Harnessing the power of AI to optimise Google Ads

Since the launch of chatGPT in 2022, the latest developments in AI technology have been at the forefront of everyone’s minds – particularly in the field of digital marketing. Whilst using AI in most workplaces is a novel concept, Google have been making use of advancements in AI technology, incorporating machine learning into its algorithms since 2001, opening up unique opportunities for marketers to optimise their use of the platform, through Google Ad campaigns & beyond. The company has been prominent in developing their own AI tools, positioning their brand as a pioneer in the realm of AI technology.

During the annual Google Marketing Live 2024 event last month, Google showcased several updates including the latest in AI-driven ad technologies. The announcements highlighted:

• The increased sophistication of Google’s machine learning algorithms, allowing for real-time adjustments and personalised ad experiences
• The importance of data-driven decision making in developing efficient ad strategies.
• New AI tools that offer deeper insights and predictive analytics, providing marketers with the tools to anticipate trends and adjust campaigns proactively.
• The integration of natural language processing and advanced image recognition technologies into the platform, meaning that creating compelling ad copy has never been easier.

With over 20 years of experience shaping global brands with Google Ads, Click has witnessed the evolution of Google’s AI technology firsthand. This deep expertise positions us to provide insightful analysis of Google’s current ad offerings, including the cutting-edge features unveiled at Google Marketing Live 2024.

Google Search

AI generated headlines and descriptions

Most marketers will agree that creating engaging ad copy can be time consuming, but Google’s AI can now automatically generate suggested headlines and descriptions based on your existing content. In the past few years, machine learning has made significant strides in understanding and simulating human creativity. Google’s AI tools for generating ad copy leverage large amounts of data and state of the art algorithms to analyse existing content, audience behaviour and market trends.

At Click, we recommend that all AI generated content is tested and refined in order to find the combination that best resonates with your target audience and ideal customers.

AI Overviews

Google search ads are now delivering AI Overviews – AI generated insights and recommendations. These overviews are using machine learning to analyse data, presenting marketers with actionable recommendations to optimise campaigns. This could mean less time spent on manual analysis and more time focusing on strategic decisions that drive results. Although, these changes shouldn’t be accepted blindly and should be used as part of a wider strategy which includes human expertise and critical thinking.

Bidding Strategies

Bidding strategies have also seen significant enhancements with AI driven solutions that dynamically adjust bids based on a variety of factors such as user behaviour, market trends and competitors. Google suggests that by leveraging automated bidding strategies such as target ROAS or target CPA, marketers are more likely to reach the right consumer at the right time with the most effective bid. Automated bidding strategies however are not a one size fits all solution, it isn’t a cost effective method for all ad types, and it is important that the campaigns are still continuously monitored.

Broad Match

Google’s broad match feature has been around for as long as Google Ads itself. 2023 saw a significant change in the platform, adjusting it to be powered by advanced AI, rather than synonyms being manually entered by Google’s engineering team. This has rectified previous errors, where search terms would frequently match irrelevant keywords. The AI language models currently used by broad match have a much stronger understanding of user intent, enabling ads to appear in result pages for searches related to your chosen keywords. This means that your ads can show up not only for exact matches, but also for variations, synonyms and related search queries, helping you discover new, high-performing search terms you may not have initially considered.

The true power of broad match lies in its ability to uncover hidden opportunities and drive traffic from a diverse range of relevant searches. To fully harness this potential, it’s crucial to implement a robust monitoring and optimisation strategy. Regularly reviewing performance is key to identifying which terms are driving traffic of value and which ones are not. Using your negative keyword list is imperative to ensuring your ads remain relevant and cost-effective.

Google Shopping

Google Lens

One of the most exciting developments is the integration of Shopping Ads with Google Lens. Now, users can capture a photo of a product and Google Lens will display the relevant shopping ads, providing the user with a seamless shopping experience. Good quality images and product descriptions are fundamental for any eCommerce business wanting to drive sales this way. Google will prioritise the products with the best images.

AI Generated Product Images & Image Editing

Producing high quality product images is essential for Google Shopping Campaigns. However, not all marketers have the time and resources required. Google’s new AI generated product visuals address these challenges by automatically enhancing your images. This tool can adjust the lighting, improve the image resolution and even generate backgrounds for your product pictures.

Google Ads can now generate full images for use in ads, although the functions are currently limited, any prompt that requires a face in the generated picture will be rejected and the quality of the pictures it can produce is currently lacking.

360-degree product views are also being rolled out at present, although they are currently only available for shoes.

Dynamic Sales Prices

In the midst of a cost of living crisis, pricing has never been more crucial to consumers. Dynamic pricing, powered by Google AI, facilitates automatic data driven price adjustments based on factors such as demand, competition, and inventory levels. Dynamic pricing can guarantee that your product’s price remains competitive and attractive to potential consumers.

The way these algorithms work have a limited transparency for marketers and consumers alike, so fluctuations in performance may be difficult to troubleshoot. The algorithms do not account for seasonality or the activity of competitors so it is vital that manual adjustments are still being made to product prices. Another downside of using dynamic pricing is that many consumers find the strategy to be unfair and this can result in a business falling short of creating trust between themselves and the consumer.

PMAX

Smart Bidding and Broad Match

Smart bidding lies at the core of performance max, using machine learning algorithms to dynamically adjust your bids in real time. This ensures optimal ad spend by targeting only the most relevant audiences based on audience signals. This algorithm requires a learning period before you will start to see results in your campaigns.

By setting specific goals such as target ROAS, smart bidding can ensure your campaigns are always aligned with your marketing objectives. The algorithm will continue to learn and adapt from the data generated making it possible to fine tune its bid strategy with precision.

Google recommends that pmax campaigns are run alongside search campaigns to generate broad awareness while still reaching high intent customers. Combining this smart bidding strategy with broad match drives your campaigns to be scrupulously targeted yet with an expansive reach, driving efficiency in your ad spend.

Summary & final remarks

In the rapidly evolving digital sphere, harnessing the power of AI to optimise your Google ad campaigns is not just a trend, but a strategic essential. The innovations showcased at Google Marketing Live 2024, from AI generated product visuals and 360 spin capabilities to AI powered insights, outline the transformative power of AI in advertising.

As AI technology continues to advance, the potential for automating and optimising your Google ads campaigns will grow, shifting towards more intelligent, data driven marketing strategies. AI’s ability to analyse massive amounts of data and derive actionable insights helps marketers to make informed decisions with remarkable speed and efficiency. Marketers who embrace these innovations early will be well-positioned to lead in an increasingly competitive digital landscape.

While AI tools are valuable, they are not infallible. It is crucial to integrate these tools with human insight to review and refine AI generated strategies, ensuring they align with your brand and marketing objectives. Embrace this AI-driven revolution and unlock the full potential of your Google Ads campaigns.