Google Shopping On The Rise: How To Master Your Ads Campaigns In 2016

1. #semrushlive vGoogle Shopping on the rise Mastering advertising campaigns in 2016 #semrushlive Herbert Knibiehly – VP Marketing

2. #semrushlive Two lines of products: • Smart LEADS, a multi-channel traffic acquisition solution • Smart SEM, a suite of management solutions for AdWords and Google Shopping campaigns 150 Employees in United Kingdom, France, Germany, Spain and Italy 2006 Founded 400,000,000 Products indexed 30,000,000 Monthly Unique Visitors on our properties & partners 15,000,000 € Funding raised 4000 Clients in 15 countries About Twenga Advanced traffic acquisition solutions for e-commerce

3. #semrushlive Let’s get started 1. What challenges are advertisers facing in 2015? 2. How is search marketing changing? 3. Going beyond traditional optimisation 4. Case study 5. Questions

4. #semrushlive What challenges are advertisers facing in 2015? Advertising for retail is becoming more and more complex: • More platforms • More formats • Multiple touch points • Multiple devices • Multiple solutions providers

5. #semrushlive What challenges are advertisers facing in 2015? At the same time, advertisers face a « scissor effect » Acquisition costs are on the rise, and margins are decreasing, all due to increased competition This pressure, when added to increased complexity, makes it almost mandatory to have a sophisticated approach to acquisition. Old receipes no longer work !

6. #semrushlive Paid search growth is slowing Search Engine Marketing YOY spend increase Adobe Q2 2015

7. #semrushlive …and retail is taking the lead Adobe Q2 2015 Global SEM spend growth by sector

8. #semrushlive eMarketer, March 2015 As share of the top 5 Google continues to dominate paid search… Google 73.6% Predicted search marketing share in 2015 Baidu 11.9% Bing 5.7% Yahoo 3.1% Others 5.7%

9. #semrushlive Search Metrics …and Google Shopping growth is soaring Global YOY Google Shopping adspend growth Adobe Q2 2015 +118% PLA integrations for universal searches 7% to 16% Share of keywords with at least one PLA integration in 1 year Available inventory on Google Shopping has more than doubled in one year

10. #semrushlive How is Search Marketing changing? • Google has gradually opened more & more keywords to Shopping • Saving the best quality traffic for Shopping • Retailers saw a drop in overall AdWords conversion rates 1

11. #semrushlive It’s about better traffic quality for e-commerce Google shopping vs. AdWords traffic: • -16% less bounce rate • + 201% increase in average visit duration. • + 314% increase in viewing at least three website pages • +162% in page views. In 2014 retailers spent 47% more on Google’s shopping ads and 6% less on text ads Explore Consulting (2015 report) Forbes January 2015

12. #semrushlive • Google just announced that search traffic from mobile devices overtook desktop • Mobile has a lower e-commerce conversion rate than desktop and must be optimised Improving the mobile experience is key

13. #semrushlive • “Purchases on Google” Launched on mobile for selected retailers • Google will essentially own the entire checkout experience • 2X higher conversion rates are expected ‘Buy Now Button’ is coming

14. #semrushlive • Include your product ratings in your feed or work with a third party aggregator • Ads with product ratings typically have a +5% higher CTR Product ratings and review cards are widely available

15. #semrushlive • Local inventory ads are now displayed if the shopper is near a store • Product ads can now be online, local or “Multi-channel” • Set up requires a local product + local inventory feed • Local ads are expected to have a +5% higher CTR Local Inventory Ads are ramping up

16. #semrushlive E-commerce Search Marketing in 2016 : Our vision 3 2 4 1Focusing on Google Shopping : Success on this platform is no longer simple At first, ROI was quite easy to get. Now CPCs have risen, and competition has increased Here are, according to us, the keys to success on Google Shopping Know your products Google Shopping know-how Data exploitation

17. #semrushlive • Google Shopping allows you to bid at product level • Yet most advertisers bid at a higher level • complexity of this method & lack of data • Common sense is that among a category, performance is very diverse More granular bidding is a must GS know-how Data exploitation Products

18. #semrushlive • More opportunities to optimise bids (or products from your catalogue) • Possibility to adjust bids dynamically according to purchase opportunities ROI optimisation 0,15 € 1,20 € 0,60 € 0,95 € 1,05 € 0,20 € GS know-how Data exploitation Products Bid distribution

