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Smart Shopping
campaigns
Q3 2019
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Shoppers’ path
to purchase has
grown more
complex
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Managing campaigns has

also grown more complex
and time intensive
Audience Targeting

Device Targeting

Multiple Campaigns

Bid Adjustments

Placements

Remarketing Ads

Shopping Ads
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How do you drive sales

most efficiently?
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Introducing...

Smart Shopping campaigns

Simplicity Performance Reach

Manage campaigns easily Optimize to your goals Find customers across Google
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How Smart Shopping campaigns work

Your business goals Machine learning Across Google

Campaigns based on your Automated optimization Combine Shopping and Remarketing
objectives: Maximize across intent signals to reach customers on Search,
conversion value Display, YouTube and Gmail
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Campaigns based on your goals

Today, Smart Shopping campaigns supports

one objective: maximize conversion value

Maximize conversion Reach Your Goals

value bidding
Automated optimization towards Set an optional target ROAS
maximum sales revenue for your budget to reach your specific goals
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Achieve your goals with advanced machine learning

Smart Shopping campaigns choose the right bid for every user and each auction

Google insights Retailer insights

Queries Time Seasonality

+ Audience
lists
Brand Sales

Devices Location Placements Price & Product Ad creative

basket size category
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Optimized across Google

Reach across Google Search, Search One feed and campaign Budget automatically allocated and
Partners, GDN, YouTube & Gmail across all networks optimized across networks and formats
In Europe, Smart Shopping Campaigns can be used with any Comparison Shopping Service (CSS) you work with. The ads will show on general search result
pages and on any other surfaces the CSS has opted in to.
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Find the right user on the right channel at scale

Search Display Network YouTube Gmail

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+20%
Smart shopping campaigns
drive 20% more conversion
value at similar cost as
standard campaigns*

*On average, advertisers have seen a more than 20% increase in conversion
value at a similar cost as shopping and display remarketing campaigns
when using Smart Shopping campaigns
Source: Google Internal Data 2019
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What’s the best way to test?

Pre and Post Comparison Test Specific Product Groups

Compare performance of your new Smart Shopping If you are not ready to fully opt all of your products
campaigns to your existing Shopping & Remarketing into Smart Shopping campaigns, start testing with
campaigns. We recommend using similar time specific product groups
periods to measure.
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Activating your Smart Shopping campaign

1 2 3 4
Create Set budget Select products Add creative
Create a Smart Shopping Set your budget Select all products Add creative assets for
campaign (target ROAS optional) (recommended) or choose ads showing on the GDN*
specific products (more on next slide)

* Used to promote your business to your website visitors who have not expressed interest in a specific product yet
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Creative assets for Display ads

Provide an additional asset for your website visitors who

haven’t expressed interest in a specific product yet. This asset
should be be broadly relevant to your business.

● marketing image (size: 1.91:1)

● short headline (25 character limit)
● long headline (90 character limit)
● description (90 character limit)
● landing page URL
● logo uploaded to Merchant Center

When we know a user is interested in a specific product

(based on their interaction with your website), we’ll use the
relevant image and text provided in your product feed.
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Local inventory ads

now available

Let Shoppers know you have the item they

want in your local store

Bubble shows “In Store” annotation or

distance to your closest store when shopper
is near your store

Implement: Opt in from the campaign settings tab in Google Ads (under ‘Local Products)
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Now, Smart Shopping campaigns

reach new customers on Shopping
and Display
Display prospecting fully launched in Smart
Shopping campaigns

Reach new and existing customers on Search, partners,

Shopping, Google Images, Display, YouTube, and Gmail

Reach audiences who “look like” your existing customers with Expand beyond your
display prospecting.
current customers
All Smart Shopping campaigns automatically benefit from this
launch.

Later this year, retailers can provide a new customer value to

allow Smart Shopping campaigns to increase customer
acquisition.
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Appendix
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Appendix: Table of Contents

Case studies

Commonly used slide inserts

Best practices

More on machine learning and bidding

More on remarketing, formats and channels

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Case studies
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Since 1999, Magazines.com has been the trusted online

source for deals and discounts on popular magazine
subscriptions. Leading up to the holiday season, The brand
and its data-driven agency partner, Rakuten Marketing
Agency, test Smart Shopping campaigns for the first time.

