Growing Ecommerce – The Retail Growth Podcast

Smarter Ecommerce

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

  1. 50m ago ·  Video

    Google’s August 17 Bidding Update: Good or Bad? The Data

    Two months after Google’s August 17 smart bidding update, the data is in: budget-limited campaigns lost their ROAS surplus in three weeks, not smoothly. Mike Ryan and Chris Scharmueller run a postmortem, checking Google’s claims one by one against smec data: did budget-limited campaigns really over-deliver, why, and what happened to CPCs and ROAS once Google stopped holding bids down? Then a real account: a UK kitchen and homeware retailer whose CPCs jumped in a single week, and whose ROAS now sits right on target. The upside: many advertisers who weren’t affected raised their tROAS targets out of nervousness and never lowered them. That leaves market to take going into Q4. ⏱ Timestamps 00:00 - A postmortem of the August 17 update  02:26 - What Google changed, and why  06:10 - Why budget-limited campaigns over-delivered  10:05 - Claim check: 55% beat their ROAS target  14:43 - Claim check: impression share loss flips from rank to budget  17:48 - CPCs rose on budget-limited campaigns, fell elsewhere  20:13 - Competitors raised tROAS for nothing: your window  23:45 - From 20% over target to zero in three weeks  28:58 - Case study: a UK kitchen and homeware retailer  33:00 - The real downside, and what to do in Q4 💡 Key Takeaways Google’s claim checks out: 55% of budget-limited campaigns overachieved their ROAS target, against about a third of all smart bidding campaigns.They overachieved by more, too: a median of about 20% above target, versus about 5% for campaigns not limited by budget.The cause was bid throttling. Budget-limited campaigns used to lose impression share mainly to rank. Now they lose it to budget, which makes that metric a useful diagnostic again.The transition wasn’t smooth. The median overshoot dropped to roughly zero within three weeks of August 17.Many advertisers who weren’t affected raised their tROAS targets anyway and left them there. If you did, it’s safe to go back. If your competitors did, there’s room to grow.Actual ROAS now tracks target closely, so your tROAS is a more reliable lever for scaling up or holding back through peak season.🔗 Resources & Links Our first episode on the update: Google’s Smart Bidding Change: Why Your ROAS Is About to Drop: https://smarter-ecommerce.com/en/podcast/season-4/google-s-smart-bidding-change-why-your-roas-is-about-to-drop/Webinar: The 2026 Q4 Playbook: Scale Google Ads through the Holiday Peak: https://smarter-ecommerce.com/en/page/webinar-the-2026-q4-playbook-scale-google-ads-through-the-holiday-peak/smec Marketing Mix Modeling: https://smarter-ecommerce.com/en/marketing-mix-modeling/smec (Smarter Ecommerce): https://www.smarter-ecommerce.comsmec on LinkedIn: https://www.linkedin.com/company/smarter-ecommerce-gmbhMike Ryan on LinkedIn: https://www.linkedin.com/in/mikeryanretail/Christian Scharmüller on LinkedIn: https://www.linkedin.com/in/christian-scharm%C3%BCller/Subscribe for a new Growing Ecommerce episode every two weeks— Growing Ecommerce is brought to you by smec (Smarter Ecommerce), helping 350+ global retailers manage €680M+ in annual ad spend by combining AI-powered PPC software with human strategic expertise. #GoogleAds #SmartBidding #PPC #tROAS #GrowingEcommerce About Smarter Ecommerce (smec): Smarter Ecommerce (smec) empowers e-commerce brands with AI-driven PPC automation that optimizes for profit and business outcomes while maintaining strategic control. The platform activates first-party data - profit margins, customer lifetime value, and key business metrics - to automate campaign optimization toward goals like profitability and efficient growth, while detailed campaign insights provide full transparency and enable PPC teams to focus on strategic oversight rather than manual execution. As a Google Premier Partner and three-time Microsoft Retail Partner of the Year, smec manages over €500 million in ad spend and drives €5B+ in annual e-commerce revenue for 350+ global retail clients including THG, Snipes, REWE, and Intersport. Make sure to follow smec - Smarter Ecommerce for more performance marketing insights: smec - Smarter Ecommerce: https://www.smarter-ecommerce.com LinkedIn: https://linkedin.com/company/smarter-ecommerce-gmbh Newsletter: https://smarter-ecommerce.com/en/newsletter/ Instagram: https://www.instagram.com/smarterecommerce/

    Google’s August 17 Bidding Update: Good or Bad? The Data
  2. Oct 13 ·  Video

    Prompt-Driven Campaigns: Will You Still Control Your Ads?

