Targeting Product Listing Ads in Google Shopping
Product targets allow you to select which products are eligible to show on product listing ads, and they also allow you to bid differently on different sets of products. You need at least one product target in order to run product listing ads since they tell us what products you want to promote. You can manage your product targets through the Auto Targets tab that appears once you link your Merchant Center account to a campaign.
You can define groups of products by choosing attributes from your Google Merchant Center feed and set which values those attributes should have for the products you specify. You may need to create additional attributes in your Merchant Center feed in order to use some product target settings. Once you've defined a group of products in this way, your product listing ads in the ad group will be eligible to show for any customer searches that are related to the products you've specified.
Example product target attributes
brand: The product's brand as specified in your Merchant Center account. Example: Google
product_type: The product's category. Examples: shoes, high heels, or fridge (Learn more about this attribute)
condition: The condition of the product. Examples: new, used, and refurbished
adwords_grouping: A custom defined grouping of products. This attribute only accepts one value per product. You can create your own grouping as you see fit. Examples of custom groupings could be those of grouping the products per season, per designer, per manufacturer, per year, per model, etc.
adwords_labels: The same as adwords_grouping but it accepts multiple values. You can group your products in two different concurrent groupings. For example, cars grouped by model and by manufacturer.
If you have to use the attributes for custom grouping (adwords_labels or adwords_grouping) we recommend you use adwords_labels if you're doing a CPC implementation since it's more flexible. If you're doing a CPA % implementation, your only choice is adwords_grouping. The attributes listed above won't be available for use with product targets.
See more attributes
Default Product Targets: All products
You can create a product target which simply specifies "All products" in your feed, if you don't need to specify a particular subset of your products. This "All products" target is created by default in any new ad group in a campaign that has a Google Merchant Center feed associated with it.
Product Target Bids
Like unique placement and keyword-level bids, you'll also be able to set bids for your product targets. This will allow you to specify how much you are willing to pay when a customer clicks on a product listing ad triggered by a particular target.