In this episode, Mike Ryan and Chris dive into the fundamental issue plaguing advanced performance advertisers: the lack of data integrity between ad platforms and a retailer’s backend systems. Why are sophisticated retailers taking optimization decisions on ad platform data when their final bottom-line evaluation comes from a different source? Mike calls this the &quot;optimization gulf&quot;.The hosts argue that this disconnect is a major tactical issue that is driving platforms like Google and Meta to pursue cross-channel solutions to regain trust.Key discussion points include:<ul><li>The Single Source of Truth (SSOT) Problem: Why using last-click attribution and optimizing within channel silos led to platforms taking 100% credit for the same purchases.</li><li>The iOS 14.5 Inflection Point: How Apple&apos;s anti-tracking policies broke Meta campaigns, leading to the rise of &quot;magic pixels&quot; (Triple Whale, Northbeam) to fix reporting.</li><li>Marginal ROAS vs. Average ROAS: Why optimizing only for average ROAS is a &quot;massive flop&quot; and why you need to understand the concept of marginal return to avoid spending beyond your optimal point.</li><li>Google&apos;s Contradiction: We break down Google&apos;s claim that its bidding system (PMax) finds the cheapest conversion across all networks, and the subsequent contradiction of why the performance of those individual channels often looks bad in segmented reports.</li></ul>About smec (Smarter Ecommerce): At smec - Smarter Ecommerce, we specialize in transforming business goals into optimized ad campaigns. With over 16 years of experience in Google &amp; Microsoft Ads, our intelligent software and expert services help retailers achieve superior results. We&apos;re committed to giving you the tools and insights needed to stay ahead in the ever-evolving world of digital advertising. Make sure to follow smec - Smarter Ecommerce for more performance marketing insights: <ul> <li> smec - Smarter Ecommerce: <a href='https://www.smarter-ecommerce.com/'>https://www.smarter-ecommerce.com</a> </li> <li> LinkedIn: <a href='https://linkedin.com/company/smarter-ecommerce-gmbh'>https://linkedin.com/company/smarter-ecommerce-gmbh</a> </li> <li> Newsletter: <a href='https://smarter-ecommerce.com/en/newsletter/'>https://smarter-ecommerce.com/en/newsletter/</a> </li> <li> Instagram: https://www.instagram.com/smarterecommerce/</li> </ul>

<description>&lt;p&gt;In this episode, Mike Ryan and Chris dive into the fundamental issue plaguing advanced performance advertisers: the lack of data integrity between ad platforms and a retailer’s backend systems. Why are sophisticated retailers taking optimization decisions on ad platform data when their final bottom-line evaluation comes from a different source? Mike calls this the &amp;quot;optimization gulf&amp;quot;.&lt;/p&gt;&lt;p&gt;The hosts argue that this disconnect is a major tactical issue that is driving platforms like Google and Meta to pursue cross-channel solutions to regain trust.&lt;/p&gt;&lt;p&gt;Key discussion points include:&lt;/p&gt;&lt;ul&gt;&lt;li&gt;The Single Source of Truth (SSOT) Problem: Why using last-click attribution and optimizing within channel silos led to platforms taking 100% credit for the same purchases.&lt;/li&gt;&lt;li&gt;The iOS 14.5 Inflection Point: How Apple&amp;apos;s anti-tracking policies broke Meta campaigns, leading to the rise of &amp;quot;magic pixels&amp;quot; (Triple Whale, Northbeam) to fix reporting.&lt;/li&gt;&lt;li&gt;Marginal ROAS vs. Average ROAS: Why optimizing only for average ROAS is a &amp;quot;massive flop&amp;quot; and why you need to understand the concept of marginal return to avoid spending beyond your optimal point.&lt;/li&gt;&lt;li&gt;Google&amp;apos;s Contradiction: We break down Google&amp;apos;s claim that its bidding system (PMax) finds the cheapest conversion across all networks, and the subsequent contradiction of why the performance of those individual channels often looks bad in segmented reports.&lt;/li&gt;&lt;/ul&gt;&lt;p&gt;About smec (Smarter Ecommerce):&lt;/p&gt; &lt;p&gt;At smec - Smarter Ecommerce, we specialize in transforming business goals into optimized ad campaigns. With over 16 years of experience in Google &amp;amp; Microsoft Ads, our intelligent software and expert services help retailers achieve superior results. &lt;/p&gt; &lt;p&gt;We&amp;apos;re committed to giving you the tools and insights needed to stay ahead in the ever-evolving world of digital advertising.&lt;/p&gt; &lt;p&gt;Make sure to follow smec - Smarter Ecommerce for more performance marketing insights:&lt;/p&gt; &lt;ul&gt; &lt;li&gt; &lt;b&gt;smec&lt;/b&gt; - Smarter Ecommerce: &lt;a href='https://www.smarter-ecommerce.com/'&gt;https://www.smarter-ecommerce.com&lt;/a&gt; &lt;/li&gt; &lt;li&gt; &lt;b&gt;LinkedIn&lt;/b&gt;: &lt;a href='https://linkedin.com/company/smarter-ecommerce-gmbh'&gt;https://linkedin.com/company/smarter-ecommerce-gmbh&lt;/a&gt; &lt;/li&gt; &lt;li&gt; &lt;b&gt;Newsletter&lt;/b&gt;: &lt;a href='https://smarter-ecommerce.com/en/newsletter/'&gt;https://smarter-ecommerce.com/en/newsletter/&lt;/a&gt; &lt;/li&gt; &lt;li&gt; &lt;b&gt;Instagram&lt;/b&gt;: https://www.instagram.com/smarterecommerce/&lt;/li&gt; &lt;/ul&gt;</description>

