Does Google Ads Really Work?
First things first, does Google Ads actually bring results? Well, there are no two ways about this: yes, Google Ads works without a shadow of a doubt.
There’s a reason that Google has managed to become one of the biggest businesses in the world, and that’s because people keep investing money in Google Ads. While Google makes money from a number of sources of revenue, their biggest source is through advertising:
In fact, even Google themselves say that their major source of revenue is through advertising. Of course, this implies that businesses and marketers are continuously investing in Google Ads, which also means that there is worth in making use of the platform.
In other words, no one is going to spend money on something that doesn’t work. So, no matter how you look at it, Google Ads actually works, and sometimes works very well, helping brands become successful and reaching more customers than ever before.
This, of course, comes with the caveat that they work only if you know what you’re doing. If not, then maybe you should let us handle your paid advertising for you. Contact us now and get a free 30-minute audit of your current campaigns!
How Much Is Google Ads Per Month?
The cost of Google Ads isn’t something that’s constant across industries; in fact, companies operating in different industries will have to invest different amounts depending on the overall competitiveness of their niche.
And that’s just one factor in the equation: other factors include your Quality Score (which is a metric developed by Google which essentially measures the quality of your ads), the kinds of ads that you decide to make use of, and even the size of your business (smaller businesses will necessarily spend less than bigger ones, and vice versa).
When you decide to contact us, one of our services includes helping you decide how much to spend on Google Ads by diving deep into your niche, figuring out your best keywords, and then working our way from there. We’ll also take your finances into account, making sure that your ad budget won’t break the bank but will be significant enough to make a difference.
Before we close off this section, you might be wondering if there are any actual numbers that we can refer to that might give you a better idea of the sorts of costs you’re dealing with, and the good news is yes! there are plenty of studies carried out that measure the cost of Google Ads.
For instance, a study conducted by WebFX, where they asked 350 marketers on their Google ad spend, found that costs range from $100–10,000 per month. On the other hand, research conducted by WordStream found that the average CPC (cost per click) for the “Shopping, Collectibles & Gifts” industry was $2.44 while that for the “Apparel/Fashion & Jewelry” was $2.72, which is on the lower end of the scale.
What Is a Good ROAS for Google Ads?
One of the most important goals that we need to always keep at the top of our mind is having a great ROAS (return on ad spend). In other words, that’s a simple calculation of how much money you’re receiving thanks to Google Ads versus how much you’re spending on the platform.
Of course, this will also depend on the industry that we’re operating in. In certain highly competitive industries, getting a decent return will be extremely difficult, and it’s not uncommon to have to be satisfied with a ROAS of around 50% (essentially, getting $1.50 over every $1 you spend).
Other industries, however, don’t have to stick to these tight profit margins, and will naturally see ROAS between 200%–400%. Heck, Google’s own research suggests that, on average, companies make a ROAS of about 800%!
But let’s not get ahead of ourselves. A realistic goal would be maintaining a ROAS between 200%–400%. In other words, this means that for every dollar spent, you’re making between $2–$4, which is a very good return on your investment.
What Is a Good Conversion Rate for Retail Google Ads?
Another important metric that should also be borne in mind is conversion rate. This is essentially a calculation of how many people clicked on your ad versus how many people converted (that is, performed a desired action, like a purchase or filling in a form) after clicking on your ad.
It’s important to keep it in mind because it essentially measures the effectiveness of your landing page to convince your visitor. This is different to CTR (click-through rate), which is the number of people who clicked on your ads versus how many times your ad has been seen, and which pretty much measures the effectiveness of your ads.
The importance of conversion rate comes from the fact that converting users are what drive your revenue and are the whole point of why you’re using Google Ads in the first place. The higher your conversion rate, the higher your ROAS, and hence the more money you’ll be making overall.
Now, if we’re looking at actual numbers, WebFX states the average conversion rate for Google Ads is 3.75%. On the other hand, research by LocaliQ shows that the average conversion rate for the “Apparel/Fashion & Jewelry” industry is 1.57% while for the “Shopping, Collectibles & Gifts” industry the average conversion rate is 3.69%.
