Start measuring product performance in relation to goals! Easily set and manage product goals for your catalog on the Product Settings page within My Products.
What are Product Goals?
Product goals represent where a product is in its lifecycle stage. The current lifecycle stage of a product will inform you on how to think about your advertising strategy and how much of your product margin you may need to sacrifice to generate ad sales.
There are 4 lifecycle stages:
Launch: Product is introduced to the market. The goal is to increase visibility and traction to establish product-market fit. Defined by low sales, high spend, high TACoS small/negative profits.
Growth: Product is accepted by customers, goal is to increase product's market share. Defined by increased sales, reduced TACoS, slim profits.
Profit (Maturity): Product is established. Demonstrates steady sales velocity and healthy ranking. Goal is to maximize profits by continuing to win the existing market (maintain). Defined by decrease in spend, reduced ACoS, stable sales.
Liquidate (Decline): Product is underperforming or no longer relevant in market. Shift your focus to reducing costs and budget reallocation to minimize profit loss. Defined by decrease in sales and spend.
For more information on the 4 stages (and to learn when to advance to the next stage) read “What are Product Goals”.
Setting Product Goals in Flywheel
Maintaining Product Goals
How do you know when to move a product to the next lifecycle stage?
The amount of time spent in stage will vary depending on your product, category, and advertising strategy. The best way to gauge when it’s time to advance to the next stage is by focusing on metrics.
Keep an eye out for changes in your TACoS and how buyers are searching for your products.
A decrease in TACoS indicates you're getting more sales organically and advancing through the lifecycle stages. Learn more here.
Increased spend on branded terms indicates increased brand awareness and may be time to move into Growth stage
Here's a snapshot of what a typical lifecycle looks like:
What happens if I make changes to my goals in Flywheel?
Changing your goals in Flywheel will not automatically impact your other settings, such as MACS or Flywheel created campaigns.
However, you should be making changes to your ad strategy to reflect the new stage. This may include creating branded campaign, adjustments to MACS, stricter parameters for taking keyword actions.
Remember, advertising is a marathon, not a sprint. Any time you make changes to your strategy you should expect to start seeing changes in performance within 2-4 weeks.
Some tips for success: