Not every Google Ads Agency is built the same. Some will scale your business. Others will quietly drain your budget while sending you impressive-looking reports that obscure the truth.
After 16+ years managing Google Ads for ecommerce brands, we have seen every trick in the book. This guide covers 27 specific red flags organized into five categories, along with exactly what to do when you spot each one. Catching these red flags in your own account is exactly what the Shopiator audit engine surfaces every Monday, and for every red flag below we also show you how Shopiator does it differently.
Whether you are currently working with a Google Ads Agency and feeling uneasy, or you are in the process of hiring one for the first time, use this as your reference.
27 Red Flags to Watch For
| # | Red flag | Category |
|---|---|---|
| 1 | You don't have access to your own Google Ads account | Transparency & Access |
| 2 | They hide behind 'intellectual property' to deny you account access | Transparency & Access |
| 3 | They won't talk about the Change History of your account | Transparency & Access |
| 4 | They use shared tracking pixels across multiple clients | Transparency & Access |
| 5 | Reports include view-through conversions to inflate results | Reporting & Metrics |
| 6 | They don't separate brand vs. non-brand performance | Reporting & Metrics |
| 7 | They count duplicate purchase conversions to inflate your numbers | Reporting & Metrics |
| 8 | Reports come as static PDFs with no live dashboard access | Reporting & Metrics |
| 9 | They count add-to-cart, begin checkout, and even pageviews as conversions | Reporting & Metrics |
| 10 | They rely on Meta Ads spend to make Google Ads look good | Campaign Management |
| 11 | No negative keywords are being added | Campaign Management |
| 12 | Set-and-forget campaign management | Campaign Management |
| 13 | No A/B testing of ad copy or landing pages | Campaign Management |
| 14 | Running Search and Display campaigns together | Campaign Management |
| 15 | No efficient geographic targeting | Campaign Management |
| 16 | Pushing Smart Bidding without enough conversion data | Campaign Management |
| 17 | No ad extensions or assets being used | Campaign Management |
| 18 | They run your Brand Search on low Target ROAS | Campaign Management |
| 19 | They only run PMax campaigns and swear by them | Campaign Management |
| 20 | No onboarding or strategy discovery process | Communication & Process |
| 21 | You only hear from them when the invoice is due | Communication & Process |
| 22 | They use jargon to deflect your questions | Communication & Process |
| 23 | Your account manager keeps changing | Communication & Process |
| 24 | Long-term contracts with no performance clauses | Contracts & Pricing |
| 25 | Percentage-of-spend pricing with no cap | Contracts & Pricing |
| 26 | They guarantee specific results or rankings | Contracts & Pricing |
| 27 | Hidden fees or unclear billing | Contracts & Pricing |
Transparency & Access
You don't have access to your own Google Ads account
If your Google Ads Agency runs campaigns inside their own account or MCC without giving you direct login access, you have zero visibility into what is actually happening.
Why this is a problem
If your Google Ads Agency runs campaigns inside their own account or MCC without giving you direct login access, you have zero visibility into what is actually happening. Worse, if you leave, you lose all your campaign history, conversion data, and audience lists. This is the single biggest red flag in the industry.
What to do about it
Demand admin access to a Google Ads account that is in YOUR name, linked to YOUR billing. If they refuse, walk away immediately. No exceptions.
They hide behind 'intellectual property' to deny you account access
Some Google Ads Agencies claim 'intellectual property' as a reason to keep you out of the Google Ads interface.
Why this is a problem
Some Google Ads Agencies claim 'intellectual property' as a reason to keep you out of the Google Ads interface. Here is the reality: you as a client own all that intellectual property because they are just managing your ads. The campaigns, the audiences, the data - all of it was built using your budget, for your business. Agencies love to hide behind intellectual property to cover up their inefficiencies and deny you access to see what they are actually doing.
What to do about it
Ask them to show you the actual Google Ads dashboard. Any real optimization methodology should enhance your visibility, not replace it. If they insist their 'IP' prevents you from accessing your own account, that is a dealbreaker.
They won't talk about the Change History of your account
The Change History in Google Ads logs every single modification made to your account: bid changes, keyword additions, budget adjustments, and more.
