{"id":11195,"date":"2025-04-02T10:58:36","date_gmt":"2025-04-02T10:58:36","guid":{"rendered":"https:\/\/smarter-ecommerce.com\/blog\/en\/?p=11195"},"modified":"2025-04-04T07:36:03","modified_gmt":"2025-04-04T07:36:03","slug":"state-of-performance-max-campaigns-2025","status":"publish","type":"post","link":"https:\/\/smarter-ecommerce.com\/blog\/en\/google-ads\/state-of-performance-max-campaigns-2025\/","title":{"rendered":"State of Performance Max 2025: Insights from 4,000+ campaigns"},"content":{"rendered":"\n<p><strong>Believe it or not<\/strong>, it has been three years since Google started the <strong>wide-scale rollout of Performance Max campaigns<\/strong>. Time flies when you&#8217;re having fun maxing performance.<\/p>\n\n\n\n<p>When PMax first premiered, it was <strong>described as a black box<\/strong> \u2013 par for the course with new Google tech \u2013 but also, <strong>more concerningly<\/strong>, as \u201chalf-baked,\u201d \u201cunfinished,\u201d \u201cnot ready,\u201d and \u201can experiment funded by advertisers.\u201d <\/p>\n\n\n\n<p>Stinging criticism, and actually <strong>quite fair.&nbsp;<\/strong><\/p>\n\n\n\n<div class=\"cta-row-box-bluesolid\" style=\"padding: 30px 30px 36px 30px;\">\n<h3 class=\"cta-row-title\" style=\"margin-bottom: 10px;\">TL;DR:<\/h3>\n<p style=\"color: #ffffff; margin-bottom: 30px;\">Short on time? <b>Grab the PDF<\/b> with the key data and takeaways.<\/p>\n<a class=\"btn btn-gold-cta\" href=\"#7-get-the-pdf\" rel=\"noopener\">Download the PDF <i class=\"fa fa-angle-down\"><\/i><\/a><\/div>\n\n\n\n<div class=\"wp-block-yoast-seo-table-of-contents yoast-table-of-contents\"><div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\"><p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<\/div><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/smarter-ecommerce.com\/blog\/en\/google-ads\/state-of-performance-max-campaigns-2025\/#table-of-contents\" >Table of contents<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/smarter-ecommerce.com\/blog\/en\/google-ads\/state-of-performance-max-campaigns-2025\/#performance-max-campaigns-where-did-we-come-from\" >Performance Max campaigns:  Where did we come from?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/smarter-ecommerce.com\/blog\/en\/google-ads\/state-of-performance-max-campaigns-2025\/#1-performance-max-campaign-adoption\" >1. Performance Max campaign adoption<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/smarter-ecommerce.com\/blog\/en\/google-ads\/state-of-performance-max-campaigns-2025\/#2-the-case-for-performance-max\" >2. The case for Performance Max<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/smarter-ecommerce.com\/blog\/en\/google-ads\/state-of-performance-max-campaigns-2025\/#3-pmax-v-standard-shopping-v-demand-gen-v-search\" >3. PMax v. Standard Shopping v. Demand Gen v. Search<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/smarter-ecommerce.com\/blog\/en\/google-ads\/state-of-performance-max-campaigns-2025\/#4-how-to-make-performance-max-work\" >4. How to make Performance Max work<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/smarter-ecommerce.com\/blog\/en\/google-ads\/state-of-performance-max-campaigns-2025\/#5-performance-max-bidding-strategies\" >5. Performance Max bidding strategies<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/smarter-ecommerce.com\/blog\/en\/google-ads\/state-of-performance-max-campaigns-2025\/#6-final-thoughts\" >6. Final thoughts<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/smarter-ecommerce.com\/blog\/en\/google-ads\/state-of-performance-max-campaigns-2025\/#7-get-the-pdf\" >7. Get the PDF!<\/a><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"table-of-contents\"><\/span>Table of contents<span class=\"ez-toc-section-end\"><\/span><\/h2><ul><li><a href=\"#h-performance-max-campaigns-where-did-we-come-from\" data-level=\"2\">Performance Max campaigns: Where did we come from?<\/a><\/li><li><a href=\"#h-1-performance-max-campaign-adoption\" data-level=\"2\">1. Performance Max campaign adoption<\/a><\/li><li><a href=\"#h-2-the-case-for-performance-max\" data-level=\"2\">2. The case for Performance Max<\/a><\/li><li><a href=\"#h-3-pmax-v-standard-shopping-v-demand-gen-v-search\" data-level=\"2\">3. PMax v. Standard Shopping v. Demand Gen v. Search<\/a><\/li><li><a href=\"#h-4-how-to-make-performance-max-work\" data-level=\"2\">4. How to make Performance Max work<\/a><\/li><li><a href=\"#h-5-performance-max-bidding-strategies\" data-level=\"2\">5. Performance Max bidding strategies<\/a><\/li><li><a href=\"#h-6-final-thoughts\" data-level=\"2\">6. Final thoughts<\/a><\/li><li><a href=\"#h-7-get-the-pdf\" data-level=\"2\">7. Get the PDF!<\/a><\/li><\/ul><\/div>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-performance-max-campaigns-where-did-we-come-from\"><span class=\"ez-toc-section\" id=\"performance-max-campaigns-where-did-we-come-from\"><\/span>Performance Max campaigns: <br>Where did we come from? <span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>For example, <strong>at its 2022 launch, PMax lacked<\/strong> reporting for item IDs, auction Insights, asset groups and assets, impression share, search terms, and <strong>A LOT more.<\/strong><\/p>\n\n\n\n<p>It was hard to know which of these absences were planned (read: black box), and which were a consequence of <strong>rushing the technology out the door.<\/strong><\/p>\n\n\n\n<p><strong>However, <\/strong>three years on, PMax has become <strong>a mature campaign type<\/strong>. <\/p>\n\n\n\n<p>Google has added a wide array of reporting and control options, including some that feel like <strong>genuine concessions toward advertisers<\/strong>. In short \u2013 if you ask me \u2013 <strong>PMax is healing<\/strong>.<\/p>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large is-resized\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"575\" src=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/Screenshot-2025-03-31-at-12.20.42-1024x575.png\" alt=\"\" class=\"wp-image-11275\" style=\"width:745px;height:auto\" srcset=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/Screenshot-2025-03-31-at-12.20.42-1024x575.png 1024w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/Screenshot-2025-03-31-at-12.20.42-300x169.png 300w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/Screenshot-2025-03-31-at-12.20.42-640x360.png 640w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/Screenshot-2025-03-31-at-12.20.42.png 1242w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption class=\"wp-element-caption\">Source: Google<\/figcaption><\/figure>\n<\/div>\n\n\n<h3 class=\"wp-block-heading\" id=\"h-where-did-we-go\">Where did we go?<\/h3>\n\n\n\n<p>Having said that, it remains <strong>fair to have concerns about PMax<\/strong>, and it remains our duty to voice those concerns to Google. This report aims to be neither a hitpiece <strong>nor a whitewash<\/strong>.<\/p>\n\n\n\n<p>In order to <strong>understand the evolution of PMax\u2019s role<\/strong> within the Google Ads ecosystem, and the ways ecommerce advertisers continue to adapt to this highly-automated approach, I\u2019ve <strong>analyzed thousands of PMax retail campaigns<\/strong> across over 500 advertiser accounts. <\/p>\n\n\n\n<p>I\u2019ve <strong>charted my findings below<\/strong>, and also <strong>spoken with several top<\/strong> advertising and ecommerce experts.<\/p>\n\n\n\n<p><strong>I\u2019ll focus first on PMax adoption<\/strong>,<strong> features<\/strong>, and<strong> interactions <\/strong>with other campaign types; and secondly on the way PMax is <strong>used by advertisers<\/strong>, and which <strong>tactical lessons<\/strong> we can derive.<\/p>\n\n\n\n<p>Without further ado, <strong>let&#8217;s grow!<\/strong><\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-1-performance-max-campaign-adoption\"><span class=\"ez-toc-section\" id=\"1-performance-max-campaign-adoption\"><\/span>1. Performance Max campaign adoption<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>For years, Google has introduced <strong>ever more automation<\/strong> within their ad suite, and they\u2019ve cleverly learned how to make sure each generation of technology stands on the shoulders of the past generation. This helps to <strong>avoid losing ground<\/strong> (budget share) that they would have to then regain.<\/p>\n\n\n\n<p>There was probably <strong>never a better example than Performance Max campaigns<\/strong> leapfrogging Smart Shopping campaigns.<\/p>\n\n\n\n<p><strong>Introduced in 2018<\/strong>, Smart Shopping was one of Google&#8217;s<strong> first cross-network technologies<\/strong> \u2013 advertising not only within Shopping but also <strong>pursuing dynamic remarketing and dynamic prospecting <\/strong>conversions across Google Display, YouTube, and Gmail.<\/p>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-full is-resized\"><img loading=\"lazy\" decoding=\"async\" width=\"1920\" height=\"1264\" src=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/smec_cost-share-per-campaign-type_state-of-pmax.jpg\" alt=\"PMax campaign type adoption chart in the period 2021 till 2025\" class=\"wp-image-11322\" style=\"width:840px;height:auto\" srcset=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/smec_cost-share-per-campaign-type_state-of-pmax.jpg 1920w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/smec_cost-share-per-campaign-type_state-of-pmax-300x198.jpg 300w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/smec_cost-share-per-campaign-type_state-of-pmax-1024x674.jpg 1024w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/smec_cost-share-per-campaign-type_state-of-pmax-1536x1011.jpg 1536w\" sizes=\"auto, (max-width: 1920px) 100vw, 1920px\" \/><figcaption class=\"wp-element-caption\">2022&#8217;s introduction of PMax ripped a MASSIVE chunk of ad spend away from shopping.<\/figcaption><\/figure>\n<\/div>\n\n\n<p>Then, in 2022, Google migrated (<strong>\u201cupgraded\u201d in Googlish<\/strong>) the Smart Shopping <em><strong>campaignsubtype<\/strong><\/em> into the new Performance Max<em> <strong>campaign type<\/strong><\/em>. This <strong>ripped a MASSIVE chunk<\/strong> of ecommerce ad spend away from Shopping in an i<strong>ncredibly fast way<\/strong>.<\/p>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-key-findings\">Key findings:<\/h4>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Almost overnight, PMax had a large \u2013 <strong>arguably unearned<\/strong> \u2013 market share.<\/li>\n\n\n\n<li>It took <strong>a year longer <\/strong>than communicated for Google to <strong>fully sunset Smart Shopping<\/strong>.<\/li>\n\n\n\n<li>PMax cost share peaked in May 2024 at <strong>just shy of 82%<\/strong>.<\/li>\n\n\n\n<li>It has since <strong>lost an average of .65% cost share<\/strong> per month, nearly <strong>6% in total<\/strong>.<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-are-pmax-s-best-days-over\">Are PMax\u2019s best days over?<\/h3>\n\n\n\n<p>I asked my longtime Google Shopping friend <a href=\"https:\/\/www.linkedin.com\/in\/ppckirk\/\"><strong>Kirk Williams<\/strong><\/a> for input, and he <strong>didn\u2019t mince words at all.<\/strong><\/p>\n\n\n\n<div class=\"wp-block-columns is-layout-flex wp-container-core-columns-is-layout-9d6595d7 wp-block-columns-is-layout-flex\">\n<div class=\"wp-block-column is-vertically-aligned-stretch is-layout-flow wp-block-column-is-layout-flow\" style=\"flex-basis:66.66%\">\n<pre class=\"wp-block-verse\"><em>\u201cHas PMax jumped the shark? <br>IMO, it has. <br><br>We've never seen PMax perform consistently worse than it has moving into 2025, with little to no strategy shifts on our end. <br><br>We have begun transitioning to Search and Standard Shopping more purposefully with obvious revenue and efficiency increase. We went from PMax being the major strategy for our Ecom clients, to a decreasingly important one. <br><br>This was not due to a philosophy shift but simply following the numbers.\u201d<\/em><\/pre>\n<\/div>\n\n\n\n<div class=\"wp-block-column is-vertically-aligned-center is-layout-flow wp-block-column-is-layout-flow\" style=\"flex-basis:33.33%\">\n<div class=\"wp-block-group\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\"><div class=\"wp-block-image is-style-rounded\">\n<figure class=\"aligncenter size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"451\" height=\"452\" src=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/Screenshot-2025-03-26-at-14.05.56.png\" alt=\"Photo of Kirk Williams\" class=\"wp-image-11204\" srcset=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/Screenshot-2025-03-26-at-14.05.56.png 451w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/Screenshot-2025-03-26-at-14.05.56-300x300.png 300w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/Screenshot-2025-03-26-at-14.05.56-150x150.png 150w\" sizes=\"auto, (max-width: 451px) 100vw, 451px\" \/><\/figure>\n<\/div>\n\n\n<div style=\"height:20px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<p class=\"has-text-align-center\"><strong><a href=\"https:\/\/www.linkedin.com\/in\/ppckirk\/\">Kirk Williams<\/a><\/strong><br><em>Owner ZATO<\/em><\/p>\n<\/div><\/div>\n<\/div>\n<\/div>\n\n\n\n<p>I think Kirk\u2019s dissatisfaction is <strong>felt by many<\/strong> \u2013 and nothing shows this better than the <strong>movement of costs<\/strong> shown above.