Google Ads CPC Benchmarks: 2024 Insights for eCommerce Skip to content

Google Ads CPC Benchmarks: 2024 Insights for eCommerce

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Table of Contents

To make the most of your Google Ads budget, you need to decide how much you want to pay for each click. But how do you know if your budget matches what others are paying? That’s where CPC benchmarks come in. 

In this blog post, we’ll explain everything you need to know about Google ads CPC benchmarks. We’ll start with the basics and then look at specific benchmarks for different types of campaigns. By the end, you’ll know how to get the most out of your ad budget. Let’s begin!

Google Ads CPC Benchmarks

Well, in the world of online advertising, benchmarks help you understand how well your ad campaigns are performing. 

Having a  Google ads CPC benchmark for all your campaigns is like having a target to aim for. It helps you set realistic goals and see if you’re on track.

google ads cpc benchmarks for all campaigns
Source: Lebesgue AI CMO

The Google ads CPC benchmark for all campaigns is $0.65

So, think of the $0.65 CPC benchmark as a signpost on your advertising journey. It tells you what’s considered an average or typical cost for a click in your industry. 

Advertisers use it as a reference point to gauge if they’re spending too much or getting a good deal. If your CPC is close to $0.65 or lower, you’re doing well. 

You might need to make some changes if you have a CPC in your Google Ads higher than $0.65.

How to lower Google Ads CPC?

But what to do if your CPC is a lot higher than the average in your eCommerce industry?

Don’t worry there are some different strategies you can try if you have a CPC that is too high.

Firstly, you could try auditing your keywords. Make sure that your campaigns include negative keywords, and that you don’t have inefficient keywords included in your ad campaigns.

After checking your keywords, make sure that your ad quality is high. Higher-quality ads cost less per click because they are more relevant to users. Ads with a higher Quality Score get better ad positions at lower costs. Low-quality ads have lower Quality Scores and higher costs per click, even if there is little competition.

Next, it’s time to look at your landing page. Make sure that your landing page matches your ads for a seamless experience. Also, keep an eye on your campaign performance and make changes when needed. 

More detailed strategies on how to lower CPC can be found in our previous blog post.

Google CPC Benchmarks For Search Campaigns

Search campaigns target audiences who are actively searching for something.

Google Ads CPC benchmarks search campaign
Source: Lebesgue AI CMO

So, the average CPC for search campaigns is $0.75.  

With this CPC benchmark for search campaigns, we can say that the good CPC for search campaigns is around $0.75 for e-commerce businesses. 

Google CPC for Shopping Campaigns

Now, let’s shift our focus to shopping campaigns. Shopping campaigns are like a dedicated showcase for your products. Unlike other ad types, they highlight images and prices right in the search results. 

So, the average CPC for shopping campaigns is $0.69.

Here’s the key part: If you can keep your actual CPC close to $0.69 or even lower, it’s getting a good deal – you’re spending less to bring people to your online store. 

But if your CPC is much higher, it’s paying more for advertising, which can eat into your profits.

Google Ads CPC benchmarks shopping campaign
Source: Lebesgue AI CMO

Optimizing product listing to meet benchmarks

Optimizing product listings to meet benchmarks for shopping campaigns involves several key steps to ensure your products are attractive, relevant, and well-positioned in search results. 

To optimize product listings for shopping campaigns, start by creating clear and descriptive product titles that include key details like brand, type, color, size, and features. 

Next, write detailed product descriptions that answer common customer questions and highlight the product’s benefits. Use high-quality images from different angles to provide a complete view of the product. Also, set competitive prices by researching similar products, and highlight any discounts or promotions to attract buyers. 

Finally, encourage customers to leave reviews and display these ratings prominently to build trust and influence potential buyers. By following these steps, your product listings will be more appealing and effective, leading to better performance in shopping campaigns.

Google CPC For Performance Max Campaigns

Next, performance max campaign. The average CPC for Performance Max is $0.60

So, the $0.60 CPC benchmark for Performance Max campaigns is like a reference point. It tells you what’s considered a reasonable cost for each click in this specific campaign type.

If you can maintain your actual CPC close to $0.60, it means you’re efficiently managing your advertising budget. 

However, if your CPC surpasses $0.60 significantly, it indicates that you might be paying more than necessary for each click, potentially impacting your overall campaign performance.

Google Ads CPC Pmax benchmarks
Source: Lebesgue AI CMO

If you like more insights about Performance Max campaigns, you can find them in your Performance Max pros and cons blog post.

Summing Up

Google Ads CPC benchmarks are essential for budget allocation and campaign planning. Knowing the average costs per click in your industry helps set realistic expectations. Higher bids may not always result in lower costs if ad quality is low. Regular bid monitoring and adjustment are crucial for cost efficiency. By understanding these benchmarks, you can optimize your campaigns for better performance and ROI.

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