TLDR;
- Intent vs. Interrupt: Google Shopping captures people who are already pulling out their wallet; Social Media convinces people they need a wallet in the first place.
- The London Premium: Expect CPCs to be 20-30% higher in London than the UK average. You can't afford lazy targeting here.
- Commuter Commerce: Londoners browse social media heavily on the Tube and bus. If your creative doesn't stop the scroll during a commute, you're dead in the water.
- The Verdict: It's rarely one or the other. Most successful London brands use Social to generate demand and Google Shopping to capture it.
- Tools Inside: I've included an interactive ROAS calculator and a visual breakdown of the "Demand Funnel" to help you decide where to put your first £1,000.
So, you're sitting there looking at your marketing budget, staring at the screen, trying to figure out where to put your money. It’s the classic London eCommerce dilemma isn't it? You've got a product, you know people want it, but the rent on your warehouse (or your flat) is sky high and you can't afford to burn cash testing things that don't work.
You're probably wondering: do I go for Google Shopping, where everyone claims the "high intent" buyers are? Or do I throw it into social media (Instagram, TikTok, Facebook), where I can show off how good the product actually looks?
I’ve had this conversation with dozens of clients, from a women's apparel brand to a company selling cleaning products. The answer is usually "it depends," which is annoying, I know. But let's actually break down what it depends on. Because honestly, throwing money at Google Shopping when you have zero brand recognition can be a disaster, just as burning cash on Instagram ads for a boring utility product is a quick way to go broke.
We're going to look at this through the lens of the London market specifically. Why? Because selling to someone in zone 1-3 is different to selling to someone in the Cotswolds. The competition is fiercer, the attention spans are shorter, and the expectations for delivery and service are through the roof.
The London Landscape: Why It's a Different Beast
First off, lets get one thing straight. Advertising in London is expensive. You are competing with the biggest brands in the world who have headquarters here. They have budgets that would make your eyes water. This means the Cost Per Click (CPC) for London-targeted campaigns is often inflated compared to the national average.
However, the purchasing power is also higher. Londoners are used to buying online. We order everything from our groceries to our furniture on our phones while squeezing onto the Central line. This behavior is key. You aren't just fighting for a sale; you're fighting for attention in a very crowded, very fast-paced environment.
*Data represents a generalized average across retail sectors. In competitive niches like Finance or Legal, this gap widens significantly.
When you are planning your budget, you need to factor this in. If you want a deeper dive on budgeting for this specific market, I wrote a piece on London ad costs and planning your budget which breaks down the math a bit more.
Google Shopping: The Digital Shelf
Let's talk about Google Shopping first. If you've got physical products, this is often seen as the "holy grail". Why? Because of intent.
When someone types "mens leather weekend bag" into Google, they aren't looking for entertainment. They aren't looking to see what their mates are up to. They are looking to buy a bag. They are literally holding their credit card, virtually speaking.
Google Shopping puts your product image and price right at the top of the search results. It's a visual comparison engine. In London, where people are often time-poor, this convenience is massive. They want to see the options, check the price, and buy.
The Pros of Google Shopping
- High Conversion Rates: Because the intent is there, the conversion rates are usually higher than social. People are further down the funnel.
- Qualified Traffic: By the time they click your ad, they have already seen the product image and the price. They know what they are getting into. This filters out a lot of time wasters.
- Broad Reach without "Creative": You don't need to film fancy TikToks or hire models. You need a clean white-background product photo and a well-optimised data feed.
The Cons (and the Traps)
It sounds perfect, right? Well, not quite. The issue with Google Shopping is that it's a comparison market. If you are selling a generic product that looks exactly like 10 other products but yours is £20 more expensive, you lose. Londoners are savvy. They will spot the price difference instantly.
Also, unless you have a strong brand, you are competing solely on price and image. It's a race to the bottom. If you're struggling with profitability here, it might be worth checking out my analysis on why your Google Shopping campaign might be running at a loss.