<\/p>\n\n\n\n<p><strong>However:<\/strong> While it\u2019s <strong>rare for me to disagree with Kirk<\/strong>, I for one am <strong>cautiously optimistic<\/strong> about the future of PMax. Largely thanks to Google\u2019s <strong><a href=\"https:\/\/smarter-ecommerce.com\/en\/talks-and-webinars\/pmax-2025-what-s-next-for-your-ecomm-strategy\/\">recent and upcoming feature releases<\/a><\/strong>.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-2-the-case-for-performance-max\"><span class=\"ez-toc-section\" id=\"2-the-case-for-performance-max\"><\/span>2. The case for Performance Max<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>As stated, I want this report to take&#8230; not necessarily a balanced, but a <strong><em>fair<\/em> look at Performance Max <\/strong>campaigns. <\/p>\n\n\n\n<p>So, in all <em>fairness<\/em>, I have to say that Google has been working hard to<strong> meet advertisers in the middle<\/strong> on PMax features. Concessions that were <strong>unimaginable in 2022<\/strong> are becoming a reality now, from <strong>negative keywords<\/strong> to <strong>channel reporting.<\/strong><\/p>\n\n\n\n<p>To demonstrate that, I\u2019d like to <strong>compare the features<\/strong> between Standard Shopping, Smart Shopping, and Performance Max. Please note that I\u2019ve <strong>included future releases as well<\/strong>. <strong>Crosses (\u2715)<\/strong> indicate the feature is missing, while a <strong>tilde (~)<\/strong> indicates partial feature parity.<\/p>\n\n\n\n<div class=\"wp-block-columns is-layout-flex wp-container-core-columns-is-layout-9d6595d7 wp-block-columns-is-layout-flex\">\n<div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\">\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"609\" height=\"574\" src=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/Screenshot-2025-03-26-at-15.50.26.png\" alt=\"Feature comparison between Standard Shopping, Smart Shopping, and Performance Max in terms of Settings\" class=\"wp-image-11240\" srcset=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/Screenshot-2025-03-26-at-15.50.26.png 609w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/Screenshot-2025-03-26-at-15.50.26-300x283.png 300w\" sizes=\"auto, (max-width: 609px) 100vw, 609px\" \/><\/figure>\n<\/div>\n\n\n\n<div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\">\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"610\" height=\"426\" src=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/Screenshot-2025-03-26-at-15.50.44.png\" alt=\"Feature comparison between Standard Shopping, Smart Shopping, and Performance Max in terms of Reporting\" class=\"wp-image-11241\" srcset=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/Screenshot-2025-03-26-at-15.50.44.png 610w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/Screenshot-2025-03-26-at-15.50.44-300x210.png 300w\" sizes=\"auto, (max-width: 610px) 100vw, 610px\" \/><\/figure>\n<\/div>\n<\/div>\n\n\n\n<div style=\"height:25px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<p>I hope this table reminds you just <strong>how poor the features were for Smart Shopping<\/strong>, and <strong>how far we\u2019ve come<\/strong> with PMax. <\/p>\n\n\n\n<p>I\u2019m not saying it\u2019s a perfect technology. Given the chance, <strong>I would build it differently<\/strong>. However, <strong>Google is listening<\/strong> and seems determined to ship features that will drive adoption.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-google-gets-a-lot-of-credit-here-with-pmax\">&#8220;Google gets a lot of credit here with PMax!&#8221;<\/h3>\n\n\n\n<p>I asked <a href=\"https:\/\/www.linkedin.com\/in\/gregfinn\/\">Greg Finn<\/a>, Head of Performance &amp; Innovation at Cypress North and co-host of the <a href=\"https:\/\/marketingoclock.com\/\">Marketing O\u2019Clock podcast<\/a> where he stands.<\/p>\n\n\n\n<div class=\"wp-block-columns is-layout-flex wp-container-core-columns-is-layout-9d6595d7 wp-block-columns-is-layout-flex\">\n<div class=\"wp-block-column is-vertically-aligned-stretch is-layout-flow wp-block-column-is-layout-flow\" style=\"flex-basis:66.66%\">\n<pre class=\"wp-block-verse\"><em>\"Google gets a lot of credit here with PMax. <br><br>The product had many, many flaws on launch, but the team has addressed many of the major issues and turned Performance Max into a tool that most marketers can use. <br><br>Conversion quality should be a focus if using it for Lead Gen, and the Brand Exclusions and the addition of negative keywords can now help you cut off PMax's reliance on brand spend to find success.\"<\/em><\/pre>\n<\/div>\n\n\n\n<div class=\"wp-block-column is-vertically-aligned-center is-layout-flow wp-block-column-is-layout-flow\" style=\"flex-basis:33.33%\">\n<div class=\"wp-block-group\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\"><div class=\"wp-block-image is-style-rounded\">\n<figure class=\"aligncenter size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"450\" height=\"450\" src=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/1517752403151.jpeg\" alt=\"Photo of Greg Finn\" class=\"wp-image-11246\" srcset=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/1517752403151.jpeg 450w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/1517752403151-300x300.jpeg 300w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/1517752403151-150x150.jpeg 150w\" sizes=\"auto, (max-width: 450px) 100vw, 450px\" \/><\/figure>\n<\/div>\n\n\n<div style=\"height:20px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<p class=\"has-text-align-center\"><strong><a href=\"https:\/\/www.linkedin.com\/in\/gregfinn\/\">Greg Finn<\/a><\/strong><br><em>Head of Performance &amp; Innovation<\/em><br>Cypress North<\/p>\n<\/div><\/div>\n<\/div>\n<\/div>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-does-performance-max-actually-work\">Does Performance Max actually work?<\/h3>\n\n\n\n<p>Performance Max is one of Google\u2019s most controversial, <strong>yet most successful<\/strong>, technologies. <\/p>\n\n\n\n<p>In general we\u2019ve seen that Smart Bidding has improved massively over the years, and it is also <strong>one of the key drivers <\/strong>of Performance Max campaigns. The controversial part is that, for <strong>Smart Bidding to work at peak efficiency<\/strong>, it needs <strong>as much budget as possible<\/strong>, and as few constraints as possible.<\/p>\n\n\n\n<p>For Google, it is a <strong>happy coincidence<\/strong> that both their data science team and their finance team want the same thing: <strong>a blank check<\/strong> (crudely put).<\/p>\n\n\n\n<p>So, yes, PMax works \u2013 <strong>PMax works quite well <\/strong>\u2013 but you might not like <em><strong>how<\/strong><\/em> it works.<\/p>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"674\" src=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/median-roas_v_median-roas-target_state-of-pmax-1024x674.jpg\" alt=\"Performance Max campaigns: median ROAS vs median ROAS target\" class=\"wp-image-11250\" srcset=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/median-roas_v_median-roas-target_state-of-pmax-1024x674.jpg 1024w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/median-roas_v_median-roas-target_state-of-pmax-300x198.jpg 300w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/median-roas_v_median-roas-target_state-of-pmax-1536x1011.jpg 1536w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/median-roas_v_median-roas-target_state-of-pmax.jpg 1920w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption class=\"wp-element-caption\">Median ROAS vs. Median ROAS target in PMax campaigns: How it develops over time<br>Source: smec<\/figcaption><\/figure>\n<\/div>\n\n\n<p>Here I am <strong>charting ROAS over time<\/strong>, which by and large PMax delivers beautifully! Yet, personally,<strong> <a href=\"https:\/\/smarter-ecommerce.com\/blog\/en\/google-ads\/beyond-roas-vs-poas\/\">we are a bunch of ROAS haters<\/a><\/strong>. My problem with Performance Max campaigns is that they <strong>work <em>too well<\/em>.<\/strong> It\u2019s kind of a \u201cbe careful what you wish for\u201d scenario. <\/p>\n\n\n\n<p>When you <strong>max performance<\/strong>, you will find that the campaign is necessarily scaling into warm traffic: bestselling products, remarketing, and brand search. That\u2019s because these types of traffic <strong>all convert really well.<\/strong><\/p>\n\n\n\n<p>However, the actual job of any given marketing channel is to <strong>work hard for your business.<\/strong> The hard work of incremental marketing <strong>isn\u2019t always pretty<\/strong> and <strong>doesn\u2019t always scale <\/strong>well.<\/p>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-key-findings-0\">Key findings:<\/h4>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Advertisers have been increasingly demanding of PMax, and, broadly speaking, <strong>PMax has delivered<\/strong>.<\/li>\n\n\n\n<li>The median Performance Max campaign ROAS target <strong>has increased<\/strong> from about 4.7 <strong>to about 6.0<\/strong>.<\/li>\n\n\n\n<li>PMax typically<strong> achieves 95% to 116%<\/strong> of the target, although with <strong>plenty of exceptions<\/strong>.<\/li>\n\n\n\n<li>By the numbers, PMax works, but <strong>in-platform data always needs to be verified <\/strong>against back-end outcomes.<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-back-in-2022-i-wrote\"><strong>Back in 2022 I <a href=\"https:\/\/searchenginehubbub.com\/more\/year-in-search\/year-in-search-2022-interview-with-mike-ryan\/\">wrote<\/a>,<\/strong><\/h3>\n\n\n\n<div style=\"height:25px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"398\" src=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/02\/Screenshot-2025-02-04-at-17.02.25-1024x398.png\" alt=\"A Quote by Mike Ryan from Smarter Ecommerce about PMax campaigns\" class=\"wp-image-10819\" srcset=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/02\/Screenshot-2025-02-04-at-17.02.25-1024x398.png 1024w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/02\/Screenshot-2025-02-04-at-17.02.25-300x117.png 300w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/02\/Screenshot-2025-02-04-at-17.02.25-1536x597.png 1536w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/02\/Screenshot-2025-02-04-at-17.02.25-2048x795.png 2048w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption class=\"wp-element-caption\"><em>\u201cMore insights and options will come, but these will be on Google\u2019s terms.\u201d<\/em><\/figcaption><\/figure>\n\n\n\n<div style=\"height:25px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<p>Yet these features are increasingly on <em>advertisers\u2019<\/em> terms \u2013 <strong>and that\u2019s great news.<\/strong> <\/p>\n\n\n\n<p>I think there\u2019s a <strong>very real sense <\/strong>in which PMax\u2019s market share is artificial, and Google is now fighting to hold the line. <strong>This is beneficial to advertisers.<\/strong><\/p>\n\n\n\n<p>I just have one&#8230; little&#8230; well&#8230; <strong>conspiracy theory.<\/strong> I\u2019ll just post a question:<\/p>\n\n\n\n<p><em><strong>What if Google is increasing PMax&#8217;s feature parity with Standard Shopping in order to justify deprecating Standard Shopping?<\/strong><\/em><\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-3-pmax-v-standard-shopping-v-demand-gen-v-search\"><span class=\"ez-toc-section\" id=\"3-pmax-v-standard-shopping-v-demand-gen-v-search\"><\/span>3. PMax v. Standard Shopping v. Demand Gen v. Search<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-is-pmax-just-shopping-in-disguise\">Is PMax just Shopping in disguise?<\/h3>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"674\" src=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/median-feed-based-cost-share_smec_2025_pmax-state-of-1024x674.jpg\" alt=\"Performance Max campaigns vs Shopping cost share\" class=\"wp-image-11221\" srcset=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/median-feed-based-cost-share_smec_2025_pmax-state-of-1024x674.jpg 1024w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/median-feed-based-cost-share_smec_2025_pmax-state-of-300x198.jpg 300w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/median-feed-based-cost-share_smec_2025_pmax-state-of-1536x1011.jpg 1536w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/median-feed-based-cost-share_smec_2025_pmax-state-of.jpg 1920w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption class=\"wp-element-caption\"><br>Median cost share of feed-based Performance Max campaigns over time<br>Source: smec<\/figcaption><\/figure>\n<\/div>\n\n\n<h4 class=\"wp-block-heading\" id=\"h-key-findings-1\">Key findings:<\/h4>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Typically between <strong>74% and 97%<\/strong> of PMax costs come from <strong>feed-based ads<\/strong>.