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1
Advanced Strategies to get your Google
Shopping Campaigns to the Next Level
Andreas Reiffen – CEO @ crealytics
Prague, Czech Republic
January 30, 2018
2
Topics we‘ll cover today …
• Show how Google steadily
increased the share of
product ads
• How will Shopping develop
in the future?
1
Semantic Advertising TechnologyEcommerce Expo Prague 2018
3
• Taking a variety of factors
into account makes bidding
on Google Shopping difficult
• What do you have to
consider to successfully
optimize your bidding?
2
• Advice on Google Shopping
campaign structure
• What is the right way to
structure your Shopping
campaigns?
Google Shopping
global market insights Advanced strategiesGetting the basics right
3
Google Shopping – Global Market Insights
Semantic Advertising TechnologyEcommerce Expo Prague 2018
4
Google Shopping spending already surpassed
text ads in in all markets
Semantic Advertising TechnologyEcommerce Expo Prague 2018
DE
spending share
US
spending share
UK
spending share
58%57%
H2 16
43% 42%
H2 17H1 17
55%
45%
H1 16H2 15
67%
45%
55%
Text Ads Shopping
H2 15
48%54%
52%
36%
H1 16 H1 17
38%
60%
66%64%
H2 16
40%
H2 17
46%
H2 17
31%
68%
35%
H1 16
69%
H1 17
32%
H2 16
65%
H2 15
63%
37%
49%
51%
5
UK: 74% of mobile PPC budget is spent on
Google Shopping
Semantic Advertising TechnologyEcommerce Expo Prague 2018
63%
37%
26%
74%
Shopping
Text Ads
Desktop Mobile
Mobile is much more profitable
in Google Shopping which
leads to higher spending
Shopping was the main reason
for mobile surge in 2016/17
Spending shares in H2 2017 Insights
6
More clicks for cheaper CPCs
Is Google Shopping getting even more attractive for advertisers?
Semantic Advertising TechnologyEcommerce Expo Prague 2018
CPC decreased by 21% while paid clicks expanded
by 55%
Shift to mobile is reason for declining CPCs as mobile
CPCs are still less expensive
The deflation of CPC also indicates that there is
temporary excess of auctions where advertisers can
lower their CPC and still are able to spend their
budgets
This sounds like a great story for advertisers, you get
more valuable clicks for cheaper CPCs
However, this would be only true if you don’t pay for
clicks that have been free in the past and if you don’t
pay twice for the same users
https://abc.xyz/investor/pdf/2017Q3_alphabet_earnings_release.pdf
Lorem ipsumAlphabet investor report Excess of auctions leads to lower CPC?
7
In 2013 product ads were displayed underneath
the top text ads
Semantic Advertising TechnologyEcommerce Expo Prague 2018
SERP layout Screen shot
http://www.cpcstrategy.com/blog/2013/07/google-16-product-listing-ads-serps
http://www.business2community.com/online-marketing/google-shopping-merchant-center-step-by-step-setup-guide-0371869#
8
In 2014 Google made a big change and placed
product ads on top of the text ads
Semantic Advertising TechnologyEcommerce Expo Prague 2018
SERP layout Screen shot
https://www.searchenginejournal.com/breaking-google-changes-serp-images-king-ppc-holds-key-kingdom/80455/
9
In 2015 Google started to show eight product ads
in the right side rail
Semantic Advertising TechnologyEcommerce Expo Prague 2018
SERP layout Screen shot
http://certifiedknowledge.org/blog/the-complete-adwords-audit-part-12-google-shopping-campaigns
10
In 2016, Google eliminated text ads from the side
rail
Semantic Advertising TechnologyEcommerce Expo Prague 2018
SERP layout Screen shot
https://ambergreeninternetmarketing.com/blog/what-the-adwords-just-happened-to-googles-serp
11
2017 developments show nine even larger
products on the side
Semantic Advertising TechnologyEcommerce Expo Prague 2018
SERP layout Screen shot
https://ambergreeninternetmarketing.com/blog/what-the-adwords-just-happened-to-googles-serp
12
Google‘s rationale: Product ads are more
attractive for the user and generate more revenue
Semantic Advertising TechnologyEcommerce Expo Prague 2018
3 product ads have roughly the (pixel) size
of one text ad or organic listing
More than double the revenue for Google
per pixel ad space (mobile example)
= RevenueCPC
+28.0%
+126.0%
Aggregated CTR
+77.0%
Google still puts the “user first” and promotes search
results that he likes. Images are more attractive
Those are paid results with high CTR
13
Getting the Basics Right
Semantic Advertising TechnologyEcommerce Expo Prague 2018
14
Google Shopping account structure
The optimal account structure depends on your size and your goals
Semantic Advertising TechnologyEcommerce Expo Prague 2018
We usually use brands as campaigns
Product categories/types become ad groups
Products are grouped in a single product group within
an ad group
We split out products once they hit a certain threshold
of clicks (e.g. 10 clicks)
Lorem ipsumDifferent account levels How does it work?