    Prompt-driven campaigns are coming from Google, OpenAI and Meta. Google and Meta still keep a human in the loop. OpenAI’s vision goes much further. Mike Ryan and Chris Scharmueller compare three very different visions for prompting campaigns, and ask whether campaigns still have a right to exist. Google has pitched a conversational way to build campaigns since Google Marketing Live 2023. Its latest step is AI Brief, now in closed beta for AI Max. You tell the AI in your own words how you position your brand, which searches you don’t want and what messaging to avoid. The hosts see it as a new control layer on top of automation, with the expert still in the loop. OpenAI is aiming much further. In a recent interview, Asad Awan, who leads monetization at OpenAI, described campaigns that advertisers prompt into being, with the structure created underneath. His question, “Is campaign an important thing?”, gets a strong reaction here: every control you have sits in the campaign. So what would a world without campaigns look like? Picture Performance Max taken to the extreme: a budget, a goal, and ads generated on the fly. The hosts argue retailers, agencies and in-house teams won’t accept it, because when performance drops there’s nothing left to diagnose or change. Meta’s Muse for Small Business, launched in late September, already drafts campaigns from a goal. But nothing publishes or spends without the owner’s approval. 💡 Key Takeaways Prompting a campaign isn’t a new idea. Google has pitched it since Google Marketing Live 2023. What differs now is how far each platform wants to take it. Google’s AI Brief lets you guide AI Max on messaging, matching and audience in plain language. It’s in closed beta, starting with AI Max for Search, and Google has named Performance Max and AI Max for Shopping as next. OpenAI’s monetization lead sees the campaign as a control layer that could be built automatically under a prompt. The “final frontier” is one prompt that handles the rest. Campaigns aren’t low-level units. They’re where your controls sit. Take them away and you lose the reference points you need when something goes wrong. Prompting sounds easy, but it’s hard to know what to change in a prompt when results drop. Meta’s Muse for Small Business drafts campaigns from a goal, but nothing publishes or spends without the owner’s approval. 🔗 Resources & Links Our Meta Muse episode (EP56): https://youtu.be/c-iFFlCUkpw Mobile Dev Memo podcast, OpenAI’s advertising ambitions (with Asad Awan): https://mdm.co/podcast-openais-advertising-ambitions-with-asad-awan/ smec (Smarter Ecommerce): https://www.smarter-ecommerce.com smec on LinkedIn: https://www.linkedin.com/company/smarter-ecommerce-gmbh Mike Ryan on LinkedIn: https://www.linkedin.com/in/mikeryanretail/ Christian Scharmüller on LinkedIn: https://www.linkedin.com/in/christian-scharm%C3%BCller/ Subscribe for a new Growing Ecommerce episode every two weeks Growing Ecommerce is brought to you by smec (Smarter Ecommerce), helping 300+ global retailers manage €680M+ in annual ad spend by combining AI-powered PPC software with human strategic expertise. About Smarter Ecommerce (smec): Smarter Ecommerce (smec) empowers e-commerce brands with AI-driven PPC automation that optimizes for profit and business outcomes while maintaining strategic control. The platform activates first-party data - profit margins, customer lifetime value, and key business metrics - to automate campaign optimization toward goals like profitability and efficient growth, while detailed campaign insights provide full transparency and enable PPC teams to focus on strategic oversight rather than manual execution. As a Google Premier Partner and three-time Microsoft Retail Partner of the Year, smec manages over €500 million in ad spend and drives €5B+ in annual e-commerce revenue for 350+ global retail clients including THG, Snipes, REWE, and Intersport. Make sure to follow smec - Smarter Ecommerce for more performance marketing insights: smec - Smarter Ecommerce: https://www.smarter-ecommerce.com LinkedIn: https://linkedin.com/company/smarter-ecommerce-gmbh Newsletter: https://smarter-ecommerce.com/en/newsletter/ Instagram: https://www.instagram.com/smarterecommerce/

