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Given that Google is the origin point of over a third of all retail searches, Amazon has historically used Google Shopping ads to promote their massive variety of products and provide another entry into their store. Amazon’s Google strategy has made competing for popular search ad placements and terms very expensive for everyone else.
Amazon shifting Google shopping spending
Between July 21–July 23, 2025, Amazon abruptly halted the bulk of their Google Shopping ad spend globally to nearly zero.2 Amazon alone accounts for as much as 60% of Google Shopping ad spending in the US, so this shift in media strategy will have massive implications. It should be noted that this exit is strictly related to Google Shopping ads as Amazon is still running text-based ads within Google Search.
While Amazon has not directly commented on why they stopped spending on Google Shopping, it is speculated the move is to invest more money into Amazon’s own ad platform as well as improve its AI-based shopping assistant, Rufus. This would help keep shoppers on the Amazon platform and expedite the adoption of AI shopping assistants.
How brands should take advantage of less competition
For brand marketers, this strategic shift by Amazon presents a rare opportunity to temporarily grow impressions and possibly conversions across multiple product categories at a greater value while the Cost Per Acquisition (CPA) is lower. This will remain true until other competitors start to employ similar strategies or Amazon restarts their Google Shopping ad spend.
1. Step up testing to optimize campaign performance
Take your brand’s shopping campaigns on offense by identifying new campaign search terms around top-performing products to gain market share while CPCs are lower in Google Shopping.
2. Optimize listings to stand out
Ensure Google Shopping product listings are updated with the latest product images, titles tagged for new search terms and rich descriptions that will draw in searchers.
Restructure your Google Performance Max Campaigns
As you evaluate your campaign goals, ensure your product feed is prioritized across all of Google’s channels like YouTube, Gmail, Search and more. Updated creative assets and audience profiles can help capitalize on reduced competition.
This is a crucial moment for marketers to audit their Google product-related campaigns, test new strategies and boost successful ones without having to fight the massive spend of Amazon in the Google Shopping space. While Amazon may resume some of their spending for the holiday shopping season, there is currently an opportunity for brands to enhance their ecommerce business.
Trone is ready to help your brand take advantage of this window of time when Google Shopping channel growth is more cost-effective than ever. Reach out to discuss how we can enhance your Google Shopping media strategy.