<\/li>\n\n\n\n<li>The<strong> median value of 90%<\/strong> has been stable, suggesting Google isn\u2019t tweaking this mix.<\/li>\n\n\n\n<li>Contrary to popular belief, even <strong>asset-based<\/strong> Performance Max campaigns are <strong>bottom-funnel.<\/strong><\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-the-interplay-of-performance-max-campaigns-amp-shopping\">The interplay of Performance Max campaigns &amp; Shopping<\/h3>\n\n\n\n<p><strong>A tricky thing about Pmax<\/strong> is that, since it covers many types of ad inventory, Performance Max campaigns theoretically <strong>compete with many other types<\/strong> of Google Ads campaigns. <\/p>\n\n\n\n<p>Google\u2019s default guidance has been that<strong> campaign conflicts are resolved by ad rank<\/strong>, where ad rank is designed to prevent self-competition by considering <strong>factors other than the CPC bid<\/strong>, such as relevance and landing page quality.<\/p>\n\n\n\n<p>However, in the case of keywordless product ads like Shopping, <strong>this mechanism doesn\u2019t work<\/strong>. That\u2019s because Shopping ads, <strong>whether served by Shopping or Performance Max campaigns<\/strong>, are built with identical assets (<strong>the Product Feed<\/strong>), serving identical landing pages. Ad relevance is handled by Google <strong>matching products with search terms<\/strong>.<\/p>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"496\" src=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/Screenshot-2025-03-26-at-14.41.20-1024x496.png\" alt=\"Performance Max campaigns vs Shopping conflicts\" class=\"wp-image-11224\" srcset=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/Screenshot-2025-03-26-at-14.41.20-1024x496.png 1024w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/Screenshot-2025-03-26-at-14.41.20-300x145.png 300w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/Screenshot-2025-03-26-at-14.41.20.png 1226w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n<\/div>\n\n\n<p><strong>In other words: <\/strong>PMax and Shopping <strong>do self-compete<\/strong> when advertising the same products. This can result in <strong>bid escalation<\/strong>. The main ways to mitigate this are to:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Target <strong>different products<\/strong>.<\/li>\n\n\n\n<li>Target <strong>different queries<\/strong> (e.g. via negative keywords).<\/li>\n\n\n\n<li>Set strongly <strong>differentiated bids or ROAS<\/strong> targets.<\/li>\n<\/ul>\n\n\n\n<p>When it comes to Shopping and PMax, you have to clearly choose which<strong> foot you want to put forward. <\/strong><\/p>\n\n\n\n<p>This is crucial considering that, <strong>as demonstrated above<\/strong>, PMax typically spends the large majority of its costs on Shopping ads \u2013 <strong>around 90%<\/strong>!<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-what-about-demand-gen\">What about Demand Gen?<\/h3>\n\n\n\n<p>Demand Gen and Performance Max campaigns also serve <strong>very similar keywordless inventory<\/strong> across YouTube, Google Display, and more.<\/p>\n\n\n\n<p><strong>It\u2019s a bit murkier here<\/strong>, since <strong>unlike feed-based<\/strong> product ads, this conflict revolves around the <strong>less standardized <\/strong>asset-based portion of PMax. It\u2019s also less threatening in some ways, because <strong>PMax typically spends a lot less money<\/strong> on asset-based ads than it does on feed-based ads.<\/p>\n\n\n\n<p>A conflict between PMax and Demand Gen is <strong>most threatening to your Demand Gen<\/strong> campaigns: there is the risk that PMax <strong>heavily cannibalizes Demand <\/strong>and the campaigns won\u2019t scale.<\/p>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large is-resized\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"479\" src=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/Screenshot-2025-03-26-at-14.53.40-1024x479.png\" alt=\"Performance Max campaigns vs Demand Gen conflicts\" class=\"wp-image-11225\" style=\"width:740px;height:auto\" srcset=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/Screenshot-2025-03-26-at-14.53.40-1024x479.png 1024w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/Screenshot-2025-03-26-at-14.53.40-300x140.png 300w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/Screenshot-2025-03-26-at-14.53.40.png 1173w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n<\/div>\n\n\n<div style=\"height:25px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<p>The main differentiator between PMax and Demand Gen is that<strong> PMax is bottom-funnel<\/strong>, while Demand Gen can be mid-funnel <strong><em>or<\/em> bottom-funnel<\/strong>. In other words, your PMax campaigns will <strong>always be conversion-oriented<\/strong>, while Demand Gen can optimize for clicks, consideration, soft goals, etc.<\/p>\n\n\n\n<p>When Demand Gen is <strong>optimized for conversions<\/strong>, you can end up self-competing, which as stated is <strong>more likely to stifle your Demand Gen<\/strong> campaign than cause runaway costs.<\/p>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"522\" src=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/Screenshot-2025-03-26-at-14.56.22-1024x522.png\" alt=\"Performance Max campaigns vs Demand Gen\" class=\"wp-image-11226\" srcset=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/Screenshot-2025-03-26-at-14.56.22-1024x522.png 1024w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/Screenshot-2025-03-26-at-14.56.22-300x153.png 300w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/Screenshot-2025-03-26-at-14.56.22.png 1104w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption class=\"wp-element-caption\">Demand Gen and Performance Max campaigns also serve <strong>very similar keywordless inventory<\/strong> across YouTube, Google Display, and more.<\/figcaption><\/figure>\n<\/div>\n\n\n<h4 class=\"wp-block-heading\" id=\"h-key-findings-2\">Key findings:<\/h4>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Ad rank is <strong>not always sufficient<\/strong> to prevent self-competition.<\/li>\n\n\n\n<li>Shopping and Performance Max campaigns <strong>will compete on bids<\/strong> when targeting the <strong>same products and the same queries<\/strong>.<\/li>\n\n\n\n<li>PMax can <strong>stifle Demand Gen<\/strong>, especially when Demand Gen includes a product feed and is optimized for conversions<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-performance-max-and-demand-gen-don-t-overlap-in-strategy-and-focus\">&#8220;Performance Max and Demand Gen don&#8217;t overlap in strategy and focus!&#8221;<\/h3>\n\n\n\n<p><a href=\"https:\/\/www.linkedin.com\/in\/thomaseccel\/\">Thomas Eccel<\/a>, Head of Google Ads at Jung von Matt IMPACT, leaves us with room for optimism that Demand Gen and PMax will become more differentiated over time:<\/p>\n\n\n\n<div class=\"wp-block-columns is-layout-flex wp-container-core-columns-is-layout-9d6595d7 wp-block-columns-is-layout-flex\">\n<div class=\"wp-block-column is-vertically-aligned-stretch is-layout-flow wp-block-column-is-layout-flow\" style=\"flex-basis:66.66%\">\n<pre class=\"wp-block-verse\"><em>\"While PMax is built to capture &amp; convert existing demand next to Search campaigns, Demand Gen is designed to create new demand through emotional creatives and audience intent. <br><br>I think that they share inventory and might overlap (especially DG campaigns that have been set up on warm audiences with tCPA or tROAS leaning towards the lower funnel), however, their purpose is different and they don't overlap in strategy or function. <br><br>With the latest Display Network addition for DG, I think Google is drawing a clearer line between mid-high funnel territory of DG and mid-lower funnel territory for PMax to slowly eliminate potential overlaps.\"<\/em><\/pre>\n<\/div>\n\n\n\n<div class=\"wp-block-column is-vertically-aligned-center is-layout-flow wp-block-column-is-layout-flow\" style=\"flex-basis:33.33%\">\n<div class=\"wp-block-group\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\"><div class=\"wp-block-image is-style-rounded\">\n<figure class=\"aligncenter size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"800\" height=\"800\" src=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/1629891017147.jpeg\" alt=\"Photo of Thomas Eccel\" class=\"wp-image-11227\" srcset=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/1629891017147.jpeg 800w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/1629891017147-300x300.jpeg 300w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/1629891017147-150x150.jpeg 150w\" sizes=\"auto, (max-width: 800px) 100vw, 800px\" \/><\/figure>\n<\/div>\n\n\n<div style=\"height:20px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<p class=\"has-text-align-center\"><strong><a href=\"https:\/\/www.linkedin.com\/in\/thomaseccel\/\">Thomas Eccel<\/a><\/strong><br><em>Head of Google Ads<\/em><br>Jung von Matt IMPACT<\/p>\n<\/div><\/div>\n<\/div>\n<\/div>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-what-about-pmax-s-impact-on-search\">What about PMax\u2019s impact on Search?<\/h3>\n\n\n\n<p><strong>Back in mid 2022 <\/strong>I <a href=\"https:\/\/smarter-ecommerce.com\/blog\/en\/google-shopping\/performance-max-campaigns-for-retail\/\">wrote<\/a>, \u201cPerformance Max is a strange, speckled beast. It is reminiscent of Smart Shopping, Responsive Display, and Dynamic Search<strong> all at once.<\/strong>\u201d<\/p>\n\n\n\n<p>Let\u2019s talk about that <strong>Dynamic Search part<\/strong>.<\/p>\n\n\n\n<p>Google DSA technology scrapes your web content to <strong>automatically generate headlines and matches search queries<\/strong> to relevant landing pages on your website, filling keyword gaps to drive additional traffic. <\/p>\n\n\n\n<p>It has proven <strong>increasingly popular<\/strong> with advertisers, and by 2022 DSA was driving <strong>&gt;20% of Search spend.<\/strong><\/p>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-but-then-everything-changed\"><strong>But then everything changed:<\/strong><\/h4>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"674\" src=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/dynamic-search-spend_smec_2025_pmax-state-of-1024x674.jpg\" alt=\"Performance Max campaigns: Dynamic search ad spend development\" class=\"wp-image-11233\" srcset=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/dynamic-search-spend_smec_2025_pmax-state-of-1024x674.jpg 1024w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/dynamic-search-spend_smec_2025_pmax-state-of-300x198.jpg 300w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/dynamic-search-spend_smec_2025_pmax-state-of-1536x1011.jpg 1536w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/dynamic-search-spend_smec_2025_pmax-state-of.jpg 1920w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n<\/div>\n\n\n<p>PMax rolled out at scale with a broadly comparable technology called <strong>Final URL Expansion<\/strong>. DSA share of spend has been volatile since, but is <strong>in a clear state of decline<\/strong>.<\/p>\n\n\n\n<p>This trend is likely to continue: in August 2023 Google<strong> introduced a &#8220;<a href=\"https:\/\/support.google.com\/google-ads\/answer\/13780156?sjid=2766906171048176241-NA\">voluntary upgrade<\/a>\u201d<\/strong> of DSA to PMax, and now they are offering<strong> <a href=\"https:\/\/support.google.com\/google-ads\/answer\/15637732?hl=en\">head-to-head testing<\/a><\/strong> to encourage the switch. <\/p>\n\n\n\n<p>Furthermore, Search Engine Land <strong>has reported a new technology called <a href=\"https:\/\/searchengineland.com\/google-search-max-beta-expands-453195\">Search Max<\/a><\/strong> which seems poised to make DSAs redundant. I expect an announcement later this year.<\/p>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-key-findings-3\">Key findings:<\/h4>\n\n\n\n<ul class=\"wp-block-list\">\n<li>DSA spend <strong>peaked at 21%<\/strong> in Q2 2022, coinciding with the <strong>scaled rollout of PMax<\/strong>.<\/li>\n\n\n\n<li>Its growth trajectory was broken and subsequently<strong> lost 5% cost share<\/strong>.<\/li>\n\n\n\n<li>DSA could see a cost share as high as 30%<strong> if PMax hadn\u2019t launched<\/strong>.