    Prompt-Driven Campaigns: Will You Still Control Your Ads?
  3. Oct 6 ·  Video

    Why Amazon Blocked Meta Muse (and Google Should Be Worried)

    Amazon blocked Meta Muse within days. Here's why Meta's new AI shopping agent threatens Amazon's business, and why Google should be worried too. Mike Ryan and Chris Scharmueller break down Meta Muse, the consumer AI assistant that runs an automated browser in the cloud and became the No. 1 free app in the US App Store within a week. Meta's smartest move may be one word: shoppers don't care what an agent is, but everyone understands an assistant. Early reviews are mixed. Testers say Muse handles multi-step tasks well, but it still gets facts wrong and sometimes makes them up. The hosts argue that structured pipes like the Universal Commerce Protocol (UCP) will matter more than AI clicking through websites. Then the business fight. Amazon's official reason for the block is that Muse is an unauthorized agent that doesn't identify itself. The hosts argue the business logic runs deeper: Amazon wants shoppers buying on Amazon and seeing its ads, and a virtual machine in the cloud doesn't fall for a cross-sell ad. Google's problem may be bigger. Muse makes AI Mode look slow, and Meta has the distribution and the consumer marketing know-how to pull shoppers away. If people use Muse end to end, they may stop opening Google at all. Could Google try to block it too? OpenAI has answered with Dots, always-on agents that connect to 4,000+ apps. Google's Gemini Spark still speaks mostly to business users. Finally, a Google update that affects your store directly: native checkout in AI Mode and Gemini is now switched on by default for eligible Shopify products. To turn it off, go to Sales channels > Agentic in your Shopify admin. ⏱ Timestamps 00:00 - Meta Muse, OpenAI Dots and Google AI Mode  01:03 - What Meta Muse is and why it's growing so fast  04:06 - What Muse can do, and where it gets it wrong  07:41 - Wall Street reacts, and why Amazon blocked Muse  10:23 - Is Muse a bigger threat to Google than AI Mode?  13:03 - Why Google should worry, and could it block Muse?  17:04 - OpenAI Dots and Gemini Spark fight back  20:09 - AI Mode native checkout is now live for Shopify  23:20 - Never count Zuck out 💡 Key Takeaways Meta packages Muse as an assistant, not an agent, and that framing is why consumers are adopting it. It runs in a virtual machine in the cloud, not on your device.Reliability is still uneven. Structured protocols like UCP should give shopping agents better, more grounded product data than browsing websites does.Amazon blocked Muse as an "unauthorized AI agent". The hosts argue the business reason matters just as much: a bot in the cloud never sees a sponsored product.Meta says Muse carries no ads. Instead, Zuckerberg plans to take a small fee, paid by the merchant, when Muse helps someone buy. If you sell online, that's a new cost of sale to watch.Muse puts real pressure on Google's AI Mode, which most consumers still don't recognise as a product.AI Mode native checkout is now on by default for eligible Shopify products. Check Sales channels > Agentic in your Shopify admin if you want to opt out.🔗 Resources & Links Our UCP / native checkout episode: Universal Commerce Protocol (UCP) Explained: What Every Ecommerce Brand Must Knowsmec (Smarter Ecommerce): https://www.smarter-ecommerce.comsmec on LinkedIn: https://www.linkedin.com/company/smarter-ecommerce-gmbhMike Ryan on LinkedIn: https://www.linkedin.com/in/mikeryanretail/Christian Scharmüller on LinkedIn: https://www.linkedin.com/in/christian-scharm%C3%BCller/Google opens native AI checkout to Shopify merchants (Search Engine Land): https://searchengineland.com/google-opens-native-ai-checkout-to-eligible-shopify-merchants-490407Subscribe for a new episode weekly! — Growing Ecommerce is brought to you by smec (Smarter Ecommerce), helping 300+ global retailers manage €620M+ in annual ad spend by combining AI-powered PPC software with human strategic expertise. #MetaMuse #AgenticCommerce #GrowingEcommerce #Amazon #AIMode About Smarter Ecommerce (smec): Smarter Ecommerce (smec) empowers e-commerce brands with AI-driven PPC automation that optimizes for profit and business outcomes while maintaining strategic control. The platform activates first-party data - profit margins, customer lifetime value, and key business metrics - to automate campaign optimization toward goals like profitability and efficient growth, while detailed campaign insights provide full transparency and enable PPC teams to focus on strategic oversight rather than manual execution. As a Google Premier Partner and three-time Microsoft Retail Partner of the Year, smec manages over €500 million in ad spend and drives €5B+ in annual e-commerce revenue for 350+ global retail clients including THG, Snipes, REWE, and Intersport. Make sure to follow smec - Smarter Ecommerce for more performance marketing insights: smec - Smarter Ecommerce: https://www.smarter-ecommerce.com LinkedIn: https://linkedin.com/company/smarter-ecommerce-gmbh Newsletter: https://smarter-ecommerce.com/en/newsletter/ Instagram: https://www.instagram.com/smarterecommerce/

