Keyword Bid Modifier

How Keyword Bid Modifier Is Enhancing Kroger Search Ad Strategies

September 05, 2024

In the fast-paced world of grocery shopping, search is a critical touchpoint. When consumers hit the search bar, they’re often filling their carts with a wide array of products — often 15 or more items.

However, unlike in other retail categories, grocery shoppers typically search by category rather than by brand. They're looking for "soup," "yogurt," "crackers," or "toothpaste," rather than specific brand names.

This presents an important opportunity: If you are seen in these search results, then you stand to capture market share at a crucial moment.

This is where our new Keyword Bid Modifier comes into play—a feature designed to help your brand win more placements in the search results that are most important.

What is the Keyword Bid Modifier?

Keyword Bid Modifier is a powerful new tool in the Kroger Ad Platform that allows advertisers to boost their bids on specific keywords within Product Listing Ads (PLAs). This feature uses advanced algorithms to recommend relevant keywords that align closely with your brand's products, allowing you to enhance your visibility in search results.

By applying keyword boosts, you can increase your chances of securing higher auction positions, ensuring that your products appear at the top when shoppers search for relevant categories.

How does it work?

The Keyword Bid Modifier is seamlessly integrated into the bidding process for Search & Browse PLAs. Whether you’re working with an existing ad group or setting up a new one, the process is straightforward.

  • For existing ad groups, a “Boost Keywords” option will appear in the bid management screen, allowing you to select and boost eligible keywords.
  • For new ad groups, an additional step prompts you to select products and set base bids before applying keyword boosts.

The bidding process then evolves to include these keyword boosts, which are added to your base product bid.

For example, if your base bid is $1.25 and you add a $0.50 keyword boost, your max final bid becomes $1.75. This adjusted bid then goes through the auction process, with a higher chance of winning an auction for that keyword.

3 ways Keyword Bid Modifier is fueling brand growth

1. Amplifying Product Attributes:

One effective strategy is to amplify specific product attributes using keyword bid modifiers. For instance, a cheese brand can create separate ad groups for sliced, shredded, and block cheese, boosting keywords that align with each product type.

This approach ensures that your bids are more competitive and relevant, targeting only the most pertinent search terms for each set of products. By doing so, you increase the likelihood of your product appearing in searches for exactly what the shopper is looking for—whether it's sliced, shredded, or block cheese.

2. Differentiating Branded vs. Non-Branded Searches:

Another strategic use of keyword bid modifiers is to separate branded and non-branded search terms. By creating distinct ad groups for branded and non-branded keywords, you can prioritize your bids accordingly.

For example, if you want your new product innovations to dominate branded search results, you can set higher boosts for those keywords, ensuring top placement when shoppers search specifically for your brand.

Conversely, you can manage non-branded keywords in a separate ad group with different bid strategies. This method allows you to strategically position your products in both branded and category searches.

3. Prioritizing Campaign Strategies:

Keyword bid modifiers also allow you to align your bidding strategy with overall campaign priorities.

Suppose your brand’s goal is to dominate category search terms while remaining competitive on branded and competitor terms. In that case, you can create a single ad group and tier your bids accordingly—setting the highest boosts for the most critical category terms and lower boosts for branded or competitive keywords.

This approach simplifies your keyword strategy while ensuring that your brand remains visible across all important search queries.

Take action today

Our new Keyword Bid Modifier is a game-changer for brands looking to maximize the impact of their search ad budgets. By leveraging this tool, you can boost your visibility in key search results, align your ad strategies with product attributes, and ensure your brand stands out in both branded and category searches.

Ready to take your search strategies to the next level? Visit the Kroger Ad Platform Learning Center or contact your Kroger Precision Marketing representative today to get started with Keyword Bid Modifiers. Your brand’s next big growth opportunity is just a search away.

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