Google Shopping Vs Amazon Ads : Which One Is More Profitable?

Google-shopping-ads-vs-amazon-ads

When it comes to big digital platform giants like Google and Amazon, there is always confusion among people about which one is the best and which will give me more profits. But the fact is, both Google and Amazon are equally good in their own way. By the way, understanding PPC strategies with AdSpyder can help you navigate these platforms effectively. Both these platforms have their advantages as well as shortcomings, and only if you are aware of these differences can you easily manage your ads to make a profit by achieving conversions. This article will shed light upon the two most popular types of ads, which are Google shopping ads and Amazon-sponsored product ads. Let’s find out the key aspects of Google shopping vs Amazon ads.

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What are Google shopping ads?

If you ever see an ad along with the image, price, and basic description of the product at the top or right corner of the Google search result, that is called “Google Shopping Ads”.

example-of-google-shopping-ads

 

What Are Amazon-Sponsored Product Ads?

Amazon-sponsored product ads are a paid feature that allows you to promote your product on the Amazon website. Your product will be ranked top above the organic results whenever the customer search for the relevant products. 

For example, if you are selling a watch using Amazon- sponsored ad, and whenever the customer search for a watch on the Amazon platform then your product will be highlighted at the top of the search results giving you the advantage over other sellers. Thereby, leading to higher conversions and more profits.

amazon-shopping-ads-example

Where Do Google Shopping Ads and Amazon Sponsored Ads Appear?

  • Google shopping ads appear on top of the Google search result page. Google shopping ads have a higher percentage of reach when compared to Amazon shopping ads. Because Google search engine is used in around 90+ countries when compared to amazon with 15 countries.
  • Amazon-sponsored advertisements are displayed on the Amazon search result page or on a highly visible area of the product details page.

Google Shopping vs Amazon Ads: Which to Choose?

Feature Google Shopping Ads Amazon Ads
User Purchase Intent Users are in the awareness stage, researching products.
Users have a stronger intent to buy, especially Prime members.
Ad Cost Higher, around $1 per click.
Lower, around $0.7 per click.
Reach Global, targets 36 countries.
Limited to 10 countries with separate campaigns.
Brand Visibility Enhances brand awareness; redirects to your website.
Limited; focused on product over branding.
Review Credibility Less credibility in comparison.
Users trust Amazon’s verified reviews.
Visual Appeal More visually engaging with product images, price, and brand name.
Less prominent in visual impact.
Data Collection Allows detailed user data collection through Google Analytics.
Offers basic demographic and sales data.
  • Use Google shopping ads when you want to create awareness about your product. Because people frequently use Google to find products when they are unsure of what to buy for their requirements or to get advice and details on a certain product. You can also use Google shopping ads when you want to target your customers and drive them to your website.
  • Use Amazon sponsored-product ads when you want to promote your product to the people who are ready to buy. Because people who visit Amazon already know what to buy and very certainly have chosen the brand of the item. You can also use Amazon sponsored ads when you need to highlight your product among your competitor’s products.

Purchase Intent and Conversion Rate For Google and Amazon Ads

Amazon ads usually have a 10% higher conversion rate than Google ads. This is because only the people who want to purchase the product visits the Amazon platform whereas people commonly use Google to gain knowledge about the product. Hence, the purchase intent for Amazon ads is way higher than for Google ads.

  • Use Amazon ads to overcome the competition among your competitive sellers. As a result, you will be able to sell your products much faster and make a quick profit.
  • One can not sell the product without creating knowledge and awareness among the people. Hence, Google shopping ads are equally important. That is the reason why nearly 25% of Amazon sellers use Google shopping ads along with Amazon sponsor ads to promote their products.

Related: E-Commerce vs Dropshipping | Advantages and Disadvantages

How To Find Converting Keywords For Google Shopping and Amazon Ads?

It is important to invest considerable time deciding on the appropriate keywords to use in your ad group.

You must be focused upon keywords that are relevant to your business, have a high level of buyer intent, and have a good search volume.  To estimate the volume of searches for potential keywords, you can use Google’s Keyword Planner tool. You can also use paid tools like Ahrefs or Semrush.

