What Is Performance Max?

The primary goal of Performance Max is to supplement, rather than replace, existing Search and Display campaigns. Advertisers simply need to select a campaign objective and provide necessary details to create an asset group. Google then distributes ads from this single asset group across various platforms, including Search, Display, Maps, Discover, YouTube, and Gmail, as needed. This approach eliminates the need for separate campaigns across each Google channel with overlapping assets.

By leveraging Artificial Intelligence (AI) and machine learning, Performance Max aims to deliver ads more frequently to audiences likely to convert. This isn't a one-time effort; these campaigns thrive on ongoing optimizations and data-driven insights that enhance performance over time.

Description: This video provides a comprehensive overview of how Performance Max campaigns operate in conjunction with other campaign types, focusing on their efficiency and effectiveness.

Benefits of Performance Max Campaigns

One significant advantage of using Performance Max is the reduction in time and effort required to create and optimize similar campaigns for various audiences across different channels. Advertisers can establish a single asset group to deliver the right message to the right customer on the right platform at the right moment in their buying journey, all with the help of AI.

Google claims enhanced transparency and insights for advertisers, offering a clearer understanding of AI-driven learnings. This includes information on keywords, key audience segments, and effective asset combinations that contribute to success, alongside insights into emerging search trends.

According to global Google data, early testing indicates that advertisers transitioning from Smart Shopping to Performance Max experience an average 12% increase in conversion value, maintaining or improving return on ad spend (ROAS). This is a significant opportunity for eCommerce businesses.

Key Features of Performance Max Campaigns:

• URL expansion to direct visitors to the most relevant landing pages, optimizing performance (this feature can be toggled on or off with exclusions).
• Utilizing asset groups over ad formats tailored for specific themes or audiences.
• Audience signals and reporting to identify in-market and affinity audiences that yield high conversion rates.
• Detailed reporting and insights that facilitate data-driven decision-making and strategic adjustments.

Perhaps the most exciting feature is the more cohesive attribution modeling. Performance Max campaigns provide marketers with a clearer understanding of which interactions led to conversions, as well as common pathways that customers take online.

Setting Up a Performance Max Campaign

You can begin the transition to Performance Max either by upgrading your existing campaigns or by creating a new one. Starting from April 2022, Google has introduced a 'one-click tool' for this upgrade.

1. Creating a New Performance Max Campaign:

   To start, create a new campaign in your Google Ads account by clicking the blue '+' icon. Ensure you have functional conversion tracking in place.

   • Select your objective and conversion goals, then choose Performance Max.
   • Follow the standard setup process, including setting a daily budget and location targeting.

For setting up a Performance Max campaign from scratch, prepare to upload the following assets:

• A final URL
• Up to 15 images, with a maximum size of 5,120 kB (including landscape, square, and portrait images)
• Up to 5 logos (including at least one square logo)
• Up to 5 videos
• Ad copy including headlines and descriptions
• A call-to-action (CTA) from a pre-determined dropdown menu

While you can use Google’s automated asset generation, providing your own assets is recommended for improved ad visibility and performance.

2. Upgrading an Existing Campaign:

   Starting April 2022, Google will enable a 'one-click tool' for upgrading Smart Shopping campaigns to Performance Max. This feature will also extend to Local campaigns by June 2022.

3. Using Google Merchant Center:

   If you prefer not to add your own assets, you can utilize a Google Merchant Center product feed, allowing Google to automatically generate campaign assets based on your latest product information.

4. Automatic Upgrades:

   Google has announced that by September 2022, Performance Max will automatically replace Smart Shopping and Local campaigns, with transitions starting in July 2022. After this, advertisers will no longer be able to create new campaigns in these formats.

Cautions for Performance Max Campaigns

When setting up a Performance Max campaign, keep these considerations in mind:

• Avoid overlapping campaigns with identical sales goals and products. If you have a Smart Shopping campaign, refrain from duplicating products in your Performance Max campaign.
• Give Performance Max time to learn and optimize. Conversion delays are common, so allow your campaign to run for at least two weeks before assessing performance or making adjustments. This timeframe may extend for offline conversions and omnichannel campaigns.