Product
Group
Product
Group
Product
Group
Product
Group
Product
Group
Product
Group
Product
Group
Product
Group
15
How to optimize your product feed
Semantic Advertising TechnologyEcommerce Expo Prague 2018
Comply with Google Shopping
guidelines
Check your product feed regularly
Enable notifications
If products get disapproved, check
the disapproval reason to identify
mistakes in your data
Increase the relevance of your
product feed to improve your
Google Shopping performance
Name products in a way people
search for them
Do not “over-optimize” titles to
avoid they differ too much from the
landing pages
Use the available space
Differentiate your products from
competitors’ products
Include product ratings
Never stop optimzing you product feed!
Highlight your USPOptimize feed contentAvoid disapproved products
16
Introduction to Audience Targeting
Targeting the right consumers will save you a lot of money
Semantic Advertising TechnologyEcommerce Expo Prague 2018
Why targeting? Targeting possibilities
Allows you to adjust bids according to conversion
probability of audiences
Possibility to align campaign specifically to a distinct
target group
Reduce wasted ad spend
Performance improves as chance for conversion
increase
With increasing specification the amount of
people/traffic declines
Situation of usage
• Device (Mobile, Desktop, Tablets)
• Language
• Countries/Location
• Time/Day
Targeting group
• Former interactions (visits, cart abandoners,
purchases)
• Demography (age, gender)
• New Customers
• Existing Customers
17
RLSA & Customer Match
Increase profitability by targeting a well-known user group
Semantic PPC Advertising Technologycrealytics presentation
Target customers based on previous interactions
with your website
Create remarketing audience groups in AdWords
• You need to add the remarketing tag on every
website, it collects users and adds them to a
certain list
Common RLSA strategies
• Probability – bid higher on audiences which are
likely to convert / lower bids for non-converters
• Keyword strategy – bid on terms that are
performing well in general
• ‘Head Term’ Campaign – to reach users who have
been on your site already, you can bid on generic
terms like ‘fashion’ or ‘sale’
RLSA (Remarketing Lists for Search Ads) Customer Match
Target (or exclude) people based on their email
addresses
• Advertisers have to upload customer email lists
into AdWords that can be matched against
signed-in Google accounts
Top Strategies for using Customer Match
• Profitability – reduce bids for customers with a
low average basket value
• Reach – use similar audiences to target
additional prospective customers
• Reactivation – promote a special offer to
customers who have gone cold as an incentive
for re-engagement
• Upselling – use complimentary product
information to upsell to customers who have
already bought
18
Advanced Strategies
Semantic Advertising TechnologyEcommerce Expo Prague 2018
19
Impressions before / after Key insights
0.6 0.7
bid = 0.50
5.4
2.1
1.3
bid = 1.50
0.4
4.3
designer only termdesigner termsgeneric terms
On Google Shopping, you bid on
products, not keywords
When you raise bids, a product
starts to behave like a broad
keyword
The designer-only term, chi chi
london, is stable in impressions
CPC for the same queries
increased by +186%
Spike in generic queries affects
traffic quality and ROI
CPC
0.22
0.09
0.40
0.85
0.63
0.25
(k impressions)
Semantic Advertising TechnologyEcommerce Expo Prague 2018
Increase of all Chi Chi London bids by 200%
What happens after increasing bids by 200%?
