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Amazon PPC Vs Google Ads: Where you Should Invest?

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Amazon PPC and Google Ads: If you are wondering about the difference between these two then you probably want to get the most out of your e-commerce business. 

Google advertising and Amazon PPC both are popular brands to invest money into. The difficult part is finding out which one can deliver long term benefits. 

This article discusses the fundamentals of google ads and amazon advertising to give readers an idea of these challenging landscapes and help them pick the right platform for their business.

Table of contents:

Google vs Amazon

Google and Amazon Advertising fundamentals

How Google is Improving Shopping Experiences?

Google Shopping Updates

Similarities and Differences: Google and Amazon ads

Comparison in terms of Ranking and Bidding 

Amazon vs Google: Which one is better?

Google vs Amazon

For a long time, google ruled the advertising word but as soon as Amazon comes into the picture a fierce competition between these two giants started.

Google has earned 70.9% percent of its revenue through google ads in the year 2019. Though its revenue plunged in the year 2020 due to the pandemic. 

Several surveys suggested that amazon has started becoming the first choice of customers when it comes to product search. 

But Google is not going to give up so easily, it keeps updating and improving google shopping. 

Before jumping into google shopping let us first understand the basics of Google and Amazon advertisements.

Google and Amazon Advertising Fundamentals

Google simply displays the brands/products on the search page (Drive web traffic to different seller websites) whereas amazon displays the product on their site (so all the sales will occur in its own site)

Most common ways of selling products on Google are:

  1. Search Ads
  2. Display Ads
  3. Google shopping Ads
  1. Search Ads 

Whenever you search a product or service what google displayed on the topmost search results is search/sponsored advertisements.

  • Display Ads 

Displays ads are animated or static text, images that are shown in designated ads space of a website or social media platform.

  • Google Shopping Ads

These ads allow sellers to list their products on google. These ads include product images, price, and brand. It also contains additional information such as

  • Reviews
  • Shipping information 
  • Promotions

Like Google, Amazon also offers different types of advertisements that are only for amazon sellers. Read on to know the vast amazon advertising options for your business.

Amazon Sponsored products ads

Sponsored products add stands as the best option for promoting a “single product”. These ads are displayed above organic search results in the search results. This is exactly like Google search advertisements. These add are triggered using: 

  1. Automatic keyword targeting
  2. Manual keyword targeting

In automatic targeting, amazon use product information to match adds with the relevant search query whereas, in manual testing, the power to upload the keywords for advertisements is with sellers. The cost per click rate of manual testing is more than automatic.  

  1. Sponsored brands ads

Sponsored brand ads are placed at the top of the amazon search page. These adds contains a featured image or video of the product. By clicking on the sponsored brand ads, the customer can move to the Amazon page or a specific URL. These ads are made to target such customers that are searching product like yours 

  • Product display ads

These ads do not target keywords but focus on people’s interests. These ads appear in the top, bottom, and sometimes in the customer reviews. This provides a great way to drive people to your product page and generate leads.

How Google is improving shopping experiences?

It is hard to compete with Amazon when it comes to providing great shopping experience to users. From product reviews to product prices and from product features to comparison, it offers several features that force customers to come back to it again and again.

In fact, there is so much information about a product in Amazon- that some buyers make a purchase even if they don’t plan on buying. 

To compete with Amazon, Google decided to redesign Google shopping and come up with incredible updates and features.

Google shopping updates

In the last few years, Google has taken the entire shopping experience to a new level. The search engine giant has started giving more options to users, now users can search the product and purchase with more ease and convenience.

Google provides users a variety of options to purchase from other than Amazon, they can purchase an item at a low price from a nearby local retailer. Google enables users to refine their search results with Amazon-like filters such as price range, brand name, and many more.  Users can also view the products that are strongly associated with the searched product on Google.

By all this google is trying to empower the users and paving its way towards becoming the most popular online platform for selling. 

Similarities and differences: Google and Amazon ads

Both Google and Amazon ads have a lot of similarities. Let us check them one by one.

Similarities

  • Based on cost per click
  • Use keywords for optimizing search results
  • Follow biding/auction for display ads
  • Show results before organic listing

Differences 

  1. Google ads generally take the user to a landing page, product page, or online e-commerce websites such as amazon. But Amazon will never take you to other sites.
  2. Google ads have a wide reach whereas amazon ads are limited to amazon users.
  3. Businesses that don’t have a website can easily start their business on Amazon. They just need to sign up and get listed their products.
  4. Amazon monitors geographical location, keywords, and demography for generating search results. The latter results are based on product history, returns, etc.

Comparison in terms of ranking and bidding 

Along with the above difference both amazon and google ads have distinctive features when it comes to ranking and bidding. 

  1. Ranking

Google makes money when someone clicks on the add so it emphasizes more on catching user attention. Amazon, on the other hand, focuses more on converting the lead.

Google prefers those ads that are eye-catching and clickable while amazon ranks those ads that have a high possibility of a sale. The latter takes into consideration various performance metrics such as CTR history, product title, description, etc to determine the convertibility of an advertisement. 

 Amazon and Google both use phrase match, exact match, and broad match.

Broad match is less competitive and displays ads to anyone whose search terms relate to your keywords. Exact match is more competitive as it displays add to users who typed the exact phrase. Phrase match is moderately competitive and provides more control because your ads will be displayed to only those users whose search matches with your phrase”

Along with this Google offer a “Modified broad” match that allows advertisers to display their adds for misspellings, singular/plural forms, abbreviations, etc.

  • Bidding

Both Amazon and Google bid the keywords in auction-style. There are however different ways to bid keywords such as manual and advance.

Manual bidding

Manual bidders enable advertisers to changes the bid manually. This type of bidding offers control. But manual bidding becomes difficult as the ad account grows. This bidding is ideal for those advertisers who can make swift changes (doesn’t matter how big or small they are)

Pros

  • High level of control
  • Immediate changes

Cons

  • Large account, more challenges
  • Take a good amount of time

Advance bidding

Advance bidding or automated bidding gives power to algorithms to selectively choose the best bid with options such as bid by group, by campaigns, etc. In this, advertisers don’t need to change the bid manually (Provided by both Google and Amazon)

Pros

  • Segment ads based on campaigns, ad groups, etc.
  • Capable of Handling large ad accounts

Cons

  • Delay in changes

Amazon vs Google: Which is better?

Google and Amazon both are popular online platforms for promoting and selling products. But which one should be right for you- It depends upon your business and goals. Like if your product requires too much research then google ads will be a better option for you. Most of the people who buy such types of products read a lot of articles and watch a lot of videos. So featuring your products on google will be a great way to convert those people into customers.

If you sell products such as T-Shirts or any casual wear- then google ads may not be for you. People don’t research such products, they just go to amazon, compare the price, reviews, and other features and, click on buy.

The second factor to decide whether to opt for Amazon or Google ads is your goals. If you want to increase brand awareness and drives web traffic to your website then Google may be the right platform. It has decades of experience in helping individuals in their buyer’s journey but that doesn’t mean Amazon can’t do this. Amazon has a huge product base that most of the buyers are interested in. 

At last, we recommend e-commerce businesses to test both the platforms to see which can give them better results. Because for some business the answer is both. Keep on testing your ads by monitoring key metrics and take your decision accordingly.

 


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