Why this is a problem
The Change History in Google Ads logs every single modification made to your account: bid changes, keyword additions, budget adjustments, and more. Even if you have access to the account and can see the Change History yourself, agencies like to dodge the question and avoid bringing it up because it exposes what they have been - or have not been - doing. As a client, you should bring up the Change History on your weekly or biweekly calls. It is the most transparent window into your Google Ads Agency's actual work.
What to do about it
Log into your Google Ads account, navigate to Change History, and review it. If you see zero changes over the past 30 days, your Google Ads Agency is not actively managing your campaigns. More importantly, make the Change History a standing agenda item on every call.
They use shared tracking pixels across multiple clients
Some agencies share tracking infrastructure between client accounts.
Why this is a problem
Some agencies share tracking infrastructure between client accounts. This means your conversion data could be contaminated by another client's traffic, and your remarketing audiences could include people who never visited your site. It is both a data quality and a privacy issue.
What to do about it
Ask directly: 'Is my conversion tracking pixel unique to my account, or is it shared?' Verify in Google Tag Manager that your container and tags are dedicated to your property only.
Reporting & Metrics
Reports include view-through conversions to inflate results
View-through conversions count a sale when someone merely saw your ad but did not click on it, then later purchased through a completely different channel.
Why this is a problem
View-through conversions count a sale when someone merely saw your ad but did not click on it, then later purchased through a completely different channel. Some Google Ads Agencies include these in their reports alongside click-through conversions to show inflated conversions, inflated sales, and inflated ROAS. When you see a ROAS of 8x in the report but your bank account tells a different story, view-through conversions are often the culprit. They are a platform-comparable metric designed to make the platform look good, not to reflect actual Google Ads performance.
What to do about it
Ask your Google Ads Agency whether their reports include view-through conversions. Then check your Google Ads account: go to Columns, modify the conversion columns, and look at whether 'View-through conversions' are lumped into the main conversion count. Demand reporting on click-through conversions only.
They don't separate brand vs. non-brand performance
This is one of the most common ways a Google Ads Agency inflates their results.
Why this is a problem
This is one of the most common ways a Google Ads Agency inflates their results. Brand searches (people searching your company name) convert at extremely high rates because those customers were already going to buy. If your Google Ads Agency mixes brand and non-brand conversions in the same report, their 'amazing ROAS' might be 80% brand traffic they had nothing to do with generating.
What to do about it
Ask for reports that segment brand campaigns separately from non-brand campaigns. If your non-brand ROAS looks dramatically different from the blended number, your Google Ads Agency has been masking poor performance behind your brand equity.
They count duplicate purchase conversions to inflate your numbers
Some Google Ads Agencies set up conversion tracking in a way that counts the same purchase two or even three times.
Why this is a problem
Some Google Ads Agencies set up conversion tracking in a way that counts the same purchase two or even three times. No kidding. They will track the purchase event on the thank-you page, the order confirmation email click, and sometimes even a redundant tag firing on page reload. The result? Your reports show inflated conversions, inflated sales, and inflated ROAS. You think you are getting a 6x return when the reality is closer to 2x.
What to do about it
Cross-reference your Google Ads conversion count with your actual Shopify or backend order count for the same period. If Google Ads shows 150 conversions but your store only processed 80 orders, you have a duplication problem. Check Tools > Conversions for redundant conversion actions.
Reports come as static PDFs with no live dashboard access
A monthly PDF report that arrives a week after the month ends gives your Google Ads Agency complete control over the narrative.
Why this is a problem
A monthly PDF report that arrives a week after the month ends gives your Google Ads Agency complete control over the narrative. They can cherry-pick timeframes, exclude bad days, and present data in whatever context makes them look best. You should be able to see real-time performance any time you want.
What to do about it
Request a live reporting dashboard (Google Looker Studio is free) that pulls directly from your Google Ads and Analytics accounts. If they resist, ask why they are uncomfortable with you seeing real-time data.
They count add-to-cart, begin checkout, and even pageviews as conversions
This is actually worse than counting purchases twice.
