Google Shopping vs Google Search Ads - Which is better for eCommerce?

When it comes to advertising eCommerce products, many businesses make the mistake of focusing solely on Google Shopping Ads, often setting them up with just a few clicks within their Shopify store. This is a misguided approach that can lead to overspending without delivering significant results. A well-rounded strategy should involve a comparison of both Google Shopping and Google Search Ads to determine which platform suits your goals best.

Below, we'll dive into the benefits and drawbacks of each ad type for eCommerce and introduce a 3-tier strategy to maximize the effectiveness of your campaigns.

1. Google Shopping Ads for eCommerce

Google Shopping Ads are product-focused ads that showcase an image, title, price, store name, and any promotional details. They are prominently displayed at the top of search results or in the right column, making them eye-catching and effective for product discovery. Here’s what you need to know:

Benefits of Google Shopping Ads

• High Visibility: Shopping ads often appear at the top of the page or in a highly visible right-hand column on desktops, attracting immediate attention.
• Visual Appeal: These ads are image-based, which helps customers see what the product looks like before clicking, increasing engagement.
• Promotion Flexibility: You can easily highlight special offers like "Free Shipping" or discounts directly in the ad.
• Pre-qualification by Price: The price is visible, meaning clicks are more likely to come from users who are comfortable with your product's price point, reducing wasted ad spend.

Drawbacks of Google Shopping Ads

• Price Wars: Showing the product price can lead to aggressive competition. Competitors, particularly large retailers, may undercut your prices, leading to unsustainable price wars.
• Lack of Control Over Ad Copy: Unlike search ads, you can’t control the messaging, making it harder to differentiate your product from competitors on features alone.
• Profit Margin Risk: Big competitors can afford to run low-margin or even loss-leading products, making it challenging for smaller eCommerce stores to compete.

When to Use Google Shopping Ads: Ideal for businesses that have competitively priced products with strong visual appeal and can handle the competition from larger retailers. Great for raising brand awareness and driving initial clicks.

2. Google Search Ads: A Powerful Complement to Shopping Ads

Google Search Ads are text-based and appear above or below the search results. They allow you to craft a compelling sales message, beyond just price and image, and target keywords that potential customers are searching for.

Benefits of Google Search Ads

• Customizable Messaging: You can craft persuasive ad copy that highlights unique selling points, benefits, and product features that set your product apart from competitors.
• Ad Extensions: Search ads allow the use of extensions like Sitelinks, Callouts, and Promotions, which increase the visibility and click-through rates of your ads.
• Control Over Keywords: Unlike Shopping Ads that rely on Google’s algorithm to match products to queries, Search Ads give you full control over the keywords you want to target.
• Maximized Mobile Presence: Securing the top position for a search ad means dominating the mobile screen, reducing the visibility of competitors.

Drawbacks of Google Search Ads

• Limited Visual Appeal: Without images, Search Ads rely solely on text, which may not be as visually engaging as Shopping Ads.
• Requires Strong Copywriting: Crafting compelling ad copy requires a solid understanding of your audience's pain points and motivations.
• No Price Visibility: Unlike Shopping Ads, users won't see the product's price until they visit your site, which could lead to unqualified clicks.

When to Use Google Search Ads: Ideal for highlighting the benefits of higher-priced or unique products, especially when you need to communicate value beyond just the price.

3. Combining Google Shopping and Google Search Ads: A Winning eCommerce Strategy

To maximize the effectiveness of your Google Ads campaigns for eCommerce, it's essential to integrate both Shopping and Search Ads into a cohesive strategy. Here’s a 3-tiered approach that works:

Tier 1: High-Impact Shopping Campaign

• Target Priority Products: Focus on products that have a competitive price, high sales volume, and good profit margins.
• Monitor the Competition: Keep an eye on competitor pricing. If you face aggressive competition, ensure that your product's brand strength or unique features can justify a higher price.
• Optimize for Google’s Algorithm: Google’s algorithm favors products with consistent daily sales, so prioritize products that you know will perform well.

Tier 2: Targeted Search Campaign for Profitability

• Focus on Your Most Profitable Products: Use Search Ads to drive sales for products with the highest profit margins.
• Leverage Ad Extensions: Add Sitelinks, Callouts, and Promotions to make your ads stand out. Use a Countdown Timer for limited-time offers to create urgency.
• Craft Persuasive Ad Copy: Highlight unique selling points, such as quality, exclusive features, and any guarantees that your product offers.

Tier 3: Remarketing Campaign on Display Network

• Retarget Visitors with Display Ads: Use image ads to retarget visitors who have previously engaged with your Shopping or Search Ads.
• Tailor Your Message: Adjust the messaging to reflect the visitor's previous interaction with your website, offering discounts or limited-time deals to encourage conversion.
• Maximize Brand Exposure: Even if users don’t immediately convert, your ads reinforce brand awareness over the next 30-60 days, keeping your products top-of-mind.

4. Key Takeaways: Google Shopping vs Google Search Ads

• Budget Considerations: Shopping Ads can be a drain on your budget if you’re competing with major retailers. Use Search Ads to target high-margin products and capture users who are looking for more than just the lowest price.
• Brand Positioning: Search Ads allow you to build a narrative around your brand and its unique benefits, while Shopping Ads work best for visually-driven products where price competitiveness isn’t a major issue.
• Data-Driven Decisions: Use Google Analytics and conversion tracking to measure the success of each campaign type, refining your approach based on performance data.

 👉 How to set up a Google Ads Search Campaign

5. Final Thoughts: Balancing Shopping and Search Ads for eCommerce Success

For a successful eCommerce advertising strategy, don’t rely on one ad type alone. A blend of Google Shopping and Google Search Ads provides a more balanced approach, allowing you to target various stages of the buying journey—from discovery to conversion.

This multifaceted strategy, combined with smart remarketing, will enable you to effectively reach your audience, boost conversions, and ultimately grow your eCommerce business.