Why Product Listing Ads Are Worth Testing
January 31, 2011
Product listing ads from Google AdWords have been available to most advertisers since mid-November-ish. Depending on how you our your clients want to set up bidding controls, the actual setup of product listing ads can be somewhat of a pain and a bit confusing. However, the ability to test this new avenue for revenue is an important one.
Based on a pay-for-performance model, PLAs allow an advertiser to bid essentially on a commission % that they are willing to pay Google for a conversion. With proper profit margin knowledge and careful setup, this is a straight-forward way to ‘know’ what you will spend for each and every conversion through PLAs.
Testing and bid adjustments are always needed, but this channel shouldn’t be ignored because the setup requires some work. The ability to add new traffic that is pretty sure to meet your goals/targets is a good opportunity worth testing.
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