Why this is a problem
This is actually worse than counting purchases twice. Some Google Ads Agencies set up add-to-cart events, begin-checkout events, and sometimes even pageviews as conversion actions in Google Ads. This massively inflates the conversion count and makes ROAS look incredible on paper. We at Shopiator see this all the time when auditing Google Ads accounts managed by even some premier agencies run by big media houses. And sadly, the first thing we have to do - and we genuinely hate doing it - is tell ecom founders that their ROAS was actually 2x, not the 4x that their agency was showing them in reports and dashboards all this time.
What to do about it
Go to Tools > Conversions in your Google Ads account. Look at every conversion action listed. If you see 'Add to Cart', 'Begin Checkout', 'Page View', or 'View Content' marked as primary conversion actions, your numbers are wildly inflated. Only actual purchases should be primary conversion actions.
Campaign Management
They rely on Meta Ads spend to make Google Ads look good
We have had multiple ecom founders tell us that their Google Ads Agency got upset because they decreased spend on Meta Ads and directly blamed it as the reason for a drop in Google Ads performance.
Why this is a problem
We have had multiple ecom founders tell us that their Google Ads Agency got upset because they decreased spend on Meta Ads and directly blamed it as the reason for a drop in Google Ads performance. Think about that for a moment. If your Google Ads results collapse when you reduce Meta spend, your Google Ads Agency was not actually driving incremental revenue. They were riding the wave of demand generated by Meta and taking credit for conversions that would have happened anyway.
What to do about it
Ask your Google Ads Agency to explain your Google Ads performance independently of other channels. If their answer involves blaming Meta Ads budget changes, that tells you everything about how dependent their 'results' are on someone else's work.
No negative keywords are being added
Negative keywords prevent your ads from showing for irrelevant searches.
Why this is a problem
Negative keywords prevent your ads from showing for irrelevant searches. If your Google Ads Agency is not regularly reviewing the Search Terms report and adding negative keywords, your budget is being wasted on searches that will never convert. This is one of the easiest checks: open your account and look at the negative keyword lists.
What to do about it
Check your Search Terms report right now. If you see searches completely unrelated to your business, and no negatives have been added in the past 30 days, your Google Ads Agency is asleep at the wheel.
Set-and-forget campaign management
Google Ads requires ongoing, active management.
Why this is a problem
Google Ads requires ongoing, active management. Bid adjustments, keyword refinements, ad copy testing, audience tuning, and budget reallocation should be happening weekly at minimum. A Google Ads Agency that sets up your campaigns and then only makes changes when you complain is not managing your account. They are collecting a retainer.
What to do about it
Check the Change History in your account. Filter by the last 14 days. If there are fewer than 10 meaningful changes (not automated bid adjustments), your campaigns are not being actively managed.
No A/B testing of ad copy or landing pages
If every ad group has a single ad and no experiments are running, your Google Ads Agency is not trying to improve performance.
Why this is a problem
If every ad group has a single ad and no experiments are running, your Google Ads Agency is not trying to improve performance. Ad copy testing is the most basic optimization practice. Landing page testing is where the real conversion gains happen. Neither should be optional.
What to do about it
Ask your Google Ads Agency to show you their current testing roadmap. What ad variations are live? What landing page tests are planned? If they have no answer, they are not optimizing.
Running Search and Display campaigns together
Mixing Search Network and Display Network in the same campaign is a beginner mistake that inflates impression counts while destroying conversion rates.
Why this is a problem
Mixing Search Network and Display Network in the same campaign is a beginner mistake that inflates impression counts while destroying conversion rates. Search traffic has buying intent. Display traffic is passive. Combining them makes it impossible to optimize either effectively.
What to do about it
Check your campaign settings. If 'Display Network' is enabled on Search campaigns, ask your Google Ads Agency to separate them immediately. This is a basic best practice.
No efficient geographic targeting
Google is a beast of a platform that has subtle inefficiencies built in to fool the inexperienced.
Why this is a problem
Google is a beast of a platform that has subtle inefficiencies built in to fool the inexperienced. Every time we do a Google Ads audit for a new client, we first run the User Location report and we usually see money being spent on countries like India, Pakistan, Bangladesh, Philippines, and Africa for an ecom brand that only sells products in the US. Sometimes the wasted spend is in thousands of dollars, and all of this could be prevented if your Google Ads Agency knew that the default and recommended location targeting setting in Google Ads, 'Presence or Interest,' can literally show your ads worldwide unless you specifically choose 'Presence only.' Most agencies, especially the premier ones, miss this. If you have this problem, you should seriously reconsider your agency because if they can miss something as basic as this, they do not know what they are doing on Google Ads.
