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Mass-Market Retailers Prioritize Return on Ad Spend on Google, Facebook

New findings from the 2021 Benchmarks Report shows mass-market retailers posting notable return on ad spend (ROAS) across several major ad platforms. According to the report, the mass merchant vertical saw ROAS increase substantially on Google Shopping, Google paid search, and Facebook Advertising in 2020.

The mass merchant vertical saw ROAS increase substantially on Google Shopping, Google paid search, and Facebook Advertising in 2020.”

Sidecar analyzed several key performance indicators in this vertical throughout 2020. Our results make up the 2021 Benchmarks Report, which looks at retail performance on Google Shopping, Google paid search, and Facebook Advertising. Our award-winning series covers 14 other ad segments as well as Instagram Advertising and Amazon Advertising performance. Get the report now.

ROAS Grows, CPCs Decline for Mass-Market Retailers

When looking at Google Ads performance, the mass merchant vertical can look to CPC for insight on the increase in ROAS on shopping and paid search. Despite a 2% year-over-year increase in CPC on Google Shopping ROAS jumped 29% from 2019. On Google paid search, year-over-year CPC fell 29% while ROAS improved 19%.

Mass Merchant AOV Above Retail Average on Google Paid Search & Facebook

Efficiency was key for mass merchant retailers in 2020. Alongside higher ROAS, these retailers experienced above average AOV on paid search and Facebook. AOV on Google paid search for these retailers was $145.76, 8% higher than retail average. On Facebook AOV was $136.38, 48% higher than retail average.

Get More Mass Merchant Benchmarks Like These

Want more performance data for retail? Access our 2021 Benchmarks Report now. Our most extensive report yet features performance insights across:

  • 5 ad platforms
  • 6 major KPIs, including CPC, ROAS, and CVR
  • 16 retail segments
  • 3 monthly spend tiers

Access the complete report now and see how your performance stacks up.