20
Birkenstock
Arizona Black
1,127
0.50 1.50
1,018 +11%
0.750.36
204
5,534
0.50 1.50
+2,613%
200
1,500
+650%
0.50 1.50
0.720.28
CPC
0.760.29
Impressions
Bids
Semantic Advertising TechnologyEcommerce Expo Prague 2018
We raised bids by 200% and evaluated traffic
Chi Chi London
Lace Midi Prom Dress
Diesel
(Designer)
These results do not seem
consistent at all. And now?
21
740,0
4,400
204
actual
increase
cannibalised
impressions
+363%
5,140
nominal
increase
baseline
0.720.28 0.30
Net impression increase (after cannibalisation) Explanation
Higher bids attracted the
generic query, birkenstock,
that matched to other products
before.
A large part of traffic increase
was internal cannibalisation.
Semantic Advertising TechnologyEcommerce Expo Prague 2018
Impressions increase on the product
… but cannibalize search query impressions of other products
22 Semantic Advertising TechnologyEcommerce Expo Prague 2018
Budget
Revenue
Bidding
Bandwidth
Overbidding
Search
Shopping
Shopping - specific bid management
Shopping Efficiency Curve Explanation
Crealytics uses machine
learning to identify the ideal bid
range for each product listing
From a certain bid level, traffic
increases very quickly – at very
high bid levels, traffic will
plateau
The challenge for bid
management is to stop bidding
up when you reach the plateau
23
Optimize for the right KPIs
Semantic Advertising TechnologyEcommerce Expo Prague 2018
24 Semantic Advertising TechnologyEcommerce Expo Prague 2018
Ineffective, short-sighted budget allocation
Optimizing campaigns for new customer acquisition yields better results
10
13
3
First purchase
revenue
Repeat purchases Total revenue
after one year
9
15
6
Repeat purchases Total revenue
after one year
First purchase
revenue
Short-term Focus (ROAS) Long-term Focus (CLV)
Advertisers who focus on LTV make about 15% more
revenue in the first year.
$1M
Advertising
Budget
25
To optimize your advertising campaigns you
require an advanced set of target KPIs
Ecommerce Expo Prague 2018
Every order is treated
equally, no matter
whether the order value
is high or low, margins
and new customers
estimated based on
averages
Focus on revenue without
taking into account that
different products have
different margins
Products with high
margins are promoted
more aggressively,
repeat purchases from
new customers are
ignored
Lifetime Value
optimization takes into
account exact margins
and repeat purchases
from new customers
Low Data Quality High Data QualityHigh Data Quality
Semantic Advertising Technology
CLV
CLV ROI
Profit
ROI
Revenue
ROAS / COS
# Orders
CPO
26
Search Query Segmentation
Semantic Advertising TechnologyEcommerce Expo Prague 2018
27 Semantic Advertising TechnologyEcommerce Expo Prague 2018
Shoes
Nike
+
Shoes
Nike
+
Mercurial
Typical differentials
Nike Mercurial Superfly V FG
Sportswear Men Platine
Nike Mercurial Superfly V FG
Sportswear Men Platine
$202.99 from Nike
$202.99 from Nike
Soccer Shoes
Nike Mercurial Superfly
B)
A)
$1.00
Campaign segmentation
With Google Shopping money is wasted on generic queries
Identical product search, but different query
intent Compare conversion rates by specificity
1.4x
Brand
+
Category
Category
2.5x
Brand
+
Name
28 Semantic Advertising TechnologyEcommerce Expo Prague 2018
Chanel
Timeless
Purse
Product Names
Brand/Designer
Names
Generics
N/A
High
Medium
Low
Catch All
Generics
Designers
Purse
Chanel
Purse
Chanel Timeless
Clutch
Varies
Automated Campaign Segmentation
Crealytics automatically funnels traffic into campaigns based on intent
Product PriorityCampaign Bid AmountNegatives
29
Incrementality
Semantic Advertising TechnologyEcommerce Expo Prague 2018
30Ecommerce Expo Prague 2018 Semantic Advertising Technology
What is the true value of RLSA campaigns?
