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Google Shopping Campaign Setup

Hello! Welcome back to Module 8.

In our last lesson, you did the critical prep work of setting up your Google Merchant Center account and creating a product feed. You essentially built the library of your products. Now, it's time to open that library to the public by creating the ads that will drive customers to your product pages.

Today's lesson directly addresses the learning outcome: Launch a standard Google Shopping campaign in Google Ads to drive traffic to your products. We will walk through the exact steps to build your first campaign, connecting your Google Ads account to your Merchant Center and configuring all the essential settings for a successful launch.

1. The Pre-Flight Check: Linking Your Accounts

Before you can create a Shopping campaign in Google Ads, you must first connect it to the Google Merchant Center account where your products live. This link allows Google Ads to pull your product information (title, image, price, etc.) directly from your feed to create the ads automatically.

The process is simple and is initiated from within your Merchant Center account.

The Ultimate Guide to Google Shopping in 2024

This guide, 'The Ultimate Guide to Google Shopping in 2024' by Bidnamic, clearly illustrates the linking process with screenshots. It's a quick but essential step.

Please read 'Step 4: Link your Google Ads account'. Follow the visual guide to find the 'Linked accounts' section in your Merchant Center settings and send the link request to your Google Ads account. You will then need to approve this request within your Google Ads account.

Once your accounts are linked, you're ready to build the campaign.

2. Creating a Standard Shopping Campaign: A Step-by-Step Guide

We will now go into your Google Ads account and create the campaign. For your first campaign, we will use the Standard Shopping type. This gives you maximum control over bidding, targeting, and campaign structure, which is invaluable for learning and gathering initial performance data. Google will often push you towards "Performance Max" campaigns, but we will deliberately choose the Standard option for greater control.

This process involves several key decisions. The following video is a complete walkthrough that we will use as our primary guide. I'll break down the key stages and settings for you.

How to Setup Your Google Shopping Campaigns (Full Walkthrough)

This video, 'How to Setup Your Google Shopping Campaigns' by KeyCommerce, provides a fantastic, practical walkthrough. We will follow its steps closely.

You can watch this video from start to finish (00:35 - 05:01) to see the whole process. I will highlight the most important settings below as you go.

Follow these steps in your Google Ads account, using the video as your visual guide.

Step 1: Campaign Goal and Type (Video: 00:35 - 02:12)

  1. In Google Ads, click + New campaign.
  2. The video suggests choosing "Create a campaign without a goal's guidance". This is excellent advice for our purposes, as it gives you access to all settings without Google's "help" simplifying things too much. Alternatively, selecting "Sales" is also a valid choice.
  3. Select "Shopping" as the campaign type.
  4. Confirm your linked Merchant Center account is selected.
  5. Crucially, select "Standard Shopping campaign". As the video notes, Google tries to nudge you toward Performance Max. By choosing Standard, we retain control.
Google Shopping Campaign Setup: Country and Campaign Type Selection
This is the key decision point. Always select "Standard Shopping campaign" when you want full control over your initial setup.

Step 2: General Settings, Bidding, and Budget (Video: 02:12 - 03:25)

  1. Campaign Name: Give your campaign a descriptive name. A good convention is [Target Country] - [Campaign Type] - [Product Group]. For example: USA - Standard Shopping - All Products. This helps you stay organized as you expand.
  2. Bidding: Select Manual CPC (Cost-Per-Click). This means you will set the maximum amount you're willing to pay for a single click on your ad. We are choosing this to start because it gives you direct control over your costs while you learn what works. You can switch to automated "Smart Bidding" later once you have conversion data.
  3. Budget: Set your average daily budget. How much should you set? A practical approach is to aim for enough budget to get at least 10-20 clicks per day. If you estimate your CPC will be around $1.00, you should set a budget of at least $10-$20 per day. You can always adjust this later.

Step 3: Targeting Settings (Video: 03:25 - 04:10)

This is one of the most important steps to get right to avoid wasting money.

  1. Networks: Uncheck the box for "Include Google Search Partners." When starting, you want to focus your budget on the main Google search results page, which typically has the highest purchase intent. You can test Search Partners later.
  2. Locations: Select the country you are selling to (e.g., United States).
  3. Location Options (CRITICAL): Click on "Location options" and change the "Target" setting from the default to "Presence: People in or regularly in your targeted locations." This ensures your ads are shown only to people physically in your target country, not people in other countries who are just interested in it. This single change can save you a significant amount of ad spend.

Step 4: Ad Group and Bids (Video: 04:10 - 05:01)

Finally, you'll create your first ad group. An ad group contains your product groups and their corresponding bids.

  1. Ad group name: For your first campaign, a name like "All Products Ad Group" is fine.
  2. Bid: Set your default maximum CPC bid. This is the bid that will apply to all products in this ad group. A starting bid between $0.50 and $2.00 is a reasonable range for many niches, but this can vary wildly. Start with a bid you are comfortable with; you will adjust it based on performance.
  3. Click Create campaign.

Congratulations! Your campaign structure is now live. By default, Google has placed all eligible products from your Merchant Center feed into a single "product group" called "All products" inside your new ad group.

Test your understanding!

You have set up a Standard Shopping campaign targeting the USA with a daily budget of $50 and a default Manual CPC bid of $1.00. You notice you are getting a lot of clicks from people in India who are searching for products using terms like "buy hiking boots in usa". What crucial setting did you most likely forget to configure?

Show answer

You likely forgot to change the "Location options" setting. By default, Google targets people "in, regularly in, or who've shown interest in" your targeted locations. To prevent your ads from showing to people outside the US, you must change this setting to "Presence: People in or regularly in your targeted locations."

3. Next Steps: Product Group Subdivisions

Your campaign is now running with one bid for all your products. The next level of control is to subdivide your "All products" group. This allows you to set different bids for different products.

For example, you could subdivide by Category to bid more on "Hiking Boots" than on "Socks." Or you could subdivide by Product ID to bid aggressively on your best-selling item while lowering the bid on a poor performer.

Google Ads Shopping Campaign Set Up in 2025 | Step by Step Tutorial

The following video explains this concept of subdividing product groups very clearly. While you don't need to do this on day one, it's the most important optimization technique you will use.

Watch from 04:20 to 05:48. Pay attention to how the presenter creates different ad groups for different product categories and then uses 'subdivisions' to ensure each ad group only targets a specific set of products.

We won't go deep into subdivision strategies today, but it is essential to know that this is your primary tool for managing campaign performance going forward.

Conclusion

You have successfully navigated the Google Ads interface to launch your first Standard Shopping campaign. This is a massive, practical step forward. By choosing a Standard campaign and Manual CPC, you have built a foundation that gives you the control and transparency needed to learn effectively.

Key Takeaways:

  • Link First: Always ensure your Google Merchant Center and Google Ads accounts are linked before starting.
  • Choose Standard for Control: Standard Shopping campaigns are the ideal starting point for hands-on management and learning.
  • "Presence" is Key: The single most important targeting setting is to limit your ads to people physically in your target location.
  • Structure is Campaign > Ad Group > Product Group: All products start in an "All products" group, which you can later subdivide to set more specific bids.

Next Up:

You now have a campaign driving traffic from Google's powerful search engine. In our next lesson, we will explore another major traffic source that is particularly powerful for e-commerce: TikTok. You will learn how to set up and launch an initial TikTok Ads campaign for a TikTok Shop product.

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