Another massive trap is negative keywords. In Google Shopping, you don't bid on keywords directly (mostly); Google crawls your feed. This means your ad for "premium leather bag" might show up for "cheap bag repair". You end up paying for clicks from people who want a service, not a product. You have to be obsessive about your search term reports.
Social Media Advertising: Creating Demand
Now, let's look at the other side of the ring. Social Media (Meta, TikTok, Pinterest). This is "Interruptive Marketing". Nobody goes on Instagram to buy your product. They go there to procrastinate.
Your job with social ads is to stop the scroll. You have to interrupt their pattern and make them care about something they didn't know they needed 5 seconds ago.
In London, this is fascinating because of the commute culture. Millions of people spend 45 minutes to an hour twice a day sitting on a train or bus, staring at their phones. This is prime time for discovery. I've seen brands explode just by targeting commuters with engaging video content.
The Pros of Social Media
- Brand Building: You can tell a story. You can show the lifestyle. You can explain why your £200 bag is worth it (Italian leather, handmade in London, etc.). You can't really do that on a Google Shopping tile.
- Targeting Capabilities: You can target by interests, behaviours, and demographics. Want to target people in Kensington who like luxury travel and are frequent international travellers? You can do that.
- Retargeting: This is the superpower. You can show ads to people who visited your site but didn't buy. You can haunt them (politely) until they convert.
The Cons
The conversion rates are generally lower. You are catching people at the "top of the funnel" (awareness) rather than the bottom (purchase). This means you usually need to spend more to acquire a customer initially, or you need a really good funnel to nurture them. If you're unsure which platform suits your specific store setup, have a read of this guide to UK ecommerce paid social platforms.
& Purchase
Social ads fill the top of the funnel. Google Shopping harvests the bottom. If you only do Google, you run out of new people. If you only do Social, you miss the easy sales.
The Economics: Running the Numbers
This is where most business owners get stuck. They look at "Cost Per Click" and think Google is cheaper (or expensive) and make a decision. But CPC is irrelevant in isolation. You need to look at ROAS (Return on Ad Spend) and CPA (Cost Per Acquisition).
Google Shopping often has a higher CPC in competitive niches, but because the conversion rate is high, the CPA might be lower. Social Media might have dirt cheap clicks (especially on TikTok), but if only 0.5% of them buy, your CPA could be massive.
I've built a little calculator below to help you visualize this. It's a simplified model, but it's useful for "napkin math" strategy.
Channel Comparison Calculator
Google Shopping Scenarios
Social Media Scenarios
Strategic Scenarios: When to Choose Which?
So, which one wins? Well, it depends on what you are selling and who you are selling it to. Here are a few common scenarios I see with London-based clients:
Scenario A: The "Boring" Utility Product
You sell replacement filters for vacuum cleaners, or perhaps specific plumbing parts.
Verdict: Google Shopping. 100%.
Why: Nobody wants to see a vacuum filter on their Instagram feed. It's not "scroll-stopping." But when someone needs one, they need it now. They search, they find, they buy. Don't waste money on social.
Scenario B: The Lifestyle Brand (Fashion, Jewellery, Home Decor)
You sell sustainable activewear or handmade ceramics.
Verdict: Social First, Google Second.
Why: People don't know they want your specific design until they see it. You need to create the desire. Google Shopping is hard here because if someone searches "ceramics," you are competing with IKEA and mass-market cheap stuff. On Social, you can target "Interiors addicts" and show them a beautiful video of the pottery wheel. That sells.
Scenario C: The High-Ticket Innovation
You have invented a new type of electric bike that costs £2,000.
Verdict: Hybrid.
Why: You need Social ads to explain what it is and why it's worth £2k (video is crucial here). But once people are interested, they will go to Google to compare reviews and prices. You need to be visible on Google so you don't lose that traffic to a competitor.