    Why Amazon Blocked Meta Muse (and Google Should Be Worried)
  4. Sep 29 ·  Video

    Exact Match in Google AI Mode: What It Means for Your Ads

    Google AI Mode ads now show on nearly 30% of US commercial queries, and Google is testing exact and phrase match there. Here's what it means for your account. In this episode of Growing Ecommerce, Mike Ryan and Chris Scharmueller unpack two stories that complicate Google's AI search narrative. A new study found text ads on almost a third of commercial queries in AI Mode, and 70% of those showed multiple advertisers. But Google shares no performance data, and advertisers can't opt in or out. Is 30% a sign of scale, or a sign that most of AI Mode still isn't making money for Google? Then comes the surprise. For a year, Google said broad match or AI Max was the only way into AI Mode, and it has now confirmed a test serving exact and phrase match keywords there. Mike and Chris ask what that says about how well AI Mode ads really perform. They also cover why exact match still wins across thousands of ad accounts, where smart bidding exploration fits in, and why conversational queries may sit further up the funnel than Google admits. If you manage Google Ads for an ecommerce brand and you're deciding how far to follow Google's AI Max push, this one's for you. Key Takeaways AI Mode text ads show on ~30% of US commercial queries. Europe is effectively zero so far. 70% of AI Mode ad placements show multiple advertisers, but brands rarely appear both cited and advertised. Ads skew toward higher-CPC keywords. Advertisers can't control whether they serve in AI Mode or see how those ads perform. Google's exact and phrase match test cuts against its line that keywords can't work in AI search. Across smec-managed accounts, exact match still beats broad match, which beats AI Max, on efficiency. Your product data feed drives both organic and paid visibility in AI surfaces. 🔗 Resources & Links SE Ranking AI Mode ads study via Search Engine Land: [ADD URL]smec (Smarter Ecommerce): https://www.smarter-ecommerce.comsmec on LinkedIn: https://www.linkedin.com/company/smarter-ecommerce-gmbhMike Ryan on LinkedIn: https://www.linkedin.com/in/mikeryanretail/Christian Scharmüller on LinkedIn: https://www.linkedin.com/in/christian-scharm%C3%BCller/Subscribe for a new Growing Ecommerce episode every week— Growing Ecommerce is brought to you by smec (Smarter Ecommerce), helping 350+ global retailers manage €680M+ in annual ad spend by combining AI-powered PPC software with human strategic expertise. #AIMode #GoogleAds #GrowingEcommerce #PPC #AIMax #PaidSearch #Ecommerce About Smarter Ecommerce (smec): Smarter Ecommerce (smec) empowers e-commerce brands with AI-driven PPC automation that optimizes for profit and business outcomes while maintaining strategic control. The platform activates first-party data - profit margins, customer lifetime value, and key business metrics - to automate campaign optimization toward goals like profitability and efficient growth, while detailed campaign insights provide full transparency and enable PPC teams to focus on strategic oversight rather than manual execution. As a Google Premier Partner and three-time Microsoft Retail Partner of the Year, smec manages over €500 million in ad spend and drives €5B+ in annual e-commerce revenue for 350+ global retail clients including THG, Snipes, REWE, and Intersport. Make sure to follow smec - Smarter Ecommerce for more performance marketing insights: smec - Smarter Ecommerce: https://www.smarter-ecommerce.com LinkedIn: https://linkedin.com/company/smarter-ecommerce-gmbh Newsletter: https://smarter-ecommerce.com/en/newsletter/ Instagram: https://www.instagram.com/smarterecommerce/