Of course, we want to aim for a conversion rate that’s higher than average, which is actually possible, but difficult. The top 25% of companies boast conversion rates of 11.45% but these companies have massive ad budgets as well as great brand awareness, so always bear that in mind.
Why Are Google Ads Important for Retail?
Google Ads are important for your retail business because not only do they have the potential to bring new customers to your store, but they also increase your brand awareness, which means that you’ll naturally gain more customers over time as you start to build a loyal clientele.
And this can be done through the intelligent use of Google Ads: by implementing a smart paid advertising strategy that leverages all of the Google Ads best practices, we can transform your business, making it more profitable than you can imagine. These best practices include:
- Chasing keywords that are high in buyer intent and low in competition
- Targeting users that have actively displayed an interest in products like yours
- Remarketing to users that have already been on your online store but haven’t made a purchase
- Making use of campaign types that align best with our goals
Using practices like these, and many others, is a recipe for success that has helped us push brands like yours to profitability.
Other than this, we cannot fail to mention the fact that Google Ads gives you a lot of budgetary control as well. If you feel like Google Ads is weighing down too much on your finances, then you can always reduce your budget; on the other hand, if you want to be more competitive or increase the number of keywords you’re advertising on, then we can always increase our bid and budget.
Finally, while other forms of marketing struggle with representing metrics that truly measure the performance of your marketing efforts, Google Ads provides a lot of data that portrays the performance of your campaigns in full detail. And this is not to mention the use of Google Analytics, which provides even more data on how users are interacting with your site, which also helps us with our optimizations.
All in all, we have no other choice than to conclude that Google Ads are worth the money and that including them in your retail advertisement strategy is a great idea.
How We Guarantee the Best Google Ads for Retail
Now that we’ve got all of that out of the way, how do we use our skills and expertise to make your brand stand out in the noisy retail industry?
There’s actually a lot of processes that go on behind the scenes when we work our magic, but for the sake of this page, we’re going to break it down into 3 broad steps. Of course, if you decide to use our services, we’ll explain every little detail about our work so that you know exactly what you’re paying.
And before we go, it doesn’t matter if the solution you’re looking for is either Google Ads for Etsy stores, Google Ads for Amazon stores, Google Ads for Shopify stores, or even Google Ads for eBay stores: we believe our Google retail ads services will help you out just the same.
Step 1: Decoding Your Retail DNA: A Deep Dive into Your Niche
Forget cookie-cutter campaigns. In the dynamic world of retail, a one-size-fits-all Google Ads strategy spells disaster. To unlock explosive growth, we embark on a deep dive into your retail niche, unearthing the golden nuggets that will fuel high-performing campaigns.
Here’s how we become retail detectives for your business:
- Product Proficiency: We don’t just manage ads, we become connoisseurs of your products. From the intricate details of a diamond necklace to the technical specifications of a gaming laptop, we’ll steep ourselves in your inventory. Understanding your products’ unique selling points (USPs) allows us to craft Google Ads that resonate with your target audience.
- Target Audience Profiling: Who is your ideal customer? The tech-savvy Gen Z’er hunting for the latest sustainable clothing brand? The busy professional seeking convenient same-day delivery for groceries? We’ll build a comprehensive profile of your target audience, including their demographics, shopping habits, and online behavior.
- Competitive Espionage: Knowledge is power, especially when it comes to your competitors. We’ll analyze their Google Ads strategies, identifying their strengths and weaknesses. This intel allows us to craft campaigns that stand out, highlighting the unique value proposition your store offers.
- Seasonality and Trends: Retail is a living, breathing entity. We factor in seasonal trends and buying patterns to ensure your Google Ads are relevant year-round. For example, if you specialize in outdoor gear, we’ll ramp up campaigns before peak camping season and tailor messaging to target winter sports enthusiasts during colder months.
Goal Setting with Laser Focus
Once we have a deep understanding of your retail niche, we’ll collaborate with you to define specific, measurable, and attainable goals. That way, we make sure that we’re all on the same page and can track progress effectively.
Whether your primary objective is driving online sales by X%, increasing in-store foot traffic by Y%, or achieving brand awareness within a specific demographic, we’ll craft a Google Ads strategy designed to deliver those results.
