Why DTC Brands Fail at Google Ads (And How to Fix It)

Hey everyone,

Welcome back for another bite to chew on.

Google is kind of the forgotten little brother of the eCom marketing family. 

Meta has run away with things over the years, absorbing almost 70% of most DTC ad budgets.   

But SEM isn’t dead. It’s just different. 

And a lot of brands just give up before they can crack the Google code, focusing more on Meta + influencer instead. 

I (Ash) recently hosted an advanced SEM webinar with the growth team at Digicom. For 90 minutes, we fielded questions from founders spending anywhere from $5K to $500K monthly on Google. 

Here's what became crystal clear: everyone's dealing with the same core challenges.

Today, we're breaking down the most common questions and giving you key tactics and strategies that will turn Google from an afterthought into a key growth channel.

On the Menu: 

• Getting Your Campaigns to Actually Spend 

• Competing Without Burning Cash

• Making PMax Work for You

👀 Your margins aren’t disappearing. They're hiding.

We get it. Times are tough. Global trade wars, rising costs, and shrinking customer budgets. 

But don’t panic. 

Your margins aren’t gone. You're just not looking in the right spots.

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Join experts from GrooveLife, Moonbrew, Triple Whale, Shopify, Stay AI, and more. They will show you the hidden profit opportunities they've discovered when traditional tactics stop working.

From checkout optimization and loyalty unlocks to essential tech stacks and consumer psychology, this event will help you protect your margins and battle tariff uncertainty.  

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😡 Getting Your Campaigns to Actually Spend

Q: "My campaigns are stuck in the learning phase and won't spend budget. What's wrong?"

This was hands down the most asked question, and it's driving founders crazy. 

You set up campaigns, allocate budget, and...Google spends $50 of the $500 you targeted.

🤔 Here's what's actually happening →

🚩 Problem #1: Your math doesn't add up

If your target CPA is $50 but your daily budget is $30, Google literally can't hit your target even with one conversion per day. 

The algorithm knows this, so it stops spending.

🛠️ The fix: Budget should be 2x your target CPA, minimum.

Want a $50 CPA? Set at least $100 daily budget. This gives Google room to get the conversion data it needs to optimize.

🚩 Problem #2: You're being too aggressive, too fast

One founder told us he launched with a 4x ROAS target because "that's what we need to be profitable."

His campaigns never spent more than $200 in a single day.

Because Google needs conversion data before it can hit aggressive targets. You need to start embarrassingly low, then optimize up.

📈 The gradual increase strategy: 

• Week 1-2: 0.5x ROAS (data collection mode) 

• Week 3-4: 1.0x ROAS (break-even testing)

• Week 5+: Increase to your profitability target

Digicom watched one supplement brand follow this exact process. They wanted 3x ROAS but started at 0.5x. 

Within 6 weeks, they were at 2.8x ROAS and spending their full budget daily.

🚩 Problem #3: Not enough conversion volume

Google needs 50+ conversions to exit the learning phase. If you're getting 3-4 conversions per week, you're essentially starting over every few days.

🛠️ The fix: Sometimes you need to temporarily lower your CPA target just to generate enough conversions for the algorithm to learn. 

Think of it as an investment in data.

💸 Competing Without Burning Cash

Q: "My brand is new and I can't afford to compete with big brands on Google. What do I do?"

This question came up in 3 different ways, and we get it. When you're seeing $8+ CPCs for "protein powder" and $12+ for "skincare," it feels impossible.

Here's the thing: you don't compete with mega brands head-to-head. 

👀 You compete where they're not looking.

Strategy #1: Go long-tail, get specific

Instead of "protein powder" ($8+ CPC), target "plant-based protein powder for weight loss" ($2-3 CPC).

Instead of "skincare" ($12+ CPC), target "skincare routine for sensitive acne-prone skin" ($3-4 CPC).

🧠 Why this works: 

• Lower competition = lower costs 

• Higher intent = better conversion rates

• More specific = easier to create relevant landing pages 

• Better Quality Scores = lower costs over time

A collagen brand in our network couldn't compete for "collagen supplements" but dominated "marine collagen for joint pain" and "collagen peptides for postpartum hair loss." 

They built market share in specific niches and then expanded to broader terms.

Strategy #2: Target problems, not products

Big brands optimize for product keywords because they have massive catalogs. But you can target the specific problems your product solves.

🎯 Instead of "joint supplements," target "supplements for joint pain from running." 

🎯 Instead of "sleep aids," target "natural sleep help for new moms."

The content strategy: Build landing pages that specifically address these long-tail searches. Don't send "collagen for postpartum hair loss" traffic to a generic collagen product page.

Create a page that talks specifically about postpartum hair loss, how collagen helps, and why your product works for new mothers.

Strategy #3: Use geographic and demographic targeting

Big brands often focus on national campaigns with generic messaging. You can dominate by being more specific:

• Target "collagen for women over 50" instead of just "collagen" 

• Focus on specific geographic regions where you have advantages

• Create content for underserved demographics

One skincare brand we know focused entirely on "skincare for construction workers" and dominated that niche before expanding.

🤖 Making PMax Work for You

Q: "How do I know if my Performance Max campaign is actually working?"

Performance Max is like Meta's Advantage+ campaigns - less control, but (sometimes) better performance. 

The most common problem is a great-looking ROAS in the dashboard, but you're not sure if it's actually driving growth.

Here's how to audit your PMax campaigns →

🚩🚩 Red flags to watch for: 

• High percentage of Display spend (often means budget is too high)

• Decreasing customer lifetime value (retargeting existing customers)

• Mostly branded search terms (limited growth potential)

✅ Green flags to look for: 

• High Shopping/Video spend percentage (new customer acquisition) 

• Mix of branded and non-branded conversions 

• Stable or improving customer lifetime value

🩺 The monthly checkup process:

1. Review placement performance - Where is your budget actually going?

2. Analyze search terms when available - Are you showing up for relevant searches?

3. Check customer quality metrics - LTV, repeat purchase rate, new customer percentage

4. Compare new customer percentage to other channels - Is this expanding your reach?

🧰 Operator Toolbox

Don’t miss the Aftersell Margin Recovery Event (June 14-15). Attend for free to learn how to save your margins in this environment (and get a chance to win some prizes too). Sign up here.

🔹 Gorgias - The customer service platform we use to manage 10’s of thousands of orders a month with just a handful of staff. AI + deep integrations across our stack make it possible. Learn more →

🔹 SARAL - UGC has never been more important to scale your marketing. SARAL is the influencer/creator management tool we use to make it happen. Find, track, and manage influencers with ease → 

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