A Google Shopping audit will help you to optimise your campaigns and achieve better results.…
What Is The Cost Of Google Shopping Management?
Google shopping management is a service provided by agencies and freelancers to advertisers that are looking to set up and run product listing ads (PLA) on Google and across its advertising network.
By showcasing products directly in search results with images, prices and relevant information, Google shopping offers you a powerful platform to potential customers. And with the help of a Google Ads expert managing your campaigns you are more likely to achieve good results because of their expertise and continuous optimisation.
Many businesses turn to professional Google shopping management services to make the most of this advertising channel.
So, in this blog post, I’ll explore the cost of Google shopping management, the value it provides, and factors that influence pricing.
1. Understanding Google Shopping Management
When you hire a Google Ads expert, they’ll take charge of the entire process of your management, from campaign set up to optimisation and ongoing monthly management. And this will include feed creation and submission in Google Merchant Centre if this hasn’t been done yet.
This requires a lot of expertise and so the Google shopping expert will apply their skills to plan, execute and monitor your campaigns to maximise your return on ad spend (ROAS).
2. Pricing Models for Google Shopping Management
The pricing model used by a Google Ads specialist or agency will determine what you’ll pay for Google shopping management services. So, as you shop around for help with your shopping ads, compare the review models used and here are some of the most popular ones to help you decide:
a. Monthly management fee
Many Google shopping management agencies charge a flat monthly fee that’s like a monthly retainer. This is a fixed amount each month which covers things like campaign set up, optimisation, monitoring, performance tracking, analytics reporting and more.
The management fee will vary and will depend on things like number of campaigns, complexity of account, experience of the agency and more.
However, Google shopping management fees start from £360 per month for small campaigns with few products. And this can go up to thousands of pounds each month for larger campaigns and accounts promoting thousands of products through the paid and free listings.
b. Percentage of ad spend
Some agencies charge a fee based on the monthly spend of your campaigns and this is for shopping campaigns and all other campaign types in Google Ads.
This percentage is usually between 10-25% of your budget spend. And it’s mostly suited to businesses that have fluctuating ad budgets.
For example, if you have a monthly shopping ads budget of £5,000 and the agency charges 10%, then you’ll pay £500 per month for management.
c. Performance-based fee
In some cases, a Google shopping management agency will agree to a performance-based fee structure. And this means the agency’s compensation is linked to specific performance targets such as achieving a certain return on ad spend (ROAS) or hitting sales milestones.
So, you’ll agree on targets and metrics that you want to achieve and then will pay that each week or month that those targets are reached.
This model requires that conversion tracking is set up correctly and that all sales or leads from the website and phone are being tracked.
3. Factors Influencing Google Shopping Management Costs
There are at least five main factors that determine what you’re likely to pay for Google shopping management and I’ve listed them below:
a. Business size and complexity
Setting up and managing Shopping campaigns can be quite complex. And it can take weeks to set everything up, which is much longer than other campaign types like Search.
With Shopping you must create a product feed and then upload this to Google Merchant Centre and the review process will take about three working days. Then you’ll create a Shopping campaign in Google Ads.
So, this can cost more. And the Google Ads specialist or the agency you hire will help you with this and charge you a fee that covers all this work.
b. Expertise and reputation
Highly experienced Google shopping management agencies charge higher fees because of their track record of delivering successful results. And you’ll be able to see this in the reviews, case studies and testimonials they have.
So, you should check this to ensure you’re working with a reputable agency or Google Ads freelancer with a track record of delivering great results.
c. Geographic location
You could hire a local agency to manage your shopping campaigns, and this has many benefits. But if you’re in a high-cost region, then you’re likely to be charged more than a low-cost area. So, you may need to assess the pros and cons of this.
It may make more sense to look in other geographic locations as you search for an agency because you may find a more affordable one that offers a great service.
d. Services included
There are additional services to Google shopping management that help you to run effective ads. They are not always included or necessary depending on your goals, however, they do help you to have greater success with your campaigns, when they are deployed correctly.
These services include landing page optimisation, conversion tracking setup, Remarketing and others.
But they have additional costs and you should be aware of this before signing up with an agency.
e. Customisation and strategy
Depending on the nature of your business and the type of products you sell, a more customised shopping strategy may be ideal for your business. This entails things like setting up new listings using different feed submission methods or using testing strategies for the different shopping campaign types.
This might come with a premium price tag compared to a standard package offering, but will ensure it is all tailored to your requirements.
Conclusion
In conclusion, the most important thing is to find the best Google shopping management agency for your requirements at the right price. And hopefully the points I’ve discussed here give you an idea of what the costs are and what you get.
I’m a Google Ads expert and have over 15 years’ experience in the industry. Contact me today to discuss your requirements.
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