How We Doubled Revenue in Two Months by Switching From Performance Max to Standard Shopping

Carmen: 00:00:11

Hi, everyone.

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My name is Carmen.

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I am a senior client

manager here at Solutions 8.

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And today I wanted to share with you

the strategy that we used to move from

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performance max to standard shopping

campaigns and how that doubled our

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client's revenue in just under two months.

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it.

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Just to give you a bit of context

in terms of our client, they

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sell pushchairs or strollers,

buggies for infants or toddlers.

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in the UK market.

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It is a very competitive market

because there are a lot of retailers

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who sell the exact same product.

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We were running a performance max

campaign for them in: 2023

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performance max campaigns, there

is, very little control in terms of

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how we can optimize the campaign.

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So at the end of November 2023, we

decided to switch over for Performance

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Max campaigns to Standard Shopping.

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these are the different product

categories that we broke out the

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Standard Shopping campaigns into.

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This gives us better control over

the search terms because now each one

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of these Standard Shopping campaigns

have their own unique search terms.

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we can also control the budget

that's being allocated to

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each one of these products.

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So sometimes the client will tell

us, hey, we actually have a lot of

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stock for this particular product.

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Can you help us increase the budget for

this particular set of shopping campaign?

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With the Performance Max campaign,

we were never able to do that.

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that's one additional thing that we

were able to have more control over.

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So it took around two months for

the campaigns to really pick up.

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So we made the change again in

November,: 2023

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31st, we spent 5, 500 approximately,

and the revenue was 27, 000.

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divided by the five five,

zero zero, is already a 4.

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92.

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Previously this client we've been really

just seeing the MER at around a 3 to 4x.

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The client's goal is to hit a 5.

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5x MER overall.

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So with the switch from the performance

max campaign to standard shopping,

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we already saw an improvement in

just the first month of December.

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what really happened was in January, as

the Standard Shopping campaigns started to

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learn more, we doubled the revenue here.

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108 percent compared to December.

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So we doubled the revenue and

also the MERF of the campaigns.

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56, 000 here divided by,

again, the same time frame.

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is divided by 7.

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48, which is the cost of our ad spend.

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And this client is not

doing any other, marketing.

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It's just Google ads for paid media

and overall marketing strategy.

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So hit a 7.

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5 on Google, 7.

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5 Mer overall.

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So doubled the revenue for the client.

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And also was hitting a 7.

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5 MER since we switched over from doing

a performance max campaign to standard

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shopping campaigns, breaking it out

into individual product categories,

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having more control over the spend, the

search terms that were coming through.

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we not only switched over for

performance max to center shopping,

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but we also decided to focus on one

key thing that helps differentiate

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the client from competitors.

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as I mentioned, this client is a retailer

for push chairs and strollers for infants.

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There's not much differentiation between

the different competitors that are in

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the landscape, but what's different?

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about what our client offers is that

they offer refurbished products.

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So refurbished products are

those products that, come back.

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So people, clients return, customers

return them to my client and the client

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can then discount the product itself and

sell it at a lower, lower price point.

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there's really not much

differentiation between the

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different retailers selling it.

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Seeing in the standard shopping campaigns

when someone searches up this product

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and seeing that, hey, there's this one

particular product that is much cheaper

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compared to others, it doesn't matter

that it's a refurbished product, because

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people are going to be interested.

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they'll click into it and potentially

purchase another product that could be

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even a full price product on Amazon.

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inside of the website

after they've made it in.

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But the fact is that we were able to

get them into our website, and then

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they started checking out our website,

and potentially didn't just buy the

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refurbished product, but actually

went on to buy a full priced item.

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in this example here,

the product here was 945.

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So that's what attracted them

and it's a refurbished product.

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That's what attracted the

people to click onto the ad.

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But once they came onto the

site, they didn't actually

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just purchase this product.

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They actually went and

purchased a full priced item.

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This is the value per conversion,

once they came to our site, they

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saw the refurbished product.

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They're like, okay, cool.

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And then they ventured around and

they ended up in the end, purchasing a

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different product, a full price item.

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This is one example.

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Another example right here is again.

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People clicked onto the refurbished

campaign, saw the cheaper refurbished

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product, and then when they came onto

our site, they didn't purchase the

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refurbished product, they actually

went on to buy the full price item.

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the refurbished standard shopping

campaign is a really great strategy

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that, We've utilized for this client

to have a differentiation compared

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to our competitors where there's not

much, competitive advantage that can

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be seen just by showing the product.

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So price differentiation was a

great factor for us to have that

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leverage compared to other retailers.

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these are the two strategies

that we used for our client.

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First, switching over from performance

max to center shopping campaigns, and

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then also figuring out the one key factor

that gave a competitive advantage to our

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client that helped them to double their

revenue and also increase their MER.

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In just two months.

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Hope this was helpful.

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let me know in the comments if there's

any questions and happy to jump into it.

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Thank you.