    Exact Match in Google AI Mode: What It Means for Your Ads
  5. Sep 22

    PMax Channel Controls: What the New Sliders Do to Your Budget

    Google is testing channel controls in Performance Max: sliders that let you tell PMax how much YouTube, Maps or Display matter to your business. It is the biggest change to PMax since PMax launched — and it is not a tick box. Unlike Demand Gen, where you opt a channel in or out, channel controls give you a slider per channel that adjusts how much the campaign prioritises conversions from that channel. A positive adjustment relaxes the CPA target for that channel. A negative one tightens it. Mike Ryan and Chris Scharmueller work through what that actually does to a live campaign. Google says the campaign still optimises toward your overall target CPA — and also says adjusting the sliders will directly impact performance. Both cannot be true without a trade-off somewhere else. Push YouTube up, and something else has to tighten. The interface gives you no numbers to predict which. They also take on the claim from Jyll Saskin Gales that channel controls prove PMax was a failed experiment. Mike argues PMax has lost its identity as Demand Gen moves down funnel and Shopping gets upgraded with AI Max. Chris argues it is not failure but forced evolution: adoption stalled, the market pushed, Google conceded. Then the bigger question — if the most advanced ad platform in the world had to hand control back, what happens to Advantage+, TikTok, Amazon and every other "Max" built on the same thesis? The upside: skill matters again. Two accounts run by the same AI used to be a coin flip. With levers like these, the better operator can win. 💡 Key Takeaways • Channel controls are sliders, not switches — you cannot zero out a channel, only reprice it. A positive adjustment relaxes that channel's CPA target; a negative one tightens it. • Google's help text contradicts itself: the campaign still optimises to your overall target CPA, yet the sliders "directly impact performance". Push YouTube up and something else has to tighten. • YouTube defaults to low importance for a reason — CPM-based, reach-oriented inventory that converts through view-through and remarketing. Pushing it up is unlikely to find the volume you want. • Most advertisers will use it backwards: dragging YouTube, Maps and Display down to make PMax behave more like a Shopping campaign. • There are no numbers on the slider. Without them, the risk is that it feels like control rather than being control. • Failed experiment or forced evolution? PMax 2026 has more control layers than Smart Shopping ever did — and if Google had to concede, Advantage+ and every other "Max" will follow. Growing Ecommerce is brought to you by smec (Smarter Ecommerce). We help ecommerce brands move from platform-driven to business-driven PPC — 350+ global retailers, €680M+ in annual ad spend, AI-powered software plus human PPC expertise. Resources & links:  ▶ Subscribe for new episodes: https://www.youtube.com/@Smarter-Ecommerce  ▶ All episodes and show notes: https://www.smarter-ecommerce.com/en/podcast/  ▶ Follow smec on LinkedIn: https://www.linkedin.com/company/smarter-ecommerce-gmbh/  ▶ Mike Ryan on LinkedIn: https://www.linkedin.com/in/mikeryanretail/ ▶ Chris Scharmueller on LinkedIn: https://www.linkedin.com/in/christian-scharm%C3%BCller/  ▶ How smec manages Google Ads for retailers: https://www.smarter-ecommerce.com/en/ #PerformanceMax #GoogleAds #GrowingEcommerce #PPC #Ecommerce #GoogleShopping #PaidSearch About Smarter Ecommerce (smec): Smarter Ecommerce (smec) empowers e-commerce brands with AI-driven PPC automation that optimizes for profit and business outcomes while maintaining strategic control. The platform activates first-party data - profit margins, customer lifetime value, and key business metrics - to automate campaign optimization toward goals like profitability and efficient growth, while detailed campaign insights provide full transparency and enable PPC teams to focus on strategic oversight rather than manual execution. As a Google Premier Partner and three-time Microsoft Retail Partner of the Year, smec manages over €500 million in ad spend and drives €5B+ in annual e-commerce revenue for 350+ global retail clients including THG, Snipes, REWE, and Intersport. Make sure to follow smec - Smarter Ecommerce for more performance marketing insights: smec - Smarter Ecommerce: https://www.smarter-ecommerce.com LinkedIn: https://linkedin.com/company/smarter-ecommerce-gmbh Newsletter: https://smarter-ecommerce.com/en/newsletter/ Instagram: https://www.instagram.com/smarterecommerce/

