Google Ads price extensions, created manually within the platform, can appear with your text ads on mobile and desktop if your ad rank is high enough. As the name suggests, these extensions display prices for specific products or services, acting as a combined callout and sitelink extension.

This post will guide you on setting up price extensions in Google Ads at different levels and, more importantly, how to strategically use them for success. Let’s explore some effective price extension strategies.

Setting Up Price Extensions in Google Ads

To create price extensions, navigate to “Ads and Extensions” and select the extensions subcategory. Click the blue plus button and choose “price extension.” You can add these extensions at the account, campaign, or ad group level.

Your account structure dictates the setup and implementation of your price extensions. For instance, in a new account aiming for a baseline of ad extensions to enhance CTR, account-level price extensions should consider all existing campaigns, as they could appear with any text ad within those campaigns. When creating price extensions, select the “Type” that aligns with your offerings: Brands, Events, Locations, Neighborhoods, Product categories, Product tiers, Service categories, Service tiers, or Services. The image below demonstrates selecting “Brands” based on the popularity of certain brands within a specific store. Don’t worry if this doesn’t encompass every campaign, we’ll address that shortly.

The example shows “brand one” and “brand two” as the main headers, with currency customization based on your location. You can also add a price qualifier like “from,” “up to,” or “average.” Each price extension item needs a unique header (up to 25 characters), a price, an optional unit quantity, a description (25 characters), and a final URL. While descriptions can be consistent across items, headlines must be distinct. A minimum of three and a maximum of eight price extension items are allowed. While adding eight might seem tempting, consider how it impacts the extension’s appearance. Here’s an illustration.

As evident in the mobile preview, not all items are immediately visible. While users can swipe through the list, prioritize the most important items at the beginning. Advertisers can reorder these items for optimal visibility. Discover additional ways to enhance your results with our complimentary Google Ads Performance Grader—in just minutes! Relying solely on a single account-level price extension might not be ideal upon closer examination. For instance, displaying prices for Nike, Adidas, and Converse across campaigns, including those unrelated to footwear, might seem out of place. This highlights the need for campaign-level extensions, allowing for tailored price extensions specific to each campaign’s theme.

This way, you have a distinct set of price extensions relevant to the “cookware” campaign. Similar to considering all campaigns when creating account-level extensions, analyze your ad groups while creating campaign-level price extensions. Ensure the campaign-level price extension aligns with all potential search queries triggering ads within that campaign.

Taking a cue from retail’s product structure, consider a campaign with ad groups like Men’s Jeans, Men’s Pants, Men’s Shirts, Men’s Suits, and Men’s Underwear. Since each ad group represents a distinct merchandise category, using more specific price extensions to direct users to precise landing pages makes sense.

While a “brand” type price extension might work, aligning with the product category structure of the ad groups could be more effective. The example demonstrates an ad group-level price extension for “Men’s Shirts,” further categorized into t-shirts, polos, and dress shirts. This granular approach at the deepest level aims to expedite users’ search for desired products. Adding an ad group-level price extension overrides any existing campaign-level extension for that ad group. To retain the campaign-level extension alongside the ad group-level one, duplicate the campaign-level extension at the ad group level. This illustrates the hierarchy of price extension prioritization within your Google Ads account.

Testing Price Extension Strategies

Now that you understand the setup and hierarchy of price extensions let’s explore various testing strategies to identify the most effective layouts for your goals.

1. Price-Based Sorting

A common strategy involves experimenting with price sorting.

Even Google’s default example presents a price extension with items ordered from lowest to highest price. This approach caters to users seeking the most budget-friendly options. However, this might not be universally applicable. Some businesses might want to attract customers seeking premium products or services. In such cases, consider testing price extensions with a descending price order.

This strategy pre-qualifies users by presenting the highest-priced option first, potentially deterring bargain hunters. While the initial price might seem steep, strategically using descriptions like “Most Popular Package” for a mid-range option can subtly nudge users towards it. Remember, the effectiveness of sorting by highest price first requires testing within your specific account.

2. Prioritizing Popular Products

Another approach is to arrange price extensions based on product popularity. Highlight what’s currently trending and in demand.

For instance, a toy store could feature the most popular toys of 2020 based on readily available information. This caters to users actively seeking these specific items. The descriptions can further incentivize purchases with phrases like “In stock” and “Beat the Holiday Rush,” capitalizing on urgency and demand. The key is to prioritize products based on their perceived value and popularity among your target audience.

3. New Product Awareness

Price extensions can also be instrumental in creating awareness for new products or services.

A concert venue, for example, could use price extensions to promote newly announced shows, placing them at the forefront. Similarly, businesses launching software updates, new clothing lines, or any other novel offering can leverage price extensions for enhanced visibility. The focus here is on awareness rather than immediate conversions.

4. Monthly vs. Annual Billing for Subscriptions

Subscription-based businesses can benefit from testing price extensions featuring both monthly and annual billing options.

Emulating the pricing structure of platforms like GoToWebinar, which allows users to toggle between monthly and annual billing, can provide valuable insights.

Create separate price extensions showcasing both billing options, keeping all other elements consistent.

This A/B testing approach reveals which billing cycle resonates better with your target audience. While annual billing might seem daunting to some, testing allows you to make data-driven decisions.

5. Promoting Free Products or Trials

A particularly effective strategy, especially for acquiring leads and driving trial sign-ups, is promoting free products or trials using price extensions.

Google Ads permits using “$0.00” within price extensions, making it ideal for showcasing free offerings. This strategy has proven successful for subscription-based businesses looking to expand their user base through free trials. If you offer any free product or trial with a dedicated landing page, consider incorporating a $0.00 price extension for optimal results.

Begin Testing Google Ads Price Extensions

While setting up price extensions is relatively straightforward, the emphasis should be on strategic testing. Determine what aligns best with your business objectives, whether it’s boosting sales or attracting a specific customer segment. The key is to experiment and analyze to discover the most impactful price extension strategy for your Google Ads account.