Merchants operating Shopping Campaigns within Google Ads will now be able to see e-commerce cart metrics in the UI in order to gain a better sense of which items are driving profit-making transactions.
Utilising this new data for Google Ads shopping campaigns provides several benefits to advertisers. The merchants can know how to optimise for more significant gross profit and also get a more definite sense of the impact to their business of their Google Ads shopping campaigns.
In addition to that, the data are available at the item-level to offer insights such as which items are most likely to drive and convert into higher value orders. This reporting will provide advertisers with information relating to items which generate clicks that result in sales of other items. Also, you can view this new data with dimensions such as geographical location or device to analyse the impact on the average order value, cart size, and profitability.
Cart conversion data that retailers provide will now be used to generate reports, which contain additional information about sold products, like:
Whether or not the buyer purchased the items featured in the ads that they clicked Which bidding entities (add groups, campaigns, or product groups) delivers a high gross profit as well as drive sales.
How different bidding dimensions affect the average order value and cart size. Whether or not the buyer purchased the items other than the ones featured in the clicked ads.
Merchants that capture cart data with GACT (Google Ads conversion tracking) can now see additional revenue plus profitability data that are attributed down the item level. These new metrics include:
- Orders: The sales that are attributed to clicks on an ad.
- COGS (cost of goods sold) : The total business costs, which are attributed to an item.
- Average cart size: The total number of products in-cart divided by the sum of orders.
- Average order value: The revenue from ads on clicks divided by the sum of the orders attributed to clicks on an ad.
- Gross profit: The total profit from every transaction attributed to clicks on an ad.
- Revenue: The income from all transactions that are attributed to clicks on an ad. It calculated by subtracting Revenue from COGS.
You can be able to see more details in Report Editor about items bought from shopping campaigns with the below product-level metrics:
- Product revenue: The total income from a certain product.
- Units sold: The sum of sales of an item or product.
- Products average cost of goods sold: The business costs that are attributed to the item divided by the total number of sold products, and weighted by the product impressions.
- Product gross profit: The total gain from a product.
How to enable the new columns
For you to implement and utilise cart data, you are first required to set up GACT with either Google Tag Manager or Google’s global site tag.
Then, to get gross profit reporting information, you are required to include values for the COGS attribute under the ‘price and availability’ in your submitted product feed in Google Merchant Centre. More information on setting up is on this Google help page.