Last updated on May 15, 2024

How to use the Producthero  Labelizer Strategy for Performance Max Campaigns

With the introduction of Performance Max campaigns, Google takes more control and gives less insights into the advertiser. The Producthero Labelizer Strategy is a perfect strategy to get more control and insights. And above all: increases the performance of your campaigns by forcing Google algorithms to be more efficient. In this article, we will go into how you can set up the Producthero Labelizer Strategy for Performance Max campaigns.  

Last summer (July-September 2022) Smart Shopping campaigns were automatically upgraded to Performance Max campaigns. For more information on what Performance Max campaigns are, read our article: Everything you need to know about Performance Max.

In this article, we will explain how to actually set up a performance based campaign. More specifically, how to set up a Performance Max campaign using the Producthero Labelizer Strategy! We have tested this with many retailers and agencies, and collected a few tips which we will share with you.

1. Setting up the Labelizer Strategy in the former Producthero App

First, go to Labelizer on the left menu in the Producthero App.

If you have already upgraded to PRO, you will see an overview of your product performance. Additionally, you will have access to the bid strategy in the Labelizer Wizard and see the distribution of your products between the four labels: Heroes, Sidekicks, Villains and Zombies.

After you have activated the Labelizer in our App, you can click on the “Need help” button to see how to set up the tool in the App environment. 

2. Setting up the Labelizer Strategy in the new Producthero Platform

In the new Producthero Platform, you have access to the Producthero Labelizer Strategy in the Advertising section. 

The best part is that everyone joining Producthero get access to the overview of your product performance, as well as the distribution of your products over the four labels (Heroes, Sidekicks, Villains and Zombies) and the recommended strategy. This will allow you to show why the Labelizer Strategy is important for your organisation. If you are ready to use the Producthero Labelizer Strategy in your Google Ads campaigns and make the most of your advertising budget, then you need to upgrade to PRO.

3. Setting up Performance Max + Labelizer Strategy in Google Ads

In order to get the highest performance from your Performance Max campaigns, it is recommended to set up 5 different campaigns with your historical data.

  1. Heroes
  2. Sidekicks
  3. Villains
  4. Zombies
  5. Fallback

If you have less than 30 conversions for either Heroes and Sidekicks in the last 30 days, we advise combining numbers 1 (Heroes) and 2 (Sidekicks). In that case, you need to set up 4 campaigns.

Note: If you don’t have any historical shopping ads data, we advise you to start with one campaign first (with all products) and link it to Producthero. By doing this, Google is able to collect data fast and as the number of conversions increases, labels in the Producthero Platform will start to form. After you have gathered enough conversion data, you can create a campaign for each label.

We will explain step by step how to set up a Performance Max campaign for the label: Heroes. These are the steps for setting up a PMax campaign:

  1. Select Campaign Goal
  2. Budget and Bidding
    • Budget
    • Bidding
  3. Campaign Settings
    • Location
    • Languages
    • Final URL expansion
  4. Asset Group (Ad Group)
    • Name
    • Listing Groups (Product Group)
    • Assets (Ads)
    • Audience Signal
  5. Extensions
  6. Review & Repeat

You can also watch this video to see how you can set up the Labelizer strategy and create Performance Max campaigns while automatically segmenting your products in the new Producthero Platform.


Go to the Google Ads dashboard and start a new ad campaign. Select a suitable campaign objective, “Sales” in this illustration. 

After selecting sales, we are going for “Purchases” as the conversion goal. 

Set your campaign to Performance Max. 

Select your Merchant Center account and the country where you sell your products. After that, enter your campaign name including the name of the label. We suggest including the country, campaign type and name of the label in the campaign name. 

In this example, we will call it “NL_PMax_Heroes”.


A. Budget

When setting the daily budget you have to take two things into account.

First, when you add ad assets, you might want to increase the budget as you will target via multiple channels. 

Second, when creating different campaigns for the different labels, you don’t want to allocate the same budget to each campaign. We have a more detailed write-up on this coming a little later. 

Note: It is important to keep on monitoring your campaign budget after the launch of the campaigns.

B. Bidding

The next step is selecting the bidding strategy which is in this situation “Conversion Value”. You have the option to select the checkbox “Set a target return on ad spend” and enter your target amount.

It is highly recommended to set the same ROAS goal for all 4 or 5 campaigns that use the Producthero Labelizer Strategy. Not doing this can result in poor performance.


A. Location

Start by selecting the location to target. In this example, we are just going to target the Netherlands, but if you want to target specific places within a location, select “Nearby” and click on “Target or Exclude locations”.

B. Languages

Select the language you want your ads to serve in. Google suggests languages that might be useful for the location you are going to target. In this example, we have only selected Dutch while Google also advises to use English.

C. Final URL expansion

Final URL expansion is a very important setting if you want to have control over the landing pages you target within your Performance Max campaign. If you have this setting turned on while using the Producthero Labelizer Strategy a part of the budget can be allocated to pages which are not related to your Heroes, Sidekicks, Villains or Zombies. The pages that could be targeted are, for example, category pages, your blog, the homepage, the contact page etc. For most advertisers, we would recommend turning this option off.

When you click on the “More Settings” button, you can decide whether you want to turn your final URL expansion on or off.

  • Turning your final URL expansion on means that Google is able to use all pages of your website in the Performance Max campaign.  
  • Turning your final URL expansion off means that Google only targets the pages from your Merchant Center and the final URL of your Ad Assets. (Recommended)


The next step is building your asset group, formerly known as ad group. Here you can manage your assets (ads+creatives) and the targeting of your products in the listing group (product group).

In an asset group, you can manage assets such as headlines, descriptions, images, videos, logos and URL. If you don’t add a video, Google will create one for you based on the images and text you provided.

This campaign will consist of the “Heroes” products, so we will create an asset group with only these products. This can be done as follows. 

First, name your asset group. In this situation, we will call it “Heroes”. 

Then, click on the expand button of “Listing group” and click on all products to select the custom label on which you have set the Labelizer Strategy (you can check your custom label in the Produchthero Platform or, if you are using the former app, you can check this at the Labelizer Wizard). For us, the Labelizer Strategy is set under Custom Label 0. So, we select this custom label and then we select the “Heroes” products.          


Add extensions if you have any. Make sure that the extensions you add are relevant to your ad assets as these will be shown together. 


Do one final review of your campaign to make sure everything is set correctly and publish it!

Don’t forget to repeat the process for Sidekicks, Villains & Zombies!

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