Three Lessons Learned from Three Holiday Seasons with Performance Max

When Google launched Performance Max (PMax) at the end of 2021, it was presented as the future of campaign automation. One campaign type would reach across Search, Display, YouTube, Gmail, Discover and Maps. For many advertisers, though, the limited control and insight into performance data created hesitation. The question was could brands trust millions in holiday ad spend to an algorithm that offered so little transparency. 

Years later, PMax has proven itself. It can drive meaningful growth during Q4, but success is not automatic. Beyond our experience managing an extensive portfolio of PMax campaigns across three holiday seasons, Google has continued to evolve this campaign type, adding new features and greater visibility into performance insights. Together, these shifts have shaped how we balance automation with strategy. Here are the lessons every brand should know before heading into the next holiday cycle.

Lesson 1: Use Reporting Transparency to Guide PMax

With channel performance, audience insights, and search term reports now part of the advertiser’s toolbox, we can actively steer campaigns rather than merely hand over control to automation.

1. Mine search term data from past seasons

2. Use audience insights strategically

3. Use channel performance report to power seasonal creative strategy

4. Audit asset coverage to ensure holiday readiness

5. Optimize for device performance

The lesson is clear: transparency isn’t just a reporting upgrade. It’s an opportunity to steer the algorithm toward the audiences, queries, and assets that matter most during the holiday rush.

Lesson 2: Use Custom Labels to Spotlight Holiday Products

Create custom labels in your product feed to highlight the products that deserve extra visibility during the holidays. These labels allow you to isolate high-priority items into separate asset groups or campaigns, ensuring they receive the visibility, budget, and creative attention they need to drive  results.

Custom labels to consider:

Lesson 3: Use Seasonality Adjustments to Capture Short-Term Peaks

During holiday events like Black Friday and Cyber Monday, conversion rates often spike sharply for just a few days. Smart Bidding, which leans heavily on historical data, may lag in recognizing those surges fast enough. That’s where Seasonality Adjustments come in: by telling the algorithm to expect a conversion rate uplift for a defined window, you can help it spend more confidently during high-demand moments.

How to Apply Seasonality Adjustments Effectively

What Three Years of Holidays Have Taught Us

PMax has evolved since 2021. It started as a black box that advertisers distrusted. Now, with more transparency and control it has become a reliable driver of holiday revenue.

The real lesson: automation is powerful, but it still needs human strategy. Campaigns that pair Google’s tools with thoughtful structure and planning will outperform those left to run unchecked.

FAQs About Running PMax During the Holidays

Is PMax good for holiday campaigns?
Yes. PMax consolidates inventory across Google’s channels and is designed to capture high-intent shoppers. But results depend on how well you structure your product feed, assets, and signals. 

How do I optimize PMax for holiday shopping?
Focus on seasonal product labels, holiday-specific creative, and seasonality adjustments. Use search term insights to power search themes and guide the algorithm toward proven queries.

Should I run separate campaigns for holiday promotions?
You do not always need a separate campaign, but you should consider creating separate asset groups for holiday creative or updating assets in existing asset groups. This lets you control messaging without fragmenting your budget.

When should I start preparing for holiday PMax campaigns?
Start in early Q3. Feed changes, creative development, and audience list building all take time.

Performance Max has matured, but the holidays remain its ultimate test. The brands that win are those that combine automation with direction: using transparency to find winning queries, structuring feeds with seasonal intent, refreshing creative to reflect urgency, and setting guardrails through seasonality adjustments.

If you want deeper context, Google shares holiday shopping insights that highlight how buyer behavior shifts every Q4. Pairing those insights with a strong PMax strategy is how leading brands keep revenue growing when competition is at its peak.

If you want to see how your current setup compares, our team can run a holiday PMax audit. We will review your feed, creative, and audience signals to make sure you are ready before the busiest quarter of the year.