By taking this in-depth approach to Step 1, we lay the groundwork for Google Ads campaigns that are laser-focused on reaching your ideal customers, promoting the right products at the right time, and ultimately supercharging your retail success.
Step 2: Building Your Retail Sales Arsenal: Beyond the Basics
When we build Google Ads campaigns, we go beyond generic tactics that are a dime a dozen; these won’t make a difference in your paid advertising. Instead we construct campaigns that will leverage all of the tricks and best practices that will make your ads outrank your competitors’.
Here’s how we go beyond the typical tactics to create Google Ads powerhouses specifically designed for your niche:
Shopping Ads: Product Photography that Sells
Forget generic stock photos. We’ll work with you to ensure your Shopping Ads showcase your products in the best possible light. This might involve high-quality lifestyle photos for apparel stores, detailed close-ups for jewelry retailers, or immersive 360° views for furniture stores.
We’ll also craft compelling descriptions that highlight your USPs and use targeted keywords to ensure your ads appear at the top of relevant searches.
Keyword Targeting: A Multi-Layered Approach
We go beyond basic keyword research. For retailers, understanding buying intent is crucial. We’ll use a multi-layered approach to identify not just what people are searching for, but also the stage they’re at in the buying journey.
This allows us to target high-intent keywords for those close to purchase (e.g. “buy Altra brand running shoes”) while also capturing early-stage browsers with broader, informative keywords (e.g. “best running shoes for road running”).
Location, Location, Location: The Power of Local Inventory Ads (LIAs)
For brick-and-mortar stores, LIAs are a game-changer. We’ll leverage these powerful tools to showcase your local inventory directly within Google Search results.
Imagine a customer searching for “mountain bikes near me” and seeing your store’s ad with real-time stock availability for the perfect trail bike. LIAs are a one-two punch, driving in-store traffic and conversions.
Remarketing Magic: Reignite the Spark
We all know the sinking feeling when you realize a customer has abandoned their shopping cart. But what if you could reignite that spark and bring those customers back? Our dynamic remarketing campaigns do exactly that.
We’ll tailor messages based on the products a user viewed, enticing them to complete their purchase or explore similar items. This is a powerful tool for reminding potential customers about the amazing products they discovered in your store.
Bonus: Leveraging Shopping Feeds for Maximum Impact
A well-optimized Google Merchant Center feed is the engine that powers your Shopping Ads. We’ll work with you to ensure your product data is accurate, complete, and includes all the relevant attributes that Google considers when ranking your ads.
This includes high-quality images, clear descriptions, competitive pricing, and accurate stock levels. By optimizing your feed, you ensure your products are presented in the best possible light and reach a wider audience.
By combining these strategies and tailoring them to your specific retail niche, we build Google Ads campaigns that are more than just ads – they’re powerful sales tools designed to attract new customers, drive conversions, and propel your retail business to new heights.
Step 3: Perpetual Optimization: The Alchemist’s Touch for Retail Ads
The magic of Google Ads isn’t in a set-it-and-forget-it approach. It’s in the constant optimization, the meticulous analysis, the tweaks and adjustments that transform good campaigns into great ones. Here’s how we become alchemists, turning retailer data into gold-standard Google Ads:
Data Delving: Unveiling the Customer Journey
We’ll delve deep into your campaign data, using advanced analytics tools to uncover hidden insights about your customer journey. This includes analyzing which products resonate most with your target audience, where potential customers drop off in the conversion funnel, and what keywords are driving the most sales.
A/B Testing: The Science of Optimization
We don’t guess, we test: we’ll employ A/B testing to experiment with different ad variations, landing pages, and calls to action. This data-driven approach allows us to identify the highest-performing elements and continuously refine your campaigns for maximum impact.
Transparency is Key: A Collaborative Partnership
We believe in open communication. We’ll provide you with regular reports that detail your campaign performance, highlight key metrics, and explain the reasoning behind our optimization decisions. This ensures you’re always informed and involved in the process.
Through this relentless optimization process, we maximize your return on investment (ROI). We don’t settle for mediocrity – we constantly strive to improve your Google Ads performance, ensuring you get the most value from every dollar spent.
By treating your campaigns as living entities, we adapt and evolve them to deliver exceptional results and propel your retail business towards unprecedented growth.
