True or false: at a step that doesnt require a setup, more product variety leads to more inventory.

Research can help you find the optimum price for your products. Generally, the optimum price is one that your customers are willing to pay, without it affecting your profits. This isn't a one-off activity, you must monitor your key pricing influences regularly as part of your overall market research to ensure your prices stay competitive and you still meet your customers' expectations.

Market testing

To help you determine how much your customers are willing to pay for your product or service you should perform some form of market testing. As a start, research your customer's purchasing behaviour such as:

• their current and anticipated demand for this type of product or service
• what they pay for similar products or services
• the quantity likely to be purchased
• additional features they value.

With this customer information in mind, you can then develop a price comparison offering a number of different product or service options for testing to help you determine a price range that is acceptable.

Competitors

You should have already determined who your direct competitors are and how your business compares to them when you developed your marketing plan. This information can be useful to help you determine your price point.

If you decide to use your competitors' prices as a guide, be careful that it doesn't dictate your prices too much, as it can seriously undervalue your product or service and drive down your profits.

When you compare your business to competitors, it's also important to ensure you look at the business as a whole and compare on other value-based traits (such as special features, quality and customer service) as well as price.

Influences

Pricing influences are external factors that can impact the price of products. Four influences that you may encounter include:

• price sensitivity
• level of demand
• level of competition
• government regulation.

Price sensitivity

Price sensitivity refers to price fluctuations as customer demand increases and decreases. For example, commodity goods such as petrol have high price sensitivity. The difference of a few cents in price can impact a customer’s behaviour.

Some markets are more sensitive to price increases than others. Price sensitivity can change over time based on a number of factors including changes in the economic environment, competition or demand. Factors other than price, such as quality, service, and uniqueness, can also influence price sensitivity.

Level of demand

Product and service demand can influence your prices. If there is high demand, it is likely you can increase your price. Price can also influence demand. For example, if the price lowers, then demand can temporarily increase.

Level of competition

Competition can also influence your product’s or service’s price. In general, the less competition you have, the more demand there is for your product. If a new competitor enters the market, the competitor can affect your price.

Government regulations

Government regulation can influence your pricing decision, as additional fees or levies may increase the sale price of your product or service.

You'll choose a campaign type based on your marketing goals, brand strategy, and how much time you can invest.

This article helps you select the right campaign type for your advertising needs.

Search campaigns: Text ads on search results

Search campaigns are text ads on search results that let you reach people while they’re searching on Google for the products and services you offer.

It's great for driving sales, leads, or traffic to your website, as you can show your ads to people actively searching for your products and services.

Why choose Search campaigns

Sales and leads:

• Boost your online sales and signups.
• Consider using leads if you have a longer sales cycle.

Easy setup:

• Write text ads and pick keywords.
• Skip special files or assets—these aren’t needed.
• Try for an even easier setup.
   
• Highly specific targeting: Reach people actively searching for what you offer.

CREATE SEARCH CAMPAIGN

 Types Of Google Ads Explained 2022 | Choosing the Right Google Ads Campaign Type

This video has been submitted by a third party Google Ads Video Contributor. Google doesn't endorse any products or services that may be promoted in this video. Click here to learn more about the program!

For subtitles in your language, turn on YouTube captions. Select the settings icon at the bottom of the video player, then select "Subtitles/CC" and choose your language.

Display campaigns: Image ads on websites

Display campaigns let you reach a relevant audience with visually engaging ads as they browse millions of websites, apps, and Google-owned properties, such as YouTube, to achieve your marketing objectives. Display campaigns are a great way to expand your reach and stay top of mind with an audience beyond just Google Search.

You can also create a Display campaign that uses your data segments to show ads to people who’ve visited your website or have used your app.

Why choose Display campaigns

• Sales and leads: Use visually engaging call-to-actions to drive sales and signups.
• Awareness and consideration: Create memorable ads to make people aware of your brand or consider your product.
• Reach: Target people beyond search results while they’re browsing websites and apps.
• Your data segments: Follow up with people who’ve already viewed your ads or visited your site.

Types of Display campaigns

• Standard Display: Pick your campaign settings and targeting, and automate some aspects of your Display campaign.
• Smart Display: Simplify your campaign setup to save time and optimize for conversions.

Tip: It's helpful to use an image editing tool to create square and landscape versions of your display ad in the right dimensions and file size.

CREATE DISPLAY CAMPAIGN

Video campaigns: Video ads on YouTube

Video campaigns let you show video ads on YouTube and other websites.

Some Video campaign types can help you boost general awareness of your brand. Others are designed to drive conversions or get people to shop on your website.

Why choose Video campaigns

• Awareness and consideration: Use video ads to make people aware of your brand or consider buying your product.
• Sales and leads: Use the “Drive conversions” campaign subtype to set up action-focused video ads.
• Expand your reach: Target people beyond search results while they’re on YouTube.
• Your data segments: Follow up with people who've already viewed your ads or visited your site.

