As most people already know, back in May of this year (2012), Google announced that they were replacing their Google Product Search with Google Shopping. This meant that product feeds through Google were no longer free, but an added paid search feature available through Google Adwords. This Adwords feature is called Product Listing Ads (PLAs).
For those of you who have made the transition and got through the setup phase pat yourselves on the back. Those who haven’t but are still considering whether or not it’s worth the time and money, let me describe the major benefits of using Product Listing Ads (PLAs) in hopes of persuading you to use them.
1. PLAs Give Searchers More Opportunities to See Your Products
First and foremost, you want your products to show up on the first page of Google. 75% of users never scroll past the first page of search results (www.hubspot.com). PLAs provide you with the opportunity, in most cases, to be above the fold (before scrolling is needed), keeping you within eye sight of every search your ad is triggered for.
2. PLAs Capture Serious Shoppers, Not Just Searchers
Most PLAs are triggered on transactional keywords and phrases (keywords that describe product specifics or intentions to purchase). When searches like these are conducted, the user is more likely ready to buy, so your PLAs will help capture more qualified buyers rather than people just doing research on your product or company.
3. PLAs Result in Higher Ad Positions
Have you noticed where PLAs show up on search result pages? On computers, they show up in the organic search results or most of the time, the top right side of searches. Normally the 4th ad position of text ads shows up in this position. Knowing that your ads will appear in these areas bring many advantages to the plate, the most important being your ad showing above the fold.
4. PLAs Push Competitors’ Ads Down in Ad Position
This next benefit is actually an advantage of the third benefit listed above; PLAs push competitors’ ads down in ad position resulting in most competitors’ ads not being seen by users. This is a huge benefit seeing how this space is so financially valuable to most businesses.
PLA Example (click to enlarge)
5. PLAs Yield Lower CPC’s & CPAs
On average, PLAs will yield lower cost-per-clicks and cost-per-acquisitions than other paid search options. Some of my own CPAs for text ads are $30-$40, but my PLAs have resulted in CPAs of less than $10 and CPC’s of less than $0.20! This opens up more ad spend on other advertising. Even if you don’t do any other PPC, with data like this PLAs are a no brainer!
6. PLAs Yield Higher CTR’s & Conversion Rates
Lastly, on average, PLAs yield higher click-through-rates and conversion rates. These are always good for business, but they also help your Adwords account in terms of performance and standing. Having a well performing, optimized, account can help improve overall success with Adwords. With the CPC’s rising and more competition entering the paid search realm, this screams “USE PRODUCT LISTING ADS!!!”
Leave your comments/questions below and I’ll try to help answer them.