180% 95%
Increase in revenue between Increase in sales year over year*
Thanksgiving and Black
Friday*

*as compared to standard shopping campaigns

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Founded in 1979, Sportmaster is Denmark’s largest

and most popular sports chain operating over 100
store locations and a fast-growing online shop.
Sportmaster decided to launch a Smart Shopping
campaign in November 2018 that included all its
products. To account for seasonal spikes in traffic,
Sportmaster specifically compared their Smart
Shopping campaign’s Black Friday performance with
that of last year’s from their Standard Shopping
campaigns.

69% 26%
Increase in ROAS year-over-year* Increase in revenue
year-over-year*

*as compared to standard shopping campaigns

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GittiGidiyor, an eBay company, is a

leading e-commerce marketplace in
Turkey.

Cut down time-intensive optimizations

for Shopping and dynamic remarketing
with one campaign to maximize sales
and improve their return-on-ad-spend.

+28%
higher ROAS*

*as compared to standard shopping campaigns

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Culture Kings, an Australian

streetwear retailer, offers a curated
selection of leading street, sport, and
fashion brands.

+33%
more revenue*

*than other digital marketing channels

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Case Study

Brazil-based NewLentes offers high-quality

contact lenses directly to consumers
at affordable prices and recognized reliability.

Newlentes wanted to incorporate automation and 57% 61%

machine learning to enhance their campaigns. more revenue* higher ROAS*
They launched Smart Shopping campaigns, and
saw a drastic improvement in performance.

*as compared to standard shopping campaigns

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Bukalapak is one of South East Asia’s leading marketplaces

and on a mission to empower Indonesian SMEs.

With 110 million products, 4 million merchants and 50

million users, Bukalapak’s key challenge was reaching their
users with the right product across channels. Leveraging
Smart Shopping campaigns, they reached users across
Google, YouTube and Display in one go, with great results.

300% 2.5x
growth in conversion value new marketplace customers

Source: Bukalapak internal data

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TB Dress is Tidebuy’s fast fashion brand

focused on selling women’s dresses
online.

They run Smart Shopping campaigns to

reach TB Dress customers globally
across all of Google’s properties and
achieve a 2X improvement in ROI. Now
they’re working on upgrading all their
Shopping campaigns to Smart
Shopping.

2X
ROI compared to standard campaigns
* April, May 2018 data
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Banggood is a Chinese e-commerce

company that offers consumer
electronics, mobile phones, apparel,
accessories and many more goods to
global markets.

They run Smart Shopping campaigns to

simplify campaign management and
achieve their ROI goals at large
volumes.

2X
ROI compared to standard campaigns
* April-July 2018 data
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GearBest is Global Egrow’s online

gadget store that offers cell phones,
electronic gadgets, and home products
at affordable prices to global markets.

They use Smart Shopping campaigns to

drive sales, from finding new relevant
audiences to effectively converting
them into new customers.

+40%
ROI compared to standard campaigns
* April-July 2018 data
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Rosegal is Global Egrow’s women’s plus

size fashion e-commerce store with a
focus on global markets.

They use Smart Shopping campaigns to

drive sales, from finding new relevant
audiences to effectively converting
them into new customers.

+30%
ROI compared to standard campaigns
* April-July 2018 data
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Pepperfry is an online destination for

furniture and home products in India.

Pepperfry’s goal was to get their ads in

front of the right people and improve
conversion performance. Their digital
agency iProspect were able to scale the
brand’s online presence and improve
key business metrics with Smart
Shopping campaigns.

4X
ROI compared to search and standard
shopping campaigns
* July 2018 data
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Ajio is one of India’s leading online fashion destinations. It

brings handpicked, on-trend styles from across India & the
world to its consumers.

46% 2.1x
Reduction in cost per transaction Increase in ROAS

14% 5.3x
Higher average order value Increase in transactions
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Zefo (Zero Effort Technologies) is an eCommerce startup in

India, which provides online shopping experience for used
furniture and appliances. It is currently functional in about 7
cities in India, including the top metros like Delhi, Mumbai &
Bangalore.

10.7X 66%
Increase in ROAS* Lower cost per orders

*as compared to standard shopping campaigns

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Commonly used slide

inserts
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Smart Shopping campaigns drive simplicity,

performance and reach

Your business goals Machine learning Across Google

Campaigns based Automated optimization Combine Shopping and Remarketing
on your objectives: Maximize across intent signals to reach customers on Search, Display,
conversion value bidding YouTube and Gmail
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Shopping automation solutions

Shopping campaigns Smart Shopping campaigns

Bidding eCPC Target ROAS Maximize conversion value (optional target ROAS)
strategy

