Just over a year ago we reported in our blog of the changes that were starting to take place in Google as a result of the sanction imposed by the EU by the advertising of product cards or Google Shopping.
At that time, we began to observe that Google added to the product listing a "by Google", what appeared to be anticipate the presence of other comparators through the AdWords (now Google Ads) auction system.
Even then we wondered how the bids could be managed to have an ad displayed for one search or another, depending on the many parameters that marketers use on a daily basis online. To explain this, it is necessary to say that Google has a highly advanced advertising platform which allows us both to bid one amount or another to get an ad displayed based on multiple variables, such as the user's geographic location, day and time, gender, age, device used (mobile, tablet or desktop computer), such as preventing ads from being displayed when words with little added value are added (such as "second-hand samsung TV" or "free iphone"), among others.
The various comparators with a presence in Europe were limited to charging a more or less fixed CPC (cost per click), without the possibility of being able to raise or lower the bid depending on the advertising performance observed. To give a simple example, if we found that visits from desktop computers were not profitable for our store, we would have to pay a fixed CPC (cost per click), without the possibility of raising or lowering the bid depending on the performance observed, we did not have the possibility to ask the comparator to only display ads from smartphones y tablets. We were only able to contract traffic at a fixed CPC, so we had to I almost never had a chance to win Google Ads auctions. and, therefore, advertising of these comparators was testimonial.
After a period of a few months in which it has been noted that the appearance of other price comparison companies was really low, Google has made a move, enabling the management of of the accounts of other comparators through its own platform. In practice, this means that we can publish advertisements that will show "By another comparator" instead of "By Google"but with all the advantages of the advertising platform of Google. Finally, we can now prevent our ads from appearing on desktop computers!
The "Comparison Shopping Partners" program
Comparison Shopping Partners is a new program which allows that the different Google-certified comparators, called CSS (Comparison Shopping Services), can publish product listing ads on Google.
Undoubtedly one of the greatest attractions of working with a CSS is the SpendMatch incentive program whereby Google will reimburse us an amount via cashback (to be deducted from the advertising cost in the following month) up to 30 % of investment of Google Shopping in the last 30 days.
The cashback we can obtain depends on the investment in product listing ads:
- Investment between 500 € and 2500 €. get a 20 % credit for the following month.
- Investment between 2,500 € and 10,000 €. will obtain a 25 % of credit.
- For investments of more than €10,000 monthly will get a 30 % credit with a maximum of €32,000 in the following month.
We assume that these incentives will not last forever. so be the first to adopt the new program will be a major competitive advantage compared to others ecommerce.
Changes in the auction
The American multinational has already declared that "Google Shopping will compete on a level playing field and operate as if it were a separate business, participating in the auction in the same way as all the others". In practice, this means that in the price of an auction to place a Google product listing ad must be priced as a search engine (e.g. 0,40 € for a click) and a benefit on that price as a comparison company, Google Shopping ( +20 % = 0,48 €)
Therefore, and according to the first calculations, we can benefit from working with a CSS of a approximately 20 % discount on ad CPCs which is not bad at all.
Our CSS Google Shopping Comparator
When we saw the very interesting news with which Google had surprised us this summer, we quickly came up with the idea of setting up our own comparator, in view of of our status as specialists in ecommerce and Google Shopping.
A priori, the advantages were obvious: cheaper CPCs, cashback de huntil 30 % of investment in Google Shopping and new ways of being able to obtain profitability for our customers' accounts.
So we set out hands on and we have developed our comparator in record time: www.bestpriceok.com We are the first Spanish comparator certified by Google! So the first thing we have done is to open the the possibility of publishing products of any ecommerce. To do so, all you have to do is send your contact details and your data feed and the we will publish free of charge.
On the other hand, we have decided that customers of Geotelecom benefit from the 100% of the amount of the cashback obtained. We want to be transparent y all savings offered by Google when publishing to another CSS we pass it on to our customers.
We are happy to manage our clients' accounts and help them achieve maximum profitability!
First impressions of Comparison Shopping Services
Those of you who already know us, know that at Geotelecom we love to experiment with any novelty that is put within our reach and it was not going to be less as it is a CSS partner and have our own comparator, so we have set to work.
A priori, we can tell you the following:
- If we reinvest the savings obtained through the CPC we obtain, we can achieve an additional 45 % of traffic with the same investment.
- The changes in accounts managed through a CSS are much slower than the usual ones from Google Shopping.
- It is not advisable to transfer the entire advertising investment to a new CSS.. The reason is that the new CSS partners only appear in the SERP and not in the comparison area of Google Shopping. Therefore, if we transfer the entire investment we will lose a large amount of profitable sales.
- Undoubtedly, it is a lot more suitable for single products than those that can be compared.
- It is necessary to study in depth what is the best strategy to transfer advertising budget and obtain the best results. As is almost always the case, the most difficult thing is still to think!
- We believe that the cashback Google (reimbursement of up to 30 % of the investment) will be short-lived It is therefore strategic to open a new account as soon as possible and benefit from all of the above.
We'll keep on tinkering and we'll try to tell you in a timely manner everything we discover. Until then... happy management! I say... ¡¡¡¡Happy Summer!!!! 😉