<\/li>\n\n\n\n<li>The technology is likely to be <strong>deprecated in favor of<\/strong> PMax and Search Max<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-4-how-to-make-performance-max-work\"><span class=\"ez-toc-section\" id=\"4-how-to-make-performance-max-work\"><\/span>4. How to make Performance Max work<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-how-many-conversions-does-pmax-need-to-work\">How many conversions does PMax need to work?<\/h3>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"674\" src=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/performance-max-campaigns_conversion-volume_ROAS-achievement-1024x674.jpg\" alt=\"Charted PMax Conversion Volume vs. PMax ROAS Achievement\" class=\"wp-image-11252\" srcset=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/performance-max-campaigns_conversion-volume_ROAS-achievement-1024x674.jpg 1024w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/performance-max-campaigns_conversion-volume_ROAS-achievement-300x198.jpg 300w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/performance-max-campaigns_conversion-volume_ROAS-achievement-1536x1011.jpg 1536w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/performance-max-campaigns_conversion-volume_ROAS-achievement.jpg 1920w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n<\/div>\n\n\n<p>Above you&#8217;ll find <strong>a highly aggregated view<\/strong> of <strong>+4,000 of Performance Max campaigns<\/strong>. But let\u2019s look at how this problem plays out <strong>in a single account<\/strong> that has been <strong>excessively segmented.<\/strong><\/p>\n\n\n\n<p><strong>In the chart below<\/strong>, you&#8217;ll see Performance Max campaign data from an account that has been structured <strong>according to many margin buckets<\/strong>. <\/p>\n\n\n\n<p>The advertiser\u2019s idea is well-intentioned: to <strong>set a precise ROAS target<\/strong> for each narrow margin range. In a perfect world, this <strong>should help them<\/strong> have more control and advertise more profitably. Suffice to say, <strong>we are not living in a perfect world.<\/strong><\/p>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"674\" src=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/performance-max-campaigns_percentage-actual-roas-target-1024x674.jpg\" alt=\"Performance Max campaigns: % of actual ROAS vs targets\" class=\"wp-image-11253\" srcset=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/performance-max-campaigns_percentage-actual-roas-target-1024x674.jpg 1024w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/performance-max-campaigns_percentage-actual-roas-target-300x198.jpg 300w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/performance-max-campaigns_percentage-actual-roas-target-1536x1011.jpg 1536w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/performance-max-campaigns_percentage-actual-roas-target.jpg 1920w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption class=\"wp-element-caption\">Difference between Actual ROAS vs Target ROAS<br>Source: smec<\/figcaption><\/figure>\n<\/div>\n\n\n<p>Why doesn&#8217;t it work? Because this strategy <strong>doesn\u2019t consider<\/strong> that products and conversion volume will be <strong>distributed unevenly<\/strong>. <\/p>\n\n\n\n<p>As you can see above, some of our advertiser&#8217;s Performance Max campaigns have <strong>only 1 or 2 monthly conversions<\/strong>, while others have <strong>well over 50<\/strong> \u2013 visible along the horizontal axis.<\/p>\n\n\n\n<p><strong>On the vertical axis<\/strong>, you&#8217;ll see the difference between actual ROAS and target ROAS, which displays a pretty <strong>shocking breadth from nearly -100% to near<\/strong>ly 400%.&nbsp;<\/p>\n\n\n\n<p>It&#8217;s important to note that, as campaigns advance in number of monthly conversions, the target ROAS accuracy <strong>improves dramatically,<\/strong> while the share of underperforming campaigns <strong>dwindles<\/strong>. <\/p>\n\n\n\n<p>So ironically, our advertiser\u2019s <strong>desire to achieve extremely precise targets<\/strong> has created <strong>a lack of precision<\/strong> in their account.<\/p>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-key-findings-4\">Key findings:<\/h4>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Performance Max campaigns need <strong>at least 30<\/strong> monthly conversions, and <strong>ideally 60 or more<\/strong>, for optimal performance.<\/li>\n\n\n\n<li>This is reflected in <strong>lower volatility<\/strong> and <strong>stronger ROAS target adherence<\/strong>.<\/li>\n\n\n\n<li>There is <strong>no evidence<\/strong> that PMax benefits from<strong> cross-campaign learning effects<\/strong>.<\/li>\n\n\n\n<li>You should avoid excessive segmentation!<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\">How many PMax campaigns should you run?<\/h3>\n\n\n\n<p>When PMax launched, we had Google reps telling us and our clients to <strong>activate it and go on vacation.<\/strong> This was peak cringe and peak hubris at Google. It really makes me furious to think <strong>how reckless that advice was<\/strong>. <\/p>\n\n\n\n<p>Similarly, time and again we saw cases where clients were instructed by Google to <strong>run only a single <\/strong>Performance Max campaign.<\/p>\n\n\n\n<p>It\u2019s true that PMax (Smart Bidding, actually)<strong> benefits from data consolidation<\/strong> \u2013 more on that later. However, account structure is a <strong>key way of reflecting<\/strong> your strategy toward Google through <strong>different goals<\/strong> and budgets.<\/p>\n\n\n\n<p>That\u2019s why it\u2019s very interesting to see how the number of PMax campaigns per account <strong>has developed over time.<\/strong><\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"674\" src=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/smec_average-campaign-count_state-of-pmax-1024x674.jpg\" alt=\"Average count of Performance Max campaigns per account\" class=\"wp-image-11288\" srcset=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/smec_average-campaign-count_state-of-pmax-1024x674.jpg 1024w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/smec_average-campaign-count_state-of-pmax-300x198.jpg 300w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/smec_average-campaign-count_state-of-pmax-1536x1011.jpg 1536w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/smec_average-campaign-count_state-of-pmax.jpg 1920w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n\n\n\n<p>On average, advertisers are now <strong>running about twice as many PMax campaigns<\/strong> compared to when PMax fully ramped in September 2022. I view this development as <strong>broadly positive<\/strong>, because I take it as a proxy for more sophisticated approaches.<\/p>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-key-findings-5\">Key findings:<\/h4>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>On average,<\/strong> the number of campaigns per account <strong>has nearly doubled<\/strong>.<\/li>\n\n\n\n<li><strong>There is no \u201cright\u201d number of campaigns:<\/strong> it depends on your conversion volume, the size and variety of your product catalog, and your reasons for segmenting<\/li>\n\n\n\n<li>3 to 7 campaigns is <strong>a typical range<\/strong>, but just 1 PMax campaign per account remains unfortunately common.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-5-performance-max-bidding-strategies\"><span class=\"ez-toc-section\" id=\"5-performance-max-bidding-strategies\"><\/span>5. Performance Max bidding strategies<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-how-are-ecommerce-advertisers-bidding-in-pmax\">How are ecommerce advertisers bidding in PMax?<\/h3>\n\n\n\n<p>As a reminder, there are <strong>two campaign bid strategies available<\/strong> in Performance Max: <\/p>\n\n\n\n<ol class=\"wp-block-list\">\n<li><strong>Maximize Conversions<\/strong><\/li>\n\n\n\n<li><strong>Maximize Conversion Values <\/strong><\/li>\n<\/ol>\n\n\n\n<p>Each of these volume strategies can <strong>optionally have an efficiency goal <\/strong>attached: target CPA and target ROAS, respectively.<\/p>\n\n\n\n<p>The first \u201cversion\u201d of the State of PMax was a 2023 twitter thread full of stats I\u2019d been compiling for months. Back then, <strong>Maximize Conversion Value<\/strong> (aka \u201cMax Conv. Val\u201d) was highly dominant with a <strong>95% share of Performance Max campaigns. <\/strong><\/p>\n\n\n\n<p>This <strong>makes a lot of sense<\/strong> for ecommerce advertisers who don\u2019t want just orders, but rather bigger orders with larger margins and more valuable shoppers.<\/p>\n\n\n\n<p>However, that was<strong> just a snapshot<\/strong>. When we look at a timeline like the one below, an interesting trend becomes visible: the share of campaigns using Max Conversions <strong>is growing.<\/strong><\/p>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"674\" src=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/smec_max-conversion.share_state-of-pmax-1024x674.jpg\" alt=\"Charted Share of PMax campaigns using Max Conversions\" class=\"wp-image-11292\" srcset=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/smec_max-conversion.share_state-of-pmax-1024x674.jpg 1024w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/smec_max-conversion.share_state-of-pmax-300x198.jpg 300w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/smec_max-conversion.share_state-of-pmax-1536x1011.jpg 1536w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/smec_max-conversion.share_state-of-pmax.jpg 1920w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n<\/div>\n\n\n<p>I don\u2019t know exactly <strong>how to account<\/strong> for this, and I wouldn\u2019t want to see this trend progress forever. Let\u2019s look quickly at the <strong>difference in outcomes<\/strong> between strategies to understand why:<\/p>\n\n\n\n<figure class=\"wp-block-table is-style-stripes\"><table class=\"has-fixed-layout\"><tbody><tr><td class=\"has-text-align-left\" data-align=\"left\"><strong>Bid strategy type<\/strong><\/td><td class=\"has-text-align-right\" data-align=\"right\"><strong>Median CPC<\/strong><\/td><td class=\"has-text-align-right\" data-align=\"right\"><strong>Median conv. rate<\/strong><\/td><td class=\"has-text-align-right\" data-align=\"right\"><strong>Median AOV<\/strong><\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\">Max Conv. Value<\/td><td class=\"has-text-align-right\" data-align=\"right\">\u20ac0.37<\/td><td class=\"has-text-align-right\" data-align=\"right\">2.22%<\/td><td class=\"has-text-align-right\" data-align=\"right\">\u20ac106.55<\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\">Max Conversions<\/td><td class=\"has-text-align-right\" data-align=\"right\">\u20ac0.25<\/td><td class=\"has-text-align-right\" data-align=\"right\">1.98%<\/td><td class=\"has-text-align-right\" data-align=\"right\">\u20ac22.84<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-max-conv-val-costs-nearly-50-more-than-max-conversions\">Max Conv. Val <strong>costs nearly 50% more<\/strong> than Max Conversions. <\/h4>\n\n\n\n<p>We\u2019ll look at CPCs in a minute, but higher unit costs are <strong>completely fine<\/strong> considering how much <strong>bigger the Average Order Values<\/strong> are. <\/p>\n\n\n\n<p>Max Conv. Val <strong>does exactly its job<\/strong> in terms of seeking high-value clicks, not just high-conversion clicks. It also delivers pretty strongly on order volume. Max Conversions delivers<strong> \u201conly\u201d 20% more conversions<\/strong>, with dramatically <strong>smaller outcomes.<\/strong><\/p>\n\n\n\n<p>You might expect Max Conversions to have a higher conversion rate than Max Conv. Val, but it seems Max Conversions drives conversion volume largely<strong> by driving click volume<\/strong>.<\/p>\n\n\n\n<p>Personally, <strong>I do not recommend Max Conversions bidding<\/strong> unless you need simply <strong>more raw volume<\/strong> to bootstrap your account, or unless your product category has<strong> little variety<\/strong> in price point. <\/p>\n\n\n\n<p><strong>Note: <\/strong>this analysis considers only campaigns with <strong>\u226530 monthly conversions<\/strong>, because I wanted to reflect data where the algorithm had a \u201cfair chance.\u201d<\/p>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-key-findings-6\">Key findings:<\/h4>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Ecommerce advertisers <strong>strongly prefer<\/strong> to maximize revenue instead of order volume<\/li>\n\n\n\n<li>However, this preference is <strong>eroding slightly over time<\/strong>, due to unknown reasons<\/li>\n\n\n\n<li>In general, the Max Conversions bid strategy <strong>is suited for new campaigns<\/strong> where the algorithm is signal-thirsty<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-ultimately-i-am-firmly-on-team-max-conversion-value\">\u201cUltimately, I am firmly on team Max Conversion Value\u201d<\/h3>\n\n\n\n<p>I asked <a href=\"https:\/\/www.linkedin.com\/in\/navahhopkins\/\"><strong>Navah Hopkins<\/strong><\/a>, Brand Evangelist at Optmyzr, on the reasons why she\u2019d choose Max Conversion Value for both ecommerce and lead gen.