Data and Detailed Reporting – 33% of searches have local intent.




The following article will explain what Google AdWords shopping campaigns are, how they work, and how they can skyrocket your business growth.

Sell Your Products Online with Google Shopping Campaigns

First, let’s explain what a Google shopping ad is.

A shopping ad showcases your product’s information in a way that prompts the viewer to interact with it. The ad will show the product’s image, price, your business name, and any other valuable information you wish to convey to the viewer. Once the ad is clicked on, it will take the viewer to your landing page. This, in turn, increases your website traffic. All you need to get started with a shopping campaign is an AdWords account.

In your Google AdWords account, a wealth of data is available to you indicating how well your ads are performing. You can easily pivot your strategy or tweak your ads based on what the data tells you. Shopping campaigns enable you to manage and optimise your shopping ads frequently so you can get the best ROI.

How do shopping ads work?

While most advertising platforms utilize keyword-rich data to place and show ads, Google shopping ads work based on your product data in the Merchant Center of your AdWords account. The product data you’ve already submitted to the Merchant Center contains all of the information Google needs in order to place your shopping ads accurately. Google matches the viewer’s search for the most relevant products in your ad line-up.

Google shopping ads are a lot different than the traditional text ads you’d typically set up in Adwords. Google picks when and where your shopping ads show up based on your feed, website, and your bids to determine which customer search queries will trigger your ads.

Your shopping ads are managed in your AdWords account using Shopping campaigns. Shopping campaigns organize and promote your Merchant Center product inventory inside AdWords. Your AdWords account is where you can set your budget for a campaign, manage bids, and gain insight into how the ads are performing and can tweak if necessary.

Where do the ads appear?https://aia-blogs.aiad.com.au/wp-content/uploads/2018/06/shopping-ads.jpg

Your Google shopping ads will appear in four places once a relevant customer search query triggers them.

  • Google Shopping
  • Google Search next to the search results but separate from a text ad
  • Google Search Partner websites, like Youtube and Image Search if you have your campaign set to include Google Search Partners.

Why should you invest in a Google Shopping ads campaign?

Google shopping ads are becoming more and more popular with businesses and customers alike. Marketers have increased their Google shopping ads by 13% year-over-year. There are over 40,000 search queries entered into the Google search bar every second. The sheer amount of qualified leads you can find on the Google search network and its partners is staggering.

Since 2016, Google has once again, changed its algorithm, and showing shopping ads to targeted customers is a top priority for Google and its partners. Since then, Google’s been rolling out new and improved formats and features specifically for its shopping ad campaigns that enhance a product’s discoverability.

Did you know that over half of the search queries take place on a mobile device? Google shopping ads are formatted for mobile-responsiveness and optimal mobile viewing. Meaning your products will present more professionally on the Google shopping ads platform than other PPC competitors. Shopping ads dominate on mobile viewing devices and are prominently displayed, prompting the viewer to scroll through the product line.

Also, Google shopping ads are visually appealing, and viewers are more likely to interact with an image or a video than with static content. Shopping ads are the perfect medium for giving viewers an enjoyable online shopping experience. Online shopping predominantly relies on visual aesthetics, and Google shopping ads focus on the product’s image along with the price.

Why should you invest in a professional Google Shopping Ads campaign?

While Google makes it easy to open an account and enter your product data in the Merchant Center, crafting an advertising campaign that’s effective takes knowledge and expertise. Your data feed, images, and product titles and keywords need to be optimised for the most significant ROI, and it takes time to do this.

Furthermore, Google ads aren’t something you can set up once and be finished with it, letting it run on autopilot. Google ads require ongoing maintenance and monitoring to make sure your campaigns are drawing in traffic and converting. 72% of digital marketers are increasing their Google ads spending this year because it is the most cost-efficient way to get in front of as many qualified leads as possible.

Our team of digital marketing experts at Australian Internet Advertising know what it takes to craft a winning Google Shopping ads campaign for your business. We’ll get your products in front of qualified leads, increase traffic to your site, and grow your brand awareness. If you want to see massive growth for your brand today, contact us at Australian Internet Advertising and see what we can do for your business.

Billy P.

About The Author

William Polson founded Australian Internet Advertising in 2013 and has over 12 years of experience immersed in Digital Marketing.

With an in-depth level of digital marketing knowledge, William has been sort after by and worked for, many large national brands including Subaru, Blooms The Chemist, and Nova 96.9.

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