Google Shopping Ads vs Search Ads: Which Works Better for eCommerce?

If you’re running an eCommerce business, you’ve probably asked yourself: Should I invest in Google Shopping Ads or stick with traditional Search Ads? Both are powerful advertising tools, but they work differently and can impact your results in unique ways. Understanding how each functions and which aligns with your goals is the key to getting the best ROI.

What are Google Shopping Ads?

Google Shopping Ads, also known as Product Listing Ads (PLAs), are visually rich ads that showcase your product’s image, price, and store name directly on Google’s search results. Instead of just text, users see a product they can buy instantly.

Key Features of Shopping Ads

• Display product image, price, and merchant details
• Automatically pull product data from your Google Merchant Center feed
• Appear at the top of Google search results and in the Shopping tab

How Shopping Ads Appear

When someone searches for “red running shoes,” they’ll see a carousel of product images with prices before any text ads or organic listings. That visibility makes them a game-changer for e-commerce.

Benefits of Google Shopping Ads

• Visual appeal: Shoppers see the product before clicking.
• Higher CTRs: Eye-catching images often outperform text ads.
• Pre-qualified leads: Shoppers already know the price and product details.
• Integration: Works seamlessly with Merchant Center, automating ad creation.

Limitations of Google Shopping Ads

• Product feed optimization is critical—a poorly optimized feed means fewer impressions.
• Competition is fierce in popular niches.
• Limited keyword control, since Google decides when to show your ad based on product data.

What are Google Search Ads?

Search Ads are text-based ads that appear at the top and bottom of search engine results pages (SERPs). They’re triggered when users search with keywords you’ve bid on.

Key Features of Search Ads

• Customizable headlines and descriptions
• Full keyword control through bidding
• Extensions for links, callouts, and phone numbers

How They Appear

When someone searches “best running shoes online,” they’ll see sponsored text ads at the top before organic results.

Benefits of Google Search Ads

• Full keyword control—you choose what queries trigger your ads.
• Versatility—effective for both eCommerce and service-based businesses.
• Customizable ad copy that matches intent.
• Broader targeting potential with different keyword match types.

Limitations of Google Search Ads

• No visuals, which can be less engaging.
• Competitive industries mean high CPCs.
• Lower purchase intent - users may just be browsing or comparing options.

Shopping Ads vs. Search Ads – A Head-to-Head Comparison

• CTR: Shopping Ads usually win with their visual format.
• Conversions: Shopping Ads attract higher-intent buyers.
• CPC: Search Ads can sometimes be cheaper, but they are often less efficient.
• Targeting: Search Ads give keyword control, while Shopping Ads rely on feed accuracy.

Which Works Best for New eCommerce Stores?

For startups with limited budgets, Shopping Ads often provide faster ROI because buyers see the product upfront. But Search Ads can help build brand awareness and capture non-product-specific searches.

Which Works Best for Established eCommerce Brands?

Larger brands often combine both. Shopping Ads drive direct sales, while Search Ads capture broader searches and help scale campaigns with remarketing strategies.

Combining Shopping Ads and Search Ads

The smartest approach? Use both. For example, a shoe retailer could run Shopping Ads for specific models while also bidding on Search Ads for keywords like “best running shoes.” Together, they cover both intent and awareness.

Best Practices for Shopping Ads

• Write keyword-rich product titles
• Upload high-quality images
• Use promotions, reviews, and star ratings to boost trust

Best Practices for Search Ads

• Do in-depth keyword research
• Write persuasive ad copy with clear CTAs
• Continuously A/B test different variations

Common Mistakes to Avoid

• Forgetting to add negative keywords, leading to wasted spend
• Leaving product feeds unoptimized
• Running overlapping campaigns without proper segmentation

Future of Google Ads in eCommerce

Google is moving toward automation and AI-driven ads. Smart Shopping campaigns and Performance Max campaigns already utilize machine learning to optimize placements, and this trend is expected to continue growing. As consumer behavior evolves, businesses that adapt quickly will stay ahead.

Final Thoughts

Which works better - Google Shopping Ads or Search Ads? The truth is, it depends on your goals. Shopping Ads are unbeatable for product visibility and conversions, while Search Ads excel in keyword control and broader targeting. The winning e-commerce PPC strategy for most e-commerce businesses is to use both in harmony.

FAQs

1. Which is more cost-effective: Shopping Ads or Search Ads?

It depends on your industry. Shopping Ads often deliver a better ROI for product-based businesses, while Search Ads can be more cost-effective in less competitive markets.

2. Can I run both Shopping and Search Ads at the same time?

Absolutely! In fact, combining both usually delivers the best results.

3. Do Shopping Ads work for all types of products?

Not always—unique or custom-made products may perform better with Search Ads.

4. How do I track the performance of my campaigns?

Use Google Ads dashboards, Google Analytics, and conversion tracking to measure clicks, conversions, and ROI.

5. Should small businesses prioritize Shopping Ads or Search Ads?

If you sell physical products, start with Shopping Ads. If you’re building awareness or targeting service-related queries, Search Ads may be a better option.