<\/p>\n\n\n\n<div class=\"wp-block-columns is-layout-flex wp-container-core-columns-is-layout-9d6595d7 wp-block-columns-is-layout-flex\">\n<div class=\"wp-block-column is-vertically-aligned-stretch is-layout-flow wp-block-column-is-layout-flow\" style=\"flex-basis:66.66%\">\n<pre class=\"wp-block-verse\"><em>\"Based on the numbers, Max Conversion Value drove 19,537 euros compared to Max Conversions' 5,116 euro (medians). Additionally, the conversion rate was much better for Max Conversion Value, which I found surprising.<br><br>All said and done, it seems a no brainer to go with Max Conversion Value - especially because Google has outright confirmed conversion value and profit metrics are crucial to help it bid effectively.<br><br>Yet brands are facing uncertain times and volume that they can nurture with email marketing and subscriptions might meet board room KPIs better than raw revenue. There's also the valid concern around providing too much info to Google (even if it would help them in the long run).\"<\/em><br><\/pre>\n<\/div>\n\n\n\n<div class=\"wp-block-column is-vertically-aligned-center is-layout-flow wp-block-column-is-layout-flow\" style=\"flex-basis:33.33%\">\n<div class=\"wp-block-group\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\"><div class=\"wp-block-image is-style-rounded\">\n<figure class=\"aligncenter size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"600\" height=\"600\" src=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/04\/1554895548162.jpeg\" alt=\"Photo of Navah Hopkins\" class=\"wp-image-11366\" srcset=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/04\/1554895548162.jpeg 600w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/04\/1554895548162-300x300.jpeg 300w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/04\/1554895548162-150x150.jpeg 150w\" sizes=\"auto, (max-width: 600px) 100vw, 600px\" \/><\/figure>\n<\/div>\n\n\n<div style=\"height:20px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<p class=\"has-text-align-center\"><strong><a href=\"https:\/\/www.linkedin.com\/in\/bmmeijer\/\"><strong><\/strong><\/a><strong><a href=\"https:\/\/www.linkedin.com\/in\/navahhopkins\/\"><strong>Navah Hopkins<\/strong><\/a><\/strong><\/strong><br>Brand Evangelist<br>OPTMYZR<\/p>\n<\/div><\/div>\n<\/div>\n<\/div>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-follow-up-are-higher-cpcs-a-scam\">Follow-up:<br>Are higher CPCs a scam?<\/h3>\n\n\n\n<p>In the early days of Google Shopping, advertisers could achieve <strong>asymmetric advantages<\/strong> over big-spending competitors by <strong>setting smart, granular manual bids<\/strong> (among other tactics). CPC was not only a KPI, but also a <strong>core tool.<\/strong><\/p>\n\n\n\n<p>As of 2022, Smart Bidding had <a href=\"https:\/\/www.thinkwithgoogle.com\/intl\/en-emea\/marketing-strategies\/automation\/bidding-for-value-automation\/\">a market share<\/a> <strong>in excess of 80%<\/strong> \u2013 in 2025, it\u2019s likely <strong>upwards of 90%<\/strong>. <\/p>\n\n\n\n<p>We can <strong>no longer directly control <\/strong>our bids, only influence them. And for those who insist on manual bidding, I have one statement and <strong>one question<\/strong>: if everyone else in the auction is using Smart Bidding, then your boat is floating on the same tide.<strong> Are you sure you\u2019re really in control?<\/strong><\/p>\n\n\n\n<p>Manual bidding has <strong>some edge case <\/strong>applications, but cost per click has become<strong> merely an observation <\/strong>metric. As long as there\u2019s no runaway trend, it doesn\u2019t warrant as much scrutiny anymore. If you focus instead on your <strong><em>value<\/em> per click<\/strong>, and which actions you can take to increase that \u2013 <strong>this is the way to win.<\/strong><\/p>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-by-the-way-google-is-doing-an-admirable-job-at-that\">By the way, Google is doing an admirable job at that:<\/h4>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"674\" src=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/smec_cost-per-click_state-of-pmax-1024x674.jpg\" alt=\"Charted Relation of cost-per-click and value-per-click\" class=\"wp-image-11307\" srcset=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/smec_cost-per-click_state-of-pmax-1024x674.jpg 1024w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/smec_cost-per-click_state-of-pmax-300x198.jpg 300w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/smec_cost-per-click_state-of-pmax-1536x1011.jpg 1536w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/smec_cost-per-click_state-of-pmax.jpg 1920w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n\n\n\n<p>What this chart shows us is that, within the <strong>middle 50% of the data<\/strong> (the shaded area), there is a very high correlation, and <strong>nearly a linear relationship<\/strong>, between cost per click and<strong> value per click.<\/strong><\/p>\n\n\n\n<p><strong>What\u2019s more:<\/strong> within the outlier data, there are far more <strong>high-value \u201cjackpot\u201d outliers<\/strong> than low-value ones. Conspiracy theorists would have you believe that, yes, the click value was high, but you could have bought it cheaper. This actually happens! <strong>A lot! <\/strong>The conspiracy is there is no conspiracy.<\/p>\n\n\n\n<p>The only concern in my mind: if Google is so sure this click is high value, how much of that is predictive, and how much is <strong>based on history<\/strong>? In other words, they are likely confident in this shopper\u2019s value <strong>because they <em>know<\/em> it<\/strong> \u2013 because it\u2019s an existing customer.<\/p>\n\n\n\n<p><strong>The question is: whose customer?<\/strong> Is it your high-value existing customer, or a competitor\u2019s? And how loyal is that customer exactly? Are they <strong>really \u201cyours\u201d<\/strong>? <\/p>\n\n\n\n<p>There is much said about Performance Max campaigns, and Google Ads in general, <strong>depending on <\/strong>warm traffic and remarketing. I\u2019m increasingly less bothered by this. No, it\u2019s not fun, but it\u2019s the <strong>nature of the meatgrinder<\/strong> of competition and often highly price-sensitive customers that we need to get in front of them again and again.<\/p>\n\n\n\n<p>A large majority of shoppers \u2013 unfortunately! \u2013 <strong>are rented, not owned.<\/strong><\/p>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-key-findings-7\">Key findings:<\/h4>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Like it or not, <strong>CPCs are owned by Google:<\/strong> we should focus on value per click.<\/li>\n\n\n\n<li>Smart Bidding is <strong>quite effective at bidding correctly<\/strong> based on predicted value.<\/li>\n\n\n\n<li>The main question that arises is whether or not high value clicks <strong>are incremental<\/strong>.<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-incremental-revenue-growth-should-be-your-goal\">\u201cIncremental revenue growth should be your goal.\u201d<\/h3>\n\n\n\n<p>For <a href=\"https:\/\/www.linkedin.com\/in\/caterina-mariani\/\"><strong>Caterina Mariani<\/strong><\/a>, eCommerce Growth Specialist at PPC Freelance, obsessing over ROAS and conversion value means missing the bigger picture.<\/p>\n\n\n\n<div class=\"wp-block-columns is-layout-flex wp-container-core-columns-is-layout-9d6595d7 wp-block-columns-is-layout-flex\">\n<div class=\"wp-block-column is-vertically-aligned-stretch is-layout-flow wp-block-column-is-layout-flow\" style=\"flex-basis:66.66%\">\n<pre class=\"wp-block-verse\"><em>\"PMax is a unique campaign type that often shows the highest ROAS and conversion value, but there's an important catch. <br><br>While these metrics look impressive, PMax typically targets your warmest customers - people already familiar with your brand. Your main goal is increasing incremental revenue (AKA sales that would not have happened otherwise), so don't be misled by pMax's strong performance numbers.<br><br>To get the true picture, always cross-check pMax data against your overall business metrics: total revenue, profit, customer acquisition cost (CAC), and average order value (AOV), and if you can, consider third-party MMM<br>and attribution tools.<br><br>This will help you understand if PMax is actually growing your business or just claiming credit for sales that would have happened anyway.\u201d<\/em><br><\/pre>\n<\/div>\n\n\n\n<div class=\"wp-block-column is-vertically-aligned-center is-layout-flow wp-block-column-is-layout-flow\" style=\"flex-basis:33.33%\">\n<div class=\"wp-block-group\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\"><div class=\"wp-block-image is-style-rounded\">\n<figure class=\"aligncenter size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"500\" height=\"500\" src=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/04\/1696538485363.jpeg\" alt=\"Photo of Caterina Mariani\" class=\"wp-image-11383\" srcset=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/04\/1696538485363.jpeg 500w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/04\/1696538485363-300x300.jpeg 300w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/04\/1696538485363-150x150.jpeg 150w\" sizes=\"auto, (max-width: 500px) 100vw, 500px\" \/><\/figure>\n<\/div>\n\n\n<div style=\"height:20px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<p class=\"has-text-align-center\"><a href=\"https:\/\/www.linkedin.com\/in\/caterina-mariani\/\"><strong>Caterina Mariani<\/strong><\/a><br> eCommerce Growth Specialist<br>PPC FREELANCE<\/p>\n<\/div><\/div>\n<\/div>\n<\/div>\n\n\n\n<p><\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-is-turning-off-target-roas-a-recipe-for-disaster\">Is turning off Target ROAS a recipe for disaster?<\/h3>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"674\" src=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/smec_max-onversion-value_without-ROAS_state-of-pmax-1024x674.jpg\" alt=\"Charted Max Conversion Value campaigns with and without a ROAS target\" class=\"wp-image-11310\" srcset=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/smec_max-onversion-value_without-ROAS_state-of-pmax-1024x674.jpg 1024w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/smec_max-onversion-value_without-ROAS_state-of-pmax-300x198.jpg 300w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/smec_max-onversion-value_without-ROAS_state-of-pmax-1536x1011.jpg 1536w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/smec_max-onversion-value_without-ROAS_state-of-pmax.jpg 1920w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n\n\n\n<p>So what exactly happens if you turn off Target ROAS? Many advertisers are <strong>concerned that costs will skyrocket<\/strong> and efficiency will plummet catastrophically.<\/p>\n\n\n\n<p>Fortunately, <strong>that isn\u2019t the case.<\/strong><\/p>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-it-doesn-t-happen-because\">It doesn\u2019t happen because:<\/h4>\n\n\n\n<ol class=\"wp-block-list\">\n<li>After a ROAS target, your actual ROAS is <strong>constrained by budget<\/strong>.<\/li>\n\n\n\n<li>after your budget, your actual ROAS is <strong>constrained by demand<\/strong>.<\/li>\n\n\n\n<li>and after demand, your actual ROAS is <strong>constrained by a hidden failsafe<\/strong> target set by Google.<\/li>\n<\/ol>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-what-will-happen-are-two-notable-consequences\">What <em>will<\/em> happen are two notable consequences.<\/h3>\n\n\n\n<p><strong>First,<\/strong> you will likely see more volatility in your daily and <strong>even weekly ROAS<\/strong>. We see this in the <strong>chart below:<\/strong><\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"674\" src=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/smec_performance-max-campaigns_no-roas-target_state-of-pmax-1024x674.jpg\" alt=\"Performance comparison with and without ROAS target values - charted\" class=\"wp-image-11311\" srcset=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/smec_performance-max-campaigns_no-roas-target_state-of-pmax-1024x674.jpg 1024w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/smec_performance-max-campaigns_no-roas-target_state-of-pmax-300x198.jpg 300w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/smec_performance-max-campaigns_no-roas-target_state-of-pmax-1536x1011.jpg 1536w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/smec_performance-max-campaigns_no-roas-target_state-of-pmax.jpg 1920w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n\n\n\n<p>This is a median trend of <strong>+5.000 Performance Max campaigns with and without<\/strong> ROAS targets during November 2024. There is <strong>substantially more fluctuation<\/strong> in the unbounded campaigns. At the monthly level, campaigns without ROAS targets did perform worse in terms of efficiency, but <strong>not catastrophically worse<\/strong>, and in principle the volatility should have been in service of more revenue.