Definitive guide

Web Marketing Insights

Google Discovery Ads Statistics 2023 – 8 Mind-Blowing Statistics

Google Discovery Ads Statistics for 2022 are hard to find on the internet. There are a lot of click-bait titles that only lead you to content on the basics of this Google service. Thus, I’ve come up with this blog post on eight mind-blowing statistics to help business owners arrive at better decisions on which Google advertising campaign suits them for 2023.

But you might wonder why launch a Google ad campaign in the first place. So let me first give a situation of how Google is faring when it comes to its market share and ad products.

Why try Google for your online marketing goals?

According to a report released by The Social Shepherd, Google’s market share has dwindled over to Amazon for product searches in the United States. While the Big Tech Company remains dominant in the United Kingdom having an 86.31% market share for search engines. This leadership in search engine usage in the UK brings opportunities for bigger online conversions and brand awareness.

Forbes, on the other hand, highlighted how 2022 is a year of discovery as people now shift to using more mobile apps in searching for what they need instead of using Google or web-based searches. This is aptly called in-app discovery.

This new behavior or phenomenon is surfacing on social media platforms SnapChat and YouTube, as per HooteSuite, to be regarded as the new search engines for Millenials from news to travel and new products. Rich, appealing video content is the thing among Netizens of today and the near future, bringing a rise to Facebook Reels, YouTube Shorts, SnapChat Discover, Instagram Reels, and what-have-yous.

This trend alongside consumer mobile data behavior from Rock Content shows that 76% of consumers love surprise discoveries through visually compelling advertising on their gadgets and phones.

From a macro perspective, such scenarios and marketing trends bring into focus the relevance of Google Discovery Ads as an important tool to be included in a company’s marketing mix for 2023. Why? Let me talk about that next.

Why Google Discovery Ads?

Discovery Ads allow businesses to leverage Google’s algorithms and artificial intelligence that predict a netizen’s behavior for online searches using their mobile phones. The ads use creative assets provided by the business that is carouseled by Google in Discover Feed, YouTube, and Gmail Promotions and Social Media Tabs.

Particularly, Google presents the creative assets to an online user who will most likely click or act on it for a purchase or service sign-up. The creative assets are visually enriched content corresponding to the behavior of a user gathered through mobile phone activity. Thus, ensuring higher conversion rates for a company availing Discovery Ads.

How high are the conversion rates? Let’s look at the statistics for a clearer picture of things.

Google Discovery Ads Statistics From Actual Case Studies

As I mentioned at the beginning of this post, it is difficult to get statistics on Discovery Ads campaigns. I instead gathered the results of eight Discovery Ads campaigns of various companies to better inspire you. Here they are:

1. Discovery Ads enabled more than 58K new email sign-ups, +26% CPL as against YouTube and 120% CPL as against Display

American digital marketing company Seer Interactive conducted a newsletter campaign for a client in 2021 using Google Discovery, Google Display, and YouTube. The campaign aims to determine which Google channel drives more conversions for email sign-ups.

The result showed that Google’s Discovery Ads led the email conversion resulting in more than 58,000 new sign-ups. The product also provided a lower cost per lead (CPL) than YouTube and Display at 26% and 120%, respectively. While garnering higher conversion rates than YouTube (84%) and Discovery (154%).

2. Discovery Ads pushed a 62% increase in ROAS and a 70% increase in revenue from effective CPC

Meanwhile, Ted Baker run a Discovery Ads campaign in mid-2020 after the pandemic badly impacted its offline sales, which they highly depended on. The British fashion brand shifted to digital marketing solutions through Google’s Discovery Ads and Display Ads.

The Discovery Ads enabled the company to increase website traffic and acquire new customer data, which resulted in a 70% increase in revenue and a 62% increase in target revenue on ad spent (tROAS).

3. Discovery Ads achieved a 20% increase in email sign-ups with only $88 CPA

California-based FireEye ran a four-month campaign using Discovery Ads for the launching of its B2B segment product, Mandiant Advantage, which is a threat intelligence solution. The goal was to drive traffic to their website by remarketing its content and video assets.

The campaign procured 653 free signups to Mandiant Advantage at a $88 CPA, which is far below the target set by FireEye (56%). The sign-ups made up 20% of the total volume gathered for the campaign, proving that Discovery Ads were twice as effective as their previous campaign.

4. A 6.5X increase in the total number of conversions and a 22X decrease in CPA was experienced thanks to Discovery Ads

In addition, Ukrainian clothing and footwear lead company Intertop launched a Discovery Ads campaign for almost one month to reach its target CPA through a keyword search or via the Discovery feeds. The results showed that Discovery Ads garnered 54490 clicks, 4031246 impressions, and 1.13% CTR. This translated to a drop in CPA by 22 times, CPC by 3.5 times, CPM by 1.3 times, and costs by 3 times. While showing an increase in conversion by 6.5 times and CTR by 2.6 times.

Discovery Ads Statistics

5. Impressions increased by a minimum of 690% at 93%lower CPC with Discovery Ads

Search Engine Journal, an online marketing company, launched several Discovery Ads campaigns for one of their tech clients. The goal was to increase market scale using separate audience lists according to ad groups. SEJ banked on its product-based list and hyped its legacy audiences to arrive at a new campaign integrated into its SEM strategy.

