Most ecommerce stores waste 20-35% of their Google Ads budget on searches, placements, and settings that will never convert. These 12 optimization tips are the ones we apply first when auditing ecommerce accounts at COREPPC. They're ordered by impact: start at the top, and each one builds on the last.

1. Clean Up Your Search Terms Weekly

Reviewing your search terms report weekly and adding negative keywords is the single highest-ROI optimization for ecommerce Google Ads. Most accounts waste 15-30% of their budget on irrelevant search terms that will never convert.

Go to Insights & Reports > Search terms. Sort by cost (highest first). Look for three types of waste:

For an account spending $5,000/month, we typically find $800-$1,500 in monthly wasted spend from search terms alone during the first cleanup. That's money you can redirect to terms that actually convert.

2. Fix Your Product Feed Titles

Your product feed title is the biggest factor in which searches trigger your Shopping and Performance Max ads. Google matches search queries to your product titles, so a weak title means weak visibility for high-intent searches.

The formula that works for most ecommerce products: [Brand] + [Product Type] + [Key Attribute] + [Size/Color/Variant]

Examples:

Front-load the most important keyword. Google gives more weight to words that appear earlier in the title. Stores that rewrite their top 50 product titles typically see 15-30% lower CPCs on those products within 2-3 weeks. For a full guide on feed optimization, see our Google Shopping campaigns guide.

Inline image: Before/after comparison of product feed titles showing the impact on Shopping ad appearance and CPC
Optimized product feed titles directly affect which searches trigger your Shopping ads and at what cost.

Get Your Free Ad Score

See your Google Ads and Meta score in 60 seconds.

Start Free Audit

3. Separate Branded and Non-Branded Campaigns

Branded and non-branded campaigns serve completely different purposes and need different budgets, bid strategies, and ROAS targets. Mixing them into one campaign makes it impossible to see where your growth is actually coming from.

Branded search (your store name, product names) typically runs at 10-20x ROAS. Non-branded search ("men's running shoes," "vitamin C serum") typically runs at 2-4x. When they're in the same campaign, the blended ROAS looks great (say 6x) but you have no idea how your prospecting is performing.

For Shopping and Performance Max campaigns, this is harder since you can't directly control which searches trigger your products. But you can use negative keyword lists on Standard Shopping campaigns to exclude your brand name, forcing those queries to your cheaper branded Search campaign instead.

I'm not sure this applies to stores spending under $2,000/month, where splitting into too many campaigns can starve each one of data. But once you're spending $3K+ monthly, separation is a must.

4. Set Campaign-Level ROAS Targets

Each campaign type should have its own ROAS target based on what it's realistically capable of delivering. Setting one blanket target across all campaigns either over-constrains your prospecting or gives your branded campaigns too much room to overspend.

Practical ROAS targets for ecommerce:

Use Target ROAS (tROAS) bidding for campaigns with at least 30 conversions in the last 30 days. Below that threshold, Google's algorithm doesn't have enough data to optimize effectively, and you'll see wild swings in performance. For newer campaigns, start with Maximize Conversions and switch to tROAS once you hit the 30-conversion mark.

5. Use Negative Keyword Lists Across Campaigns

Negative keyword lists let you maintain a single exclusion list that applies to multiple campaigns. This saves hours compared to adding negatives campaign by campaign, and it prevents the same wasted spend from recurring across your account.

Create these three lists as a starting point:

  1. "Informational" list: how to, what is, review, reddit, youtube, free, diy, tutorial, comparison, vs, alternative, used, cheap, repair
  2. "Competitor" list: Add competitor brand names, website URLs, and common misspellings. Update quarterly.
  3. "Irrelevant" list: This is your catch-all for terms discovered during weekly search term reviews. Job-related terms (hiring, salary, careers), unrelated products, and geographic terms you don't serve.

Apply the Informational and Irrelevant lists to all campaigns. Apply the Competitor list to everything except campaigns where you're intentionally bidding on competitor terms. This takes 30 minutes to set up and saves thousands per month in wasted spend.

6. Segment Products by Margin Tier

Not all products deserve the same ad spend. A product with 60% margins can afford a much higher CPA than a product with 20% margins, and they should be in different campaigns with different ROAS targets.

Create at least two product groups in your Shopping or Performance Max campaigns:

Use custom labels in your product feed to tag products by margin tier. Most Shopify feed apps (like Google & YouTube channel or DataFeedWatch) let you create rules that automatically assign custom labels based on price, category, or margin data.

7. Fix Your Conversion Tracking

Every optimization on this list is useless if your conversion data is wrong. And based on the accounts we audit at COREPPC, about 40% of ecommerce stores have at least one tracking problem that distorts their Google Ads data.

The most common issues:

Check your conversion setup quarterly at minimum. A 10-minute check prevents months of decisions based on bad data.

8. Add Audience Signals to Performance Max

Audience signals tell Google's Performance Max algorithm who your ideal customers are. Without them, PMax starts from scratch and spends your budget on broad discovery. With good signals, it finds qualified buyers faster and wastes less during the learning phase.

