Back In November 2009, we announced the U.S. launch of a new AdWords
feature called product extensions. Today, we’re excited to announce
that product extensions are now available to all U.K. advertisers.
Joining our growing family of ad extensions, product extensions are a
way for you to enrich your existing AdWords ads with more relevant and
specific information. Product extensions allow you to use your existing
Google Merchant Center account to highlight your products directly in
your search ads. When your AdWords text ad appears, and your Google
Merchant Center account contains products that are relevant to the
searcher’s query, product extensions show the images, titles, and
prices of your products in a plusbox under your ad.

(click for full size image)

With product extensions you can show users the products from your site
that are most relevant to their current query. You're charged the same
cost-per-click (CPC) whether a user clicks on your main text ad or any
of the offers within the product extensions plusbox; however, you won't
be charged if a user simply expands the plusbox without clicking
through to your site.

Advertisers using product extensions have found that the additional
product information has helped improve the performance of their search
campaigns. For example, SonyStyle.com, reported seeing a 9% increase in
conversion rates for their ads with product extensions.

It's easy to get started with product extensions. First, log in to
Google Merchant Center and add your AdWords customer ID to your
account. Then, simply log in in to AdWords, select the campaign and
navigate to the Ad Extensions tab. To add product extensions to an
existing campaign, click the ‘New Extension’ button. No need to create
new campaigns or ad groups, update your keywords or change your ad text.

Product extensions are available to all U.S. advertisers, and now, to
all U.K. advertisers, but remain in a limited beta outside of these
countries. Over time, we hope to offer product extensions to all
advertisers globally.

Posted by Dan Friedman, Inside AdWords crew

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Posted By Inside AdWords crew to Inside AdWords at 9/23/2010 08:31:00 AM