How it works Partially automate bidding to Fully optimize bidding to reach Fully automate bidding to maximize
maximize conversions while your target ROAS conversion value at a given budget
keeping cost about the same
Allows you to set an optional Target ROAS if needed

Format Shopping ads Shopping ads Shopping ads and display remarketing ads

Distribution Search, Google Shopping, Search, Google Shopping, and Search, Google Shopping and Search Partners*
and Search Partners* Search Partners*
Display Network, Gmail, and YouTube

*Exact distribution may vary by country (help center)

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Benefits of consolidating Shopping and Display remarketing

Combine Shopping and display remarketing ads in Smart Shopping campaigns

Product level reporting Fluid budget optimization based
across the entire campaign on most incremental value
for your budget ensures you don’t
miss opportunities and efficiencies
Maximum reach across Simplified campaign
Search, Search Partners, management reduces
Display, YouTube and Gmail resource intensive campaign
management across multiple
campaigns and tactics

Brand safety features for Smart Shopping campaigns
Automated brand safety
By default, we automatically filter out
non-family safe content as well as:
• Tragedy and conflict
• Sensitive social issues
• Not yet labeled video and content
• Video and content for a mature audience
★ Recommended option for most advertisers
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Manual exclusions
Account level controls to further
fine tune where your ads show:
• Additional content label exclusions
• Specific placement exclusions
• Campaign level keyword exclusions
(requires account manager set up)
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Remarketing on Google Display, YouTube and Gmail

Ad shown to your site visitors who did not navigate to Ad shown to your site visitors who have seen specific
specific products. Creatives use assets you chose at products on your site. Ad content created dynamically
campaign creation. based on your feed.

Example shown here: native format Example shown here: Gmail native format

Marketing image Product images

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Easy campaign management during seasonal events

Seasonality levers
Don’t need to capture increase in demand? No need to make any
changes; you may just get better return on ad spend if traffic increases.

Want to capture increase in demand? Simply raise your budget and

AdWords optimizes towards best value.

Want to capture demand but not sure about what increase to expect?
Simply set minimum Target ROAS and increase budget to the maximum
you would be prepared to spend.
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Best Practices
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Best practices
Budget To maintain a similar overall spend, use the combined historical daily spend of your current standard Shopping and
display remarketing campaigns to set a budget for your new campaign. Note that for the same product, SSC takes
priority over standard Shopping and display remarketing campaigns for the same account.

Optional If you have a minimum return goal for your campaign, you can set a target return on ad spend (ROAS) and your bids
Target ROAS will be optimized to hit your target within your daily budget. If your ROAS is too high, some of your budget may not be
spent and your overall sales may decline.

Products Add as many products as are applicable to your campaign. To make sure that your spend and sales are the same or
better, it is recommended that the selection of products for your new campaign is comparable to historic campaigns.
Because dynamic remarketing ads often show multiple products from the same campaign, the more products there
are in a campaign, the better the performance will be.

Custom Custom parameters allow Google to gather insights about which products on your website visitors have shown an
parameters interest in. Although you may run a Smart Shopping campaign without them, custom parameters for retail will help
you get better performance.

Assets Use a high-quality logo and image assets that showcase your business. (Your logo should already be set in your
Merchant Center account). As always, ensure your Shopping feed meets standard best practices.
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Performance evaluation recommendation

Launch Smart Shopping

Pre Period Post Period Evaluate
campaigns

- Same # of days as post These campaigns will take - period >= 2 weeks Only use data from test period
period (and same days of priority over existing shopping & - exclude 15 day learning
If daily spend is about the same,
week) remarketing campaigns in the period after launching
sales (= conv. value) and ROAS (=
- Same daily spend as same account. - Exclude last 3 days due to
conv. value / cost) can be used to
post period conversion delay
compare performance of Smart
- Same # of days as pre period
Shopping campaign to standard
(and same days of week)
campaigns
- Same daily spend as pre
period

Note: these are recommendations. We cannot guarantee these guidelines will work for all advertisers.
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When to choose specific products

We recommend selecting all products with

one campaign for maximum simplicity and
performance.