    PMax Channel Controls: What the New Sliders Do to Your Budget
  6. Sep 15

    Amazon Faked a Bidder for 7 Years — What It Cost You

    The FTC says Amazon put a bidder that does not exist into its ad auction — for seven years — so the CPCs you paid on Amazon Ads were never the price the auction produced. Mike Ryan and Chris Scharmüller break down the FTC's case against Amazon Ads: what Amazon is accused of doing to its own auction, what it cost advertisers, and why Amazon's defense is not a denial.  Then the story Amazon would rather talk about — its demand-side platform plugging into ChatGPT ads, and what that does to targeting on a brand-new surface. For in-house PPC and ecommerce teams buying on Amazon, Google and now AI surfaces. Key takeaways: A second-price auction only delivers its benefit if the auctioneer is trusted. The design makes honest bidding safe; a dishonest auctioneer turns that honesty into exposure.The alleged mechanism is blunt: a bidder that does not exist, placed between the real second bid and the winner. The FTC says it ran from 2019 and extracted tens of billions.The damage per click was small by design — calibrated to stay under advertisers' minimum acceptable return, which is why it went unnoticed for seven years.Amazon's defense is not "we didn't." It is "no one was harmed, because targeting gains were pushing CPCs down anyway."Precedent says spend does not move: nobody left Google after the DOJ hearings.Meanwhile, Amazon's DSP brings real first-party targeting to ChatGPT ads — plugging that inventory's biggest gap and giving OpenAI a way to monetise intent it currently leaks to Google.Resources & links: ▶ Subscribe for new episodes: https://www.youtube.com/@smarter-ecommerce ▶ All episodes and show notes: https://www.smarter-ecommerce.com/en/podcast/ ▶ Follow smec on LinkedIn: https://www.linkedin.com/company/smarter-ecommerce-gmbh/ ▶ Mike Ryan on LinkedIn: https://www.linkedin.com/in/mikeryanretail/ ▶ Chris Scharmueller on LinkedIn: https://www.linkedin.com/in/christian-scharm%C3%BCller/ ▶ How smec manages Google Ads for retailers: https://www.smarter-ecommerce.com/en/ About Smarter Ecommerce (smec): Smarter Ecommerce (smec) empowers e-commerce brands with AI-driven PPC automation that optimizes for profit and business outcomes while maintaining strategic control. The platform activates first-party data - profit margins, customer lifetime value, and key business metrics - to automate campaign optimization toward goals like profitability and efficient growth, while detailed campaign insights provide full transparency and enable PPC teams to focus on strategic oversight rather than manual execution. As a Google Premier Partner and three-time Microsoft Retail Partner of the Year, smec manages over €500 million in ad spend and drives €5B+ in annual e-commerce revenue for 350+ global retail clients including THG, Snipes, REWE, and Intersport. Make sure to follow smec - Smarter Ecommerce for more performance marketing insights: smec - Smarter Ecommerce: https://www.smarter-ecommerce.com LinkedIn: https://linkedin.com/company/smarter-ecommerce-gmbh Newsletter: https://smarter-ecommerce.com/en/newsletter/ Instagram: https://www.instagram.com/smarterecommerce/

