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Many retailers with limited budgets often find variants of their SKU have less conversion data. Machine learning algorithms struggle with SKUs with sparse data - they can't make valid changes to your bids. 

We've found a way around this stumbling block. Our Product Data Scientists have developed 'search term sharing' to enhance our existing machine learning technology.

Search term sharing enables you to 'share' converting search terms from similar or identical products from your own catalog with their own wealth of performance data.

Dr Matthew Dale explains the technology in more detail below.

The challenge: stagnation and costly learning cycle

Digital advertising is constantly evolving, and with it, the challenges faced by retailers. New and stagnated accounts often struggle with slow and costly learning processes when using automated bidding strategies. This sluggish pace severely impacts revenue growth and overall online presence.

A key issue faced by these accounts, and many others, is limited visibility of most products on effective search terms. While a few ‘hero products’ perform well, a vast portion of the catalog often remains untapped due to a lack of exposure to high-performing and varied search terms.

The core feature: cross-SKU search term sharing

This new feature enables the sharing of high-performing search terms across similar products. This approach offers multiple advantages:

  • Enhanced bid strategy: By assigning a higher intent to potentially good terms for specific SKUs, the feature optimizes bids through Bidnamic’s intent-based bidding algorithm, ensuring better visibility and engagement.
  • Advanced machine learning: Utilizing state-of-the-art machine learning, the system identifies, applies, and ranks relevant terms for each product based on multiple product features. This AI-driven approach ensures high scalability, precision, and efficiency across all account types.
  • Language agnosticism: In today’s global market, the ability to operate beyond language barriers is invaluable. Our new feature is designed to be language agnostic, making it versatile and universally applicable.

Measurable impact: optimizing revenue with shared search terms and enhanced visibility

The introduction of this feature has led to a significant increase in the average number of terms per SKU, amplifying visibility and engagement across the board. More importantly, this has translated into substantial revenue growth, indicating a marked improvement in advertising efficiency. The results speak for themselves, showcasing a remarkable impact on clients’ performance metrics:

  1. Up to 150% increase in revenue with minimal spend boost — Implementing our product led to an impressive upswing in revenue, with some clients experiencing a staggering 150% increase. Remarkably, this substantial growth was achieved with just a 2% uptick in advertising spend. This underscores the efficiency and cost-effectiveness of leveraging shared search terms.
  2. Strategic shared terms unleash a 38% surge in revenue — In a standout case study, the introduction of additional shared terms, constituting a mere 0.4% of the total terms, translated into a remarkable 38% surge in revenue. This exemplifies the potency of strategic term sharing, where a small adjustment can yield significant financial gains.
  3. Boosting conversions by up to 50%, averaging 5% across the board — The introduction of shared search terms led to a substantial enhancement in conversion rates, with some clients witnessing an impressive 50% increase. On average, across all clients, a solid 5% boost in conversions was observed. This demonstrates the product’s effectiveness in not only attracting high-purchase intent users but also converting them into satisfied customers.
  4. Elevating conversion rates by up to 50% for select clients — Beyond increasing overall conversions, our product demonstrated its ability to significantly elevate conversion rates (CR). Some clients experienced a remarkable 50% surge in CR, signaling a higher likelihood of turning potential customers into successful transactions.
  5. Maximizing product visibility with new shared terms — Our product doesn’t just drive revenue and conversions; it also significantly enhances product visibility. By targeting new shared terms, clients achieved an average of 90% product visibility, often reaching the pinnacle of 100%. This heightened visibility ensures that your products are prominently featured, capturing the attention of potential customers and driving more qualified traffic to your listings.

Conclusion: a leap forward for Bidnamic’s Google Shopping offering

The search term sharing feature marks a significant advancement in Bidnamic’s Google Shopping Ads product. By facilitating the sharing of successful search terms across products and breaking language barriers, it offers retailers a robust tool to optimize their advertising strategies.

The results obtained from implementing our product underscore its capability to optimize Google Shopping strategies, maximize revenue, enhance conversions, and significantly increase product visibility - all while maintaining a cost-effective approach.

This holistic approach ensures that our clients achieve optimal performance across key metrics, solidifying their success in the competitive global online marketplace.

Learn more about how our technology helps retailers make the most out of Google Shopping or hear how we transformed the channel for homeware retailer Ivyline.

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