Beyond the Click: Weaving the Retail Success Tapestry
Google Ads is a powerful tool, but they’re just one thread in the intricate tapestry of retail success. We take a holistic approach, working with you to optimize every touchpoint in the customer journey and ensure a seamless buying experience. Here’s how we go beyond the click:
Website Optimization: Your Digital Storefront
Your website is your online storefront. We’ll collaborate with you to ensure it’s optimized for conversions through our tried-and-tested CRO (conversion rate optimization) methods. This might involve improving website navigation, enhancing product page content with clear descriptions and high-quality visuals, and streamlining the checkout process to remove any friction that could lead to cart abandonment.
Landing Page Alchemy: Turning Clicks into Conversions
Landing pages are the battleground where clicks turn into conversions. We’ll craft compelling landing pages specific to your Google Ads campaigns, tailored messages that resonate with your target audience, and clear CTAs (calls to action) that encourage visitors to take the next step.
Sales Funnel Scrutiny: Identifying Leaks in the System
A leaky sales funnel is a revenue killer. This is why we’ll meticulously analyze your sales funnel, identifying any points where potential customers might be dropping off. This could be anything from confusing checkout procedures to hidden shipping costs. By addressing these weaknesses, we’ll ensure your sales funnel flows smoothly, maximizing conversions and boosting your bottom line.
Data-Driven Decisions: Guiding Your Retail Strategy
We’re not just about Google Ads – we’re retail strategists. We’ll combine website analytics with your Google Ads data to gain a holistic view of your customer behavior. This comprehensive data allows us to make informed decisions about your overall retail strategy, optimizing product offerings, tailoring marketing messages, and ultimately propelling your business forward.
Ready to Weave Your Retail Success Story?
Don’t settle for mediocre results. Partner with our team of Google Ads specialists who understand the unique challenges and opportunities of the retail industry. We offer a free 30-minute audit of your current campaigns to see where your paid advertising can be improved.
We’ll also discuss your specific needs and tailor a comprehensive strategy designed to attract new customers, drive conversions, and supercharge your retail success.
Contact us today and unlock the full potential of your online presence!
What Is Google Merchant Center?
Google Merchant Center is a free online tool that gives online stores a fantastic way to boost their sales and manage their presence on Google’s properties. It’s an online dashboard where ecommerce businesses can manage how and where their products are shown by uploading their product data.
After uploading your products alongside their details, Google will automatically begin displaying your products on relevant searches on a number of properties owned by Google. This includes Google Search, Google Shopping, Google Images, and Google Maps.
Is Google Shopping Ads Worth It?
If you’re an online retail store and you want more clients and sales, then there’s nothing like shopping ads to help you reach your goals. Firstly, advertising your store not only helps with securing more customers, but it also boosts your brand awareness.
If you establish yourself as a leading brand in your space, then customers will voluntarily look you up and choose to purchase from your store without needing to be advertised too.
Secondly, Google shopping ads are specifically designed for retailers to advertise their products, which means that there’s a chance that you can earn a sale directly from your ads. So, you can directly increase the number of sales you receive simply because your products are posted on the internet.
And these benefits are besides the other benefits that you can enjoy from using Google Ads.
FAQs
How much do retailers spend on Google Ads?
Naturally, this depends on the size of the retailer, as bigger businesses will invest more into Google Ads because they have a better ability to soak up those costs. For instance, a giant retailer like Amazon or eBay can spend over $50 million per year on Google Ads.
But obviously, you’re neither Amazon or eBay, so that doesn’t mean much to you. Most small and medium-sized enterprises, on the other hand, spend anywhere between $1,000–$10,000 per month, or $12,000–$120,000 per year, which is a good range to aim for.
How do I create a Google Shopping ad for my store?
After creating your free account on the Google Merchant Center, you’ll need to link your account to your Google Ads account. Once your accounts are linked, you can start advertising the products you’ve uploaded on the Google Merchant Center by paying Google to display your shopping ads.
How does Google Ads for retail work?
Instead of choosing your keywords and bidding on them, Google Ads for retail requires that you upload a spreadsheet with your product details to Google. Then Google’s automated systems will create an advert that displays all of the relevant information of your product for you and displays it to searchers on queries that are most relevant to your products.