Within six months of the start of the cooperation with Producthero, Yellowgrape crowns itself with the GoldPartner partner status. This means that Yellowgrape is currently one of the 20 agencies in the Netherlands that has this status and is qualified by Producthero to implement Producthero CSS and PRO.
Producthero is one of the largest Premium Google CSS partners in Europe and focuses on optimizing and improving product feeds for e-commerce companies. Our customers are affiliated with Producthero as a CSS partner and therefore have the opportunity to use the Labelizer tool.
At Yellowgrape, it has been more the rule than the exception for years that paid campaigns are optimized using algorithms. Long before the arrival of algorithm-driven campaigns within Google and Microsoft, we were already using tooling that helped find the right cost-per-click for both text and shopping campaigns. Nowadays, we do this with Google and Microsoft algorithms. Partly because of this, we were crowned again this year as Google Premier Partner.
Optimizing with the help of such algorithms makes it possible to find the perfect balance between the average cost per click, the conversion rate and the order value per transaction with the aim: optimal return per product, product category, brand or, for example, per margin group.
Now, a few years later, in Google ads, the smart shopping campaigns have been transformed into Performance Max campaigns, equipped with their own algorithm. The campaigns are managed based on, among other things, conversion data from the campaigns and thus focus on, for example, the desired CPA, ROAS result. This has many benefits, including a stable/healthy performance.
Although it has many advantages, people often overlook the disadvantages. For example, by managing the campaigns based on a specific target, certain products or product groups may “fall by the wayside”. This is because the Performance Max campaigns (depending on the target) focus on the best-performing products. Based on the performance achieved, the other products are shown little or no longer in the search results, resulting in little or no conversions on these products.
- Benefit: your budget is spent on the products that perform best.
- Disadvantage: only a (small) part of the range can be found in Google search results. The rest is hard to find.
Producthero's labelizer tool makes the difference here. The tool ensures that products are automatically distributed among a number of campaigns according to performance. Each campaign has its own budget that is tailored to the campaign target and therefore the performance of the products it contains. If the aforementioned winter jacket performs less for a period of time, it will automatically be transferred to another type of campaign with a different budget and campaign target. This gives it less priority but sufficient budget to make screenings at a higher (ROAS) target.
This automated campaign structure has 4 campaigns: heroes, villains, sidekicks and zombies. The products that don't get attention therefore automatically end up in a new campaign so that they can collect new data to eventually become a sidekick, villains or heroes.
Take fashion as an example. It's August/September and the new Fall/Winter collection is coming out. There are also new winter jackets in that collection. These are underconverting because it is not yet the temperature for winter jackets. The result: the winter jackets are rarely or not shown because they do not contribute enough to achieving the campaign targets. In other words; the budget is allocated to the products that do convert (well) and contribute to the campaign targets.
A few weeks later, the temperature decreases. It is the end of October, the temperature is about 13 degrees, it is windy and it rains frequently. The purchase intention for winter jackets is increasing, but these jackets are rarely or not shown because they have achieved few conversions in the past period.
Missed opportunity! At that moment, you probably want sufficient budget to go to these products so that they are shown enough to convert under the search volume of that moment. If you don't do this, you may miss an ultimate buying moment and miss out on potential conversions. A shame! The other way around; selling swimming trunks in late summer can work well. But once the weather turns around, you want your campaigns to act quickly and not to spend too much money on the swimming trunks in question.
In short: you therefore want to be able to anticipate this more quickly. Logically, you mainly want to spend your marketing budget for your best-performing products. But don't forget that the other part of the range also gets a sufficient budget. In addition to the winter jacket example, it is also possible that your website optimizes product detail pages (content, images/videos, or even price reductions) that change product performance and you want to make sure that these products are adequately displayed in the search results of your potential next customer.
A more extensive blog about how Producthero works and how to take advantage of it will follow soon. Can't you wait? Feel free to contact us!