There is often a debate between founders on this. If you are struggling with this decision at a high level, check out my guide on Google Ads vs. Meta Ads for UK founders.
The "London Factor": Nuances You Can't Ignore
If you are targeting London specifically, you have to be sharper than if you were targeting the whole UK.
1. Delivery Expectations: In London, we are spoiled. If you don't offer next-day delivery, you might lose the sale on Google Shopping to a competitor who does, even if your product is slightly cheaper. Make sure your shipping settings in Merchant Center are accurate and competitive.
2. Mobile Dominance: As mentioned, the commute is huge. Ensure your site is lightning fast on mobile. If your social ad loads a slow page on 4G in a tunnel, you just wasted £1.50.
3. Local SEO/Ads: If you have a physical store in London, use "Local Inventory Ads" on Google. This shows people that the product is available to pick up today nearby. That is a massive conversion booster for impatient Londoners.
4. Creative Aesthetic: London audiences can be cynical. They smell "dropshipping" a mile off. Your creative on social needs to look native, authentic, and high quality. User Generated Content (UGC) works well, but it needs to feel real, not scripted.
Common Pitfalls to Avoid
I see businesses making the same mistakes over and over again. Here are a few to watch out for:
- Ignoring Brand Search: If you run Social ads, people will see your brand and then Google it later. If you aren't running Google Search ads for your own brand name, a competitor might be bidding on it and stealing your traffic.
- Bad Feed Data: On Google Shopping, your "Data Feed" is your ad copy. If your titles are "Blue Shirt" instead of "Men's Navy Oxford Shirt - Slim Fit - Cotton," you are missing out on all the specific search traffic.
- Broad Targeting on Social: Don't just target "London" + "18-65". That's too expensive. Use interest layering to find your tribe.
- Assuming Data is Accurate: Attribution is a mess since iOS14. Facebook says it drove 10 sales, Google says it drove 10 sales, but your bank account only shows 12 sales total. They both claim credit. You need to look at the overall lift in revenue, not just the dashboard numbers. For more on this data discrepancy, read my comparison of Google Shopping vs Social Media data.
The Hybrid Approach: The Real Winner
In reality, for most successful London brands, the answer isn't "Shopping vs Social." It's "Shopping AND Social."
You use Social Media to reach new people and fill the top of your funnel. You build the brand and get them to your site. Then, you use Google Shopping to capture the high-intent searches when they are ready to buy, or when they are comparing you to competitors.
Also, don't forget Retargeting. You can use Google Display or Social Ads to show your products to people who viewed them on Google Shopping but didn't buy. This cross-pollination is where the magic happens. If you want to see how to scale this up, I've written a detailed guide on scaling paid media in London.
My Recommendations for You
Based on my experience running campaigns for everything from niche SaaS to high-street fashion, here is how I would break down your decision:
| If your situation is... | Start with this channel | The Strategy |
|---|---|---|
| Limited Budget (< £1k/mo) | Google Shopping | Focus purely on capturing high-intent traffic. Don't pay to "educate" people yet. |
| Visual / Viral Product | TikTok / Instagram | Use short video to demonstrate the "wow" factor. Direct to a high-converting landing page. |
| Commodity / Utility | Google Shopping | Ensure your price is competitive. Optimise product titles for long-tail keywords. |
| Scaling (> £5k/mo) | Both (Hybrid) | 60% Social for demand gen, 40% Google for capture. Obsess over attribution. |
Choosing the right channel is just the first step. The execution—the bidding strategies, the creative, the landing page optimisation—is where the profit is actually made.
Advertising in London is a battlefield. If you try to figure it all out by trial and error, you are going to pay a "tuition fee" to Google and Facebook in the form of wasted ad spend. It's often cheaper to get it right the first time.
If you want someone to take a look at your specific situation, your margins, and your goals, and give you a no-nonsense roadmap, consider booking a free consultation with us. We can look at your ad account (or your plan) and tell you exactly where the opportunities are.
Hope this helps!