In this episode, Mike Ryan and Chris dive into the fundamental issue plaguing advanced performance advertisers: the lack of data integrity between ad platforms and a retailer’s backend systems. Why are sophisticated retailers taking optimization decisions on ad platform data when their final bottom-line evaluation comes from a different source? Mike calls this the "optimization gulf". The hosts argue that this disconnect is a major tactical issue that is driving platforms like Google and Meta...

Are Your Google Ads Lying to You? - Marginal ROAS Explained

In this post-mortem episode, hosts Mike Ryan and Chris dive deep into the data behind the last peak season to reveal the true cost of Black Friday. They confirm what many performance marketers feared: the event is a &quot;promotional bloodbath where margins are lost&quot;.The numbers are shocking: Google Ads spend was up over 31% year-over-year, but revenue only grew 15%, resulting in a massive 12% drop in Return on Ad Spend (ROAS). But the real trouble is profitability. Mike reveals an exclusive chart showing how the average gross profit margin dropped by 9 percentage points in the final week of November.What else is covered in this data-driven post-mortem:<ul><li>The Dilution of Demand: Why Black Friday search volume has been on a secular decline since peaking in 2018, and why the &quot;doorbuster&quot; concept is dead.</li><li>The Hourly Opportunity: A never-before-seen hourly analysis that pinpoints the exact time when Cost Per Order (CPO) cools down and conversion rates peak, revealing the best time to run your budget.</li><li>Competitor Strategy: A look at how Amazon is continuously ramping up spend, while the competition from Teemu drastically fell off on Black Friday itself.</li><li>The Final Warning: Why the relentless increase in CPCs is the single biggest threat to the middle-of-the-pack online retailer.</li></ul>About smec (Smarter Ecommerce): At smec - Smarter Ecommerce, we specialize in transforming business goals into optimized ad campaigns. With over 16 years of experience in Google &amp; Microsoft Ads, our intelligent software and expert services help retailers achieve superior results. We&apos;re committed to giving you the tools and insights needed to stay ahead in the ever-evolving world of digital advertising. Make sure to follow smec - Smarter Ecommerce for more performance marketing insights: <ul> <li> smec - Smarter Ecommerce: <a href='https://www.smarter-ecommerce.com/'>https://www.smarter-ecommerce.com</a> </li> <li> LinkedIn: <a href='https://linkedin.com/company/smarter-ecommerce-gmbh'>https://linkedin.com/company/smarter-ecommerce-gmbh</a> </li> <li> Newsletter: <a href='https://smarter-ecommerce.com/en/newsletter/'>https://smarter-ecommerce.com/en/newsletter/</a> </li> <li> Instagram: https://www.instagram.com/smarterecommerce/</li> </ul>

