Every retailer measures their performance in Google Ads differently. Some may manage their Google search and shopping campaigns to a distinct ROAS, while others look to drive higher average order value or conversion rates.
Goals can vary from business to business in Google Ads. However, it may be helpful to see how your business compares to average performance in your retail vertical. In the 2019 Benchmarks Report: Google Ads in Retail, we analyzed performance metrics in 14 major retail verticals across Google’s search and shopping channels.
Below is an excerpt from Chapter 3 of the 2019 Benchmarks Report. Read the complete report here.
Mobile Revenue Increases in Google Paid Search
Google Shopping saw mobile revenue grow in nearly every retail vertical in 2018. Comparatively, Google paid search raked in big mobile revenue gains. The books, music, and video vertical led the way with a 112% year-over-year increase in revenue in paid search. Jewelry (78%), mass merchant (67%), and health and beauty (59%) followed as top YoY mobile growth drivers.
Conversely, the computers and electronics vertical was one of two verticals to see revenue decrease YoY in Google paid search. Revenue in the vertical fell 14% YoY. Pet care followed at a 4% drop in revenue.
Performance Benchmarks in Google Ads
We examined Google Shopping and paid search data to uncover the key performance metrics driving each retail vertical. We looked at AOV, click-through rate, conversion rate, and ROAS in both channels.
One of the most interesting trends in paid search was the increase in CPCs across the board. This is likely attributed to rising competition, and to an extent, the adoption of Smart Bidding strategies (like Target CPC) where individual bids often exceed the maximum CPC set. As a result, CPC jumped YoY in each vertical.
Here’s how these KPIs in Google Paid Search stacked up and compared to 2017.
Get More Vertical-Specific Data Like This
Download the 2019 Benchmarks Report: Google Ads in Retail and get the complete look at vertical performance in Google Ads. Sidecar’s annual report examines the latest trends shaping the retail industry, and what retailers can do to find the white space in 2019 and beyond.