<\/p>\n\n\n\n<p><strong>The second (to me, more alarming) consequence<\/strong> is that by forfeiting a ROAS target, you have forfeited one of your last, <strong>best levers<\/strong>. I said above that I\u2019m a bit of a ROAS hater. I don\u2019t like in-platform ROAS as an outcome, as a measure of success. To me it is a poor proxy of profitability, and too often advertisers <strong>substitute that proxy<\/strong> for the real thing.<\/p>\n\n\n\n<p>If you are <strong>interested to learn more<\/strong> about the &#8220;No Target ROAS conundrum&#8221; in Performance Max campaigns, we&#8217;ve covered this topic in more detail in one of our <strong><a href=\"https:\/\/www.youtube.com\/playlist?list=PLS_IpqjGXUhV4eSyh3T0Ia4POJw1bQi3x\">latest episodes of ROASted:<\/a><\/strong><\/p>\n\n\n<figure class=\"wp-block-embed-youtube wp-block-embed is-type-video is-provider-youtube wp-embed-aspect-16-9 wp-has-aspect-ratio\"><div class=\"lyte-wrapper\" style=\"width:853px;max-width:100%;margin:5px;\"><div class=\"lyMe hidef\" id=\"WYL_LObiPQKqKZM\"><div id=\"lyte_LObiPQKqKZM\" data-src=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/plugins\/wp-youtube-lyte\/lyteCache.php?origThumbUrl=%2F%2Fi.ytimg.com%2Fvi%2FLObiPQKqKZM%2Fmaxresdefault.jpg\" class=\"pL\"><div class=\"tC\"><div class=\"tT\"><\/div><\/div><div class=\"play\"><\/div><div class=\"ctrl\"><div class=\"Lctrl\"><\/div><div class=\"Rctrl\"><\/div><\/div><\/div><noscript><a href=\"https:\/\/youtu.be\/LObiPQKqKZM\" rel=\"nofollow\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/plugins\/wp-youtube-lyte\/lyteCache.php?origThumbUrl=https%3A%2F%2Fi.ytimg.com%2Fvi%2FLObiPQKqKZM%2F0.jpg\" alt=\"YouTube video thumbnail\" width=\"853\" height=\"460\" \/><br \/>Watch this video on YouTube<\/a><\/noscript><\/div><\/div><div class=\"lL\" style=\"max-width:100%;width:853px;margin:5px;\"><\/div><figcaption><\/figcaption><\/figure>\n\n\n<p>I see the modern value of ROAS more in terms of its <strong>ability to create difference<\/strong> between campaigns, to tell the algorithm the<strong> level of aggression<\/strong> or conservatism you expect when promoting certain products.<\/p>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-key-findings-8\">Key findings:<\/h4>\n\n\n\n<ul class=\"wp-block-list\">\n<li>9 in 10 ecommerce PMax campaigns use <strong>Max Conv. Val bidding<\/strong>, and 8 in 10 of those have <strong>a set ROAS target.<\/strong><\/li>\n\n\n\n<li>Campaigns without a ROAS target can <strong>still deliver a reasonable baseline<\/strong> of performance.<\/li>\n\n\n\n<li>But campaigns with a ROAS target <strong>behave more predictably<\/strong>, with lower volatility.<\/li>\n\n\n\n<li>And ROAS is one of our <strong>best options for communicating<\/strong> with Google\u2019s algorithm.<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-google-has-been-listening-to-its-users\">\u201cGoogle has been listening to its users.\u201d<\/h3>\n\n\n\n<p><a href=\"https:\/\/www.linkedin.com\/in\/bmmeijer\/\"><strong>Bob Meijer<\/strong><\/a>, Google Ads trainer and coach at PPC mastery shares my <strong>cautious enthusiasm<\/strong> for how PMax has changed over the past three years and <strong>continues to improve.<\/strong><\/p>\n\n\n\n<div class=\"wp-block-columns is-layout-flex wp-container-core-columns-is-layout-9d6595d7 wp-block-columns-is-layout-flex\">\n<div class=\"wp-block-column is-vertically-aligned-stretch is-layout-flow wp-block-column-is-layout-flow\" style=\"flex-basis:66.66%\">\n<pre class=\"wp-block-verse\"><em>\"I love that Google has been listening to its users and rolled out all sorts of impactful updates lately - negatives, brand exclusions, improved reporting, and more - which gives us more control and insights. The current beta features are looking very promising as well.<br><br>Even though Google has vastly improved Performance Max throughout the years, it's still not my go-to campaign type for most of my accounts. I mainly use it in combination with network-specific campaign types (that give me more control, insights, and better results overall), where I use Performance Max as a 'catch-all' layer.\"<\/em><br><\/pre>\n<\/div>\n\n\n\n<div class=\"wp-block-column is-vertically-aligned-center is-layout-flow wp-block-column-is-layout-flow\" style=\"flex-basis:33.33%\">\n<div class=\"wp-block-group\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\"><div class=\"wp-block-image is-style-rounded\">\n<figure class=\"aligncenter size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"800\" height=\"800\" src=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/1683913407624.jpeg\" alt=\"Photo of Bob Meijer\" class=\"wp-image-11314\" srcset=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/1683913407624.jpeg 800w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/1683913407624-300x300.jpeg 300w, https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/1683913407624-150x150.jpeg 150w\" sizes=\"auto, (max-width: 800px) 100vw, 800px\" \/><\/figure>\n<\/div>\n\n\n<div style=\"height:20px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<p class=\"has-text-align-center\"><strong><a href=\"https:\/\/www.linkedin.com\/in\/thomaseccel\/\"><\/a><a href=\"https:\/\/www.linkedin.com\/in\/bmmeijer\/\"><strong>Bob Meijer<\/strong><\/a><\/strong><br>Google Ads trainer &amp; coach<br>PPC Mastery<\/p>\n<\/div><\/div>\n<\/div>\n<\/div>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-6-final-thoughts\"><span class=\"ez-toc-section\" id=\"6-final-thoughts\"><\/span>6. Final thoughts<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-i-like-pmax-i-like-pmax\">I&#8230; like&#8230; PMax. I like PMax.<\/h3>\n\n\n\n<p>There!<strong> I said it! <\/strong>It wasn\u2019t easy. And it didn\u2019t start that way.<\/p>\n\n\n\n<p>I\u2019m fascinated by exactly how much PMax has <strong>changed in positive ways<\/strong> \u2013 settings, controls, modifiers, and reports \u2013 and how little it has changed in negative ways \u2013 <strong>no indication <\/strong>that spammy inventory is rising.<\/p>\n\n\n\n<p>I do think that <strong>traffic quality is a concern <\/strong>with PMax relative to other campaign types. However, in 2025 we have or are getting the features needed to see those flaws and <strong>act on them.<\/strong> Search term reports. Negative keywords. Channel reporting. SPN placements. YouTube placements. App placements. Exclusions.<\/p>\n\n\n\n<p>Traffic quality is therefore the next big horizon in managing PMax. <strong>Expect more reports <\/strong>from me on that! \ud83d\ude42<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-many-people-will-tell-you-i-m-wrong\">Many people will tell you I\u2019m wrong!<\/h3>\n\n\n\n<p>&#8220;The next big thing is MMM, incrementality, etc.&#8221; I\u2019ve felt this way in the past and I still do <strong>to a certain extent<\/strong>. However, I\u2019m increasingly of the mind that the <strong>market is too competitive<\/strong> to get where we might dream. Incrementality is a gradient, a spectrum, not a binary yes\/no state. Those who over-optimize towards this <strong>will lose market share<\/strong>.<\/p>\n\n\n\n<p>The final thing I want to mention is what I call <strong>\u201cPMaxification,\u201d<\/strong> and it\u2019s the reason why, even if you disagree with me, even<strong> if you hate PMax<\/strong> and find it rotten to its core \u2013 <strong>you can\u2019t afford to ignore it.<\/strong><\/p>\n\n\n\n<p>Eric Seufert famously quipped \u201ceverything is an ad network,\u201d which is his way of describing how every platform will <strong>become an <em>ad<\/em> platform<\/strong>, and how every single surface that <strong><em>can<\/em> be monetized<\/strong> <em>will<\/em> be.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-i-like-to-say-everything-is-a-pmax-here-s-why\">I like to say \u201ceverything is a PMax.\u201d Here\u2019s why:<\/h3>\n\n\n\n<p>Google pioneered the idea of <strong>end-to-end, platform-managed campaigns<\/strong> by automating bids, automating budget pacing, automating audiences and targeting, automating creatives, and automating placements. In doing so they rolled up channels while<strong> slashing reporting and controls<\/strong>. They created a <strong>blackbox money machine<\/strong>.<\/p>\n\n\n\n<p><strong>Every digital platform<\/strong> is watching, taking notes, <strong>copying.<\/strong><\/p>\n\n\n\n<p>Google Performance Max. Microsoft Performance Max. TikTok Smart Performance. Meta Advantage+. Amazon Performance+. Pinterest Performance+. <strong>And so on.<\/strong><\/p>\n\n\n\n<p><strong>Firstly<\/strong>, it\u2019s clear this category of technology is the future of digital marketing. <strong>Like it or not.<\/strong> I would argue we need to surf the wave, <strong>not fight the tide.<\/strong><\/p>\n\n\n\n<p><strong>Secondly,<\/strong> and more importantly, Google has <strong>changed its trajectory.<\/strong> They\u2019ve started cracking open the black box. This should give us hope! <strong>Because remember:<\/strong><\/p>\n\n\n\n<p><strong>Every digital platform<\/strong> is watching, taking notes, <strong>copying.<\/strong><\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-7-get-the-pdf\"><span class=\"ez-toc-section\" id=\"7-get-the-pdf\"><\/span>7. Get the PDF!<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<div class=\"report-cover-mobile-pic\">\n<img decoding=\"async\" alt=\"State of PMax Report PDF cover for mobile users\" loading=\"lazy\" src=\"https:\/\/a.smarter-ecommerce.com\/f\/42081\/816x1132\/5702e37563\/state-of-pmax-2025-report-cover.jpg\" style=\"border: 1px solid #0f0f0f; box-shadow: 1px 1px 1px 0px #0f0f0f;\" width=\"204\" \/>\n<\/div>\n<div class=\"main-cta-form-wrapp\">\n<div class=\"dl-icon-mobil\" style=\"width: 72px; height: 72px; background: #ebbf52; padding: 17px; border-radius: 35px; position: absolute; right: 24px; top: 32px; z-index:1;\"><img decoding=\"async\" width=\"72\" src=\"https:\/\/a.storyblok.com\/f\/42081\/72x61\/5992562dc1\/download-ico.svg\" style=\"\" alt=\"download icon\" \/><\/div>\n<iframe loading=\"lazy\" id=\"state-of-pmax-campaigns-report-2025-short-form\" src=\"https:\/\/go.smarter-ecommerce.com\/l\/224312\/2025-04-01\/21889h?brand=2022\" width=\"100%\" height=\"416\" type=\"text\/html\" frameborder=\"0\" allowTransparency=\"true\" style=\"border: 0\"><\/iframe>\n<\/div>\n<style>\n.report-cover-mobile-pic{\n        display: none;\n}\n.main-cta-form-wrapp{\n        position: relative; background: #4d40d2; border-radius: 8px; border: 1px solid #4d40d2; margin-bottom: 50px; padding-top: 42px; padding-left: 27px; padding-right: 27px; padding-bottom: 30px;\n}\n@media (max-width: 767px) {\n        .main-cta-form-wrapp{\n            padding: 10px 0px;\n        }\t\n\t#state-of-pmax-campaigns-report-2025-short-form{\n\t\theight: 580px;\n\t}\n        .dl-icon-mobil{\n             display: none;\n        }\n        .report-cover-mobile-pic{\n             display: block;\n             text-align: center;\n             margin-bottom: 30px;\n        }\n}\n<\/style>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-faq\">FAQ:<\/h3>\n\n\n\n<div class=\"schema-faq wp-block-yoast-faq-block\"><div class=\"schema-faq-section\" id=\"faq-question-1743489650214\"><strong class=\"schema-faq-question\">What is the 2025 adoption rate of PMax vs (Standard) Shopping?<\/strong> <p class=\"schema-faq-answer\"><br\/>Performance Max has dominated ad spend\u2014<strong>peaking at just under 82% in May 2024<\/strong>. But that golden peak didn\u2019t last. PMax has been <strong>losing about 0.65% share per month<\/strong>, totaling nearly <strong>6% drop by early 2025<\/strong>. Advertisers are slowly rediscovering Standard Shopping and Search as viable, sometimes more controllable, options\u200b.<br\/><br\/><\/p> <\/div> <div class=\"schema-faq-section\" id=\"faq-question-1743489840676\"><strong class=\"schema-faq-question\">How has PMax evolved vs. Smart Shopping until now?<br\/><\/strong> <p class=\"schema-faq-answer\">PMax is the direct successor to Smart Shopping\u2014Google essentially migrated Smart Shopping into PMax in 2022. This move caused a <em>massive reallocation of ecommerce ad spend<\/em>. Initially rough around the edges (hello, black box), PMax now has a suite of improved controls: <strong>item ID reporting, negative keywords, channel breakdowns<\/strong>, and more. In short, in 2025 it\u2019s no longer \u201cjust Smart Shopping with lipstick\u201d\u2014but it still comes with quirks\u200b.