AC
Shopping Ads CertificationAnswer verified

What is one way that Performance Planner helps businesses increase sales?

By choosing ad types that your target demographic finds most appealing
By relying on customer feedback for optimal ad placement
By providing a discount on all ads after purchasing a license
By maximizing the number of conversions for a spend scenario

Correct Answer

By maximizing the number of conversions for a spend scenario

Key takeaways

  • It maximises conversions achievable for a given spend scenario.

  • The gain comes from allocating the same budget better.

  • It does not choose ad formats or offer pricing discounts.

Why is this the correct answer?

The Planner works in spend scenarios: for a given budget, it forecasts the maximum conversions achievable and shows how to distribute that budget across campaigns to get there. Increasing sales therefore comes from allocating the same money better, rather than from creative choices or discounts. It is an arithmetic exercise grounded in auction data.

Why are the other options wrong?

By choosing ad types that your target demographic finds most appealing

Ad type selection is a creative and campaign decision. The Planner forecasts spend outcomes rather than choosing formats.

By relying on customer feedback for optimal ad placement

Customer feedback plays no part in placement. Placement is decided in the auction.

By providing a discount on all ads after purchasing a license

There is no licence to buy and no discount on ads. Google Ads is bought per click or impression through the auction.

Frequently asked questions about this topic

Can it tell me whether to spend more overall?

Yes, indirectly. By showing forecast conversions at several spend levels it reveals where the curve flattens, which is the point at which extra budget stops buying proportionate returns. That is usually the most valuable thing in the plan.

About the Shopping Ads Certification

The Shopping Ads Certification checks that you can run retail campaigns end to end: product data in Merchant Center, linking it to Google Ads, and choosing between Standard Shopping and Performance Max to drive sales and value.

Exam guide and all 407 Google Ads Shopping questions →

Related Google Ads Shopping questions

  1. 1Molly wants to clear her remaining stock in preparation for ordering a new line of products to sell. As a result, she’s willing to increase her CPA (cost-per-acquisition) and investment, as long as it means generating more sales. Her current campaign has a total investment of $25,500, generates 1,500 conversions, and has a CPA of $17. Which plan, built in the Performance Planner, will help Molly with her marketing goal to generate more sales?Explained
  2. 2What’s one way to use Google’s data across all platforms, to increase your retail company’s performance and profitability?Explained
  3. 3What is one of the reasons why an advertiser should consider using Performance Planner on a monthly basis?Explained
  4. 4Ben is currently managing a campaign that has a total investment of $7,000, generates 1,400 conversions, and has a CPA (cost-per-acquisition) of $5. Ben needs to sell excess inventory. To meet this goal, he’s willing to increase his CPA and campaign investment. Which of the following plans, built in the Performance Planner, will assist Ben in achieving his marketing goal of selling excess inventory?Explained
  5. 5What’s one way to increase your business profitability?Explained
  6. 6What’s one way the increase in mobile apps, screens, and other surfaces has changed how consumers shop?Explained