Types of Video campaigns

Choose from 6 types of Video campaigns:

• Drive conversions: Drive sales and leads with action-focused ads and targeting (also known as Video action campaigns).
• Custom video campaign: Customize your settings with different ad types.
• Video reach campaigns: Get the most reach for your budget, either by reaching more unique users (through the use of , , or an optional mix of the 2 formats) or by reaching users with your entire message (through the use of ).
• Outstream: Show mobile-only video ads on websites and apps outside of YouTube, playing within content on the page or in an app.
• Influence consideration: Get people to consider your product with skippable in-stream or in-feed video ads.
• Ad sequence: Tell a story with a series of video ads in a sequence.

Tip: You'll first need to create your video ad and upload it to YouTube.

CREATE VIDEO CAMPAIGN

App campaigns: Promote your app on many channels

App campaigns help you find new app users and increase sales within your app.

This campaign type uses information from your app to automatically optimize ads across Search, Play, YouTube, Discover, and over 3 million sites and apps.

Why choose App campaigns

• App promotion: Drive installs, engagements, and signups for your app on mobile devices.
• Multi-channel marketing: Show your app on Search, Display, Play, and YouTube under one campaign.
• Easy setup and management: Automate targeting, bidding, and ad creation for optimal performance.

Types of App campaigns

If your account is eligible, you may notice 3 App campaign subtypes:

• App installs: Focus your ads on getting people to download your app.
• App engagement: Get existing users to take actions in your app.
• App pre-registration: Promote pre-registration for apps before they release on Google Play.

CREATE APP CAMPAIGN

Local campaigns: Promote locations on many channels

Local campaigns will be automatically upgraded to Performance Max starting in August. Upgrade Local campaigns yourself in the coming months using the new, one-click tool to unlock additional inventory and formats that reach new customers. Learn more.

Local campaigns help you bring people to your physical stores and venues.

Your ads will be automatically optimized to appear across Search, Display, Google Maps, and YouTube.

Why choose Local campaigns

• In-person store sales: Use online ads to promote your inventory and bring shoppers into your physical stores.
• Promote offers and events: Advertise in-store events and local promotions.
• Detailed location info: Help people find your business address and hours.
• Multi-channel marketing: Show your ads on Search, Display, Maps, and YouTube under one campaign.

Tip: To access Local campaigns, you’ll need to have active location assets or affiliate location assets in your account or have a Business Profile connected to Google Ads.

CREATE LOCAL CAMPAIGN

Smart campaigns: Automate your campaigns

Smart campaigns are the easiest way to automate your campaigns and get your ads up and running.

Enter your business information and create a few ads, and Google finds the best targeting to get you the most for your time and money.

Why choose Smart campaigns

• Sales and leads: Increase sales and signups for your products and services.
• Easy setup: Enter your business information and create a few ads, and Google will automate your campaign.
• Advanced optimization: Google optimizes your ads and targeting for you.

Tip: If you recently created a new Google Ads account, you’ll likely be using the Smart Mode version of Google Ads and all your campaigns will be Smart campaigns.

CREATE SMART CAMPAIGN

Performance Max campaigns: Access all channels from a single campaign with automated optimization

Performance Max is a goal-based campaign type that allows performance advertisers to access all Google Ads inventory from a single campaign. Performance Max helps you drive performance based on your specified conversion goals, delivering more conversions and value by optimizing performance in real-time and across channels using Smart Bidding.

Note: Performance Max campaigns are prioritized over existing Shopping campaigns that run the same products in the same Google Ads account. When you run Performance Max, spend in those Shopping campaigns may decrease (even if Performance Max has a lower budget than the Shopping campaigns), while the Performance Max will ramp up in its place.

Why choose Performance Max campaigns

• Simple to set up, with automated optimization: Performance Max campaigns are designed to be easy to launch, and once your campaign is live it will be optimized automatically to drive the best performance possible. Steer automation by providing high-quality creative assets and sharing your expertise about which audiences are most likely to convert.
• Increase conversions and value: Automation optimizes your budget and bids across channels to help capture new conversion opportunities in real time.
• Find new customers: Unlock new audience segments by using real-time understanding of user intent, behavior, and context to show up in the right moments with more relevant ads.
• Gain richer insights: Performance Max campaigns are now part of the “Insights” page to help you understand how automation is working and how you can improve your campaign. Using the “Combinations” report, you can learn how your top-performing assets are being combined to build creatives.

Tip: Performance Max will show as a campaign type selection if your advertising objective is “Sales”, “Leads”, or “Local store visits and promotions”.

CREATE PERFORMANCE MAX CAMPAIGN

Shopping campaigns or Performance Max with Merchant Center feed: Product listings on Google

Shopping campaigns are product listings that are ideal if you’re a retailer looking to sell your product inventory. Shopping ads appear on search results and the Google Shopping tab.

Store owners can also use local inventory ads to promote products available at their physical locations.

Why choose Shopping campaigns

• Retail marketing: Use visually engaging product listings to promote your retail products.
• Sales and leads: Get people to buy on your online store or sign up for more.
• Boost a nearby storefront: Sell your local store inventory to nearby people.

Tip: To create a Shopping campaign, you'll first need to have a Merchant Center account where you can upload your product inventory.

Which of the following is likely to increase the utilization of a resource with a setup time?

Which of these is a concept for reducing setup times?

What term is used to describe a repeated sequence of production activities?

In which facility layout are items grouped based on similar processing characteristics and the workstations are arranged to form a number of small assembly lines?