<description>&lt;p&gt;In this post-mortem episode, hosts Mike Ryan and Chris dive deep into the data behind the last peak season to reveal the true cost of Black Friday. They confirm what many performance marketers feared: the event is a &amp;quot;promotional bloodbath where margins are lost&amp;quot;.&lt;/p&gt;&lt;p&gt;The numbers are shocking: Google Ads spend was up over 31% year-over-year, but revenue only grew 15%, resulting in a massive 12% drop in Return on Ad Spend (ROAS). But the real trouble is profitability. Mike reveals an exclusive chart showing how the average gross profit margin dropped by 9 percentage points in the final week of November.&lt;/p&gt;&lt;p&gt;What else is covered in this data-driven post-mortem:&lt;/p&gt;&lt;ul&gt;&lt;li&gt;The Dilution of Demand: Why Black Friday search volume has been on a secular decline since peaking in 2018, and why the &amp;quot;doorbuster&amp;quot; concept is dead.&lt;/li&gt;&lt;li&gt;The Hourly Opportunity: A never-before-seen hourly analysis that pinpoints the exact time when Cost Per Order (CPO) cools down and conversion rates peak, revealing the best time to run your budget.&lt;/li&gt;&lt;li&gt;Competitor Strategy: A look at how Amazon is continuously ramping up spend, while the competition from Teemu drastically fell off on Black Friday itself.&lt;/li&gt;&lt;li&gt;The Final Warning: Why the relentless increase in CPCs is the single biggest threat to the middle-of-the-pack online retailer.&lt;/li&gt;&lt;/ul&gt;&lt;p&gt;About smec (Smarter Ecommerce):&lt;/p&gt; &lt;p&gt;At smec - Smarter Ecommerce, we specialize in transforming business goals into optimized ad campaigns. With over 16 years of experience in Google &amp;amp; Microsoft Ads, our intelligent software and expert services help retailers achieve superior results. &lt;/p&gt; &lt;p&gt;We&amp;apos;re committed to giving you the tools and insights needed to stay ahead in the ever-evolving world of digital advertising.&lt;/p&gt; &lt;p&gt;Make sure to follow smec - Smarter Ecommerce for more performance marketing insights:&lt;/p&gt; &lt;ul&gt; &lt;li&gt; &lt;b&gt;smec&lt;/b&gt; - Smarter Ecommerce: &lt;a href='https://www.smarter-ecommerce.com/'&gt;https://www.smarter-ecommerce.com&lt;/a&gt; &lt;/li&gt; &lt;li&gt; &lt;b&gt;LinkedIn&lt;/b&gt;: &lt;a href='https://linkedin.com/company/smarter-ecommerce-gmbh'&gt;https://linkedin.com/company/smarter-ecommerce-gmbh&lt;/a&gt; &lt;/li&gt; &lt;li&gt; &lt;b&gt;Newsletter&lt;/b&gt;: &lt;a href='https://smarter-ecommerce.com/en/newsletter/'&gt;https://smarter-ecommerce.com/en/newsletter/&lt;/a&gt; &lt;/li&gt; &lt;li&gt; &lt;b&gt;Instagram&lt;/b&gt;: https://www.instagram.com/smarterecommerce/&lt;/li&gt; &lt;/ul&gt;</description>

In this post-mortem episode, hosts Mike Ryan and Chris dive deep into the data behind the last peak season to reveal the true cost of Black Friday. They confirm what many performance marketers feared: the event is a "promotional bloodbath where margins are lost". The numbers are shocking: Google Ads spend was up over 31% year-over-year, but revenue only grew 15%, resulting in a massive 12% drop in Return on Ad Spend (ROAS). But the real trouble is profitability. Mike reveals an exclusive char...