Google‘s retargeting campaigns are barely incremental
Do not believe the numbers until you have challenged
them!
Excessive use of RLAS
• Results look good on paper and nobody likes to
challenge the data
• Even if RLSA is not explicitly done, website
visitors are always automatically being retargeted
• Some smart advertisers bid low on RLSA
Inflated value attribution
• Overestimating the contribution value of
remarketing campaigns
• We expect incrementality to be at about 20%
Understand that segments which show the
highest efficiency are usually the ones with the
lowest incrementality
Test the results of your RLSA campaign to see the
actual value contribution
Common mistakes Strategies for improvement
31
The Role Of Price
Semantic Advertising TechnologyEcommerce Expo Prague 2018
32
0
20
40
60
80
100
120
0
5
10
15
20
25
30
35
40
45
50
55
Price
+5%
clicksown price
Days
Clicks
Price
Semantic Advertising TechnologyEcommerce Expo Prague 2018
Google Product Category:
Apparel & Accessories > Shoes
> Sneakers
Brand:
5% price increase coincides
with a 60% decrease in clicks
Price as an algorithmic signal
Changes in pricing can massively impact your PLA performance
Clicks drop off after product price increase Chart Info
33 Semantic Advertising TechnologyEcommerce Expo Prague 2018
Products priced 5% lower than
market average
Products priced 5% higher
than market average
1826
2047
134% 135% -29%
61% 280%
Impression
Volume
Clicks CPO
Conversion
Rate
Conversions
To succeed include price as a signal
Google includes price competitiveness as an algorithmic signal
Pricing compared to
market average Lower priced products drive performance
Bidding high on products which are not priced
competitively is a waste of money.
(# products)
34 Semantic Advertising TechnologyEcommerce Expo Prague 2018
Crealytics incorporates pricing information into
bidding

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Advanced Google Shopping Strategies - Crealytics eCommerce EXPO

  • 1. 1 Advanced Strategies to get your Google Shopping Campaigns to the Next Level Andreas Reiffen – CEO @ crealytics Prague, Czech Republic January 30, 2018
  • 2. 2 Topics we‘ll cover today … • Show how Google steadily increased the share of product ads • How will Shopping develop in the future? 1 Semantic Advertising TechnologyEcommerce Expo Prague 2018 3 • Taking a variety of factors into account makes bidding on Google Shopping difficult • What do you have to consider to successfully optimize your bidding? 2 • Advice on Google Shopping campaign structure • What is the right way to structure your Shopping campaigns? Google Shopping global market insights Advanced strategiesGetting the basics right
  • 3. 3 Google Shopping – Global Market Insights Semantic Advertising TechnologyEcommerce Expo Prague 2018
  • 4. 4 Google Shopping spending already surpassed text ads in in all markets Semantic Advertising TechnologyEcommerce Expo Prague 2018 DE spending share US spending share UK spending share 58%57% H2 16 43% 42% H2 17H1 17 55% 45% H1 16H2 15 67% 45% 55% Text Ads Shopping H2 15 48%54% 52% 36% H1 16 H1 17 38% 60% 66%64% H2 16 40% H2 17 46% H2 17 31% 68% 35% H1 16 69% H1 17 32% H2 16 65% H2 15 63% 37% 49% 51%
  • 5. 5 UK: 74% of mobile PPC budget is spent on Google Shopping Semantic Advertising TechnologyEcommerce Expo Prague 2018 63% 37% 26% 74% Shopping Text Ads Desktop Mobile Mobile is much more profitable in Google Shopping which leads to higher spending Shopping was the main reason for mobile surge in 2016/17 Spending shares in H2 2017 Insights
  • 6. 6 More clicks for cheaper CPCs Is Google Shopping getting even more attractive for advertisers? Semantic Advertising TechnologyEcommerce Expo Prague 2018 CPC decreased by 21% while paid clicks expanded by 55% Shift to mobile is reason for declining CPCs as mobile CPCs are still less expensive The deflation of CPC also indicates that there is temporary excess of auctions where advertisers can lower their CPC and still are able to spend their budgets This sounds like a great story for advertisers, you get more valuable clicks for cheaper CPCs However, this would be only true if you don’t pay for clicks that have been free in the past and if you don’t pay twice for the same users https://abc.xyz/investor/pdf/2017Q3_alphabet_earnings_release.pdf Lorem ipsumAlphabet investor report Excess of auctions leads to lower CPC?
