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Should I exclude low-margin products from my Google campaigns?

The short answer

Yes, and it matters more than most founders think, accounts that exclude low-margin SKUs from Shopping and PMax report up to 40% higher ROAS because Google's AI stops wasting spend chasing volume on products that don't move your profit. Build product groups or a feed label around margin, then bid and structure around your actual profitable core, not your full catalog. This is a five-minute feed fix that compounds every week you run ads.

A quick summary to orient you. The real value is below: the resources worth your time, from people who've actually done it, not us.

Here are the resources

Hand-picked from around the web, each with a note on why it earns your time. India-specific ones carry a badge.

4 resources 1 India-specific 3 link-checked

Read

📄 Article
✓ Link checked Free Intermediate

Why we picked it A practitioner's honest read on where PMax actually delivers for ecommerce versus where founders overtrust the automation, including the margin-exclusion tactic that measurably lifts ROAS.

Performance Max for Ecommerce: What Actually Works in 2026

From Store Growers by Store Growers

  • 60-80% of PMax spend should land on Shopping for a healthy account
  • Excluding low-margin products can lift ROAS materially
  • Signs your feed, not your bidding, is the real bottleneck
Open storegrowers.com
📄 Article
✓ Link checked India Free Intermediate

Why we picked it Frames Google spend as one piece of an Indian D2C brand's blended channel mix (with a suggested 25-30% allocation to Shopping/PMax), useful for deciding how much of your budget Google should actually get.

D2C Performance Marketing in India: The 2026 Playbook

From upGrowth by upGrowth

  • Suggested channel mix allocation including Google Shopping/PMax
  • India-specific CAC and margin context
  • How Google fits alongside Meta and WhatsApp in the budget
Open upgrowth.in
📄 Article
✓ Link checked Free Advanced

Why we picked it Answers the real operational question once you've outgrown 'just run PMax', how to keep a standard Shopping campaign running productively alongside it instead of letting them cannibalise each other.

How to Run Google Shopping Alongside Performance Max in 2026

From Smarter Ecommerce by Smarter Ecommerce

  • Hybrid setup: PMax for scale, standard Shopping for control
  • How to avoid PMax and Shopping bidding against themselves
  • When segment-specific standard campaigns still outperform PMax
Open smarter-ecommerce.com
📄 Article
Free Intermediate

Why we picked it A concrete, numbers-backed case study of what actually moved a PMax account's revenue, useful as a sanity check against vague 'AI does everything' claims.

eCommerce Performance Max Case Study: 76.3% Increase in Revenue

From Go Inflow by Go Inflow

  • 76.3% revenue increase attributed to specific feed and structure changes
  • Real before/after account decisions, not just theory
  • Shows the compounding effect of margin-based product exclusions
Open goinflow.com

People also ask

How is Google Ads different from Meta ads for my D2C brand? Google is a capture engine, people already know what they want and are searching for it, so you're paying to be found, not to interrupt. Meta is a ... Beginner 3 resources → What is Performance Max and should I run it instead of Shopping ads? Performance Max is Google's single automated campaign that runs across Search, Shopping, YouTube, Display, Gmail and Discover, letting AI decide wh... Intermediate 4 resources → How do I set up my product feed for Google Shopping and PMax properly? The feed is the actual product you're advertising, not a technical afterthought, if titles, images and categories are wrong or thin, no amount of A... Intermediate 4 resources → How many conversions do I need before Google's AI can actually optimize my campaigns? Google recommends at least 30-50 conversions in the trailing 30 days before Performance Max has enough signal to optimise well, below that you're e... Beginner 4 resources → Is it worth hiring a Google Ads agency in India, or should I run it myself? Below roughly Rs 3-5 lakh/month in Google spend, DIY with the free Skillshop training is usually fine, the mechanics aren't as creative-dependent a... Intermediate 3 resources → What LTV:CAC ratio should my Indian D2C brand actually be targeting? The textbook target is 3:1 (every Rs 1,000 spent acquiring a customer should return at least Rs 3,000 in lifetime revenue), but many Indian D2C bra... Intermediate 4 resources →
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