How to Reduce CAC across your standard shopping campaigns

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As a marketing professional, you know that optimising campaigns is crucial to achieving success. With TrafficGuard's powerful verification rules, you can take your optimisation strategy to the next level. Don't settle for prevention mode only - with our click frequency rules, you can take control of how many times a user clicks on your ads across your standard shopping campaigns. This feature is available at both the account and campaign level, so you have complete flexibility and control.

By using TrafficGuard's verification rules, you can prevent users from repeatedly clicking on your standard shopping campaign ads, which saves your budget for users who are more likely to convert and generate higher profit margins. This strategy allows you to reduce your customer acquisition cost while still maintaining visibility in the search engine results page.

To help you get started, we've put together an informative article and video that explains how to use TrafficGuard's click frequency rules across your Google Ads shopping campaigns. By combining these rules with simple campaign duplication techniques, you can achieve even greater success and optimize your campaigns to their fullest potential. Don't miss out on this opportunity to take your campaigns to the next level - try TrafficGuard's verification rules today!

The Reasoning
Are you tired of seeing your advertising budget go to waste on returning users who repeatedly click on low-margin products in your standard shopping campaigns? You're not alone. That's why TrafficGuard has developed a powerful click frequency rule that allows you to block users from seeing your product listings after a certain number of clicks.

But what if you don't want to completely exclude these users from your auctions? TrafficGuard's verification rules, built on customer demand along with a shadow campaign, can prevent the same user from repeatedly clicking on your product listings within the same campaign by filtering them through to the shadow campaign, ensuring that your budget is being used in the most effective way possible.

It's a fact of life in eCommerce that returning users often click multiple times across different products within a campaign. However, when you consider that not all products in your feed have the same average order value or profit margins, it becomes clear that repeatedly clicking on low-margin products is a waste of resources. With TrafficGuard, you can optimise your shopping campaigns and maximize your returns, even in the face of fierce competition and high CPCs.

shopping campaign infographic

Why continue to pour money into underperforming campaigns when you can use TrafficGuard to optimise your shopping campaigns and drive more efficiency?

Why should I use custom labels to segment my products?

Are you looking for a way to drive better ROAS and profits from your e-commerce business? We along with many Google ads specialists recommend breaking out your Google Ads product feed into low-margin and high-margin custom labels.

By separating your product feed into custom labels, you can easily track and analyse the performance of your high-margin and low-margin products separately. This level of granularity allows you to adjust bids and allocate budget more effectively, ensuring that you are maximising your return on investment for each product.

Reallocating the budget saved by TrafficGuard’s validation rules on high-margin products can help you generate more revenue and profits for your business, while still maintaining a presence for your low-margin products to keep your store diversified. With TrafficGuard, you can optimise further across your Google Ads campaigns to stay ahead of the competition.

Below you can see how to setup a click frequency rule in TrafficGuard

trafficguard click frequency

So, let's break this down to make sense

Low-Profit Margin Product

A low-profit product margin refers to a specific product where the difference between the cost of producing or acquiring the product and the price at which it is sold is relatively small. This means that there is not much profit to be made from selling the product, yet some advertisers will bundle a low-profit margin product with high-profit margin products because they are the same Brand, Product type for example.

High-Profit Margin Product

A high-profit product margin on the other hand refers to a prudct where the difference between the cost of producing or acquiring the product and the price at which it is sold is relatively large. This means that there is a significant amount of profit to be made from selling the product

By creating separate campaigns for your high-margin and low-margin products, you can customise bids and budgets based on profit margins, this approach is more beneficial to your bottom line which ultimately leads to higher profits if optimised correctly.

"In business, the number one rule is don’t lose money on a gross margin level. Your GMs should be positive and then invest so that enough GM at scale covers all the other expenses you have as a business. You wouldn’t buy something for $1 and sell it at 50c would you? Unfortunately a lot of people would because of wasted advertising costs."
- Mathew Ratty, Global CEO at TrafficGuard

To put this into perspective and how you can utilise TrafficGuard’s validation rules to further optimise, let’s imagine a world in which a user clicks 10 times and converts on the 10th click:

Option A without TrafficGuard

Profit Margin on product = $3
Average CPC = 30c
Clicks = 10
Google Ads cost = $3
Profit margin = $0

Option B with TrafficGuard and enabling shadow campaigns

Profit Margin on product = $3
Average CPC = 30c
Shadow campaign cpc after 4 clicks = 10c
Clicks = 10
Google Ads cost = $1.80 (4 clicks at 30c + 6 clicks at 10c)
Profit margin = $1.20

40% reduction in Google Ads cost for the same amount of clicks to drive a better ROAS.

What could be worse is if the user clicked 10 times and didn’t convert. This means under option A you have exhausted your gross margin with no sale. In option B you still have $1.20 available to yield a sale.

Across hundreds of thousands of clicks a year in your user base, the amounts start to be material.

Get started - it's free

You can set up a TrafficGuard account in minutes, so we’ll be protecting your campaigns before you can say ‘sky-high ROI’.

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