  • 7. 7 In 2013 product ads were displayed underneath the top text ads Semantic Advertising TechnologyEcommerce Expo Prague 2018 SERP layout Screen shot http://www.cpcstrategy.com/blog/2013/07/google-16-product-listing-ads-serps http://www.business2community.com/online-marketing/google-shopping-merchant-center-step-by-step-setup-guide-0371869#
  • 8. 8 In 2014 Google made a big change and placed product ads on top of the text ads Semantic Advertising TechnologyEcommerce Expo Prague 2018 SERP layout Screen shot https://www.searchenginejournal.com/breaking-google-changes-serp-images-king-ppc-holds-key-kingdom/80455/
  • 9. 9 In 2015 Google started to show eight product ads in the right side rail Semantic Advertising TechnologyEcommerce Expo Prague 2018 SERP layout Screen shot http://certifiedknowledge.org/blog/the-complete-adwords-audit-part-12-google-shopping-campaigns
  • 10. 10 In 2016, Google eliminated text ads from the side rail Semantic Advertising TechnologyEcommerce Expo Prague 2018 SERP layout Screen shot https://ambergreeninternetmarketing.com/blog/what-the-adwords-just-happened-to-googles-serp
  • 11. 11 2017 developments show nine even larger products on the side Semantic Advertising TechnologyEcommerce Expo Prague 2018 SERP layout Screen shot https://ambergreeninternetmarketing.com/blog/what-the-adwords-just-happened-to-googles-serp
  • 12. 12 Google‘s rationale: Product ads are more attractive for the user and generate more revenue Semantic Advertising TechnologyEcommerce Expo Prague 2018 3 product ads have roughly the (pixel) size of one text ad or organic listing More than double the revenue for Google per pixel ad space (mobile example) = RevenueCPC +28.0% +126.0% Aggregated CTR +77.0% Google still puts the “user first” and promotes search results that he likes. Images are more attractive Those are paid results with high CTR
  • 13. 13 Getting the Basics Right Semantic Advertising TechnologyEcommerce Expo Prague 2018
  • 14. 14 Google Shopping account structure The optimal account structure depends on your size and your goals Semantic Advertising TechnologyEcommerce Expo Prague 2018 We usually use brands as campaigns Product categories/types become ad groups Products are grouped in a single product group within an ad group We split out products once they hit a certain threshold of clicks (e.g. 10 clicks) Lorem ipsumDifferent account levels How does it work? Product Group Product Group Product Group Product Group Product Group Product Group Product Group Product Group
  • 15. 15 How to optimize your product feed Semantic Advertising TechnologyEcommerce Expo Prague 2018 Comply with Google Shopping guidelines Check your product feed regularly Enable notifications If products get disapproved, check the disapproval reason to identify mistakes in your data Increase the relevance of your product feed to improve your Google Shopping performance Name products in a way people search for them Do not “over-optimize” titles to avoid they differ too much from the landing pages Use the available space Differentiate your products from competitors’ products Include product ratings Never stop optimzing you product feed! Highlight your USPOptimize feed contentAvoid disapproved products
