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Google Automated Discounts for WooCommerce

Google has released a new way to push the performance of your Shopping and Performance Max campaigns (with Shopping feed). Google calls it Automated Discounts. It allows for pricing products effectively in Shopping ads and in the Shopping tab. The goal is to drive more conversions.

We have created a WooCommerce plugin that makes the technical setup on a WooCommerce shop a piece of cake.

We simply call the plugin "Google Automated Discounts for WooCommerce".

Business Requirements​

Before starting to use the Google Automated Discounts plugin, you must make sure to meet the following business and technical requirements:

  • At least 1’000 Google Shopping clicks per week.
  • Conversion reporting must contain cart data. You can achieve this by using the Pixel Manager for WooCommerce. Here's how to set it up: Guide to set up Conversion Cart Data.
  • The Google Merchant Center feed needs to contain the cost_of_goods_sold field for each product.
  • The Google Merchant Center feed needs to contain the auto_pricing_min_price field for each product that you want to activate for Automated Discounts (products missing that field will be ignored by Automated Discounts). This plugin provides a feature with which you can set manually or calculate Auto Pricing Min Prices on each product. Those prices then can be ingested by a feed plugin and uploaded to the Google Merchant Center.

Only buy the Google Automated Discounts for WooCommerce plugin once you meet all of above requirements.

For businesses that have yet to meet the necessary requirements, the transition can be a complicated and time-consuming endeavor, often necessitating significant strategic decisions.

At SweetCode, our team of seasoned professionals specializes in guiding businesses through this comprehensive process. If you are interested in engaging our services to help you not only achieve these requirements but also excel beyond them, please contact us through our support form.

Technical Requirements​

Our plugin, the Google Automated Discounts Plugin for WooCommerce, meets all of Google's requirements for processing Automated Discounts.

  • Product ID validation.
  • Currency validation.
  • Merchant center ID validation.
  • Expiry validation.
  • Cryptographic token signature validation.
  • Keeps the discounted price for a specific product visible during the entire visitor session on every page of the shop.
  • If a visitor adds a discounted product to the cart, the plugin keeps the discounted price during the regular WooCommerce 48 hours cart session.

Configuration​

Cache Exclusion​

This is important

You need to make sure that all cache layers exclude caching if the following parameters are set. Otherwise Automated Discounts will not be displayed and processed correctly.

Make sure to exclude caching if the URL query parameter pv2 is present in the URL.

Example: https://example.com/socks/?pv2=1234

Typically, caches exist in one or more of the following:

  • Server of your hosting provider
  • Caching plugins (sometimes shop managers use more than one caching plugin. Make sure to configure all of them.)
  • Content Delivery Networks (CDNs) like Cloudflare.

Once you've set the cache exclusion, also make sure to flush the cache(s) before testing.

Google Merchant Center ID​

  1. Get the Google Merchant Center ID by logging into the Google Merchant Center and copying the ID from the URL.

Google Merchant Center ID

  1. Save the Google Merchant Center ID in the settings of the plugin.

Google Merchant Center ID

Testing​

Google will guide you through the setup step-by-step. At one point, it will generate links with which you can test and see if automated discounts work on your website.

Testing links

Scenarios​

First, we show a simple and a variable product how they look like with regular prices.

Then we go through each possible scenario that can occur with price discounts.

Simple product with no discount​

Variable product page with regular price

Variable product with no discount​

Variable product page with regular price

Simple product with a discount applied​

Simple product with discounted price

Variable product with a discount applied​

Variable product page with discounted price

Shop page with discounts applied​

Variable product on shop page with discounted price

Multiple products on shop page showing discounted prices

Mini cart with discount applied​

Variable product in mini cart with discounted price

Cart page with discount applied​

Variable product on cart page with discounted price

Checkout page with discount applied​

Variable product on checkout page with discounted price

Variable product on purchase confirmation page with discounted price

Remarks​

Currency Switchers​

We tested the plugin with the WPML currency switcher and it works as expected.

The plugin is compatible with every currency switcher that uses the woocommerce_currencies filter to set the active currency. Simply try it out with your currency switcher and let us know if it works or if you need help with getting it to work.

Caching​

The plugin will disable caching once a link click with an Automated Discount payload reaches the website. So this should work out of the box. If not, there might still be a caching layer that needs exclusions to be set.