Select the products

There are a few limited scenarios where you might you want to target in
choose a subset of product in your Smart your campaign
Shopping campaign:

● If you want to start testing on a specific

product category only

● If you have very different ROAS goals or

budgets for certain products, you can use
separate campaigns and product groups to
set a specific budget and target ROAS.
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More on machine learning and bidding

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Machine Learning: Optimization across intent signals

Automated bidding, targeting and creatives

Advanced machine Unparalleled Rich set of auction-

learning optimization frequency time signals
Informed, accurate decisions Precise adjustments for every auction Contextually relevant,
intent-based signals
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Advanced machine learning

With its unique insight into every auction, Google’s Across auctions &
machine learning technology uses more signals for search contexts
every auction than any other bidding solution to
make informed, accurate optimization decisions
Many search queries
& user intents
010
w
z qm 101010101
010101010101010

Product 101010101010101010101
010101010101010101010101010
0101010101010101010101010101010101
010101010101010101010101010101010101010
010101010101010101010101010101010101010101010101010101010
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Unparalleled auction-time optimization

Given the dynamic nature of auctions, the “right bid” is a moving target, Google Ads offers true
auction-time optimization that sets bids for each individual auction, not just a few times a day

With automated bids, you optimize precisely for the unique

performance opportunity of every individual auction:

Lower Bid Higher Bid

A Nexus tablet, at 4:36 pm, in

A desktop at 7pm in Phoenix Wrigleyville, using Firefox,
misspelling a word in the query
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Rich set of auction-time signals

Every user's intent is different and bids for each query should reflect the unique contextual signals present at auction-time. Smart
Shopping campaigns evaluate a wide range of signals and meaningful interactions between signals to set the best bids.

Signals available with bid adjustments Exclusive signals for Shopping automated bidding

Noon EST Operating System

Smartphone BID Language

Actual query
Remarketing list

App
Location Combinations between
2 or more signals
Browser
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Maximize Conversion Value is a fully

automated bidding solution that sets
bids for each auction for every user
to maximize conversion value for a
given budget
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Behind the scenes: Bids dynamically set at the

product-level and user-level in every auction

Set Sales & Budget

You specify sales (via conversion value tracking) and a budget

Campaign Prediction
Smart Shopping campaign predicts conversion value for each auction based on a variety of signals
• 2+ years of account data
• Context signals, e.g. device, geo, time of day, browser
• Product attributes, e.g. price competitiveness

Bid Adjustments
Adjust bids at the product-level and user-level in real time based on that prediction
1. Determines each product’s likelihood of conversion
2. Considers price of each product
3. Sets bids: Bids high if product’s price and predicted CvR is high for query | Bids low for low-value queries
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Key benefits

Aligned to your marketing objective by taking bidding one step further:

1 From increasing conversion volume to increasing sales for your budget.

Unique capability to set bids at query-level and user-level for

2 each auction by predicting conversion value of each auction.

Lowers cost to manage campaigns by fully automating

3 bidding so you can focus more time on strategic tasks.

Cross-channel optimization that ensure your budget is spent

4 optimally across Search, Google Display networks, and YouTube
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More on formats, assets,

remarketing and channels
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Across Google

Search Display Network YouTube Gmail

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Assets needed for creative

Ad creation is very simple:

● 1 Marketing image
● 1 Long headline
● 1 Short headline
● 1 Description
● 1 Final URL

Check Google Ads

preview for other layouts
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Shopping ads on desktop

Top ad placement on Google.com Right-side placement on Google.com Shopping Property

Google.com
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Shopping ads on mobile

Top ad placement on Right-side placement on

Google.com Google.com
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Display ads on Google Display Network

For people who have been to your site but did not navigate to specific products

• Ads resize to fit any ad slot

• Formats and layouts automatically

chosen to maximize conversion and
revenue performance
Most formats use your customizations
Logo, marketing image and colors (main and accent)

Some formats use colors and fonts chosen by the

publisher
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Display ads on Google Display Network

For people who have previously reviewed specific products on your site

● Ads resize to fit any ad slot

● Products automatically selected based on which

products your customers saw on your site and
relevant recommendations

● Formats and layouts automatically chosen to

maximize conversion and revenue performance
Most formats use your customizations
Logo, product images and colors (main and accent)

Some formats use colors and fonts chosen by

the publisher
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Native ads on Gmail

For people who have been to your site

● Native ads on Gmail across web & app

● Products automatically selected based on

which products your customers saw on
your site and relevant recommendations

Travel Retail

* Native ads follow the natural form and function

of the user experience in which it is placed
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Native ads on YouTube

For people who have been to your site

● Native ads on the YouTube app watch

page & home page feed

● Products automatically selected based

on which products your customers saw
on your site and relevant
recommendations

Travel Retail

* Native ads follow the natural form and function of the user experience in which it is placed
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Native ads on Google Display

For people who have been to your site

Shown to people who reviewed specific Shown to your site visitors who did not
products on your site navigate to specific products

* Native ads follow the natural form and function

of the user experience in which it is placed