Performance Max Best Practices — Case Studies + Benchmarks

If you are a digital marketer in 2025, you know the feeling:
The “black box” of Google Ads is getting bigger.

When Performance Max (PMax) launched, it was met with skepticism:

“You want me to hand over my entire budget to an AI that won’t even tell me where my ads are showing?”

Fast forward to today, and the conversation has shifted.

We are no longer asking if we should use Performance Max —
we are asking how to control it.

With PMax now serving ads across Search, YouTube, Display, Discover, Gmail, and Maps from a single campaign, it has become the engine room of modern PPC.

But let’s be clear:

❌ “Set it and forget it” is a lie.

The agencies winning in 2025 aren’t letting the AI run wild.
They are steering the machine with:

• Precise audience signals

• Creative diversity

• Aggressive brand & negative keyword control

In this definitive guide, we’ll break open the black box and cover:

• ✅ Performance Max best practices for 2025

• 📊 Industry benchmarks by vertical

• 📈 3 real-world case studies delivering 200%+ ROAS lift

---

Part 1: The 2025 Performance Max Landscape — What Changed?

Before optimization, you must understand what’s new. Google released several critical updates in late 2024 and 2025 that fundamentally changed how PMax works.

---

1. Brand Exclusion Lists (A Game-Changer)

For years, PMax would aggressively bid on your own brand name, artificially inflating ROAS with traffic you would have received anyway.

What’s new in 2025:

• Brand Exclusion Lists can now be applied at the campaign level

• Forces PMax to focus on incremental growth, not lazy brand traffic

📌 If brand exclusions aren’t enabled, your ROAS reports are lying to you.

---

2. Asset Group Reporting Is Finally Useful

Old way:
One campaign. Everything dumped together. No visibility.

New way:
You can now view conversion performance per Asset Group.

Think of Asset Groups as Search Ad Groups:

• Pause underperforming themes

• Scale winning creative clusters

• Test messaging without killing the entire campaign

---

3. Search Themes > Keywords

Keywords are officially dead inside PMax.

Search Themes (standard in 2025) allow you to:

• Feed up to 25 intent-based themes

• Guide the learning phase with direction, not restrictions

Example:

• ❌ “running shoes men”

• ✅ “high-performance running footwear”

This tells Google where to start looking, not where it must stay.

Part 2: Performance Max Benchmarks (2025 Edition)

How do you know if your campaign is failing or flying?

You need context.

Below are aggregated global PMax benchmarks (Q1 2025) across major industries.

.

📊 Global Performance Max Benchmarks by Industry

Key Insights:

• 📉 CTR below 0.5% (E-com)? Your image assets are fatigued

• 💰 B2B CPA under $100? You’re beating the market — verify lead quality

• ⚠️ Display inventory can inflate volume with low-intent leads if unchecked

---

Part 3: Architecture & Setup — Feed-Only vs Full-Funnel PMax

One of the hottest debates in 2025:

Should I run Feed-Only or Full-Funnel PMax?

Feed-Only PMax (E-commerce Only)

What it is:
No headlines, images, or videos — only a Merchant Center feed.

How it behaves:
Acts like Smart Shopping
→ Shopping inventory only
→ No Display or YouTube spend

Best for:

• Budgets under $50/day

• Poor creative quality

• ROAS-focused efficiency

📈 Benchmark:
20–30% higher ROAS
📉 Lower volume

---

Full-Funnel PMax (Default Growth Model)

Includes:

• Product feed

• Images

• Video

• Text assets

Best for:
Brands focused on scaling demand, not just capturing it.

Trade-off:

• Slightly lower ROAS

• Higher customer discovery

---

Part 4: Asset Group Mastery (The Creative Engine)

If 70% of PMax success comes from creative, why are brands still using stock images?

In 2025, the algorithm rewards authenticity.

---

1. Structure Asset Groups by Intent

❌ Bad:

• One Asset Group: All Products

✅ Good:

• Best Sellers

• Discount / Outlet

• Category-specific intent (e.g., Running Shoes)

---

2. Video Is Non-Negotiable

If you don’t upload video, Google auto-creates one.
Those perform terribly.

Minimum video setup:

• 16:9 horizontal (YouTube In-Stream)

• 9:16 vertical (YouTube Shorts)

📌 UGC-style vertical videos in Shorts inventory are delivering:

• 40% lower CPMs

• Higher engagement in 2025

---

3. Image Diversity Wins

Use a mix of:

• Lifestyle shots

• Clean product images

• Infographic overlays (key benefits)

The AI learns faster with visual variety, not quantity alone.

---

Part 5: Audience Signals — Steering, Not Targeting

Audience Signals ≠ targeting.

They are starting points, not walls.

Priority Stack:

1. First-Party Data (past buyers, high-LTV users)

2. Custom Intent Segments (search behavior)

3. In-Market Audiences

4. Broad Demographics

📌 The better the signal, the faster PMax learns.

---

Part 6: Case Studies (Real Results)

Case Study 1: The “Zombie SKU” Revival (E-commerce)

Result:
+18% overall revenue
50 new winning SKUs unlocked

---

Case Study 2: Fixing B2B Lead Quality (SaaS)

Result:
-40% lead volume
+65% qualified pipeline value

📌 CPA increased — ROAS exploded

---

Case Study 3: Local Services Emergency Demand

Result:
-22% cost per call
+35% local store visits YoY

---

Part 7: Conversion Lift Checklist

If your campaign has plateaued, check:

• URL Expansion (control landing pages)

• Location targeting (“Presence” only)

• Brand cannibalization (exclude brand terms)

---

Part 8: Advanced Tactics for 2026

1. New Customer Acquisition Mode

• Bid higher for new users

• Or restrict ads to net-new customers only

2. Seasonality Adjustments

• Inform the algorithm about flash sales, spikes, or weather-based demand

---

Conclusion: Taming the Beast

Performance Max is no longer optional.

The winners in 2025:

• Feed better data

• Build better assets

• Set firm boundaries

The algorithm is smarter at bidding.
You are smarter at strategy.

To learn more about AI Max and Performance Max and how to use them effectively, check out our detailed blog covering AI-powered Google Ads strategies.