How Does Google Shopping Work?

All you need to know to get started

If you’re an online business, or you’re choosing to list some of your products online, Google Shopping can be an essential element of your business’s success. However, if you’re a fresh start-up or you’re unfamiliar with Google Shopping, you’ll need to learn how best to utilise this Google feature in order to make the most out of your adverts and get that all-important ROI (return on investment).

With 3.5 billion Google searches a day, this feature can be an innovative new way for your business to reach new and desired audiences as well as expanding on your advertising horizons. This is especially important this year as 65% of consumers will be doing most of their Christmas shopping online.

We have put together all the information you need to know about Google Shopping including what it is, how it works and why you should be using it for your online business in 2020 and beyond.

What is Google Shopping?

Before you can learn how best to use Google Shopping, it’s important to understand the basics of what this feature is, including what it can offer you as a business. Once you’re familiar with the topic, you can dive in and start experimenting with your very own Shopping ads.

Released in 2002 and adapted in 2012, Google Shopping is essentially a service provided by Google that allows customers to search for physical products online. This also provides customers with the options to compare products across various retailers to ensure they’re always getting the best deal. This is also referred to as a Comparison Shopping Engine.

Remember – customers will only be able to browse your products if you’ve paid to advertise them in this space. Whilst it is a service you pay for; the results speak for themselves and make it a worthwhile investment for any online business.

How Does it Work?

Once you’ve paid to advertise your products, Google Shopping will display the results in the form of a thumbnail image. Within this image, Google will show the product’s retailer name and their chosen price to the customer.

Unlike text-based Google ads that show up depending on what keywords a user searches for, Google Shopping utilises product data that has been uploaded by the online merchants.

Users can customise their Google Shopping search results by filtering the results based on several properties such as shape, size, colour, fabric and price. Therefore, it’s important to include as much detail as you can in your product listings to ensure they have a higher chance of appearing in these condensed searches.

Why Ecommerce Businesses Should Use Google Shopping

As mentioned above, Google Shopping can be a crucial element of success for an online business. In short, it can put your ecommerce business and its many products in front of the right buyers’ eyes, gaining you the exposure you need to increase sales and gain an impressive ROI.

For example, imagine you are a furniture company. You’ve paid to advertise a selection of your furniture on Google Shopping, including one of your models of sofas. Then, imagine someone is browsing on Google for some furniture for their new apartment, specifically a new sofa. They search for what they want, hit enter and click on the Shopping tab.

If they are not already loyal to a particular brand and they see your Google Shopping ad for that perfect two-seater grey sofa they were looking for, there’s a higher chance they’ll become a paying customer for your business due to the extra exposure you’ve gained from paying for a Google Shopping ad. This could then be the beginning of a new customer relationship.

Here are some other reasons why utilising Google Shopping for your ecommerce business is a good idea:

  • It gives a visual touch to the SEPR, providing a more eye-catching shopping experience.
  • Google Shopping allows you to appear multiple times in Google search results in the form of an organic result, a text-only PPC result and of course, a Shopping result.
  • Google Shopping ads are proven to have a 30% higher conversion rate on desktops than text ads.

How to Set Up a Merchant Centre Account

Now you know a little more about Google Shopping ads, you can set up your very own Merchant Centre Account for your business. This is a necessary step to take before you can start taking advantage of Google Shopping ads.

It’s important that you set this up correctly, which is why we’ve created a simple, step by step process for you to follow. Once you’re all set up, however, Google Merchant Centre is easy to navigate and will serve as a base for your products and the relevant information that you want to advertise.

  1. Go to the sign up form for Google Merchant Centre

Once you’ve accessed the form, fill it in with all the necessary information about your business. This includes details such as which country your business is based in, the name of your business and the URL of your website.

  1. Read the Terms & Conditions

Once you’ve read these, click the box marked “Yes, I agree” and the click “Continue”.

  1. Enter your website URL then save and finish

There will be a dedicated box where you can enter your website URL. Copy and paste it here, then click “Save” and then “Finish”.

  1. Verify your website URL (optional)

You have the option to skip this at first, but you’ll eventually need to complete this later within the Merchant Centre. You’ll be presented with four methods to verify your website. Choose the one that you prefer then click “Finish”.

  1. Start advertising on Google Shopping

Now you’ve completed all the above steps, you’ll be ready to start using your Google Merchant Centre and begin your journey with Google Shopping ads!

Are you looking for transformational digital services?

As well as our PPC services, we also have an expert range of digital services including Google Shopping training. For more information, get in touch with a member of our expert team. We’ll always do our best to answer any questions you have and point you in the right direction for the services you need.

Chester Yang is the Microsoft Program Manager at Diginius with a background in economics and quantitative research.  

At Diginius, Chester focuses on nurturing partnerships with PPC agencies and integrating marketing and sales solutions.