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How To LOSE Money Dropshipping With Google ADs

Published on: December 6 2022 by Shri Kanase

How To LOSE Money Dropshipping With Google ADs

How To LOSE Money Dropshipping With Google ADs

yo what is going on everybody Cherie
Canasta here so how to lose money drop
shipping with Google Ads now hold on
before you decide to exit this video
thinking it's some clickbait hear me out
and stik with me till the end now since
the past few years since I've been using
Google Ads I've gone through a lot of
different mistakes and I've actually
lost a lot of money believe it or not
with Google ads and these specific
mistakes are some mistakes that I
constantly see a lot of new beginners
intermediates and even experts continue
to make and I personally believe that
it's just as important to learn from
your success as it is to learn from your
failures and in this video I want to
cover kind of some specific things as to
what led me to lose money with
dropshipping via Google Ads and what you
can personally do so that you don't also
end up losing money dropshipping with
Google ads because Google Believe It or
Not is a little bit of a more
complicated process than Facebook ads I
mean it's not as easy as just launching
a video ad or a photo ad to a specific
audience and then knowing whether the
product is a winning product or not with
Google it does take a little bit more
time and more effort but by the end of
this video you're gonna know exactly how
you can lose money so you end up not
doing these things but let's just get
right into it so the very first thing
you'll have to understand before
understanding how to lose money with
Google Ads is that you need to destroy
that like button to prevent losing any
money just kidding but I will definitely
appreciate that but before actually
toking with the specific things which
lead to the loss of money with Google
Ads
I want to tok about exactly how Google
Ads even works because this specific
thing is directly related to how you can
end up losing money with Google because
again as I mentioned Google Ads is much
different from Facebook a lot of people
compare the two and they try to apply
strategies that work with Facebook to
Google which ends up in disaster what
Google ad you want to understand that it
is an algorithm based platform now what
does that even mean exactly well Google
has special computers and special code
installed all over the web which makes
it easy to kind of understand the data
that's coming in and that makes it also
easy to understand the things that
people are typing so what Google ads
does when you install the tracking code
on your website is that it crawls
through your pages meaning it reads word
for word and image for image on your
page and it tries to identify those main
key keywords on your website which it
then can go and match them
to the customer searches that people are
doing once it's able to identify the two
then Google will start trying to put
your products within these options so
that you can hopefully win these auction
and then get placed right in front of
the person who is kind of searching for
a specific keyword related to your
website and this then leads on to
purchases and stuff like that but that's
exactly basically how Google works in a
nutshell and you want to also understand
one important thing that it's a
time-based platform meaning it's kind of
depending on the searches done within
the market it takes time for the Google
Ads
algorithm to even start firing for your
products and there's a lot of specific
factors that go into play when it comes
to actually making Google ads work one
main other thing regarding Google is
that it's a product based platform now
what does that mean exactly well it's
kind of opposite of Facebook ads where
you can basically just launch product
after product with single testing
campaigns launch video ads and hopefully
that product starts selling so that you
can scale it to six figures and beyond
what the Google it's a little bit
different because as I already mentioned
Google is a basically algorithm based
platform just like Facebook well with
Google's algorithm it needs people
searching for stuff in order to aim and
showcase the product so in this case if
one product that you have on your store
does not have any searches or it has ten
searches a month it's going to be really
hard to Excel that product let alone
even scale it so you want to be trying
something called the rapid-fire method
with Google which means you want to be
uploading as many products as you can
with Google and I'll tok more about
this very soon but remember this the
more products you have on your store the
more room there is for Google to choose
from different products and should try
to get them to be winning products for
you but these specific tips are really
important to understand regarding Google
so that we can understand then how you
can lose money with drop shipping via
Google Ads and what you can do to
prevent that from happening but let's
get into the specific things which can
actually make you lose money with Google
as thing number one is that you make
changes often or within the four day
period four budgets under $100 City now
I used to recommend you make changes