19. #semrushlive From Data to Smart Data 1. Score your products to inform bidding strategies • N° product pages displays • N° products placed in shopping basket • N° sales • …. 2. Hyper segment your audience • 3 layers: basic remarketing / CRM data / Calculated Segments Products GS know-how Data exploitation

21. #semrushlive Bidding algorithms Use value prediction engines for real time bid optimisation, at keyword level, continuously improving ROI From Data to Smart Data – how? Data collection on-site Identify performance of each product in the catalogue and analyse user behaviour Dynamic user profiling Using RLSA, build custom audiences and segments, which can be operated easily in the campaign 1Products GS know-how Data exploitation 2 3 From Insights to Smart Actionable data

22. #semrushlive Search Marketing is becoming specialised Key challenges • Reactivity • Feedback loop can be complex • Unified vision key to performance Bidding optimisation Product Feed Management Data Collection/ Analytics / Attribution Feed changes Conversions (most of the time) Sales targets CoS targets Product category information Help structure campaigns Retailers Products Data exploitation GS know-how

23. #semrushlive Twenga Smart SEM case study: LePape • LePape is a leading premium sports equipment retailer, expanding its presence online through Search Marketing • Goal: to boost PLA spending with a stable Cost of Sales (30%) • Twenga Solutions entirely rebuilt PLA campaigns for LePape

24. #semrushlive Case study: LePape Dramatic revenue growth from Google Shopping campaigns at stable COS “We were looking to increase our sales on Google Shopping without compromising our Cost of Sales. Since activating Smart FEED, we have noticed a decrease in our CoS and an increase in revenue.” - Stéphane Gognet, Head of paid acquisition at LePape

25. #semrushlive To • 1 product group per item • Bids defined per item Case study: LePape Campaign optimisation – what did we do? From • 1 product group for several items • All items with the same max CPC

26. #semrushlive Case study: LePape Hyper audience segmentation From • Lists managed through bid modifiers • RLSA used only to bid on audience (in a very rough way) To • One remarketing list per adgroup • Bids defined per product + audience

27. #semrushlive Holiday season bonus tips Let’s do this.

28. #semrushlive • Retailers quickly implement mandatory features but are slow to adopt optional ones • Being part of the early adopters will give a CTR and Conversion Rate boost over competitors • But mastering new tools takes time! New features can give you an edge during the holiday season 1994 2015

29. #semrushlive Some of the new 2015 features: • Ad Customisers. Ex: Possibility to create a sense of urgency with Limited Time Offers • Product ratings in Germany, UK and France • Local Inventory Ads (LIAs) in the US • “Buy” buttons with Google Purchases (coming soon) New features can give you an edge during the holiday season

30. #semrushlive Google introduced a feed update in June, which has been enforced since September: • Mandatory Item Number for selected brands (GTIN) • Tightened submission rules around the ID Attribute • Apparel and variant attributes have been simplified into Detailed Product Attributes and Item Groupings. Holiday season campaign setup

31. #semrushlive Campaign priority • Create an ‘all products’ campaign and set it low • Create a Christmas or Halloween campaign and mark it as ‘high priority’ in the advanced shopping settings Holiday season campaign setup

32. #semrushlive More optimisations • Create seasonal landing pages and A/B test them to make sure they perform as expected • Add promotional text to shopping ads to stand out from the crowd. ‘Free delivery before Halloween’ Holiday season campaign setup • Feeds need to be updated as frequently as possible during peak seasons because higher demand means that products go out of stock much faster than usual • Monitor budgets: With more activity during the Christmas season, retailers must plan their budget to make sure it doesn’t run out in the crucial last order week

33. #semrushlive Twenga’s approach to mastering Google Shopping in 2016 “Leveraging all available data on a real-time basis to combine product-level bidding with hyper audience segmentation is key” Know your products Google Shopping know-how Data exploitation

34. #semrushlive Are your Google Shopping campaigns reaching their full potential? On average, our customers improve their ROI by 30% with Twenga’s Smart SEM platform www.twenga-solutions.com

35. #semrushlive Download our free whitepaper http://go.twenga-solutions.com/SEMrush

36. #semrushlive v www.twenga-solutions.com facebook.com/TwengaSolutions @TwengaSolutions linkedin.com/company/twenga Stay in touch ! PARIS – LONDON – BERLIN – MADRID herbert.knibiehly@twenga.com Twitter : @Herbert_K

Google Shopping On The Rise: How To Master Your Ads Campaigns In 2016

Google Shopping On The Rise: How To Master Your Ads Campaigns In 2016

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Google Shopping On The Rise: How To Master Your Ads Campaigns In 2016