Black Friday Bloodbath: ROAS Down 12%, Gross Margins Down 9% | Post-Mortem Data

In this episode, Mike Ryan and Christian Scharmueller dismantle a massive technical flaw in Performance Max: the &quot;Clicked vs. Bought&quot; discrepancy.In a keywordless world, product targeting is your main lever. But Mike reveals that Google places its bids based on the product a user clicks, while being completely blind to the product they actually buy. This means Google is often bidding on the wrong item, unaware that your user cross-shopped into a lower-margin alternative or a different brand entirely. The result? You might be hitting your ROAS targets on paper, but your actual profit is bleeding out.The duo reveals the only technical fix for this—Conversions with Cart Data—and debates the ultimate trust exercise: is it finally time to share your Cost of Goods Sold (CoGS) with Google to bid on true profit? About smec (Smarter Ecommerce): At smec - Smarter Ecommerce, we specialize in transforming business goals into optimized ad campaigns. With over 16 years of experience in Google &amp; Microsoft Ads, our intelligent software and expert services help retailers achieve superior results. We&apos;re committed to giving you the tools and insights needed to stay ahead in the ever-evolving world of digital advertising. Make sure to follow smec - Smarter Ecommerce for more performance marketing insights: <ul> <li> smec - Smarter Ecommerce: <a href='https://www.smarter-ecommerce.com/'>https://www.smarter-ecommerce.com</a> </li> <li> LinkedIn: <a href='https://linkedin.com/company/smarter-ecommerce-gmbh'>https://linkedin.com/company/smarter-ecommerce-gmbh</a> </li> <li> Newsletter: <a href='https://smarter-ecommerce.com/en/newsletter/'>https://smarter-ecommerce.com/en/newsletter/</a> </li> <li> Instagram: https://www.instagram.com/smarterecommerce/</li> </ul>

<description>&lt;p&gt;In this episode, Mike Ryan and Christian Scharmueller dismantle a massive technical flaw in Performance Max: the &amp;quot;Clicked vs. Bought&amp;quot; discrepancy.&lt;/p&gt;&lt;p&gt;In a keywordless world, product targeting is your main lever. But Mike reveals that Google places its bids based on the product a user &lt;em&gt;clicks&lt;/em&gt;, while being completely blind to the product they actually &lt;em&gt;buy&lt;/em&gt;. This means Google is often bidding on the wrong item, unaware that your user cross-shopped into a lower-margin alternative or a different brand entirely. The result? You might be hitting your ROAS targets on paper, but your actual profit is bleeding out.&lt;/p&gt;&lt;p&gt;The duo reveals the only technical fix for this—Conversions with Cart Data—and debates the ultimate trust exercise: is it finally time to share your Cost of Goods Sold (CoGS) with Google to bid on true profit?&lt;/p&gt;&lt;p&gt;&lt;br/&gt;&lt;br/&gt;&lt;/p&gt;&lt;p&gt;About smec (Smarter Ecommerce):&lt;/p&gt; &lt;p&gt;At smec - Smarter Ecommerce, we specialize in transforming business goals into optimized ad campaigns. With over 16 years of experience in Google &amp;amp; Microsoft Ads, our intelligent software and expert services help retailers achieve superior results. &lt;/p&gt; &lt;p&gt;We&amp;apos;re committed to giving you the tools and insights needed to stay ahead in the ever-evolving world of digital advertising.&lt;/p&gt; &lt;p&gt;Make sure to follow smec - Smarter Ecommerce for more performance marketing insights:&lt;/p&gt; &lt;ul&gt; &lt;li&gt; &lt;b&gt;smec&lt;/b&gt; - Smarter Ecommerce: &lt;a href='https://www.smarter-ecommerce.com/'&gt;https://www.smarter-ecommerce.com&lt;/a&gt; &lt;/li&gt; &lt;li&gt; &lt;b&gt;LinkedIn&lt;/b&gt;: &lt;a href='https://linkedin.com/company/smarter-ecommerce-gmbh'&gt;https://linkedin.com/company/smarter-ecommerce-gmbh&lt;/a&gt; &lt;/li&gt; &lt;li&gt; &lt;b&gt;Newsletter&lt;/b&gt;: &lt;a href='https://smarter-ecommerce.com/en/newsletter/'&gt;https://smarter-ecommerce.com/en/newsletter/&lt;/a&gt; &lt;/li&gt; &lt;li&gt; &lt;b&gt;Instagram&lt;/b&gt;: https://www.instagram.com/smarterecommerce/&lt;/li&gt; &lt;/ul&gt;</description>

In this episode, Mike Ryan and Christian Scharmueller dismantle a massive technical flaw in Performance Max: the "Clicked vs. Bought" discrepancy. In a keywordless world, product targeting is your main lever. But Mike reveals that Google places its bids based on the product a user clicks, while being completely blind to the product they actually buy. This means Google is often bidding on the wrong item, unaware that your user cross-shopped into a lower-margin alternative or a different brand ...

