In this article, you will learn best practices to help maximize your TikTok Shop sales using Product Shopping Ads (PSA).
To learn how to connect TikTok Shop to your TikTok Ad Account for advertising purposes, please see more details here.

• Use All Products vs Selected Products:
  • Aim to have at least one active campaign with All Products to maximize the opportunities of having the ad shown in relevant moments. 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 deals or new products in order to allocate a dedicated budget.

Creative

• Product Shopping Ads uses product images and information from the product's Product Details Page (PDP) to show in ads placed in the Shopping Center and Search.
• No video assets are needed.

Search Keywords

• Add relevant search keywords to the product name and enhance the product's first image: In Seller Center, optimize the product's name with relevant keywords in the product title. Select an enhanced image for the product's first image.

Bidding Strategy and Budget

• Set competitive bids: When you use the Highest Gross Revenue bidding, set the initial budget at $50 or 20 times your expected cost per purchase. Adjust your budget gradually. Set the Target ROAS based on your business requirements.
• When to increase the daily budget: 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 to avoid overspending.
  • If you use the Highest Gross Revenue bid strategy, 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 you increase the budget, you may see a slight decrease in ROAS before it recovers. Observe the ROAS for 2-3 days to look for stabilization.
  • Set a Target ROAS and increase the budget once the ROAS achieves the Target ROAS. You can aim to get higher gross revenue.
• When to evaluate results: If you obtain two purchases from the ad group, do not evaluate the performance right away. Test by increasing the budget on the Highest Gross Revenue bidding or decreasing the Target ROAS to help the algorithm learn and pass the learning phase. Evaluate the results after 10-20 purchases.
• Simple troubleshooting steps: If your ads are not spending, check your account balance to see if the balance decreased to $0.
  • If your ad is not spending enough:
    • Check your account balance.
    • Check the amount of products.
    • Check your targeting and whether the audience estimation is narrow.
  • If ROAS suddenly dropped:
    • Check if the product offers/deals are still competitive, in stock, and available for purchase.
    • Change the product name, and add relevant keywords to the product name.
    • Change the product image.
  • If ROAS suddenly increased:
    • Observe for 1-2 days before you take action.
    • If you are using the Highest Gross Revenue bid strategy, increase the budget by 30% once per day and observe the ROAS changes.
    • If you are setting Target ROAS expectations, check how much of the budget has been utilized. If more than 80% of the budget has been used, increase the budget.
    • Review the account balance. When the account balance is lower than three days of average spending, add money to the balance.
• We recommend optimizing the ad for Gross Revenue to increase your overall TikTok Shop revenue.
• Optimization goals available:
  • Gross Revenue optimizes for higher Gross Revenue and return on ad spend (ROAS)
  • Purchases optimizes for a higher number of orders
  • Click optimizes for upper-funnel discovery