Please follow the troubleshooting guide for cache issues.

Troubleshooting​

Viewing the Error Logs​

The plugin outputs errors into the regular WooCommerce log directory. It is accessible by clicking on the View Logs link in the plugin's settings window and choosing the most recent log with the slug sgadwc. It will show all errors that it encountered. If you don't find a log with the slug sgadwc it means that no errors have been encountered.

The website still shows cached prices, even if a valid discount has been successfully received​

It is likely your caching rules are too aggressive.

Make sure to exclude caching if the URL query parameter pv2 is present in the URL.

Example: https://example.com/socks/?pv2=1234

You also must ensure that caching is disabled as soon as a WooCommerce session is active. (Typically a WooCommerce session is created when a visitor adds a product to the cart.)

Make sure that the cache is disabled if at least one of the following server-side WooCommerce cookies has been set:

  • woocommerce_cart_hash
  • woocommerce_items_in_cart
  • wp_woocommerce_session_ (This cookie always attaches a session ID at the end. Make sure that the match is not set to exact but will match any cookie which contains that cookie string.)

Google Automated Discounts implementation recipes​

The subsequent documentation outlines proven strategies to fulfill all business requirements. We have included only those methods that we have verified to be effective. If you have discovered alternative or superior approaches to address these business requirements, we encourage you to share your insights by submitting feedback through our support form.

Essential steps​

  1. Set up conversion cart data reporting.
  2. Save the cost_of_goods_sold and auto_pricing_min_price in a field for each product.
  3. Upload the Google Merchant Center feed containing cost_of_goods_sold and auto_pricing_min_price.
  4. Run Google Ads Shopping campaigns with at least 1'000 clicks per week.
  5. Apply for the Google Automated Discounts program at Google: Application Link
  6. Purchase and install the Google Automated Discounts for WooCommerce plugin.
  7. Double check that caching is disabled when a visitor clicks on an Automated Discount link.
  8. Start running and optimizing the Google Automated Discounts program.

SweetCode Implementation Service​

Enhance your business effortlessly with SweetCode's custom implementation services for Automated Discounts. While some steps are relatively simple, others — such as determining and setting the Cost of Goods Sold and Auto Pricing Min Price for each product — demand meticulous preparation. Businesses vary in their compatibility with the Automated Discounts program, and each one calls for a tailored approach to ensure accurate calculations.

To truly unlock the potential of Automated Discounts, a well-crafted and customized strategy is essential for seamless implementation, execution, and performance optimization.

Should you find any of these steps challenging, SweetCode is here to help. Our team of skilled developers and business economists will guide you throughout the setup process, actively implementing the necessary steps and fine-tuning the program for optimal results. To receive a personalized quote, simply contact us via our support form, and we'll be eager to help you elevate your business's efficiency and profitability.

Conversion Cart Data reporting​

The Pixel Manager for WooCommerce is the sole verified plugin that seamlessly transfers conversion cart data out-of-the-box. You can obtain it from sweetcode.com and woocommerce.com.

Upon activation, simply enable Google Ads conversion tracking and input the Google Merchant Center ID. With these steps completed, conversion cart data will be automatically transmitted to Google.

  1. Enable Google Ads conversion tracking
  2. Set the Google Merchant Center ID
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If conversion cart data has never been sent before, the Automated Discounts program will take at least several days before recognizing that the data is being received.

Setting cost_of_goods_sold​

For setting the cost_of_goods_sold we recommend the following plugin.

  • WooCommerce Cost of Goods. The plugin doesn't only set the Cost of Goods Sold (COGS). It also provides valuable reports on profit margins over all products sold.

Uploading the feed​

Currently, the only feed plugin known to be able to output the auto_pricing_min_price field is the WooCommerce Product Feed Manager from WPMarketingRobot. There might be other feed plugins, but we have no confirmation for any other yet.

Here's how to set the cost_of_goods_sold in the WooCommerce Product Feed Manager. (This example shows the use of the _wc_cog_cost field created by the WooCommerce Cost of Goods plugin.) Set cogs in the WooCommerce Product Feed

Here's how to set the auto_pricing_min_price in the WooCommerce Product Feed Manager. Set auto_pricing_min_price in the WooCommerce Product Feed

Auto Pricing Min Price​

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Available since version 1.0.11

The plugin offers a way to set the Auto Pricing Min Price on each product. The field can then be ingested by a feed plugin and output into the Google Merchant Center feed.