Google is bidding on the WRONG products: The ‘Clicked vs. Bought’ dilemma explained

Is Google&apos;s new AI Max for Search the future, or is it a hidden trap?In this episode of Growing E-commerce, Mike Ryan and Chris dive into brand-new, independent test data on AI Max for Search and discuss the strategic role of Demand Gen and the future of Dynamic Search Ads (DSA).The analysis of over 250 e-commerce campaigns reveals significant concerns:<ul><li>AI Max delivers an average 35% lower Return on Ad Spend (ROAS) and a higher Cost Per Conversion (CPA) compared to traditional broad match campaigns in retail.</li><li>The conversions AI Max drives are often at a lower Average Order Value (AOV), raising questions about incrementality versus cannibalization.</li></ul>Mike predicts that Dynamic Search Ads (DSA) is on its way to being fully sunset/upgraded to AI Max by early 2026. The shift signals Google’s move to consolidate broad automation into AI Max and the visual discovery into Demand Gen. The hosts also warn that many advertisers are creating unnecessary data fragmentation and overlap by running AI Max, DSA, and PMAX concurrently.The key discussion focuses on the Demand Gen Strategy: Demand Gen is best used as a visual discovery engine to compete with Paid Social/Meta and is heavily driven by video ads across YouTube and Shorts. Learn how to use it strategically as a mid-funnel tool to feed Performance Max (PMAX).What to do now: AI Max is here to stay. Mike and Chris offer advice on how to use AI Max&apos;s built-in controls (like negative keywords) to make the feature work smarter for your business. About smec (Smarter Ecommerce): At smec - Smarter Ecommerce, we specialize in transforming business goals into optimized ad campaigns. With over 16 years of experience in Google &amp; Microsoft Ads, our intelligent software and expert services help retailers achieve superior results. We&apos;re committed to giving you the tools and insights needed to stay ahead in the ever-evolving world of digital advertising. Make sure to follow smec - Smarter Ecommerce for more performance marketing insights: <ul> <li> smec - Smarter Ecommerce: <a href='https://www.smarter-ecommerce.com/'>https://www.smarter-ecommerce.com</a> </li> <li> LinkedIn: <a href='https://linkedin.com/company/smarter-ecommerce-gmbh'>https://linkedin.com/company/smarter-ecommerce-gmbh</a> </li> <li> Newsletter: <a href='https://smarter-ecommerce.com/en/newsletter/'>https://smarter-ecommerce.com/en/newsletter/</a> </li> <li> Instagram: https://www.instagram.com/smarterecommerce/</li> </ul>

<description>&lt;p&gt;Is Google&amp;apos;s new AI Max for Search the future, or is it a hidden trap?&lt;/p&gt;&lt;p&gt;In this episode of Growing E-commerce, Mike Ryan and Chris dive into brand-new, independent test data on AI Max for Search and discuss the strategic role of Demand Gen and the future of Dynamic Search Ads (DSA).&lt;/p&gt;&lt;p&gt;The analysis of over 250 e-commerce campaigns reveals significant concerns:&lt;/p&gt;&lt;ul&gt;&lt;li&gt;AI Max delivers an average 35% lower Return on Ad Spend (ROAS) and a higher Cost Per Conversion (CPA) compared to traditional broad match campaigns in retail.&lt;/li&gt;&lt;li&gt;The conversions AI Max drives are often at a lower Average Order Value (AOV), raising questions about incrementality versus cannibalization.&lt;/li&gt;&lt;/ul&gt;&lt;p&gt;Mike predicts that Dynamic Search Ads (DSA) is on its way to being fully sunset/upgraded to AI Max by early 2026. The shift signals Google’s move to consolidate broad automation into AI Max and the visual discovery into Demand Gen. The hosts also warn that many advertisers are creating unnecessary data fragmentation and overlap by running AI Max, DSA, and PMAX concurrently.&lt;/p&gt;&lt;p&gt;The key discussion focuses on the Demand Gen Strategy: Demand Gen is best used as a visual discovery engine to compete with Paid Social/Meta and is heavily driven by video ads across YouTube and Shorts. Learn how to use it strategically as a mid-funnel tool to feed Performance Max (PMAX).&lt;/p&gt;&lt;p&gt;What to do now: AI Max is here to stay. Mike and Chris offer advice on how to use AI Max&amp;apos;s built-in controls (like negative keywords) to make the feature work smarter for your business.&lt;/p&gt;&lt;p&gt;&lt;br/&gt;&lt;br/&gt;&lt;/p&gt;&lt;p&gt;About smec (Smarter Ecommerce):&lt;/p&gt; &lt;p&gt;At smec - Smarter Ecommerce, we specialize in transforming business goals into optimized ad campaigns. With over 16 years of experience in Google &amp;amp; Microsoft Ads, our intelligent software and expert services help retailers achieve superior results. &lt;/p&gt; &lt;p&gt;We&amp;apos;re committed to giving you the tools and insights needed to stay ahead in the ever-evolving world of digital advertising.&lt;/p&gt; &lt;p&gt;Make sure to follow smec - Smarter Ecommerce for more performance marketing insights:&lt;/p&gt; &lt;ul&gt; &lt;li&gt; &lt;b&gt;smec&lt;/b&gt; - Smarter Ecommerce: &lt;a href='https://www.smarter-ecommerce.com/'&gt;https://www.smarter-ecommerce.com&lt;/a&gt; &lt;/li&gt; &lt;li&gt; &lt;b&gt;LinkedIn&lt;/b&gt;: &lt;a href='https://linkedin.com/company/smarter-ecommerce-gmbh'&gt;https://linkedin.com/company/smarter-ecommerce-gmbh&lt;/a&gt; &lt;/li&gt; &lt;li&gt; &lt;b&gt;Newsletter&lt;/b&gt;: &lt;a href='https://smarter-ecommerce.com/en/newsletter/'&gt;https://smarter-ecommerce.com/en/newsletter/&lt;/a&gt; &lt;/li&gt; &lt;li&gt; &lt;b&gt;Instagram&lt;/b&gt;: https://www.instagram.com/smarterecommerce/&lt;/li&gt; &lt;/ul&gt;</description>