<br\/><br\/><\/p> <\/div> <div class=\"schema-faq-section\" id=\"faq-question-1743489870497\"><strong class=\"schema-faq-question\">Is there overlap between PMax and Demand Gen campaigns?<\/strong> <p class=\"schema-faq-answer\"><br\/>Yes, and it\u2019s complicated. In 2025 PMax and Demand Gen <strong>can self-compete<\/strong>, especially when both run feed-based creatives optimized for conversions. But their roles differ:<br\/><br\/>\u2022 <strong>PMax is bottom-funnel<\/strong>\u2014built to convert.<br\/>\u2022 <strong>Demand Gen is mid-funnel<\/strong>\u2014geared to generate interest.<br\/><br\/>There\u2019s a grey zone in overlapping placements (YouTube, Gmail, Discovery), but Google is slowly drawing clearer lines between them. If you&#8217;re running both, segment goals and audiences carefully\u200b.<br\/><br\/><\/p> <\/div> <div class=\"schema-faq-section\" id=\"faq-question-1743489910548\"><strong class=\"schema-faq-question\">Should you run PMax alongside Standard Shopping in 2025?<\/strong> <p class=\"schema-faq-answer\"><br\/>You <em>can<\/em>, but you need to be deliberate. <strong>PMax and Shopping campaigns do compete<\/strong>\u2014they draw from the same product feed and often bid on the same queries. This can escalate CPCs and waste budget if you\u2019re not careful.<br\/><br\/>The fix? Use negative keywords, split products across campaign types, or set clear ROAS targets. Just don\u2019t expect them to play nice automatically\u200b.<br\/><br\/><\/p> <\/div> <div class=\"schema-faq-section\" id=\"faq-question-1743489941508\"><strong class=\"schema-faq-question\">Performance Max vs Search: What\u2019s the impact and outlook?<\/strong> <p class=\"schema-faq-answer\"><br\/>Search isn\u2019t dead\u2014but it\u2019s under pressure in 2025. PMax cannibalizes both <strong>brand and non-brand traffic<\/strong>, especially since it uses <strong>Final URL Expansion<\/strong> (a DSA-like feature). DSAs themselves are shrinking and might soon get sunset altogether in favor of \u201cSearch Max.\u201d<br\/><br\/>The takeaway? You\u2019ll want to <strong>harmonize PMax and Search<\/strong>, especially for brand queries. Page feed strategies and tools like <strong>smec\u2019s PMax Brand Traffic Analyzer<\/strong> help ensure you\u2019re not bidding against yourself\u200b\u200b.<br\/><br\/><\/p> <\/div> <div class=\"schema-faq-section\" id=\"faq-question-1743489972513\"><strong class=\"schema-faq-question\">Do Performance Max campaigns support negative keywords in 2025?<\/strong> <p class=\"schema-faq-answer\"><br\/>Finally, some good news: <strong>negative keywords are in!<\/strong> Alongside channel reporting and placement exclusions, they give advertisers <em>just enough<\/em> control to fight spammy placements and brand cannibalization. Expect more granularity in 2025\u2014this is Google\u2019s way of trying to win back trust and keep advertisers hooked\u200b.<\/p> <\/div> <\/div>\n\n\n\n<script type=\"application\/ld+json\">\n{\n  \"@context\": \"https:\/\/schema.org\",\n  \"@graph\": [\n    {\n      \"@type\": \"Quotation\",\n      \"text\": \"Google gets a lot of credit here with PMax. The product had many, many flaws on launch, but the team has addressed many of the major issues and turned Performance Max into a tool that most marketers can use. Conversion quality should be a focus if using it for Lead Gen, and the Brand Exclusions and the addition of negative keywords can now help cut off PMax's reliance on brand spend to find success.\",\n      \"creator\": {\n        \"@type\": \"Person\",\n        \"name\": \"Greg Finn\",\n        \"jobTitle\": \"Head of Performance & Innovation\",\n        \"worksFor\": {\n          \"@type\": \"Organization\",\n          \"name\": \"Cypress North\"\n        },\n        \"url\": \"https:\/\/www.linkedin.com\/in\/gregfinn\/\"\n      },\n      \"inLanguage\": \"en\"\n    },\n    {\n      \"@type\": \"Quotation\",\n      \"text\": \"Has PMax jumped the shark?\\nIMO, it has.\\n\\nWe've never seen PMax perform consistently worse than it has moving into 2025, with little to no strategy shifts on our end.\\n\\nWe have begun transitioning to Search and Standard Shopping more purposefully with obvious revenue and efficiency increase. We went from PMax being the major strategy for our Ecom clients, to a decreasingly important one.\\n\\nThis was not due to a philosophy shift but simply following the numbers.\",\n      \"creator\": {\n        \"@type\": \"Person\",\n        \"name\": \"Kirk Williams\",\n        \"jobTitle\": \"Owner\",\n        \"worksFor\": {\n          \"@type\": \"Organization\",\n          \"name\": \"ZATO\"\n        }\n      },\n      \"inLanguage\": \"en\"\n    },\n    {\n      \"@type\": \"Quotation\",\n      \"text\": \"Based on the numbers, Max Conversion Value drove 19,537 euros compared to Max Conversions' 5,116 euro (medians). Additionally, the conversion rate was much better for Max Conversion Value, which I found surprising.\\n\\nAll said and done, it seems a no brainer to go with Max Conversion Value - especially because Google has outright confirmed conversion value and profit metrics are crucial to help it bid effectively.\\n\\nYet brands are facing uncertain times and volume that they can nurture with email marketing and subscriptions might meet board room KPIs better than raw revenue. There's also the valid concern around providing too much info to Google (even if it would help them in the long run).\",\n      \"creator\": {\n        \"@type\": \"Person\",\n        \"name\": \"Navah Hopkins\",\n        \"jobTitle\": \"Brand Evangelist\",\n        \"worksFor\": {\n          \"@type\": \"Organization\",\n          \"name\": \"OPTMYZR\"\n        }\n      },\n      \"inLanguage\": \"en\"\n    }\n  ]\n}\n<\/script>\n","protected":false},"excerpt":{"rendered":"<p>Believe it or not, it has been three years since Google started the wide-scale rollout of Performance Max campaigns. Time flies when you&#8217;re having fun maxing performance. When PMax first premiered, it was described as a black box \u2013 par for the course with new Google tech \u2013 but also, &#8230;<\/p>\n","protected":false},"author":22,"featured_media":11236,"comment_status":"closed","ping_status":"closed","sticky":true,"template":"","format":"standard","meta":{"footnotes":""},"categories":[479],"tags":[516,695,706,697,709,705,707,708],"class_list":["post-11195","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-google-ads","tag-dynamic-search-ads","tag-performance-max","tag-performance-max-campaigns","tag-pmax","tag-pmax-2025-report","tag-standard-shopping","tag-state-of-pmax","tag-state-of-pmax-2025"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.7 (Yoast SEO v27.3) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>The State of Performance Max Campaigns 2025<\/title>\n<meta name=\"description\" content=\"How has PMax evolved over the past 3 years? Read on for expert insights and hard, real-world data based on 4,000+ Performance Max campaigns.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/smarter-ecommerce.com\/blog\/en\/google-ads\/state-of-performance-max-campaigns-2025\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"State of Performance Max 2025: Insights from 4,000+ campaigns\" \/>\n<meta property=\"og:description\" content=\"How has PMax evolved over the past 3 years? Read on for expert insights and hard, real-world data based on 4,000+ Performance Max campaigns.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/smarter-ecommerce.com\/blog\/en\/google-ads\/state-of-performance-max-campaigns-2025\/\" \/>\n<meta property=\"og:site_name\" content=\"smec Blog | Follow current Ecommerce News, Trends &amp; Insights\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/SmarterEcommerce\" \/>\n<meta property=\"article:published_time\" content=\"2025-04-02T10:58:36+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2025-04-04T07:36:03+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-content\/uploads\/2025\/03\/State-of-PMax-2025.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1920\" \/>\n\t<meta property=\"og:image:height\" content=\"1080\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Mike Ryan\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@mikeryanretail\" \/>\n<meta name=\"twitter:site\" content=\"@smec\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Mike Ryan\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"26 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/smarter-ecommerce.com\\\/blog\\\/en\\\/google-ads\\\/state-of-performance-max-campaigns-2025\\\/#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/smarter-ecommerce.com\\\/blog\\\/en\\\/google-ads\\\/state-of-performance-max-campaigns-2025\\\/\"},\"author\":{\"name\":\"Mike Ryan\",\"@id\":\"https:\\\/\\\/smarter-ecommerce.com\\\/blog\\\/en\\\/#\\\/schema\\\/person\\\/effa2765c648a602e080267660e48aac\"},\"headline\":\"State of Performance Max 2025: Insights from 4,000+ campaigns\",\"datePublished\":\"2025-04-02T10:58:36+00:00\",\"dateModified\":\"2025-04-04T07:36:03+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/smarter-ecommerce.com\\\/blog\\\/en\\\/google-ads\\\/state-of-performance-max-campaigns-2025\\\/\"},\"wordCount\":4675,\"publisher\":{\"@id\":\"https:\\\/\\\/smarter-ecommerce.com\\\/blog\\\/en\\\/#organization\"},\"image\":{\"@id\":\"https:\\\/\\\/smarter-ecommerce.com\\\/blog\\\/en\\\/google-ads\\\/state-of-performance-max-campaigns-2025\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/smarter-ecommerce.com\\\/blog\\\/en\\\/wp-content\\\/uploads\\\/2025\\\/03\\\/State-of-PMax-2025.jpg\",\"keywords\":[\"dynamic search ads\",\"Performance Max\",\"Performance Max campaigns\",\"pmax\",\"PMax 2025 Report\",\"Standard Shopping\",\"State of PMax\",\"State of Pmax 2025\"],\"articleSection\":[\"Google Ads\"],\"inLanguage\":\"en-US\",\"accessibilityFeature\":[\"tableOfContents\"]},{\"@type\":[\"WebPage\",\"FAQPage\"],\"@id\":\"https:\\\/\\\/smarter-ecommerce.com\\\/blog\\\/en\\\/google-ads\\\/state-of-performance-max-campaigns-2025\\\/\",\"url\":\"https:\\\/\\\/smarter-ecommerce.com\\\/blog\\\/en\\\/google-ads\\\/state-of-performance-max-campaigns-2025\\\/\",\"name\":\"The State of Performance Max Campaigns 2025\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/smarter-ecommerce.com\\\/blog\\\/en\\\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\\\/\\\/smarter-ecommerce.com\\\/blog\\\/en\\\/google-ads\\\/state-of-performance-max-campaigns-2025\\\/#primaryimage\"},\"image\":{\"@id\":\"https:\\\/\\\/smarter-ecommerce.com\\\/blog\\\/en\\\/google-ads\\\/state-of-performance-max-campaigns-2025\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/smarter-ecommerce.com\\\/blog\\\/en\\\/wp-content\\\/uploads\\\/2025\\\/03\\\/State-of-PMax-2025.jpg\",\"datePublished\":\"2025-04-02T10:58:36+00:00\",\"dateModified\":\"2025-04-04T07:36:03+00:00\",\"description\":\"How has PMax evolved over the past 3 years? 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With a robust background spanning retail operations, product management, and digital ads, Mike leverages his multidisciplinary expertise to drive data-informed strategies that help online retailers optimize their performance in an increasingly competitive market. [linebreak] As a seasoned content creator and thought leader, Mike is the force behind the popular \\\"Growing Ecommerce\\\" podcast, where he discusses industry trends, performance marketing tactics, and the evolving dynamics of digital advertising. His deep analytical approach\u2014whether it\u2019s dissecting Performance Max campaigns or refining profit-based bidding strategies\u2014has earned him recognition among peers and in leading industry publications. Mike\u2019s commitment to innovation and his ability to translate complex data into actionable insights make him a trusted advisor for clients and an inspiring speaker at major conferences (SMX, OMR, DMEXCO, IRX). [linebreak] These diverse experiences and his passion for continuous learning position Mike as a key influencer in the ecommerce space, dedicated to helping businesses navigate and thrive in the digital era.\",\"sameAs\":[\"https:\\\/\\\/www.linkedin.com\\\/in\\\/mikeryanretail\\\/\",\"https:\\\/\\\/x.com\\\/mikeryanretail\"],\"award\":[\"Most Influential PPC Experts by PPCsurvey.com (#8 for 2026)\"],\"jobTitle\":\"Head of Ecommerce Insights\",\"worksFor\":\"Smarter Ecommerce (smec)\",\"url\":\"https:\\\/\\\/smarter-ecommerce.com\\\/blog\\\/en\\\/author\\\/ryan\\\/\"},{\"@type\":\"Question\",\"@id\":\"https:\\\/\\\/smarter-ecommerce.com\\\/blog\\\/en\\\/google-ads\\\/state-of-performance-max-campaigns-2025\\\/#faq-question-1743489650214\",\"position\":1,\"url\":\"https:\\\/\\\/smarter-ecommerce.com\\\/blog\\\/en\\\/google-ads\\\/state-of-performance-max-campaigns-2025\\\/#faq-question-1743489650214\",\"name\":\"What is the 2025 adoption rate of PMax vs (Standard) Shopping?