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Considerations for Product Shopping Ads
Last updated, March 2024

Note: The Product Shopping Ads (PSA) feature is already available to all TikTok Shops in Indonesia, Malaysia, the Philippines, Singapore, Thailand, Vietnam, and the United States.


Advertisers can create Product Shopping Ads on TikTok Ads Manager. Learn how to advertise using product images from TikTok Shop.


1. Use All Products vs Selected Products:

  • Always aim to have at least one active campaign with "all products" to maximize the opportunities of having the ad shown in relevant moments. Shopper behavior in Shopping Centers is diverse; the more products you select, the higher the chance of getting your product exposed.

  • Create campaigns with "selected products" when you have specific products with attractive deals, hot-selling products in general, or new products, in order to allocate dedicated budgets to these products.


2. Add relevant search keywords to the product name and enhance the product's first image:

  • Test optimizing the product name to surface the most relevant keywords in the product title. The product name can be revised in the Seller Center.

  • Select the most representative first image for the product. Product images can be revised in the Seller Center.


3. Set competitive bids:

  • When using the Highest Gross Revenue bidding:

    • Set the initial budget at ~$50 or ~20 times your expected cost per purchase.

    • Adjust your budget gradually.

  • When setting the Minimum ROAS threshold:

    • Set minimum ROAS expectations based on your business requirements.


4. When to increase the daily budget:

  • It is recommended to increase the budget when the recent budget utilization exceeds 80% and performance is satisfactory. The system does not always spend close to 100% of the budget because the system tries to avoid overspending.

  • If you are using the Highest Gross Revenue bid strategy, you may increase the budget by ~30% once per day and observe the ROAS changes. If the ROAS is still higher than your expectation, you can keep increasing the budget step by step.

  • After increasing the budget, you may see a slight decrease in ROAS before it recovers. Please observe the ROAS for 2-3 days. It will tend to stabilize.

  • Highest Gross Revenue bid strategy works in the following use case: We suggest that you set a minimum ROAS threshold and increase the budget once the ROAS achieves the minimum ROAS threshold. In this way, you can aim to get higher gross revenue.


5. When to evaluate results:

  • If you have obtained 2 purchases from the ad group, it is recommended not to evaluate the performance in a hurry. You may test adding some budget on the Highest Gross Revenue bidding or decrease the Minimum ROAS threshold by a little to help the algorithm learn and the ad passes the learning phase.

  • Typically, upon getting 10-20 purchases, it's time to evaluate the results.


6. Simple troubleshooting steps:

  • If you find that your ads are not spending, then

    • Check your account balance. Did the balance drop to $0, resulting in no further spending possible?

  • If you find that your ad spending is too little, then

    • Check your account balance. Is there sufficient balance?

    • Check how many products you select. Too few products may cause low delivery of ad impressions.

    • Check your targeting. Whether the audience estimation "Narrow"? A narrow audience will likely cause under-delivery.

  • If ROAS suddenly dropped, then

    • Check if the product offers/deals are still competitive, in stock, and available for purchase.

    • Try to change the product name and add relevant hot search keywords in the product name.

    • Try to change the product image.

  • If ROAS suddenly increased, then

    • Please observe for 1-2 days before taking action.

    • If you are using the Highest Gross Revenue bid strategy, you may try to increase the budget. Please increase the budget by ~30% once per day and observe the ROAS changes. If the ROAS is still higher than your expectation, you may keep increasing the budget step by step.

    • If you are setting Minimum ROAS expectations, please check how much of the budget has been utilized. If more than 80% of the budget has been used, you may increase the budget.


7. Always pay attention to the account balance. When the account balance is lower than 3 days of average spending, it's time to consider topping up.

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