Add these audience signals to every PMax campaign:

These are signals, not restrictions. PMax can (and will) go outside these audiences. But it starts with them, which typically cuts the learning phase from 4-6 weeks down to 2-3 weeks and reduces the amount of budget burned before the campaign becomes profitable.

9. Optimize Your Ad Schedule

Not every hour of the day converts equally. Most ecommerce stores see 60-70% of their conversions happen during specific windows, but they spend budget evenly across all 24 hours.

Go to Reports > Time > Day of week and Hour of day. Look at conversion rate and CPA by time slot. You'll usually find that late-night hours (1-6 AM) have high CPC but near-zero conversions, and weekend mornings convert at a completely different rate than weekday mornings.

For Search and Shopping campaigns, set bid adjustments: increase bids by 10-20% during your peak conversion hours, decrease by 20-40% during dead hours. For Performance Max, you can't set hourly bid adjustments directly, but you can use ad scheduling to limit when ads run (Settings > Ad schedule). Though honestly, PMax should handle this on its own if you have enough conversion data.

10. Test Your Landing Pages

A 1% increase in landing page conversion rate does more for your ROAS than any bid adjustment. If your product pages convert at 2% and you get them to 3%, you just improved your effective ROAS by 50% without spending a dollar more on ads.

The quick wins for ecommerce landing pages:

Run one A/B test at a time on your top 5 landing pages. Even small improvements compound quickly across thousands of ad clicks per month.

11. Review Your Attribution Windows

Google Ads defaults to a 30-day click-through attribution window, which means any purchase within 30 days of an ad click gets credited to Google Ads. For many ecommerce products (especially impulse buys under $50), a 7-day window is more accurate.

Why this matters: a 30-day window inflates your Google Ads conversions because it credits purchases that would have happened anyway (the customer clicked an ad, forgot about it, then came back directly 3 weeks later). This inflated data makes your campaigns look better than they really are, which leads to over-spending.

Check your conversion action settings (Goals > Conversions). For most ecommerce stores, set click-through to 7 days and view-through to 1 day. If you sell high-consideration products ($200+), 14-day click-through might be more appropriate since the buying cycle is longer.

Changing your attribution window will make your reported numbers drop (temporarily alarming, but it's the same revenue, just more accurately attributed). For more on what to look for, see our guide on signs your Google Ads are wasting money.

12. Scale What Works (and Kill What Doesn't)

This sounds obvious, but most ecommerce advertisers do the opposite. They spread budget evenly, keep underperforming campaigns running "in case they improve," and hesitate to increase spend on winners because they're afraid of diminishing returns.

Here's a simple framework:

  1. Every 2 weeks, rank your campaigns by ROAS. Include only campaigns with at least 10 conversions in the period (anything less is statistically noise).
  2. Top performers (above target ROAS): Increase budget by 15-20%. Don't double it overnight because that restarts the learning phase.
  3. Middle performers (near target ROAS): Keep steady. Look for optimization opportunities from tips 1-11 above.
  4. Bottom performers (below target ROAS for 4+ weeks): Reduce budget by 30% or pause entirely. Redirect that budget to winners.

The hardest part is actually pausing things. There's always a reason to "give it one more week." But an underperforming campaign that's been below target for a month isn't going to suddenly fix itself. That budget is better spent on campaigns that are already working. If you want a deeper look at whether your budget split between Google and Meta is right, we cover that separately.

Frequently Asked Questions

How often should I optimize my ecommerce Google Ads campaigns?

Review search terms and add negatives weekly. Adjust bids and budgets every 1-2 weeks based on 14-day performance windows. Restructure campaigns quarterly or when ROAS drops below your target for more than 2 consecutive weeks. Avoid making daily changes because Google's algorithm needs 7-14 days to learn from each adjustment.

What is a good ROAS for ecommerce Google Ads?

It depends on your margins. A store with 60% gross margins can be profitable at 2x ROAS, while a store with 30% margins needs 4x or higher. Most healthy ecommerce Google Ads accounts run between 3-6x blended ROAS across all campaign types. Branded search inflates this number, so look at non-branded ROAS separately.

Should I use Performance Max or Standard Shopping for ecommerce?

Performance Max works well for stores with 30+ conversions per month and a well-optimized product feed. Standard Shopping gives you more control over search term targeting and bid adjustments. Many stores run both: Performance Max for broad discovery and Standard Shopping for their top-selling products where they want tighter control.

How much should an ecommerce store spend on Google Ads?

Start with at least $50-$100 per day ($1,500-$3,000/month) to generate enough conversion data for Google's algorithm. Stores spending less than $50/day often struggle because the algorithm cannot exit the learning phase. Scale based on ROAS: if you are hitting your target ROAS at $100/day, test $150/day and monitor for 2 weeks.

What is the biggest waste of money in ecommerce Google Ads?

Irrelevant search terms in Shopping and Performance Max campaigns. Most ecommerce accounts waste 15-30% of their budget on searches that will never convert (informational queries, competitor names, wrong product categories). Weekly negative keyword maintenance is the single highest-ROI optimization you can do.

Find Out What's Costing You

COREPPC's free audit checks your Google Ads and Meta accounts in 60 seconds. Get your performance score, spot wasted spend, and see exactly where to improve.

Start Free Audit