\",\"answerCount\":1,\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"<br\\\/>Performance Max has dominated ad spend\u2014<strong>peaking at just under 82% in May 2024<\\\/strong>. But that golden peak didn\u2019t last. PMax has been <strong>losing about 0.65% share per month<\\\/strong>, totaling nearly <strong>6% drop by early 2025<\\\/strong>. Advertisers are slowly rediscovering Standard Shopping and Search as viable, sometimes more controllable, options\u200b.<br\\\/><br\\\/>\",\"inLanguage\":\"en-US\"},\"inLanguage\":\"en-US\"},{\"@type\":\"Question\",\"@id\":\"https:\\\/\\\/smarter-ecommerce.com\\\/blog\\\/en\\\/google-ads\\\/state-of-performance-max-campaigns-2025\\\/#faq-question-1743489840676\",\"position\":2,\"url\":\"https:\\\/\\\/smarter-ecommerce.com\\\/blog\\\/en\\\/google-ads\\\/state-of-performance-max-campaigns-2025\\\/#faq-question-1743489840676\",\"name\":\"How has PMax evolved vs. Smart Shopping until now?\",\"answerCount\":1,\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"PMax is the direct successor to Smart Shopping\u2014Google essentially migrated Smart Shopping into PMax in 2022. This move caused a <em>massive reallocation of ecommerce ad spend<\\\/em>. Initially rough around the edges (hello, black box), PMax now has a suite of improved controls: <strong>item ID reporting, negative keywords, channel breakdowns<\\\/strong>, and more. In short, in 2025 it\u2019s no longer \u201cjust Smart Shopping with lipstick\u201d\u2014but it still comes with quirks\u200b.<br\\\/><br\\\/>\",\"inLanguage\":\"en-US\"},\"inLanguage\":\"en-US\"},{\"@type\":\"Question\",\"@id\":\"https:\\\/\\\/smarter-ecommerce.com\\\/blog\\\/en\\\/google-ads\\\/state-of-performance-max-campaigns-2025\\\/#faq-question-1743489870497\",\"position\":3,\"url\":\"https:\\\/\\\/smarter-ecommerce.com\\\/blog\\\/en\\\/google-ads\\\/state-of-performance-max-campaigns-2025\\\/#faq-question-1743489870497\",\"name\":\"Is there overlap between PMax and Demand Gen campaigns?\",\"answerCount\":1,\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"<br\\\/>Yes, and it\u2019s complicated. In 2025 PMax and Demand Gen <strong>can self-compete<\\\/strong>, especially when both run feed-based creatives optimized for conversions. But their roles differ:<br\\\/><br\\\/>\u2022 <strong>PMax is bottom-funnel<\\\/strong>\u2014built to convert.<br\\\/>\u2022 <strong>Demand Gen is mid-funnel<\\\/strong>\u2014geared to generate interest.<br\\\/><br\\\/>There\u2019s a grey zone in overlapping placements (YouTube, Gmail, Discovery), but Google is slowly drawing clearer lines between them. If you're running both, segment goals and audiences carefully\u200b.<br\\\/><br\\\/>\",\"inLanguage\":\"en-US\"},\"inLanguage\":\"en-US\"},{\"@type\":\"Question\",\"@id\":\"https:\\\/\\\/smarter-ecommerce.com\\\/blog\\\/en\\\/google-ads\\\/state-of-performance-max-campaigns-2025\\\/#faq-question-1743489910548\",\"position\":4,\"url\":\"https:\\\/\\\/smarter-ecommerce.com\\\/blog\\\/en\\\/google-ads\\\/state-of-performance-max-campaigns-2025\\\/#faq-question-1743489910548\",\"name\":\"Should you run PMax alongside Standard Shopping in 2025?\",\"answerCount\":1,\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"<br\\\/>You <em>can<\\\/em>, but you need to be deliberate. <strong>PMax and Shopping campaigns do compete<\\\/strong>\u2014they draw from the same product feed and often bid on the same queries. This can escalate CPCs and waste budget if you\u2019re not careful.<br\\\/><br\\\/>The fix? Use negative keywords, split products across campaign types, or set clear ROAS targets. Just don\u2019t expect them to play nice automatically\u200b.<br\\\/><br\\\/>\",\"inLanguage\":\"en-US\"},\"inLanguage\":\"en-US\"},{\"@type\":\"Question\",\"@id\":\"https:\\\/\\\/smarter-ecommerce.com\\\/blog\\\/en\\\/google-ads\\\/state-of-performance-max-campaigns-2025\\\/#faq-question-1743489941508\",\"position\":5,\"url\":\"https:\\\/\\\/smarter-ecommerce.com\\\/blog\\\/en\\\/google-ads\\\/state-of-performance-max-campaigns-2025\\\/#faq-question-1743489941508\",\"name\":\"Performance Max vs Search: What\u2019s the impact and outlook?\",\"answerCount\":1,\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"<br\\\/>Search isn\u2019t dead\u2014but it\u2019s under pressure in 2025. PMax cannibalizes both <strong>brand and non-brand traffic<\\\/strong>, especially since it uses <strong>Final URL Expansion<\\\/strong> (a DSA-like feature). DSAs themselves are shrinking and might soon get sunset altogether in favor of \u201cSearch Max.\u201d<br\\\/><br\\\/>The takeaway? 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With a robust background spanning retail operations, product management, and digital ads, Mike leverages his multidisciplinary expertise to drive data-informed strategies that help online retailers optimize their performance in an increasingly competitive market. [linebreak] As a seasoned content creator and thought leader, Mike is the force behind the popular \"Growing Ecommerce\" podcast, where he discusses industry trends, performance marketing tactics, and the evolving dynamics of digital advertising. His deep analytical approach\u2014whether it\u2019s dissecting Performance Max campaigns or refining profit-based bidding strategies\u2014has earned him recognition among peers and in leading industry publications. Mike\u2019s commitment to innovation and his ability to translate complex data into actionable insights make him a trusted advisor for clients and an inspiring speaker at major conferences (SMX, OMR, DMEXCO, IRX). [linebreak] These diverse experiences and his passion for continuous learning position Mike as a key influencer in the ecommerce space, dedicated to helping businesses navigate and thrive in the digital era.","sameAs":["https:\/\/www.linkedin.com\/in\/mikeryanretail\/","https:\/\/x.com\/mikeryanretail"],"award":["Most Influential PPC Experts by PPCsurvey.com (#8 for 2026)"],"jobTitle":"Head of Ecommerce Insights","worksFor":"Smarter Ecommerce (smec)","url":"https:\/\/smarter-ecommerce.com\/blog\/en\/author\/ryan\/"},{"@type":"Question","@id":"https:\/\/smarter-ecommerce.com\/blog\/en\/google-ads\/state-of-performance-max-campaigns-2025\/#faq-question-1743489650214","position":1,"url":"https:\/\/smarter-ecommerce.com\/blog\/en\/google-ads\/state-of-performance-max-campaigns-2025\/#faq-question-1743489650214","name":"What is the 2025 adoption rate of PMax vs (Standard) Shopping?","answerCount":1,"acceptedAnswer":{"@type":"Answer","text":"<br\/>Performance Max has dominated ad spend\u2014<strong>peaking at just under 82% in May 2024<\/strong>. But that golden peak didn\u2019t last. PMax has been <strong>losing about 0.65% share per month<\/strong>, totaling nearly <strong>6% drop by early 2025<\/strong>. Advertisers are slowly rediscovering Standard Shopping and Search as viable, sometimes more controllable, options\u200b.<br\/><br\/>","inLanguage":"en-US"},"inLanguage":"en-US"},{"@type":"Question","@id":"https:\/\/smarter-ecommerce.com\/blog\/en\/google-ads\/state-of-performance-max-campaigns-2025\/#faq-question-1743489840676","position":2,"url":"https:\/\/smarter-ecommerce.com\/blog\/en\/google-ads\/state-of-performance-max-campaigns-2025\/#faq-question-1743489840676","name":"How has PMax evolved vs. Smart Shopping until now?","answerCount":1,"acceptedAnswer":{"@type":"Answer","text":"PMax is the direct successor to Smart Shopping\u2014Google essentially migrated Smart Shopping into PMax in 2022. This move caused a <em>massive reallocation of ecommerce ad spend<\/em>. Initially rough around the edges (hello, black box), PMax now has a suite of improved controls: <strong>item ID reporting, negative keywords, channel breakdowns<\/strong>, and more. In short, in 2025 it\u2019s no longer \u201cjust Smart Shopping with lipstick\u201d\u2014but it still comes with quirks\u200b.<br\/><br\/>","inLanguage":"en-US"},"inLanguage":"en-US"},{"@type":"Question","@id":"https:\/\/smarter-ecommerce.com\/blog\/en\/google-ads\/state-of-performance-max-campaigns-2025\/#faq-question-1743489870497","position":3,"url":"https:\/\/smarter-ecommerce.com\/blog\/en\/google-ads\/state-of-performance-max-campaigns-2025\/#faq-question-1743489870497","name":"Is there overlap between PMax and Demand Gen campaigns?","answerCount":1,"acceptedAnswer":{"@type":"Answer","text":"<br\/>Yes, and it\u2019s complicated. In 2025 PMax and Demand Gen <strong>can self-compete<\/strong>, especially when both run feed-based creatives optimized for conversions. But their roles differ:<br\/><br\/>\u2022 <strong>PMax is bottom-funnel<\/strong>\u2014built to convert.<br\/>\u2022 <strong>Demand Gen is mid-funnel<\/strong>\u2014geared to generate interest.<br\/><br\/>There\u2019s a grey zone in overlapping placements (YouTube, Gmail, Discovery), but Google is slowly drawing clearer lines between them. If you're running both, segment goals and audiences carefully\u200b.<br\/><br\/>","inLanguage":"en-US"},"inLanguage":"en-US"},{"@type":"Question","@id":"https:\/\/smarter-ecommerce.com\/blog\/en\/google-ads\/state-of-performance-max-campaigns-2025\/#faq-question-1743489910548","position":4,"url":"https:\/\/smarter-ecommerce.com\/blog\/en\/google-ads\/state-of-performance-max-campaigns-2025\/#faq-question-1743489910548","name":"Should you run PMax alongside Standard Shopping in 2025?","answerCount":1,"acceptedAnswer":{"@type":"Answer","text":"<br\/>You <em>can<\/em>, but you need to be deliberate. <strong>PMax and Shopping campaigns do compete<\/strong>\u2014they draw from the same product feed and often bid on the same queries. This can escalate CPCs and waste budget if you\u2019re not careful.<br\/><br\/>The fix? Use negative keywords, split products across campaign types, or set clear ROAS targets. Just don\u2019t expect them to play nice automatically\u200b.<br\/><br\/>","inLanguage":"en-US"},"inLanguage":"en-US"},{"@type":"Question","@id":"https:\/\/smarter-ecommerce.com\/blog\/en\/google-ads\/state-of-performance-max-campaigns-2025\/#faq-question-1743489941508","position":5,"url":"https:\/\/smarter-ecommerce.com\/blog\/en\/google-ads\/state-of-performance-max-campaigns-2025\/#faq-question-1743489941508","name":"Performance Max vs Search: What\u2019s the impact and outlook?","answerCount":1,"acceptedAnswer":{"@type":"Answer","text":"<br\/>Search isn\u2019t dead\u2014but it\u2019s under pressure in 2025. PMax cannibalizes both <strong>brand and non-brand traffic<\/strong>, especially since it uses <strong>Final URL Expansion<\/strong> (a DSA-like feature). DSAs themselves are shrinking and might soon get sunset altogether in favor of \u201cSearch Max.\u201d<br\/><br\/>The takeaway? You\u2019ll want to <strong>harmonize PMax and Search<\/strong>, especially for brand queries. Page feed strategies and tools like <strong>smec\u2019s PMax Brand Traffic Analyzer<\/strong> help ensure you\u2019re not bidding against yourself\u200b\u200b.<br\/><br\/>","inLanguage":"en-US"},"inLanguage":"en-US"},{"@type":"Question","@id":"https:\/\/smarter-ecommerce.com\/blog\/en\/google-ads\/state-of-performance-max-campaigns-2025\/#faq-question-1743489972513","position":6,"url":"https:\/\/smarter-ecommerce.com\/blog\/en\/google-ads\/state-of-performance-max-campaigns-2025\/#faq-question-1743489972513","name":"Do Performance Max campaigns support negative keywords in 2025?","answerCount":1,"acceptedAnswer":{"@type":"Answer","text":"<br\/>Finally, some good news: <strong>negative keywords are in!<\/strong> Alongside channel reporting and placement exclusions, they give advertisers <em>just enough<\/em> control to fight spammy placements and brand cannibalization. Expect more granularity in 2025\u2014this is Google\u2019s way of trying to win back trust and keep advertisers hooked\u200b.","inLanguage":"en-US"},"inLanguage":"en-US"}]}},"_links":{"self":[{"href":"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-json\/wp\/v2\/posts\/11195","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-json\/wp\/v2\/users\/22"}],"replies":[{"embeddable":true,"href":"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-json\/wp\/v2\/comments?post=11195"}],"version-history":[{"count":123,"href":"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-json\/wp\/v2\/posts\/11195\/revisions"}],"predecessor-version":[{"id":11414,"href":"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-json\/wp\/v2\/posts\/11195\/revisions\/11414"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-json\/wp\/v2\/media\/11236"}],"wp:attachment":[{"href":"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-json\/wp\/v2\/media?parent=11195"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-json\/wp\/v2\/categories?post=11195"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/smarter-ecommerce.com\/blog\/en\/wp-json\/wp\/v2\/tags?post=11195"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}