What to do about it
Go to your campaign settings and check the Location Options. If it says 'Presence or interest: People in, regularly in, or who've shown interest in your targeted locations' instead of 'Presence: People in or regularly in your targeted locations,' change it immediately. Then run the User Location report (not the Geographic report) to see where your clicks are actually coming from. If you see spend from countries you do not sell to, that is money your Google Ads Agency has been burning.
Pushing Smart Bidding without enough conversion data
Automated bidding strategies like Target CPA and Target ROAS need a meaningful volume of conversions to work properly (Google recommends at least 30 conversions in 30 days per campaign).
Why this is a problem
Automated bidding strategies like Target CPA and Target ROAS need a meaningful volume of conversions to work properly (Google recommends at least 30 conversions in 30 days per campaign). A Google Ads Agency that enables Smart Bidding on a new account with 5 conversions a month is setting the algorithm up to fail, and your budget will suffer.
What to do about it
Ask how many conversions each campaign has recorded in the last 30 days and which bidding strategy is in use. If a campaign has fewer than 15 conversions and is on Target ROAS, the algorithm does not have enough signal to optimize.
No ad extensions or assets being used
Sitelinks, callout extensions, structured snippets, call extensions, and image extensions increase your ad's size, visibility, and click-through rate at zero additional cost.
Why this is a problem
Sitelinks, callout extensions, structured snippets, call extensions, and image extensions increase your ad's size, visibility, and click-through rate at zero additional cost. If your Google Ads Agency has not set these up, they are leaving easy performance on the table.
What to do about it
Check your Ads & Extensions tab. If you see no sitelinks, no callouts, and no structured snippets, your Google Ads Agency missed the basics.
They run your Brand Search on low Target ROAS
This is more common than you think, and agencies do it to inflate your ad spend.
Why this is a problem
This is more common than you think, and agencies do it to inflate your ad spend. Picture this: why would you let Google's Smart Bidding inflate the cost per click on your own brand keywords? That is like paying a premium to convert your own traffic - people who were already searching for you by name. But Google Ads Agencies do this because they want to inflate your spend to earn their percentage on ad spend. Or, honestly, most of them know Google Ads at a surface level and lack the real platform expertise to scale on cold traffic, so they pad the numbers with expensive brand clicks instead.
What to do about it
Check your brand campaign's bidding strategy. If it is running on Target ROAS with a low target (letting Google spend aggressively), ask your Google Ads Agency why they are paying premium CPCs for people already searching your brand name. Brand campaigns should have the highest ROAS targets in your account, not the lowest.
They only run PMax campaigns and swear by them
Some Google Ads Agencies treat Performance Max as the only campaign type worth running.
Why this is a problem
Some Google Ads Agencies treat Performance Max as the only campaign type worth running. They will create multiple PMax campaigns without any strategy, goal, or need, and tell you PMax is the best campaign type that does really well on Google Ads. The reality is that PMax is a black box that blends Search, Shopping, Display, YouTube, and Discovery into one campaign with limited transparency. Running only PMax means you have no control over which channels your budget goes to, no visibility into search terms, and no way to isolate what is working from what is not.
What to do about it
Ask your Google Ads Agency what campaign types they are running and why. If the answer is only PMax with no Search or Shopping campaigns alongside it, ask how they control which channels get your budget and how they measure incrementality.
Communication & Process
No onboarding or strategy discovery process
A Google Ads Agency that jumps straight into campaign setup without understanding your business model, margins, customer lifetime value, competitive landscape, and seasonal patterns is going to build generic campaigns.
Why this is a problem
A Google Ads Agency that jumps straight into campaign setup without understanding your business model, margins, customer lifetime value, competitive landscape, and seasonal patterns is going to build generic campaigns. Proper onboarding takes 1 to 2 weeks and involves detailed conversations about your business.
What to do about it
If your Google Ads Agency launched campaigns within 48 hours of signing the contract without asking about your profit margins, average order value, or best-selling products, they built a cookie-cutter setup.
You only hear from them when the invoice is due
Regular, proactive communication is a non-negotiable sign of a good Google Ads Agency.