The main settings are:

  • A settings field for saving an Auto Pricing Min Price manually on each product.
  • For automatic calculation and batch processing, the plugin offers a filter that can be used to calculate an Auto Pricing Min Price.
  • The automatic calculation happens each time a product is updated manually. But, if a shop manager chooses to upload product updates with an import plugin, the automatic calculation may not be triggered. In that case, the batch regeneration on all products of the Auto Pricing Min Price can be triggered manually or by activating a nightly, recurring batch process.

Manual Setting​

Once enabled, you will see a new field in the pricing section of each product where you can set your Auto Pricing Min Price.

The manually set prices are saved in a meta field with the key _google_auto_min_price_man. This is the field you can use in your feed plugin to retrieve the manually set prices.

Automatic Calculation​

When you have dozens, hundreds, or thousands of products, automatically calculating the Auto Pricing Min Price may be more convenient.

For this case, the plugin offers a filter that can be used to calculate the Auto Pricing Min Price with any type of rule that you can imagine.

The automatic calculation is always triggered on a specific product when you manually update the product through the backend. However, if you upload product updates, such as prices, through some sort of import, the automatic calculation is not triggered. In that case, have a look at the scheduled and manual batch update features.

The automatically set prices are saved in a meta field with the key _google_auto_min_price_calc. This is the field you can use in your feed plugin to retrieve the automatically set prices. If a manually set field is present for a particular product, it will override the calculation and be saved in the same _google_auto_min_price_calc meta field. So you can use this field to retrieve all prices for your feed, the calculated prices and manual overrides.

Following, we provide several examples for the Auto Pricing Min Price calculation filter:

Example: How the filter works​

/wp-content/themes/child-theme/functions.php
/**
 * The filter provides a default value, which is null, and the product object. 
 * 
 * As output you need to return either a int or float value, or null if no calculated price can be determined. 
 * 
 * This example subtracts 1 from the regular price and returns that as new calculated value.
 **/
add_filter( 'sgadwc_google_auto_pricing_min_price_calculation', function ( $value, $product ) {

    $regular_price = $product->get_regular_price();

    return wc_format_decimal( $regular_price - 1, 2 );
}, 10, 2 );

Example: Return a value that is lowered by a specific percentage of the profit margin​

/wp-content/themes/child-theme/functions.php
/**
 * This example takes the regular price and the COGS price that was saved by a different plugin in the
 * meta key _alg_wc_cog_cost. 
 * 
 * If no value is available in the _alg_wc_cog_cost meta key, null is returned. 
 * 
 * It then calculates an Auto Pricing Min Price that reduces the regular price by 20% of the profit margin.
 **/
add_filter( 'sgadwc_google_auto_pricing_min_price_calculation', function ( $value, $product ) {

    $regular_price = $product->get_regular_price();

    $cogs = $product->get_meta( '_alg_wc_cog_cost' );

    // Safeguard in case no COGS is set for this product
    if (empty( $cogs )) {
        return null;
    }

    $margin = $regular_price - $cogs;

    return wc_format_decimal( $regular_price - ( $margin * 0.2 ), 2 );
}, 10, 2 );

Example: Reduce the regular price to a fixed percent​

/wp-content/themes/child-theme/functions.php
/**
 * This example takes the regular price and lowers it to a fixed percentage.
 **/
add_filter( 'sgadwc_google_auto_pricing_min_price_calculation', function ( $value, $product ) {

    $regular_price = $product->get_regular_price();

    return wc_format_decimal( $regular_price * 0.8, 2 );
}, 10, 2 );

Example: Add a fixed amount to the COGS​

/wp-content/themes/child-theme/functions.php
/**
 * This example takes COGS and adds a fixed amount to it.
 **/
add_filter( 'sgadwc_google_auto_pricing_min_price_calculation', function ( $value, $product ) {

    $cogs = $product->get_meta( '_alg_wc_cog_cost' );

    // Safeguard in case no COGS is set for this product
    if (empty( $cogs )) {
        return null;
    }

    return wc_format_decimal( $cogs + 4.5, 2 );
}, 10, 2 );

