Google Ads PMax Asset Groups: Asset Group Segmentation Strategy

Performance Max (PMax) took away our keywords. It took away our bidding control. But it gave us Asset Groups. An Asset Group is essentially the new Ad Group. It is a bundle of images, videos, headlines, and an Audience Signal.

Most advertisers fail at PMax because they treat it like a "Catch-All." They create one Asset Group called "All Products" and wonder why it spends 80% of the budget on cheap remarketing inventory.

In this guide, we break down the THEME Segmentation Framework, the importance of Audience Signals, and how to force PMax to find new customers instead of recycling old ones.

The Financial Logic of Segmentation

If you bundle "High Margin Luxury Watches" and "Low Margin Watch Straps" in the same Asset Group, PMax will sell 1,000 straps and 0 watches. Why? Because straps are easier to sell. The algorithm takes the path of least resistance to hit your ROAS target.

The Segmentation Rule: You must segregate products by value and theme so you can direct the budget where you want it, not where the AI finds it easiest.

Theory: Audience Signals are NOT Targeting

This is the biggest misconception in PMax. In Search campaigns, if you target "Golfers," you only show ads to golfers. In PMax, an Audience Signal is just a suggestion. You are telling Google: "Start looking here." Google will look at your signal, find some initial conversions, and then immediately expand beyond it if it finds better performance elsewhere.

• Implication: Your creative (Images/Headlines) is the only true targeting layer left. If your creative shows a "Golf Club," you will attract golfers. If it shows a generic "Sale," you will attract everyone.

Framework: The THEME Structure

Do not organize by "Keyword." Organize by "User Intent."

Structure A: The "Data Feed" Split (E-commerce)

1. Asset Group 1: "Best Sellers" (High Volume).
2. Asset Group 2: "New Arrivals" (High Impression Quality).
3. Asset Group 3: "Clearance" (Low Margin / High ROAS target).

Structure B: The "Persona" Split (Lead Gen)

• Asset Group 1: "The CFO" (Creative speaks to ROI, Saving Money).
  • Signal: Competitor URLs, Finance & Accounting Interests.
• Asset Group 2: "The CTO" (Creative speaks to Security, API, Uptime).
  • Signal: Tech Crunch readers, Developer Job titles.

Execution: Building the Perfect Asset Group

A "Good" Asset Group has excellent asset coverage.

1. Images: You need 20/20.
   • Mandatory: 1x Landscape (1.91:1), 1x Square (1:1), 1x Portrait (4:5).
   • Tip: Use lifestyle images, not just white-background product shots.
2. Video: You MUST have a video.
   • Warning: If you don't upload a video, Google will auto-generate a horrific slideshow from your images. It looks like a scamsite ad. Upload anything (even a 10s stock edit) to prevent this.
3. Headlines:
   • 5x Short Headlines (30 chars).
   • 5x Long Headlines (90 chars).

Advanced Strategy: The "Brand Exclusion" Layer

PMax loves to bid on your Brand Name because it's easy ROAS. This inflates your results.

• The Fix: Go to Campaign Settings → Brand Exclusions.
• Select your brand list. This forces PMax to go out and hunt for Non-Brand traffic. Your Search campaigns should handle Brand.

Case Study: The "One Bucket" Disaster

Client: Sneaker Retailer Setup: 1 PMax Campaign, 1 Asset Group ("All Shoes"). Result: 800% ROAS. (Sounds great, right?) The Audit:

• 90% of sales were "Branded Search" (People searching for the store name).
• 10% of sales were "Socks" ($10 items).
• 0% of sales were the high-ticket Jordans they wanted to move.

The Fix:

1. Added Brand Exclusions to the PMax campaign.
2. Created 3 Asset Groups: "Basketball," "Running," "Lifestyle."
3. Result: ROAS dropped to 400% (Real ROAS), but "New Customer Revenue" tripled.

Pitfalls to Avoid

1. "Final URL Expansion" Risks

By default, PMax acts like a Dynamic Search Ad (DSA). It scrapes your whole site. It might send traffic to your "Privacy Policy" or "Blog" if it thinks it will convert. Fix: Go to Settings → Final URL Expansion → Exclude URLs. Exclude /blog, /policy, /careers.

2. Ignoring Asset Group Reporting

Go to "View Details" on your Asset Group. Check "Performance" column. If an image is "Low," delete it. Replace it. PMax is a content monster. You must feed it fresh creative every 30 days.

Summary

PMax is not "Set and Forget." It is "Feed and Steer." Feed it High-Quality Creative. Steer it with Audience Signals and Brand Exclusions.

Your PMax Checklist:

1. Check your Asset Coverage (Do you have 20/20 images?).
2. Upload a video (Do not let Google auto-generate one).
3. Implement Brand Exclusions.
4. Split your "All Products" group into THEME groups.

Take the wheel back from the AI.