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Move Google Ads Budget to Best Sellers with Google Merchant Center Labels

How to stop wasting Google Shopping and Performance Max budget on products and search terms that never sell, and use Google Merchant Center custom labels to move it to your winners.

Where the budget goes

In most Shopping and Performance Max accounts a small share of products and searches brings in most of the sales, while a long tail spends steadily without converting. Moving that spend to proven products is usually the fastest way to raise return on ad spend (ROAS).

Find products that spend and never sell

Look at product-level results over a long enough window to be fair, such as 30 to 90 days. A product with many clicks and no conversions is a candidate to exclude or move to a separate, lower-priority group. A product with too few clicks to judge has not been tested yet.

Judge on clicks against your usual conversion rate, not on days alone. If your store converts about 2% of clicks, a product with 20 clicks and no sales is not yet evidence of anything; one with 150 clicks and no sales probably is.

Tag products with custom labels

Custom labels in Google Merchant Center (custom_label_0 to custom_label_4) let you tag products, for example as best seller, testing or no sales. Shopping product groups and Performance Max listing groups can then split on those labels, so each group gets its own budget or bidding.

  1. Pick one label slot for performance, such as custom_label_0, and keep the values short and consistent.
  2. Send the labels through a supplemental data source so your main feed is untouched.
  3. In Shopping, subdivide the product group by that label. In Performance Max, split listing groups by it, or run a separate campaign for best sellers.
  4. Update the labels as results change, so a product that starts selling moves up.

Cut search terms that never convert

The search terms report shows what people searched before clicking. Google Ads reports search terms for Performance Max and accepts negative keywords for it, as well as for Shopping campaigns. Exclude terms that are clearly irrelevant, and terms with enough clicks and no sales.

Scale campaigns that are held back

A profitable campaign marked Limited by budget is missing sales Google would have found for it. Raising its budget, or freeing budget from wasteful campaigns, is often the cheapest growth in the account.

Change targets and budgets in small steps, such as 10 to 20% at a time. Google says budget and target changes don't trigger a learning status, but results settle over your conversion cycle, so judge them after that rather than day by day.

How UltraROAS.ai does this for you

UltraROAS.ai does this every day across Google Shopping, Search and Performance Max: it stops products and search terms with no sales, adds negative keywords, and moves budget to campaigns and products that sell, within limits you set. It waits out learning periods and holds back when conversion tracking looks unreliable.

Try it freeFree plan, no card: see everything Optimize would change before you pay.

Questions

Can you add negative keywords to Performance Max?
Yes. Google Ads accepts negative keywords for Performance Max, at the campaign level and through account-level negative keywords. They apply to Search and Shopping inventory.
How long should I wait before excluding a product with no sales?
Until it has had enough clicks to be fair. Judge on clicks against your usual conversion rate, not on days alone. A product with only a handful of clicks has not been tested.
How do Google Merchant Center custom labels help budget allocation?
Custom labels tag products, for example as winners or no sales, so Shopping and Performance Max listing groups can bid on or budget each group separately.

Google's own help pages