Example: This is a complex example from a real webshop​

/wp-content/themes/child-theme/functions.php
/**
 * This filter uses plenty of log outputs to help determine issues
 * with calculations on products that are missing information. 
 **/
add_filter('sgadwc_google_auto_pricing_min_price_calculation', function ($value, $product) {

    $logger_source = 'sgadwc-auto-min-price-calculation';

    // If function get_product_condition does not exist, define it
    if (!function_exists('get_product_condition')) {

        function get_product_condition($product) {

            $attributes = $product->get_attributes();

            if (!isset($attributes['condition'])) {
                return null;
            }

            if ($attributes['condition'] == 'New') {
                return 'A';
            }

            if ($attributes['condition'] == 'Used') {
                return 'U';
            }

            return null;
        }
    }

    // Function to calculate the minimum price for a product
    if (!function_exists('get_auto_min_price')) {
        function get_auto_min_price($condition, $margin_percent, $regular_price) {

            if ($condition == 'A') {
                if ($margin_percent > 0.3) {
                    return $regular_price * 0.8;
                } else {
                    return $regular_price * 0.85;
                }
            }

            if ($condition == 'U') {
                if ($margin_percent > 0.3) {
                    return $regular_price * 0.75;
                } else {
                    return $regular_price * 0.85;
                }
            }

            return null;
        }
    }

    // Function to get the Cost of Goods Sold set by two different plugins
    if (!function_exists('get_cogs')) {
        function get_cogs($product) {

            $cogs = $product->get_meta('_wc_cog_cost');

            if (!empty($cogs)) {
                return $cogs;
            }

            $cogs = $product->get_meta('_alg_wc_cog_cost');

            if (!empty($cogs)) {
                return $cogs;
            }

            return null;
        }
    }

    // Get the COGS for this product
    $cogs = get_cogs($product);

    // Only continue to process if cost of goods sold is set, otherwise abort
    if (empty($cogs)) {
        wc_get_logger()->notice(
            'COGS is empty or not defined for the product ' . $product->get_id(),
            ['source' => $logger_source]
        );

        return null;
    }

    // Get the regular price for the product
    $regular_price = $product->get_regular_price();

    // If no regular price is set, abort
    if (empty($regular_price)) {
        wc_get_logger()->notice(
            'Regular price is empty for the product ' . $product->get_id(),
            ['source' => $logger_source]
        );

        return null;
    }

    // Calculate the margin on this product
    $margin = $regular_price - $cogs;

    // Calculate the margin percentage on this product
    $margin_percent = $margin / $regular_price;

    // If the margin is below 15%, abort
    if ($margin_percent < 0.15) {
        wc_get_logger()->notice(
            'The margin is below 15% for the product ' . $product->get_id(),
            ['source' => $logger_source]
        );

        return null;
    }

    // Get the condition of the product
    $condition = get_product_condition($product);

    // If the condition is null, abort
    if ($condition == null) {

        $message = '';

        // If the product is a variation, get the parent ID
        if ($product->is_type('variation')) {
            $parent_id = $product->get_parent_id();
            $message = 'Condition is not defined for the variation ' . $product->get_id() . ' of the product ' . $parent_id;
        } else {
            $message = 'Condition is not defined for the product ' . $product->get_id();
        }

        wc_get_logger()->notice(
            $message,
            ['source' => $logger_source]
        );

        return null;
    }

    // Calculate the auto min price
    $auto_min_price = get_auto_min_price($condition, $margin_percent, $regular_price);

    // If the auto min price is null, abort
    if ($auto_min_price == null) {
        wc_get_logger()->notice(
            'Auto Min Price could not be calculated for product ' . $product->get_id(),
            ['source' => $logger_source]
        );

        return null;
    }

    // Always return a float with 2 decimals
    return wc_format_decimal($auto_min_price, 2);
}, 10, 2);

Scheduled Regeneration​

Once activated the plugin will run a batch update of the calculated Auto Pricing Min Price at 3:25 am (local time) every morning.

It requires the automatic calculation filter to be set.

The process is very resource efficient and reliable. It can run through thousands of products quickly while limiting memory use to 90% during execution.

Tests have shown that on an average server, it can process 10'000 products within 15 minutes.

Instant Regeneration​

You can trigger the batch regeneration of all products anytime you need to. This may be convenient after you've done a manual import and update of product prices during the day.

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