Is Google's new AI Max for Search the future, or is it a hidden trap? In this episode of Growing E-commerce, Mike Ryan and Chris dive into brand-new, independent test data on AI Max for Search and discuss the strategic role of Demand Gen and the future of Dynamic Search Ads (DSA). The analysis of over 250 e-commerce campaigns reveals significant concerns: AI Max delivers an average 35% lower Return on Ad Spend (ROAS) and a higher Cost Per Conversion (CPA) compared to traditional broad match c...

Google AI Max is A TRAP?! New Data on ROAS, Demand Gen & DSA Sunset

Q3 earnings are in, and the consolidation is real. Hosts Mike Ryan and Chris dive into the gravity-defying numbers, confirming that Google&apos;s core ad revenue is up a strong 12.6% year-over-year (YoY), and their massive Cloud backlog sits at $155 billion USD. Chris states that Google is not the &quot;bee-headed chicken&quot; but remains the dominant &quot;American eagle&quot;. The focus then shifts to Amazon, which has truly become a services business (Cloud and Ads), with its retail component no longer the core driver of its wealth.But the big story isn&apos;t the growth—it&apos;s the crisis. Mike and Chris reveal a dangerous surge in ad costs: CPCs in PMAX and Shopping are up an alarming 30% year-to-date (since week one of the year), with Shopping CPCs specifically soaring by 36% YoY. Chris warns that this kind of inflation is a &quot;real threat&quot; to Google&apos;s business model because it is &quot;forcing especially small and middle businesses out&quot; of the auction. They discuss whether a competitor like OpenAI could challenge Google by offering &quot;massively discounted CPCs&quot; to eat into market share. Finally, Mike introduces the free smec Market Observer tool that helps online retailers benchmark their CPCs and check competition levels from giants like Amazon and Temu. About smec (Smarter Ecommerce): At smec - Smarter Ecommerce, we specialize in transforming business goals into optimized ad campaigns. With over 16 years of experience in Google &amp; Microsoft Ads, our intelligent software and expert services help retailers achieve superior results. We&apos;re committed to giving you the tools and insights needed to stay ahead in the ever-evolving world of digital advertising. Make sure to follow smec - Smarter Ecommerce for more performance marketing insights: <ul> <li> smec - Smarter Ecommerce: <a href='https://www.smarter-ecommerce.com/'>https://www.smarter-ecommerce.com</a> </li> <li> LinkedIn: <a href='https://linkedin.com/company/smarter-ecommerce-gmbh'>https://linkedin.com/company/smarter-ecommerce-gmbh</a> </li> <li> Newsletter: <a href='https://smarter-ecommerce.com/en/newsletter/'>https://smarter-ecommerce.com/en/newsletter/</a> </li> <li> Instagram: https://www.instagram.com/smarterecommerce/</li> </ul>