Be sure the keywords you select aren’t just relevant to your business but also related to each other. If you’ve got a broad variety of keywords you wish to target, it will be better to divide them into smaller groups of ads. 

Which Platform Is Better For Comparison Ad Customization?

There is a need for the seller to highlight their product among a huge number of people. Here, Google provides more cool features to its sellers to customize their Google shopping ads.

Whereas in Amazon-sponsored ads the sellers have lesser options to customize their ads because there is a lesser for the sellers to target the audience inside the Amazon website since people pro-actively look for the product they want to buy. 

For example, if the seller is promoting a gaming laptop using Google shopping ads then there is a need for the seller to customize the ad to target the audience between the age of 15-30 years as well as to find and target the gaming enthusiast. Google allows more customization options for ads, providing tools that can assist in designing native ads tailored to your target audience. Whereas for the seller using an Amazon-sponsored ad, there is no need to target the customers like Google since the amazon user is pro-actively searching for the gaming laptop on the amazon platform.

Comparison Of Google Shopping vs Amazon Ads for Products

Comparison Of Google Ads and Amazon Sponsored Product Ads

Which Is More Cost Effective?

Amazon sponsored ad has lower cost per click (CPC) when compared to google shopping ads. This is because the number of competitive advertisers is very less on when Amazon’s platform when compared to Google search engine. The average CPC for amazon ads is around $0.89 whereas for Google shopping ads is around $1.50. 

On the other side, Amazon charges a commission for all sales. On average amazon charges, 13% of commission based on the type of product. Ex.) For shoes, amazon charges a 10% commission on each sale, and for Men’s T-shirts, amazon charges a 17% commission for each sale.

When it comes to cost both Google shopping ads and Amazon sponsored ads have pros and cons. Therefore, choose wisely based on your need to reduce your budget for promotion.

Which Is More Time Consuming?

Google shopping ads take lesser time when compared to Amazon ads. This is because Google has a bulk editor with many automated editing tools. Here, you can edit all your ads in a single shot. In Amazon ads, there are no such features hence you have to edit and set each ad individually.

Brand Visibility

Google shopping ads have more brand visibility when compared to Amazon sponsored ads. This is because the number of people visiting Google is huge compared to the Amazon website. Google shopping ad is the best choice if you want to create brand awareness and visibility among a large number of people.

Keyword Targeting

It is easy to target customers using keywords in Amazon-sponsored product ad campaigns. As you have the option of targeting particular keywords and search queries that help you to rank your product on top easily for the relevant searches. On the other hand, Google shopping ads do not have a direct keyword targeting option. Hence the only option is to use indirect methods like “Negative-keyword targeting” which is a little difficult process to set when compared to direct keyword targeting.

Related: How To Start Dropshipping On Shopify

Best Practices for Running Amazon and Google Shopping Ads

We have seen the pros and cons of Google Shopping ads and Amazon ads for promoting your products online. Effective advertising is crucial to drive sales and increase brand visibility. Amazon, and Google Shopping ads, and video marketing for product launches are powerful tools that can help businesses reach their target audience and generate revenue. By following these best practices, you can optimize your campaigns and maximize your return on investment (ROI).

Amazon Ads Best Practices

  1. Keyword Research: Conduct thorough keyword research to identify relevant terms that potential customers are searching for. Use Amazon’s Keyword Tool and other resources to discover high-volume, low-competition keywords. Make sure what you choose and what your users are searching for are in line with each other.
  2. Product Targeting: Target specific products or categories that align with your offerings. Make good use of Amazon’s product targeting options to reach customers who are actively searching for similar products. By achieving this, you make sure that the ads are shown only to those who are displaying the intent to explore your niche.
  3. Ad Copy: Copywriting done well is a great asset for your products. Shape your ad copies such that they highlight the unique selling points of your products. Include strong visuals and clear calls to action to entice customers to click on your ads. Having captivating ads and enticing message increases the likelyhood of your ad making the cut in grabbing users’ attention.
  4. Bidding Strategy: Choose a bidding strategy that aligns with your campaign goals. Consider options like manual bidding, automatic bidding, or dynamic bidding to find the best approach for your business.
  5. A/B Testing: The most important step for Amazon ads is…experiment, experiment, experiment! Continuously experiment with different ad elements, such as headlines, images, and landing pages, to identify the most effective combinations. A/B testing allows you to optimize your campaigns for better performance. Make adjustments as necessary. Use AdSpyder’s Amazon ads library and see what your competitors are cooking up in your niche.

