About the company

The customer is a holiday fashion company in the US. They sell a wide range of unique winter wear products like sweaters and leggings which are mostly Christmas themed with an option to customize the patterns and designs as per their taste. Their business is highly seasonal specifically spawning from October to early December.

AdWords campaign target

To reduce the cost per conversion of shopping campaigns compared to the previous year and to make search campaigns profitable. The customer had a profitable business, and they were focused on increasing the margin by reducing the existing cost per conversion in shopping campaigns. The search campaign however wasn't very lucrative due to high cost of acquisition. The customer had to bring down the acquisition cost to less than a quarter of the cost of the product they were selling to render the search campaign profitable.

Problems in the existing campaign setup

  • In the search campaign ads were triggered mostly from broad match keywords. This attracted unwanted clicks which added to the overall cost per conversion.
  • Most of the products were unique and were attracting customers from very different search queries. Since the keywords used were more generic, the ads weren't specific to an individual product.
  • The shopping campaign targeted a lot of products, but most of them were clubbed together into a few product groups. Because available data in product group is an average of high and low selling products, specific high selling products couldn't be targeted.
  • As the number of products offered was large, identifying a product and effectively bidding on it was a hassle. Even Google bid optimizer couldn't get the job done right.

Solutions & Steps taken by AdNabu

  • To improve the search campaign, AdNabu first identified the searches that were doing well in the shopping campaign and created long tail keywords using these high performing searches.
  • AdNabu created ad groups which consisted of keyword specific ads. This improved the ad relevance by showing the ad only for a matching search query.
  • AdNabu minimized the use of broad match and instead used broad match modifier, phrase and exact keywords. This reduced the unwanted clicks significantly.
  • To optimize the shopping campaign, AdNabu identified high performing products and created focused ad groups for each of these products. AdNabu also identified high ROI keywords and low ROI keywords for every single product and targeted them via separate campaigns thereby increasing efficiency.
  • AdNabu's bid optimization software helped optimize thousands of products and in identifying both high and low converting products.

Results

Even though the conversions remained the same, AdNabu's shopping campaign for the customer resulted in a 30% drop in the cost per conversion. AdNabu's search campaign helped increase the conversions by 141% and reduce the campaign cost by 56%. From these two campaigns, the customer saved $20000 the following holiday season.