Shopping ad cost
Shopping ads are settled in the PPC (Pay Per Click) model. The advertiser pays a set fee only when a user becomes interested in his or her ad, clicks it, and visits the website of the offered product. Cost per click in the case of Google Shopping is, similarly to AdWords campaigns, specified on the basis of an auction in which competing ads take part. The fiercer the competition, the higher the CPC (Cost Per Click). The advertiser may specify how much he or she is willing to pay for every click. If the price is too low, the advertiser may lose an auction and his or her ads will not be displayed.
Basing on our experience, we can state that costs of clicks in the case of shopping campaign are much lower than those for keywords in standard text campaigns. Such a state of affairs is caused by the fact that the discussed form of selling is available only for websites which have launched an online sales platform. Also, it was introduced in Poland much later than Google text ads, so it is still not wildly popular. It is yet another argument for opting for such a campaign.
Virtually any budget can be spent on a shopping campaign. Nevertheless, the more products we would like to promote and the fiercer the competition, the more expensive Google Shopping advertising will be. The budget can be also flexibly adjusted to the needs and business goals. It is possible to, for example, increase it during a specific season or during limited time offers. The higher the budget for the campaign, the more users will learn about advertiser’s online shop and familiarize themselves with his or her offer.