Why this is a problem
Regular, proactive communication is a non-negotiable sign of a good Google Ads Agency. If you are always the one reaching out to ask for updates, and the only reliable communication you receive is the monthly bill, your Google Ads Agency views you as a revenue line, not a client they are invested in growing.
What to do about it
Set a clear communication cadence at the start: weekly Slack updates, biweekly strategy calls, monthly performance reviews. If they consistently miss these without explanation, escalate or leave.
They use jargon to deflect your questions
When you ask why performance dropped and the answer is a stream of acronyms and technical terms you do not understand, that is not expertise.
Why this is a problem
When you ask why performance dropped and the answer is a stream of acronyms and technical terms you do not understand, that is not expertise. That is obfuscation. A competent Google Ads Agency should be able to explain everything in plain language. If they cannot make it simple, they probably do not understand it themselves.
What to do about it
Test them: ask 'Can you explain that in terms of how it affects my revenue?' A good Google Ads Agency will welcome the question. A bad one will get defensive or repeat the same jargon louder.
Your account manager keeps changing
High turnover on your account means every few months someone new has to learn your business, your history, and your goals from scratch.
Why this is a problem
High turnover on your account means every few months someone new has to learn your business, your history, and your goals from scratch. Continuity matters enormously in Google Ads because institutional knowledge about what has been tested, what failed, and what seasonal patterns look like cannot be transferred in a handoff document.
What to do about it
Ask upfront: 'Who will manage my account day-to-day, and what is your average employee retention?' If they dodge the question or your account manager has changed more than twice in a year, consider it a serious warning sign.
Contracts & Pricing
Long-term contracts with no performance clauses
A 12-month contract with no exit clause based on performance means your Google Ads Agency has zero financial incentive to deliver results after you sign.
Why this is a problem
A 12-month contract with no exit clause based on performance means your Google Ads Agency has zero financial incentive to deliver results after you sign. They already have your commitment. The best Google Ads Agencies offer month-to-month terms (or short initial commitments) because they earn retention through results, not legal obligation.
What to do about it
Negotiate performance benchmarks at 90 days with a mutual exit option if targets are missed. If they refuse, they are not confident in their ability to deliver.
Percentage-of-spend pricing with no cap
When a Google Ads Agency charges a percentage of your ad spend, their incentive is to increase your budget regardless of whether it improves your results.
Why this is a problem
When a Google Ads Agency charges a percentage of your ad spend, their incentive is to increase your budget regardless of whether it improves your results. A 15% management fee on $10,000/month is $1,500. On $50,000/month it is $7,500. Their fee quintupled, but did their work? Probably not five times as much.
What to do about it
Ask for a pricing structure that aligns incentives with your goals. Flat fees, tiered pricing, or hybrid models (base fee plus performance bonus) are typically healthier for the client.
They guarantee specific results or rankings
No one can guarantee a specific CPA, ROAS, or number of leads from Google Ads.
Why this is a problem
No one can guarantee a specific CPA, ROAS, or number of leads from Google Ads. There are too many variables: your product, your price, your competition, seasonality, landing page quality, and Google's own algorithm changes. A Google Ads Agency that guarantees specific outcomes is either lying or planning to game the metrics to technically hit the target while missing your actual business goal.
What to do about it
Look for Google Ads Agencies that set realistic benchmarks, explain the variables, and commit to a transparent optimization process rather than promising a specific number.
Hidden fees or unclear billing
Setup fees, platform fees, reporting fees, 'technology' fees, and early termination fees that were not clearly disclosed before you signed are a sign of a Google Ads Agency that profits from confusion.
Why this is a problem
Setup fees, platform fees, reporting fees, 'technology' fees, and early termination fees that were not clearly disclosed before you signed are a sign of a Google Ads Agency that profits from confusion. Your total cost should be completely clear before the engagement starts.
What to do about it
Get a complete fee breakdown in writing before signing. Ask specifically: 'Are there any fees beyond the management fee and ad spend?' If new charges appear on your first invoice, address it immediately.
Google Ads Agency Audit Checklist
Use this 16-point checklist to evaluate your current Google Ads Agency or vet a new one. If you cannot check off at least 12 of these, it is time for a serious conversation with your Google Ads Agency.
