Quick Answer
Large Shopify catalogs (1000+ SKUs) need layered asset group segmentation. A single asset group carrying 1000 products is starved. The working structure: segment by margin tier first, then by velocity within tier, then by seasonal relevance. Result: six to twelve asset groups for a typical large catalog.
Primary segmentation: margin tier
Split high-margin premium, mid-margin core, low-margin clearance. Each tier has different bid economics. The algorithm should not be deciding across tiers; it should be optimizing within tier.
Secondary segmentation: velocity
Within each margin tier, split fast movers, mid movers, slow movers. Fast movers have conversion data density and can support aggressive bidding. Slow movers need conservative bids and different creative treatment.
Seasonal asset groups
Some product categories have strong seasonality. Build seasonal asset groups that activate during the window and pause outside. This prevents budget drift into out-of-season inventory.
Common Questions
On record.
What is the maximum asset groups per PMax campaign?
Google allows up to 100 per campaign. Practically 12-15 is the upper limit for manageable segmentation; beyond that, split into multiple campaigns.
Should I use one PMax campaign or multiple?
For catalogs above 2000 SKUs, multiple campaigns help. Split by primary merchandising category (furniture, accessories, seasonal, etc.).
How do I identify velocity tiers?
Shopify reports unit velocity. Products in the top 20 percent by units sold are fast movers; bottom 40 percent are slow movers.
Does this structure work for dropshipping catalogs?
Yes, with the caveat that dropship margins are often thin and uniform. Margin segmentation may not produce distinct tiers; velocity segmentation does the work.
How often should I re-segment?
Quarterly. Velocity changes, margins shift, seasons rotate. Static segmentation ages into staleness.
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