Restructuring a 20,000+ SKU Google Ads Account to Reduce CPA by 30% & Increase ROAS by 25%

Overview

A large e-commerce brand approached me with a clear challenge:
reduce CPA while maintaining strong ROAS — without increasing the advertising budget.

The Google Ads account contained more than 20,000 products, yet the structure, tracking setup, and campaign strategy were preventing the business from scaling efficiently.

Key Challenges Identified During the Audit

1. No Server-Side Tracking

The account relied only on browser-based tracking, which caused a major data accuracy issue.
More than 70% of conversions were not being captured, leading to incorrect bidding signals.

2. Unstructured Product Feed

All 20K+ products were pushed into the same campaigns with no segmentation.
Prices ranged from $20 to over $1,200, yet they were treated the same — harming efficiency.

3. One PMax Campaign for Everything

A single Performance Max campaign was running all products, with no control over performance, spend distribution, or product-level optimization.

4. Misaligned Bidding Strategies

The bidding methods used did not match the business goals, causing wasted spend and unstable performance.

What I Implemented

1. Server-Side Tracking Upgrade

I implemented a complete server-side tracking setup, improving tracking accuracy to 95%+.
This allowed Google’s bidding algorithms to finally receive accurate data and optimize properly.

2. Product Segmentation Using Custom Labels

I restructured the 20K+ SKU feed with new custom labels based on:

• Price tiers
  
• Business goals
  
• Product value and margin
  

This enabled precise control over campaign objectives:

• Low-priced products → Maximize Conversions (optimize for lower CPA)
  
• High-value products → Target ROAS (maximize revenue and AOV)
  

3. Full Campaign Restructure

Search

• Dedicated Branded Search Campaign to isolate brand traffic and protect branded performance.
  

Performance Max

• PMax (Feed Only) — Low Value Products
  
• PMax (Feed Only) — High Value Products
  
• PMax (Assets Only) — Retargeting to capture warm users and abandoned sessions.
  

Shopping

• Standard Shopping Testing Campaigns to identify new opportunities and product clusters.
  

This new architecture ensured:

• Full visibility
  
• Clear budget control
  
• Tailored bidding strategies for each product group
  
• Scalable structure for future growth
  

Results

After restructuring the account and optimizing the feed, tracking, and bidding:

CPA reduced by more than 30%

ROAS increased by over 25%

ad spend reduced 13% while increasing conversions by 24%

Achieved both results without increasing the budget

The account became significantly more stable, scalable, and profitable.