The Google Problem

Google Shopping vs. Reality: Why the "Best" Result is Often Just an Ad

Go ahead and search for a specific pair of sneakers on Google right now. The first five results aren't necessarily the retailers with the lowest price or the fastest shipping. They are simply the ones who paid the most for that digital real estate. In this post, we dissect the difference between a paid placement and a genuine bargain.

The Experiment

I ran a simple test. I searched "Nike Air Max 270" on Google Shopping.

Here's what appeared in the top 5 results:

  1. Retailer A: $160
  2. Retailer B: $155
  3. Retailer C: $150 (marked "Sale")
  4. Retailer D: $165
  5. Retailer E: $158

Not bad, right? The cheapest was $150.

Then I scrolled down. Way down. To result #23.

$119. Same shoe. Same size. Same colorway. Verified retailer.

Why was the cheapest option buried on page 3? Because that retailer didn't pay Google for placement.

How Google Shopping Actually Works

Google Shopping isn't a search engine. It's an auction.

Here's the process:

  1. Retailers upload their product catalog to Google
  2. They set a bid amount for each product (how much they'll pay per click)
  3. When you search, Google runs an auction
  4. The highest bidders get the top spots
  5. You see results ranked by ad spend, not by price

Google does factor in "relevance," but the bidding system dominates. A retailer willing to pay $2 per click will almost always rank higher than one paying $0.50, even if the cheaper bidder has a lower price.

The Visual Deception

Google knows users trust organic results more than ads. So they've made ads look almost identical to organic results.

The only difference? A tiny "Sponsored" label in light gray text.

On mobile, where screen space is limited, you might see 4-6 sponsored results before you ever reach an organic one. And because most users don't scroll past the first screen, they never see the actual best prices.

It's not illegal. It's not even uncommon. But it is designed to mislead.

The Economics Behind It

Why do retailers pay Google instead of just lowering their prices?

Because it works.

If a retailer charges $150 and pays Google $5 per click, they still profit $145 after the click cost (minus product cost and overhead).

If they drop their price to $135 and don't advertise, they might not get any clicks at all because they're buried on page 3.

So retailers compete on ad spend, not on price.

And the consumer loses.

Real Examples

Here are products where the top Google Shopping result was NOT the cheapest:

In every case, the cheapest option was available from a legitimate, verified retailer. It just didn't show up at the top because it didn't pay Google enough.

What About the "Sale" Badge?

You'll often see a "Sale" badge on Google Shopping results. This makes users think they're getting a deal.

But "Sale" just means the retailer marked the item as discounted in their product feed. It doesn't mean:

Retailers can (and do) inflate the "original price" to make the "sale price" look better. Google doesn't verify these claims.

Why Doesn't Google Fix This?

Because Google Shopping generated over $10 billion in ad revenue last year.

If they ranked results by price instead of by bid amount, advertisers would pay less. Revenue would drop.

Google is a for-profit company. Their incentive isn't to show you the lowest price. It's to maximize revenue from advertisers.

This isn't a conspiracy theory. It's just business. But it's bad for consumers.

What You Can Do

If you rely solely on Google Shopping, you're almost guaranteed to overpay.

Here's how to avoid it:

1. Scroll Past the First Page

The best deals are often on pages 2, 3, or beyond. Scrolling takes time, but it can save you 20-30%.

2. Ignore the "Top Results" Entirely

Treat the first 5-10 results as ads (because they are). Start your actual search below those.

3. Use Independent Comparison Tools

Tools that don't rely on paid placement will show you the actual lowest price, not the highest bidder.

Find the Best Deal and See What Google Hides

FindPrices helps you compare prices beyond Google's paid results to find the actual lowest price. No auctions, just honest comparison.

Compare Pricing Now - It's Free

The Bottom Line

Google Shopping is a useful tool for discovery. But it's terrible for finding the lowest price.

The "best" result is the one that paid Google the most, not the one that saves you the most money.

If you want to stop overpaying, you need to look beyond the first page of Google Shopping.

Or use a tool that does it for you.

About the Author

Ben is the founder of FindPrices. After realizing Google Shopping consistently showed him expensive options first, he built a tool that ranks by price, not by ad spend. Follow him on LinkedIn.