5 Things Search Advertisers Should Know About Tinuiti's Q3 2024 Digital Ads Benchmark Report

Tinuiti released its Q3 2024 Digital Ads Benchmark Report and I wanted to share some highlights that I think could impact how advertisers think about their search marketing efforts. My focus was on the search advertising portion of the report so be sure to check out the full report for more great info about other types of online ads.

Ecomm advertisers usually compete against these big 5

First, for ecommerce advertisers, the competition in Google Shopping is often defined by a select few major players, with Amazon, Walmart, Temu, Target, and eBay frequently leading in impression share. For brands, this makes it critical to think about your unique value proposition. Ask yourself why a customer should choose you over these big names and address that question in your ads. It’s all about differentiation—making clear why your product or service stands out from the competition.

PMax shopping ads are showing non-shopping ad formats more often

Moving to Google’s Performance Max campaigns, there’s been a notable increase in non-shopping ads for retail advertisers. This trend makes it essential to keep an eye on channel placement reports.

Tools like the Optmyzr placement report allow you to track where your PMax ads are being displayed. Knowing where your ads show up can help you optimize performance by placing emphasis on higher-value channels.

Image: Optmyzr’s Pmax Channel Distribution reporting widget

PMax placements are shifting to higher quality networks

On a similar note, PMax has also seen a shift in the quality of its placements. Google’s owned-and-operated inventory now makes up a greater share of impressions, while the Display Network—a channel often associated with lower-quality placements—has seen a decrease. This shift indicates that Google is directing more PMax traffic to its own properties, potentially providing advertisers with a more favorable environment for their campaigns.

PMax conversion rates are declining compared to standard shopping

Despite these benefits, however, PMax has shown a decline in conversion performance compared to standard Google Shopping campaigns. This performance dip is a primary reason why some advertisers are returning to standard shopping campaigns, prioritizing those channels with the highest conversion rates. It’s a reminder to continuously review campaign performance metrics to ensure each ad dollar is effectively spent.

AI overviews are messing with metrics like CTR

Finally, we’re seeing an interesting trend with Google’s AI Overviews. These have impacted click-through rates (CTR), especially for non-brand keywords on mobile devices. As these AI-driven summaries take up more space in the search results, they’re capturing attention that might otherwise go to text ads. CTRs for certain segments dipped after the AI Overviews launched, but recent months have shown signs of stabilization. Monitoring these changes in CTR can be valuable, especially as Google continues to enhance its AI capabilities within the SERP.

Take a read through the full report and let me know what you thought are the most interesting take-aways.