- I have admin access to my Google Ads account
- I can view the Change History and see regular modifications
- Only completed purchases are set as primary conversion actions
- No view-through conversions are included in the main conversion count
- Brand and non-brand campaigns are reported separately
- Negative keywords are being added regularly
- Search Terms report is reviewed at least weekly
- Ad extensions (sitelinks, callouts, snippets) are active
- A/B testing is running on ad copy
- Geographic targeting is optimized by performance, not set uniformly
- I receive weekly, proactive updates from my Google Ads Agency
- Reports include revenue and ROAS from click-through conversions only
- My contract has a performance clause or month-to-month option
- I understand all fees being charged beyond ad spend
- Brand campaigns have high Target ROAS to protect margins
- The account runs multiple campaign types, not just PMax
Questions to Ask Before Hiring a Google Ads Agency
Copy these questions into your next discovery call. A good Google Ads Agency will answer all of them clearly and without hesitation.
Account Ownership
- ?Will I have admin access to my Google Ads account?
- ?Is the account created under my business name and billing?
- ?If we part ways, do I keep all campaign data and history?
Reporting & Transparency
- ?Will I have access to a live dashboard, or only static reports?
- ?Do you separate brand vs. non-brand conversion reporting?
- ?Do your reports include view-through conversions in the main conversion count?
- ?How many conversion actions are set up, and which ones are primary?
Team & Process
- ?Who specifically will manage my account day-to-day? Can I meet them?
- ?What does your onboarding process look like?
- ?How often will we have strategy calls, and will the Change History be reviewed?
Strategy & Optimization
- ?What is your approach to negative keyword management?
- ?What campaign types do you run beyond Performance Max?
- ?How do you handle brand vs. non-brand bidding strategy?
- ?At what conversion volume do you enable Smart Bidding?
Contracts & Pricing
- ?What are your contract terms? Is month-to-month available?
- ?Is there an early termination fee?
- ?Are there any fees beyond management fee and ad spend?
Spotted Red Flags? Here is What to Do
Spotting one or two of these does not automatically mean you should fire your agency. Several are fixable once raised directly, and a good agency will fix them. What matters is whether they respond with specifics or with deflection. Work through the five steps below in order, whether you end up staying or leaving.
Secure your account access
Before doing anything else, confirm you have admin access to your Google Ads account, Google Analytics, Google Merchant Center (if applicable), and Google Tag Manager. If you do not, request it immediately in writing.
Document everything
Export your campaign performance data, conversion history, audience lists, and negative keyword lists. Take screenshots of your current account structure, bidding strategies, and budget allocations. This protects your historical data regardless of what happens next.
Have a direct conversation
Present your specific concerns with evidence (Change History, Search Terms report, duplicate conversions, inflated ROAS). Give your Google Ads Agency a clear timeline to address the issues, typically 2 weeks for structural fixes. Some problems are fixable and some Google Ads Agencies will step up when confronted directly.
Start evaluating alternatives
Begin vetting replacement Google Ads Agencies while your current one is still active. This prevents a gap in campaign management. Look for specialists in your industry who can demonstrate relevant case studies and pass the interview questions listed above.
Transition with overlap
When switching, overlap the old and new Google Ads Agency for at least 1 week. The new agency needs time to audit the existing account, understand what is working, and plan improvements before taking full control. Abrupt transitions often cause temporary performance dips that a proper handover prevents.
Disclosure
We run a Google Ads agency, so treat this section as an interested party talking. For what it's worth, we built Shopiator around the inverse of the four flags we consider non-negotiable: your Google Ads account is in your name from day one, Change History is a standing agenda item, reporting is click-through conversions only, and tracking is dedicated to your property. The other 23 flags are worth checking against any agency, including us.
Frequently Asked Questions
What is the biggest red flag when hiring a Google Ads Agency?
How can I tell if my Google Ads Agency is actually working on my account?
How do I know if my Google Ads conversions are inflated?
Should I be concerned if my Google Ads Agency guarantees results?
What should I do if I spot multiple red flags with my current Google Ads Agency?
Is it a red flag if a Google Ads Agency only runs Performance Max campaigns?
How long should I give a new Google Ads Agency before judging their performance?
How do I safely switch from one Google Ads Agency to another?
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