every three to seven days but nowadays
I'm recommending that you actually wait
until four to seven days before making
any changes at all and again this goes
back to point number one which is that
it's a time-based platform it needs time
to function properly especially if you
have a low budget and anything with
Google less than $100
today is considered low so if you are
kind of that person who makes changes on
a day-to-day basis you're really scared
about losing money so you end up making
these ten changes every single day then
you will definitely end up losing money
with Google ads now a very easy fix for
this is of course stop making changes I
know sometimes it's really hard to
control yourself from making those
changes but just wait four to seven days
love the campaign's optimized and then
once the optimization is done then you
can make those changes based on what
data you're getting because again you
want to understand that every single day
there's gonna be new people searching
for your products yesterday 10 people
may have searched but today only maybe
five search and tomorrow maybe 10,000
will search nobody knows so that's why
it's so important to kind of give Google
a little bit more time for it to start
functioning properly but in addition to
that mistake number two which can lead
to actually you losing money with Google
Ads is that you have not enough products
on your store again
this goes back to the rapid-fire method
which I mentioned Google Ads works on
products the more products you have the
more room Google has to kind of choose
between different products because again
every single product is going to
function get results differently on
every single day on day number one
products two three and five may get you
only a one sale on that day and then the
next day they may get you zero sales
while product number one and ten get you
ten sales on day number two so as you
can see it's kind of alternating between
different products and it doesn't really
do that on purpose it's all determined
based on the actions that are happening
on that given day the people that are
searching for your product on that given
day etc so an easy way to kind of battle
this is just a daily product it doesn't
matter whether we had one product or ten
products of course the more the better
depending on how much time you have on
your hands but definitely add more
products now let's move on to mistake
number three which leads to actually you
losing money with Google as and that is
having low profit margins now in my
other videos I always say that you want
to have a minimum of twenty to twenty
five dollar profit margins but right now
in twenty twenty when I'm recording this
video in June you may want to consider
upping that to maybe thirty dollars or
even forty dollars because daily prices
are changing because of the situation
going on in the United States and just
in the world in general and because of
that these Alex first supplier prizes
are really not that reliable so you want
to be aiming for those higher profit
margins because a good way to lose money
with Google ads and
20:28 onwards is to try to add product
just for the sake of adding products and
then end up not having enough profit
margins to even scale that product or
run them in your general testing
campaigns so if you want to lose money
go ahead and add low profit margins to
your products because again that's a
surefire way to get lost within your
business in 2020 and onwards but let's
move on to item number four which you
can do to lose money with Google Ads and
that is having too many campaigns
overlapping now I personally used to do
this where I would just test stuff
around and I would just make different
campaigns for different products while
these products would still be inside my
main testing campaigns and what I didn't
realize what's happening at the time is
that the campaigns were kind of
overlapping with each other because I
was not using something called a
priority so what ended up happening is
that I was just competing with myself
these products were kind of getting
inserted into these options and they
were kind of bidding against each other
so I was just driving my own car stop
this is one surefire way to kind of lose
money with Google ads in 2020 and
onwards as well so in order to kind of
battle this you want to make sure that
whenever it campaign you run that you
either to end up changing the priority
of that campaign to make sure that each
campaign that the product is in is
getting designated to properly or that
you don't have too many different
campaigns running with one individual
product because again you're just going
to end up driving your own cost up and
it may not seem like a lot in the
beginning but over time it could add up
especially if you're trying to scale a
product and you may end up losing a lot
of money with Google ID so again one
specific way to kind of battle this is
just to have maybe one or two specific
campaigns and you don't really need any
more than that because one campaign
should be a testing campaign and another
a scaling campaign if the product within
that testing campaign is a winner now if
you need more info on how to scale or
how to even launch campaigns I have a
whole google ass playlist on my channel