    Amazon Faked a Bidder for 7 Years — What It Cost You
  7. Sep 8

    Everyone Raised Their tROAS 12% — Most of Them Shouldn't Have

    Google's August 17 bidding update didn't move CPCs. It moved advertiser behaviour — and most of the market reacted to a change that never touched them. The update removed the conservative buffer that artificially lowered bids on campaigns limited by budget. Those campaigns had been quietly over-delivering efficiency for years by picking up cheap, high-value clicks. Google's position: performance now trends toward the target you actually set, over one to two conversion cycles. Mike Ryan pulled the first data across smec's managed accounts. CPCs have not moved in any notable way — anyone showing you day-after impact is showing you noise. Nobody opened their budgets either; the share of campaigns flagged as limited by budget stayed flat. Instead, advertisers raised their targets: the median tROAS in affected campaigns moved 4% the week before the change and 12% the week of it. Then it gets strange. Campaigns that were never limited by budget — 75 to 85% of the population, and an enormous share of total spend — raised their targets by a median of 9%. No tool prompted them. No exposure. They tightened out of fear. Spend fell roughly 10% that week. Which is where the opportunity sits. If a large share of the auction has gone defensive for no reason, the slack is available to whoever doesn't follow. Full data drops mid-to-late September. Key Takeaways - Google isn't raising your CPCs — it stopped artificially lowering your bids on budget-limited campaigns. - No notable CPC movement yet, and conversion data is still too green to read. - Advertisers chose targets over budget: median tROAS up 12% in affected campaigns, while the limited-by-budget share stayed flat. - Campaigns that were never affected raised targets 9% anyway. A fear reaction, not a strategy. - Market spend fell around 10% that week — the opposite of what the change was designed to achieve. - If your campaigns aren't limited by budget, hold your targets or push harder. Expect the window to close going into Q4. Resources & Links - Mike Ryan on LinkedIn: https://www.linkedin.com/in/mikeryanretail/ - Chris Scharmueller on LinkedIn: https://www.linkedin.com/in/christian-scharm%C3%BCller/ - smec Campaign Orchestrator: https://smarter-ecommerce.com/en/platform/ About Smarter Ecommerce (smec): Smarter Ecommerce (smec) empowers e-commerce brands with AI-driven PPC automation that optimizes for profit and business outcomes while maintaining strategic control. The platform activates first-party data - profit margins, customer lifetime value, and key business metrics - to automate campaign optimization toward goals like profitability and efficient growth, while detailed campaign insights provide full transparency and enable PPC teams to focus on strategic oversight rather than manual execution. As a Google Premier Partner and three-time Microsoft Retail Partner of the Year, smec manages over €500 million in ad spend and drives €5B+ in annual e-commerce revenue for 350+ global retail clients including THG, Snipes, REWE, and Intersport. Make sure to follow smec - Smarter Ecommerce for more performance marketing insights: smec - Smarter Ecommerce: https://www.smarter-ecommerce.com LinkedIn: https://linkedin.com/company/smarter-ecommerce-gmbh Newsletter: https://smarter-ecommerce.com/en/newsletter/ Instagram: https://www.instagram.com/smarterecommerce/