<description>&lt;p&gt;Q3 earnings are in, and the consolidation is real. Hosts Mike Ryan and Chris dive into the gravity-defying numbers, confirming that Google&amp;apos;s core ad revenue is up a strong 12.6% year-over-year (YoY), and their massive Cloud backlog sits at $155 billion USD. &lt;/p&gt;&lt;p&gt;Chris states that Google is not the &amp;quot;bee-headed chicken&amp;quot; but remains the dominant &amp;quot;American eagle&amp;quot;. The focus then shifts to Amazon, which has truly become a services business (Cloud and Ads), with its retail component no longer the core driver of its wealth.&lt;/p&gt;&lt;p&gt;But the big story isn&amp;apos;t the growth—it&amp;apos;s the crisis. Mike and Chris reveal a dangerous surge in ad costs: CPCs in PMAX and Shopping are up an alarming 30% year-to-date (since week one of the year), with Shopping CPCs specifically soaring by 36% YoY. Chris warns that this kind of inflation is a &amp;quot;real threat&amp;quot; to Google&amp;apos;s business model because it is &amp;quot;forcing especially small and middle businesses out&amp;quot; of the auction. &lt;/p&gt;&lt;p&gt;They discuss whether a competitor like OpenAI could challenge Google by offering &amp;quot;massively discounted CPCs&amp;quot; to eat into market share. Finally, Mike introduces the free smec Market Observer tool that helps online retailers benchmark their CPCs and check competition levels from giants like Amazon and Temu.&lt;/p&gt;&lt;p&gt;&lt;br/&gt;&lt;br/&gt;&lt;/p&gt;&lt;p&gt;About smec (Smarter Ecommerce):&lt;/p&gt; &lt;p&gt;At smec - Smarter Ecommerce, we specialize in transforming business goals into optimized ad campaigns. With over 16 years of experience in Google &amp;amp; Microsoft Ads, our intelligent software and expert services help retailers achieve superior results. &lt;/p&gt; &lt;p&gt;We&amp;apos;re committed to giving you the tools and insights needed to stay ahead in the ever-evolving world of digital advertising.&lt;/p&gt; &lt;p&gt;Make sure to follow smec - Smarter Ecommerce for more performance marketing insights:&lt;/p&gt; &lt;ul&gt; &lt;li&gt; &lt;b&gt;smec&lt;/b&gt; - Smarter Ecommerce: &lt;a href='https://www.smarter-ecommerce.com/'&gt;https://www.smarter-ecommerce.com&lt;/a&gt; &lt;/li&gt; &lt;li&gt; &lt;b&gt;LinkedIn&lt;/b&gt;: &lt;a href='https://linkedin.com/company/smarter-ecommerce-gmbh'&gt;https://linkedin.com/company/smarter-ecommerce-gmbh&lt;/a&gt; &lt;/li&gt; &lt;li&gt; &lt;b&gt;Newsletter&lt;/b&gt;: &lt;a href='https://smarter-ecommerce.com/en/newsletter/'&gt;https://smarter-ecommerce.com/en/newsletter/&lt;/a&gt; &lt;/li&gt; &lt;li&gt; &lt;b&gt;Instagram&lt;/b&gt;: https://www.instagram.com/smarterecommerce/&lt;/li&gt; &lt;/ul&gt;</description>

Q3 earnings are in, and the consolidation is real. Hosts Mike Ryan and Chris dive into the gravity-defying numbers, confirming that Google's core ad revenue is up a strong 12.6% year-over-year (YoY), and their massive Cloud backlog sits at $155 billion USD.  Chris states that Google is not the "bee-headed chicken" but remains the dominant "American eagle". The focus then shifts to Amazon, which has truly become a services business (Cloud and Ads), with its retail component no longer the ...

Google's $155 Billion Backlog: The Real Cost of Advertising 

Feed your growth mindset. Ecommerce is growing, and so are the challenges and opportunities for online retailers. In the Growing Ecommerce podcast, Mike Ryan and other smec experts are joined by industry leaders in ecommerce, digital marketing, and data science. By sharing business trends, practical solutions, and best practices, this podcast helps online retailers solve the challenges of tomorrow.

Growing Ecommerce – The Retail Growth Podcast

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