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£25 Product, 65% Margin: Is It Enough for Google Ads? (The Real Math + Playbook)

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If your average order value (AOV) is £25 with a 65% gross margin, can you profitably run Google Ads—especially when you’re moving from Etsy to your own website? Short answer: yes, but only if you design for volume, upsells, and lifetime value. This guide walks you through the exact maths, benchmarks, and campaign structure to make low-ticket products work.


TL;DR (Executive Summary)


Step 1: Do the Real Math (Profit, CPA, ROAS)

Base numbers

If you have fulfilment, transaction, packaging, and handling overhead (say £2–£4 per order), your true contribution after those costs is closer to £12.25–£14.25.

Your break-even CPA (target)

Translate CPA to CPC & CVR

Rule of Thumb:
For low-ticket products, aim for CVR ≥ 3.5% and CPC ≤ £0.45, or push AOV to £30+.


Step 2: Etsy vs Your Own Website—What Changes?

On Etsy, you borrow marketplace trust, reviews, and intent. On your own site, you must recreate that trust fast:


Step 3: The Campaign Stack That Works

1) Performance Max (Shopping-first)

2) Branded + High-Intent Search

3) Remarketing


Step 4: Make £25 Work Like £40 (AOV Engineering)

Target AOV: £30–£35 within 30–60 days. That alone can turn borderline CPAs into winners.


Step 5: Conversion Rate Optimisation (3–5% Goal)


Step 6: Budgeting, Pacing & Targets


Step 7: The “Green-Light” Checklist

Launch Google Ads if you can say yes to at least 7/10:

  1. Reviews/social proof ported from Etsy
  2. Solid PDP (benefits, FAQs, returns/delivery clarity)
  3. One bundle and one post-purchase upsell live
  4. Email capture + welcome flow ready
  5. Remarketing audiences installed (GA4 + Ads tags)
  6. Feed fully optimised (titles, images, GTIN/brand)
  7. Baseline CVR ≥ 2.5% (aim for 3–4% with ads)
  8. Site speed OK on mobile
  9. You can afford 2–3 weeks of optimisation data
  10. You know your break-even CPA and target CPC

Worked Examples (Plug-and-Play)

Scenario A (Baseline)

Scenario B (AOV Boost)

Scenario C (Scale with Remarketing)


Tactics That Matter Most for Low-Ticket Profitability


When You Shouldn’t Run Google Ads (Yet)


Final Verdict

65% margin is very good; £25 AOV is tight—but workable with the right structure. If you commit to volume, AOV boosts, remarketing, and site trust, Google Ads can turn into a consistent acquisition engine even for low-ticket products. Expect a scrappy first phase, then scale as your blended CPA drops and your AOV/LTV rise.


Helpful Deep Dives on AliRaza.co


Done-for-You Help

Want me to set all this up (feed, PMAX, search, tracking, CRO, remarketing) and manage it to a target CPA/ROAS? Hire me—let’s turn that £25 product into a scalable winner.


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