Google Shopping Ads Best Practices

  1. Product Feed Optimization: Ensure your product feed is accurate, complete, and up-to-date. Include essential information such as product titles, descriptions, images, prices, and availability. Staying up-to-date allows the Google ads algorithm to provide updated information to potential buyers. It also makes sure that what you are promoting matches exactly with what you got in your website, especially the pricing and shipping details.
  2. Bid Management: Carefully manage your bids to ensure you’re not overpaying for clicks. Use Google’s bid management tools to set appropriate bids based on your target cost per acquisition (CPA). These settings are important. You do not want to either overspend or underspend your ad budget.
  3. Ad Extensions: Utilize ad extensions to provide additional information and increase your ad’s visibility. Consider using sitelink extensions, call extensions, and price extensions. Having handy information readily available along with the ad really helps with providing information to potential buyers and encourage them to proceed with the transaction.
  4. Negative Keywords: Exclude irrelevant keywords from your campaigns to improve ad quality and reduce wasted spend. Identify negative keywords that are likely to lead to unqualified clicks. Make this a periodic activity to ensure that only those potential buyers who are actually intending to search for your products gets to see your ad.
  5. Tracking and Analytics: Implement robust tracking and analytics to monitor the performance of your Google Shopping ads. Use tools like Google Analytics and Google Ads to measure key metrics like clicks, impressions, conversions, and ROI. Stay on top of your ad campaign performance using additional tools such as the AdSpyder’s Shopping Ads Library.

By following these best practices, you can effectively run Amazon and Google Shopping ads to drive traffic, generate leads, and increase sales. Remember to continuously monitor and optimize your campaigns to ensure they are delivering the desired results. Note that based on your desired goals and available options, you need to choose which platform is best for you. you can also experiment with both the platforms and see what works for your products’ visibility.

Conclusion

When it comes to Google Shopping vs Amazon Ads, each platform offers unique advantages. It all depends on your marketing goals. Google Shopping Ads provide a broad reach, attracting new customers through search results. Amazon Ads leverage a large, purchase-ready audience within Amazon’s ecosystem. Evaluating factors such as cost, targeting options, and user intent can help determine the best platform for your product needs. A well-informed choice between Google Shopping and Amazon Ads can significantly enhance your campaign’s success and ROI.

FAQs

What are Google Shopping Ads?

Google Shopping Ads are product-based ads that appear in Google search results, allowing users to compare products from different retailers directly within the search interface.

What are Amazon Product Ads?

Amazon Product Ads are ads that appear on Amazon’s marketplace, targeting customers who are ready to make a purchase within Amazon’s ecosystem.

Which platform is more cost-effective: Google Shopping or Amazon Ads?

The cost-effectiveness depends on your target audience and goals. Google Shopping Ads typically have broader reach, while Amazon Ads target high-intent shoppers.

How do targeting options differ between Google Shopping and Amazon Ads?

Google Shopping uses keywords and search intent to target ads, whereas Amazon Ads leverage user behavior and purchase history on Amazon’s platform.

Can I use both Google Shopping and Amazon Ads simultaneously?

Yes, using both platforms can enhance visibility and reach different segments of potential customers.

Which platform is better for attracting new customers?

Google Shopping Ads are generally better for attracting new customers due to their wide reach in search results.

How do I measure success on these platforms?

Success can be measured using metrics like Click-Through Rate (CTR), Conversion Rate, Cost Per Click (CPC), and Return on Ad Spend (ROAS) on both platforms.

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