Why Your Shopping Campaign Isn’t Performing At Its Best

by | Jun 22, 2025 | E-Commerce Marketing, Google Ads

Why Your Shopping Campaign Isn’t Performing As Well As It Should

Shopping campaigns can be absolute revenue powerhouses when set up correctly, but far too many businesses are leaving money on the table by skipping over the most important elements of a shopping feed. If your shopping campaigns aren’t delivering the returns you expected, chances are you’re missing one or more of these critical elements that separate high-performing campaigns from mediocre ones.

The Foundational Problem: Poor Product Feed Optimization

The biggest culprit behind underperforming shopping campaigns isn’t your bidding strategy or budget allocation-it’s your product feed. Your feed is the foundation that everything else builds upon, and if it’s not properly optimized, the best campaign structure won’t save you.

Essential Attributes You’re Probably Missing (Using Golf Clubs as an Example)

Most businesses focus on the required fields and call it a day, but the real performance gains come from leveraging optional attributes that give Google’s algorithm more context about your products. Before I jump into the most important attributes, here’s the official product data specification guide from Google to refer to. It’s a little boring so I will cut to the chase going over the most important ones.  

Google Product Category: Refer to the Google Product Taxonomy and be as specific as you can when choosing a category rather than simply picking generic categories. For example, if you’re selling golf club headcovers, use Sporting Goods > Outdoor Recreation > Golf > Golf Club Parts & Accessories > Golf Club Headcovers. This precision helps Google understand exactly what you’re selling and match your products to relevant searches. Using the category code is also acceptable too. Check out this product category finder tool.

Product Type: This has no impact on performance but is useful when organizing your products in Google Ads. Create your own categorization path. Instead of just “Golf Clubs,” use “Golf > Drivers” or “Golf Equipment > Iron Sets.” So when you need to set up a product group or dedicated campaign for iron sets, you just make one selection. This gives you more granular control over campaign organization and bidding.

Product Type: This has no impact on performance but is useful when organizing your products in Google Ads. Create your own categorization path. Instead of just “Golf Clubs,” use “Golf > Drivers” or “Golf Equipment > Iron Sets.” So when you need to set up a product group or dedicated campaign for iron sets, you just make one selection. This gives you more granular control over campaign organization and bidding.

Google Product Types Added in Google Merchant
Google Product Type Attributes Not Added

Although entering the product type is the more common way to group products, it’s not the only way to do it.

The Power of Custom Labels for Advanced Targeting

Custom labels are your secret weapon for campaign optimization, yet most businesses don’t use them. These labels are invisible to customers but provide powerful targeting options within Google Ads.

Below is an example of what you might use them for:

Custom Label 0: High Margin / Standard Margin / Low Margin

Custom Label 1: Bestseller / New Product / Clearance

Custom Label 2: Premium / Standard / Budget

Custom Label 3: Seasonal / Year-round

Custom Label 4: Right Hand / Left Hand (for applicable products)

These labels enable you to create targeted bid adjustments and budget allocations without rebuilding entire campaign structures.

Size Attribute: Include specific details like hand orientation, club length, or loft. For example, “10.5° / RH” or “Standard / LH.” These details help match your products to highly specific searches.

Material: Don’t overlook this-shaft material like “Graphite” or “Steel” can be crucial search terms for your potential customers.

Product Title Optimization for Better Visibility

Your product titles should follow a strategic formula: Brand + Model + Product Type + Key Specifications + Hand/Orientation

Instead of: “TaylorMade Driver” Use: “TaylorMade Stealth 2 Driver 10.5° Right Hand Regular Flex Graphite”

This approach captures long-tail searches and provides Google with rich context about your product specifications.

Feed Issues That Kill Performance

Missing Required Attributes

Google Shopping has become increasingly strict about feed quality. Missing basic attributes like brand, GTIN/MPN (if your products have UPC barcodes) can severely limit your product visibility or even result in disapprovals.

Inconsistent Categorization

Using different category structures across your product_type and google_product_category attributes confuses Google’s understanding of your inventory. Maintain consistency in how you categorize similar products.

Poor Image Quality

Your product images are often the first interaction potential customers have with your products. Low-resolution images, inconsistent backgrounds, or images that don’t clearly show the product will hurt both click-through rates and conversion rates.

Advanced Optimization Strategies For Shopping Campaigns

Dynamic Bid Adjustments Based on Performance Data

Use your custom labels to create automated bid rules. For example, automatically increase bids on high-margin products that are performing well, or decrease bids on clearance items once inventory targets are met. This will be done by setting your bid strategy to Maximize Conversion Value, then setting your ROAS target. NEVER USE MAXIMIZE CONVERSIONS WITH A TARGET CPA FOR E-COMMERCE UNLESS IT’S A ONE PRODUCT STORE.

Negative Keyword Strategy for Shopping

While shopping campaigns don’t use traditional keywords, you can still add negative keywords to prevent your products from showing for irrelevant searches. Common negative keywords include “free,” “cheap,” “used,” or competitor brand names. Make sure to use a negative keyword list instead of adding negative keywords to individual campaigns. You’ll thank me later.

Next Steps to Fix Your Shopping Campaigns

  1. Audit your product feed – Ensure all recommended attributes are entered.
  2. Implement strategic segmentation – Group products by margin, brand, category etc. How you do this is entirely up to you.
  3. Set up custom labels – This will create the targeting flexibility you need for advanced optimization.
  4. Monitor and adjust – Use performance data to continuously refine your campaigns.

Shopping campaigns require ongoing optimization. When done correctly, they become reliable revenue drivers that scale with your business. The difference between mediocre and exceptional performance often comes down to these foundational elements that most businesses overlook. Stop leaving money on the table!

Google Shopping Product Feed Attribute Cheat Sheet (Using the Golf Example)

Google Shopping Product Attribute Examples.

Suggested for Product Titles to Rank for Better Search Terms

Title: Brand + Model + Club Type + Shaft + Flex + Hand

Example: TaylorMade Stealth 2 Driver 10.5° Right Hand Regular Flex Graphite

Using Product Labels in Your Feed

Product labels are optional attributes (custom_label_0, custom_label_1, etc.) used only for internal purposes within Google Ads – specifically for campaign organization, filtering, and bidding strategies.

Keep in mind, they do not appear to customers or affect your listings’ eligibility in Google Shopping.

How they are used

Google Product Label Attributes

 

You’re welcome!

Greg Morris | The SEM Guys

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Greg Morris

Written by Greg Morris

Greg Morris is a top digital marketing strategist helping businesses of all sizes ranging from service-based local business to Fortune 500 companies.

Since 2006, Greg has helped clients leverage a comprehensive range of digital channels to enhance brand visibility, engage target audiences, and build their digital footprint.