that you can check out for free just go
to my channel but let's move on to item
number five which you can do to kind of
lose money with Google and that is not
knowing your numbers now exactly what do
I mean by the numbers well in this case
when it comes to Google ads the most
important numbers which you really want
to know in 2020 and onwards in order to
prevent losing money is the profit
margins and the break-even row-wise now
of course there's other numbers as well
which are important such as cost per
purchase your cost per link layette
cetera but the two main if I could
recommend you anything would be these
ones right here
now why exactly these two the first one
profit margin lets you know exactly how
much you can spend on your campaign
without going in a loss for that given
product so for example if you get a
product on Aliexpress for five dollars
and then you sell it on Aliexpress for
25 your profit margin is around 20
dollars and that's just a break-even
point meaning you want to of course be
spending much less than that so you can
be actually profitable but if you want
to just spend money and not have any
profits you can spend a maximum of $20
and that number kind of lets you know
exactly whether you're profitable or not
and it can really be helpful when you
try to scale the products but in
addition to that you want to know the
break-even Rho s now the return on
adspend can be calculated online
describing break-even return on adspend
calculator on google or you can type in
breakeven Rho s and Google and you
should be able to calculate for your
given product and this it's specifically
important because a lot of people see a
row S on their campaign for maybe three
four five and they get all happy
thinking that they're making five times
on the amount that they spend but they
don't realize that they're actually in a
loss because even though they sell the
product for $100 it costs them 90
dollars to buy the product so in the end
they're only left with the ten dollar
profit margin so situation like that a
five times return on adspend can
actually be a loss for you instead of a
profit so one which you're far away to
kind of not end up losing money with
Google ads in 2020 and onwards is not
knowing your numbers and just kind of
guessing these numbers and this brings
me to my next point which is not paying
attention to the competitive metric set
now the competitive metric section is a
very important section because it lets
you aren't a lot of important data so
this is a search impression share click
share search last is rank etc and a lot
of people don't realize that that
specific section helps you identify
exactly where your campaigns are going
wrong where your products are going
around so that you can actually improve
the products and prevent your campaigns
from dying out it's like kind of a
future forecast of where your campaigns
will end up so in 2020 it's a good way
to lose money if you don't even pay
attention to them but if you don't
really want to spend any money and you
don't wanna lose any money because
you're not paying attention to the
competitive metrics you want to be
looking at over an X number of days with
the competitive metrics maybe the last
fourteen to the last thirty and see how
the competitive metrics are doing for
your campaign meaning is the search
impression chart going up or is it going
down is the search loss as rain going up
down etc and that's gonna let you in
again an important information as to how
your products and how your campaign as a
whole is doing for instant if your
search last is rank is going up and you
know that you changed the bid five days
ago and you lowered the bit
significantly maybe that's one reason
why the search class size rank is going
up and that's not a good thing so maybe
you want to increase the bid again so
that you can meet that to go down and
then start getting more sales so it's
kind of like a troubleshooting section
where you can just look at it and make
changes based on what you're seeing but
again another way to kind of lose money
is by not paying attention to them so
make sure to pay attention to that
metric and let's move on to our final
specific section which kind of can lead
you to lose money if you don't do this
and you can truly lose money with Google
as if you do improper SEO tikniques now
I have made a big video on just SEO
optimization how to do proper SEO
optimization again you can find that out
on my channel but just know this that
the right tikniques can lead to an
increased amount of sales within your
campaigns and your store and the wrong
tikniques can lead to an impacted
optimization and can then lead to the
loss of money and a loss of a good drop
shipping business so in order to kind of
not lose any money make sure that you
know how to do search engine
optimization because that is one way to
find success with Google ads and that
too consistent success because improper
SEO tikniques again can lead to your
downfall but this was kind of a list of
specific things as to how a lot of
people lose money with dropshipping
especially with Google ads and how you
can actually prevent losing money with
the Google has if you found any type of
value in this video smash the like
button and smash that subscribe button
and I'll see you guys next time