The results made the SEJ tech client happy because the Discovery Ads campaign lowered the cost per click by 93% and the cost per visit by 70%. This is on top of increasing impressions by more than 690% when compared to their SEM campaigns.

6. It takes 10x ADB and tCPA for a minimum of 40 conversions for Discovery Ads to take effect

According to AdsLiaison, businesses who have cascaded Discovery Ads and wish to make changes to them should wait for at least 40 impressions to do so. This is on top of having an average daily budget that is 10 times more than the target cost per acquisition to ensure the Discovery Ads campaign is optimized.

This data came after Google announced in August four additional features for users of Discovery Ads. The features included more browseable ad experiences with richer details, better onboarding flow, incorporation of an insights page to monitor audience impact and enabling the Google Ads Editor with API for campaign management.

7. Discovery Ads combined with Search ads will result in a 12% increase in conversions

PhosCreative highlighted Google’s Discovery Ads that appear on YouTube have been found more effective when merged with Search ads. The results show an 8% increase in conversion volume, a 4% decrease in cost per acquisition, and at least a 12% increase in search conversions. This enabled 85% of people on YouTube to easily undertake product-related action just within a day after a new product’s discovery.

8. A 60% increase in conversions occurs when Discovery Ads are held simultaneously with Search Ads

Finally, Periphery emphasized that Discovery Ads increased conversions by 60% when coupled with Search ads or campaigns. A phenomenon attributed to 86% of netizens really looking for purchase ideas on YouTube than they do elsewhere.

This translates to 3 billion people globally alongside 1.5 billion Gmail users, which are the exact channels Discovery Ads are shown. A conclusion Periphery came out with after making a comparative study of their three real estate projects that ran for three months with Discovery Ads and Search Ads.

The three projects showed higher conversions with Discovery Ads than Search Ads, averaging 33 points. Cost per click was relatively cheaper for Discovery Ads ranging from $0.84 to $1.11 compared to Search Ads, which ranged from $1.65 to $2.16.

In A Nutshell

Google Discovery Ads provide great potential for businesses to tap new customers who are open to uncovering new products and services. It is a great opportunity to explore the popularity of YouTube, Gmail, and Discovery Feed through visually-compelling creatives that uniquely convey the story of a company and its offerings to a more captive audience.

Sources Used:


Do Discovery Ads have a recommended CTR?

Experts say that a reliable clickthrough rate (CTR) for display ads ranges from 0.2% to 0.3%. But a higher CTR is recommended for Discovery Ads for eCommerce clients, which is 0.9%. This is most useful when a business targets particular audiences based on intent. In such cases, expect a cost per click of $0.18 and a 72% rate of conversion.

Are Google Discovery Ads more effective?

As of August 2022, data shows that Google’s Info Text Ads remain the cornerstone of their search network. These ad types appear at the top of Google Search results. Google Discovery Ads, on the other hand, are effective in mobile searches using Google’s YouTube, Gmail and Discover Feed. The key is to have a diverse marketing mix rather than just having one whenever launching an online campaign.

Artificial Intelligence Statistics 2023 – 50 Amazing Facts

Artificial Intelligence Statistics 2023 – 50 Amazing Facts

Definitive guideWeb design and artificial intelligenceArtificial Intelligence Statistics 2023 - 50 Amazing FactsLast month, I wrote about the launching of Divi AI and the 7 things you should know about its powerful, jaw-dropping features as a website builder. I...

How to Create a Website that Drives Repeat Business

Definitive guideWeb design and repeat businessHow to Create a Website that Drives Repeat BusinessBusinesses rely on customers returning constantly to purchase products or avail services from them for a steady flow of income. Whether in-store or online, repeat...

Startup Statistics 2023 – 40 Crucial Facts For Entrepreneurs

Definitive guideStatistics on StartupsStartup Statistics 2023 – 40 Crucial Facts For EntrepreneursStartups refer to businesses in their early stages. They are the innovation drivers and wealth creators of society. Being engines of economic growth, they create jobs and...

E-Commerce Statistics 2023 – 40 Inspiring Numbers

E-Commerce Statistics 2023 – 40 Inspiring Numbers

Definitive guideStatistics on E-commerceE-Commerce Statistics 2023 - 40 Inspiring NumbersThe higher profitability of selling products online is becoming more of a magnet for those wishing to engage in business, especially for startups. Who wouldn't in the face of...

Scaling Your Business with OpenCart: Handling Growth and Expansion

Definitive guideOpenCart BenefitsScaling Your Business with OpenCart: Handling Growth and ExpansionBuying online has become a part of daily life around the world even after the "new normal," such that it will comprise 95% of purchases come 2040. Small business owners...

Bounce Rate Statistics 2023 – 13 Facts That Will Surprise You

Bounce Rate Statistics 2023 – 13 Facts That Will Surprise You

Definitive guideStatistics on Bounce RatesBounce Rate Statistics 2023 – 13 Facts That Will Surprise YouHaving a high bounce rate for your website may not necessarily put a big dent in your search engine ranking, but it does reflect a possible need to improve your...

Ralph de Groot – My Codeless Website

My name is Ralph de Groot. I'm the founder and author at My Codeless Website. Wake me up for a great web design. I love writing about website examples, too!

PS: Want to know my favorite tools for building a website? 👇