In the Merchant Center, the price competitiveness report shows how other retailers are pricing the same products that you sell. Google registers the price of a Shopping Ad every time a searcher clicks on the ad. They calculate an anonymized click weighted average for the same product of different merchants.
In the Producthero platform you can:
See Benchmark information of each product
See Price benchmark history of each product in a graph
Put the price benchmark labels in a supplemental source
The Producthero Price Benchmark is free within PRO.
An example of how it works:
Click Weighted average price shopping ad:
Merchant | Date | Price | #Clicks | Total price |
A | 06/11/2023 | 119,99 | 10 | 1199,90 |
B | 06/11/2023 | 100 | 5 | 500 |
C | 06/11/2023 | 98,61 | 20 | 1972,2 |
Total |
|
| 35 | 3672,1 |
--> Benchmark price is 3672,1/35 = 104,92
Price Benchmark in the Producthero Platform
In the Producthero Platform, you can see price benchmark information on the Products tab:
A product can get one of the following price benchmark labels:
Above benchmark: Your price is higher than the benchmark price
At Benchmark: Your price is the same as the benchmark price (1% margin)
Below Benchmark: your price is lower than the benchmark price
No Benchmark: Not enough data available to calculate the benchmark price for this product
It is normal that a part of your assortment has no benchmark price, this can be due to:
A part of your assortment are unique products, so there is nothing to compare to
Not enough impressions/clicks for products to meet the threshold for benchmarking
No or not enough enough competitor prices
Not able to match your product to competitors (GTIN)
Google matches a product mainly on GTIN and/or on brand or MPN.
Do not be disappointed with a small part of your products that is covered by the benchmarks. Because the part you do have is often the most fruitful part of your assortment. With Shopping in most cases only about 10% of the products do at least 80% of your conversions. Often the available data is about your most valuable products and products with the highest potential.
By clicking on a product, more information appears under the tab Price Benchmark:
The price, the benchmark price and GTIN are shown. Moreover, insight about the price benchmark history is shown in a graph. You can see how your price is compared to the benchmark price, over time.
It is possible to have the Price Benchmark information in your Google Ads account by using a Custom Label. To do this, you have to take two steps:
Create a Produchtero supplemental source
Go to Advertising and click on the button “Feed Settings”, to enable a Custom Label for the Price Benchmark labels. The labels are: Above, At, Below and No Benchmark.
Note: You can only select a Custom Label that is not in use.