  • 16. 16 Introduction to Audience Targeting Targeting the right consumers will save you a lot of money Semantic Advertising TechnologyEcommerce Expo Prague 2018 Why targeting? Targeting possibilities Allows you to adjust bids according to conversion probability of audiences Possibility to align campaign specifically to a distinct target group Reduce wasted ad spend Performance improves as chance for conversion increase With increasing specification the amount of people/traffic declines Situation of usage • Device (Mobile, Desktop, Tablets) • Language • Countries/Location • Time/Day Targeting group • Former interactions (visits, cart abandoners, purchases) • Demography (age, gender) • New Customers • Existing Customers
  • 17. 17 RLSA & Customer Match Increase profitability by targeting a well-known user group Semantic PPC Advertising Technologycrealytics presentation Target customers based on previous interactions with your website Create remarketing audience groups in AdWords • You need to add the remarketing tag on every website, it collects users and adds them to a certain list Common RLSA strategies • Probability – bid higher on audiences which are likely to convert / lower bids for non-converters • Keyword strategy – bid on terms that are performing well in general • ‘Head Term’ Campaign – to reach users who have been on your site already, you can bid on generic terms like ‘fashion’ or ‘sale’ RLSA (Remarketing Lists for Search Ads) Customer Match Target (or exclude) people based on their email addresses • Advertisers have to upload customer email lists into AdWords that can be matched against signed-in Google accounts Top Strategies for using Customer Match • Profitability – reduce bids for customers with a low average basket value • Reach – use similar audiences to target additional prospective customers • Reactivation – promote a special offer to customers who have gone cold as an incentive for re-engagement • Upselling – use complimentary product information to upsell to customers who have already bought
  • 18. 18 Advanced Strategies Semantic Advertising TechnologyEcommerce Expo Prague 2018
  • 19. 19 Impressions before / after Key insights 0.6 0.7 bid = 0.50 5.4 2.1 1.3 bid = 1.50 0.4 4.3 designer only termdesigner termsgeneric terms On Google Shopping, you bid on products, not keywords When you raise bids, a product starts to behave like a broad keyword The designer-only term, chi chi london, is stable in impressions CPC for the same queries increased by +186% Spike in generic queries affects traffic quality and ROI CPC 0.22 0.09 0.40 0.85 0.63 0.25 (k impressions) Semantic Advertising TechnologyEcommerce Expo Prague 2018 Increase of all Chi Chi London bids by 200% What happens after increasing bids by 200%?
  • 20. 20 Birkenstock Arizona Black 1,127 0.50 1.50 1,018 +11% 0.750.36 204 5,534 0.50 1.50 +2,613% 200 1,500 +650% 0.50 1.50 0.720.28 CPC 0.760.29 Impressions Bids Semantic Advertising TechnologyEcommerce Expo Prague 2018 We raised bids by 200% and evaluated traffic Chi Chi London Lace Midi Prom Dress Diesel (Designer) These results do not seem consistent at all. And now?
