What are Shopping ads (Google Shopping ads)?
How do they work?
You do not write a Shopping ad. You supply product data, and Google builds the ad from it. That data lives in Google Merchant Center, a free Google tool where sellers upload product data so their products can appear across Google2. It arrives as a product feed: a structured file of titles, prices, images and availability.
A shopper searches. Google matches the search to products in your feed and shows a product photo, title, price and your shop name1. So the quality of your titles and data decides what you show for. Keywords in the usual sense are not where you write the ad.
Shopping ads can run in standard Shopping campaigns or inside Performance Max, a goal-based campaign type that can also serve on channels such as YouTube, Display, Gmail and Maps1. What PMax decides, and how to read it, is covered in Performance Max black box. Where Shopping sits among your other channels is in paid media strategy for ecommerce.
Why does it matter for a shop?
Shopping ads sit close to the sale: the shopper already sees the product and the price. That is why the report often looks good.
Look at who is searching. If most of the revenue comes from people typing your brand name, the ads may be cannibalisation: paid activity taking credit for sales that would have arrived anyway by another route. Many branded searchers may have found you anyway.
For ZFD: We split Shopping revenue by brand and non-brand searches before we call it growth.
Easily confused with
Shopping ads vs Google Shopping
The surface, the place where the ads appear. "Shopping ads" is the ad format.
Shopping ads vs Search ads
Text ads triggered by keywords. Shopping ads are triggered by your product data.
Shopping ads vs Performance Max
A campaign type that can include Shopping ads, among other placements.
Shopping ads vs Product listing ads (PLA)
The older name for the same thing.
FAQ

Do Shopping ads use keywords?
Not in the usual way. Google says they use product data from Merchant Center rather than keywords1.
Where do Shopping ads run?
In Shopping campaigns or Performance Max campaigns1.
What happens if my feed is wrong?
The ads are wrong too. A price or stock mismatch shows up in front of shoppers.
Sources
- About Shopping ads - Google Ads HelpPrimary source
- Get started with Merchant Center - Google Merchant Center HelpPrimary source
Let’s find what’s actually working.
Next step. Check how credited revenue compares with real return. Use the Is your ROAS real? calculator.