A Profitero study showed Target’s online prices were 25% more expensive than Wal-Mart’s, which were just slightly more expensive than prices on Amazon.
The retailer works with Channel Intelligence to target the ads.
Outdoor recreation equipment retailer Campmor, No. 602 in the Internet Retailer Second 500 Guide, boosted its sales 10-fold in the first six months of this year compared to the same period a year earlier after it began advertising on Google Shopping with Product Listing Ads.
Product Listing Ads are crucial to Google’s new approach to Google Shopping. Instead of bidding on keywords for paid search ads, merchants buying Product Listing Ads bid on the amount they will pay if their product listings in search results attract clicks or result in sales; retailers have the option to select a cost-per-click or cost-per-acquisition model. Product Listing Ads can include a product’s price, an image and the name of the retailer selling it.
The retailer worked with technology marketing and services company Channel Intelligence to target the ads. The Channel Intelligence team maintains the product data feeds that go into the ads, says Nicholas Scilingo, Campmor director of search engine optimization and marketing. The vendor also adjusts the retailer’s bidding strategy for ad impressions on the search engine marketplace. The ads provide images, prices, promotions and availability data, he says, which helps consumers understand the products.
“We are not only achieving significant increases in sales, but improving the customer shopping experience at the same time,” he says.
Because shoppers have more information thanks to the ads, the retailer has seen a huge jump in its ads’ conversion rates. “Product Listing Ads on Google Shopping deliver higher-quality traffic with higher conversion rates relative to many other advertising programs,” Scilingo says. The ad format will continue to be a part of Campmor’s digital marketing program as it grows, he says.