    Everyone Raised Their tROAS 12% — Most of Them Shouldn't Have
  8. Sep 1

    ChatGPT Ads Hit Europe: Why Your First 3 Months Will Disappoint

    ChatGPT Ads are live in 31 European markets — but your account can't use tROAS, remarketing, demographics or an API yet. Here's what to actually expect. OpenAI announced on 18 August that ChatGPT Ads are rolling out across Europe, and advertiser demand is already enormous. Mike Ryan and Chris Scharmueller go through what advertisers really get on day one — and where the expectation gap is going to hurt. The headline: this is not a self-serve platform in Europe yet. Right now you need a certified agency or ad tech partner to run ChatGPT Ads, with self-serve promised "later this summer" (at the time of recording, that window is closing fast). Advertisers already live on self-serve in markets like the US can target Europe today, which makes international teams the unintentional early winners. Then we go feature by feature against Google Ads, using our own comparison table: Keyword targeting: doesn't exist. You get contextual hints, roughly equivalent to Google's search themes — and there's a real question whether OpenAI ever adds keywords, because keyword targeting would make ChatGPT look like Google Search. Demographics: not available. No age, gender or income targeting, at a time when Google is giving that control back even in PMax. Geography: country level only. No region, postcode or radius targeting — workable for national brands, a problem for anyone local. Customer Match: hashed emails and phone numbers, but with a ~25,000-match minimum that rules out most SMB lists. Google has no minimum. Remarketing and lookalikes: not available. Bidding: CPM, CPC and a conversion objective (oCPC) — but no tROAS and no value-based bidding of any kind. Nothing that connects your bids to your actual margin. Measurement: pixel plus a conversions API, Meta-style, with up to a two-day lag — against Google Tag's near real-time data and enhanced conversions. Product feed: genuinely good. OpenAI's ACP feed specs are strong enough that Google has borrowed from them. This is where they're closest to parity. Campaign management: no public API yet. The one structural advantage ChatGPT Ads have in Europe: Google hasn't launched ads in AI Mode here. For now, ChatGPT is the only way to buy placement next to an AI answer — and that window will close. Which leads to the real argument of the episode: if every platform claims your revenue, you need a measurement layer above the platforms. Marketing mix modelling stops being a nice-to-have and becomes priority number one — including a live client example where MMM showed Meta contributing far more than platform reporting suggested. Our take: arrive at the party early, but don't judge it by quarter-one performance, and don't spend a euro you can't attribute independently. Key Takeaways: Europe gets the stripped-down version. No keyword targeting, no demographics, country-level geo only, no remarketing or lookalikes, no tROAS or value-based bidding, and no public API. Add a 25,000-match minimum on Customer Match and most SMB lists are out. Plan your test around what the platform can actually do, not around what you assume it does.The one real advantage is temporary. Google has not launched ads in AI Mode in Europe, so ChatGPT Ads are currently the only way to buy a placement next to an AI answer. Expect Google to close that gap in Q3/Q4 — so if that is your reason to test, test now.Measurement is the decision, not the channel. Every platform will claim your revenue, and ChatGPT will be no different — on a pixel plus conversions API with up to a two-day lag. Marketing mix modelling stops being a nice-to-have: without an objective layer above the platforms, you cannot prove whether ChatGPT Ads are incremental or just re-attributing clicks Google would have won anyway.Three months is not a verdict. Demand right now is FOMO-driven and expectations are running ahead of the product. Go in framed as a test, give it longer than the usual quarter, and do not shift performance budget until incrementality is proven.— Resources & Links: Access all our webinars, reports, and playbooks in our Knowledge Hub: https://smarter-ecommerce.com/en/knowledge-hub/How is your industry stacking up in the market? Find out with smec's Google Ads Benchmarks: https://smarter-ecommerce.com/en/smec-market-observer/Earlier episode on OpenAI's CPC model and the $60 effective CPM: Don't Buy ChatGPT Ads Until You Watch This (Plus: The Google Cloud vs AWS Cage-Match)About Smarter Ecommerce (smec): Smarter Ecommerce (smec) empowers e-commerce brands with AI-driven PPC automation that optimizes for profit and business outcomes while maintaining strategic control. The platform activates first-party data - profit margins, customer lifetime value, and key business metrics - to automate campaign optimization toward goals like profitability and efficient growth, while detailed campaign insights provide full transparency and enable PPC teams to focus on strategic oversight rather than manual execution. As a Google Premier Partner and three-time Microsoft Retail Partner of the Year, smec manages over €500 million in ad spend and drives €5B+ in annual e-commerce revenue for 350+ global retail clients including THG, Snipes, REWE, and Intersport. Make sure to follow smec - Smarter Ecommerce for more performance marketing insights: smec - Smarter Ecommerce: https://www.smarter-ecommerce.com LinkedIn: https://linkedin.com/company/smarter-ecommerce-gmbh Newsletter: https://smarter-ecommerce.com/en/newsletter/ Instagram: https://www.instagram.com/smarterecommerce/

    ChatGPT Ads Hit Europe: Why Your First 3 Months Will Disappoint

About

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

You Might Also Like