  • 21. 21 740,0 4,400 204 actual increase cannibalised impressions +363% 5,140 nominal increase baseline 0.720.28 0.30 Net impression increase (after cannibalisation) Explanation Higher bids attracted the generic query, birkenstock, that matched to other products before. A large part of traffic increase was internal cannibalisation. Semantic Advertising TechnologyEcommerce Expo Prague 2018 Impressions increase on the product … but cannibalize search query impressions of other products
  • 22. 22 Semantic Advertising TechnologyEcommerce Expo Prague 2018 Budget Revenue Bidding Bandwidth Overbidding Search Shopping Shopping - specific bid management Shopping Efficiency Curve Explanation Crealytics uses machine learning to identify the ideal bid range for each product listing From a certain bid level, traffic increases very quickly – at very high bid levels, traffic will plateau The challenge for bid management is to stop bidding up when you reach the plateau
  • 23. 23 Optimize for the right KPIs Semantic Advertising TechnologyEcommerce Expo Prague 2018
  • 24. 24 Semantic Advertising TechnologyEcommerce Expo Prague 2018 Ineffective, short-sighted budget allocation Optimizing campaigns for new customer acquisition yields better results 10 13 3 First purchase revenue Repeat purchases Total revenue after one year 9 15 6 Repeat purchases Total revenue after one year First purchase revenue Short-term Focus (ROAS) Long-term Focus (CLV) Advertisers who focus on LTV make about 15% more revenue in the first year. $1M Advertising Budget
  • 25. 25 To optimize your advertising campaigns you require an advanced set of target KPIs Ecommerce Expo Prague 2018 Every order is treated equally, no matter whether the order value is high or low, margins and new customers estimated based on averages Focus on revenue without taking into account that different products have different margins Products with high margins are promoted more aggressively, repeat purchases from new customers are ignored Lifetime Value optimization takes into account exact margins and repeat purchases from new customers Low Data Quality High Data QualityHigh Data Quality Semantic Advertising Technology CLV CLV ROI Profit ROI Revenue ROAS / COS # Orders CPO
  • 26. 26 Search Query Segmentation Semantic Advertising TechnologyEcommerce Expo Prague 2018
  • 27. 27 Semantic Advertising TechnologyEcommerce Expo Prague 2018 Shoes Nike + Shoes Nike + Mercurial Typical differentials Nike Mercurial Superfly V FG Sportswear Men Platine Nike Mercurial Superfly V FG Sportswear Men Platine $202.99 from Nike $202.99 from Nike Soccer Shoes Nike Mercurial Superfly B) A) $1.00 Campaign segmentation With Google Shopping money is wasted on generic queries Identical product search, but different query intent Compare conversion rates by specificity 1.4x Brand + Category Category 2.5x Brand + Name
  • 28. 28 Semantic Advertising TechnologyEcommerce Expo Prague 2018 Chanel Timeless Purse Product Names Brand/Designer Names Generics N/A High Medium Low Catch All Generics Designers Purse Chanel Purse Chanel Timeless Clutch Varies Automated Campaign Segmentation Crealytics automatically funnels traffic into campaigns based on intent Product PriorityCampaign Bid AmountNegatives
  • 30. 30Ecommerce Expo Prague 2018 Semantic Advertising Technology What is the true value of RLSA campaigns? Google‘s retargeting campaigns are barely incremental Do not believe the numbers until you have challenged them! Excessive use of RLAS • Results look good on paper and nobody likes to challenge the data • Even if RLSA is not explicitly done, website visitors are always automatically being retargeted • Some smart advertisers bid low on RLSA Inflated value attribution • Overestimating the contribution value of remarketing campaigns • We expect incrementality to be at about 20% Understand that segments which show the highest efficiency are usually the ones with the lowest incrementality Test the results of your RLSA campaign to see the actual value contribution Common mistakes Strategies for improvement
  • 31. 31 The Role Of Price Semantic Advertising TechnologyEcommerce Expo Prague 2018
  • 32. 32 0 20 40 60 80 100 120 0 5 10 15 20 25 30 35 40 45 50 55 Price +5% clicksown price Days Clicks Price Semantic Advertising TechnologyEcommerce Expo Prague 2018 Google Product Category: Apparel & Accessories > Shoes > Sneakers Brand: 5% price increase coincides with a 60% decrease in clicks Price as an algorithmic signal Changes in pricing can massively impact your PLA performance Clicks drop off after product price increase Chart Info
  • 33. 33 Semantic Advertising TechnologyEcommerce Expo Prague 2018 Products priced 5% lower than market average Products priced 5% higher than market average 1826 2047 134% 135% -29% 61% 280% Impression Volume Clicks CPO Conversion Rate Conversions To succeed include price as a signal Google includes price competitiveness as an algorithmic signal Pricing compared to market average Lower priced products drive performance Bidding high on products which are not priced competitively is a waste of money. (# products)
  • 34. 34 Semantic Advertising TechnologyEcommerce Expo Prague 2018 Crealytics incorporates pricing information into bidding