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U.S. Retailers: Your Comprehensive Guide to Google Merchant Center's 2025 Updates

2025 is officially halfway over (hard to believe, I know). Time’s flying, and so are the changes happening all around us in the digital retail world. Google's Merchant Center platform has made some major adjustments that hold a promise to us retailers: fewer tedious manual tasks, more accurate data, and better user experiences within Shopping ads. Those at the helm of product feeds and pricing strategies should see this as the opportune moment to optimize operations and ad performance.

We’ve done the research on these changes and broken them down below so you can learn how to adapt sufficiently.

 1. The End of Manual Sales Tax Settings

Effective Date: July 1, 2025

As recently as July 1st, with the goal of simplified tax calculations, Google discontinued support for the tax and tax_category attributes in U.S. Merchant Center feeds. Retailers won’t need to manually set tax rates anymore, something that has often warranted errors and even product disapprovals or misleading pricing in ads. This update could help more product listings appear in search by lifting past the disapprovals, provided merchants update their tax settings before the deadline.

Why This Matters:

This update hones in on the current wide-held emphasis on accuracy and efficiency. Google, by removing manual input, aims to make final prices more accurate, and subsequently cut down on buyer frustration with smoother transactions for businesses and consumers alike.

Next Steps:

  • Starting July 1: Update these attributes completely from your feed.
  • Ongoing: Carry out regular audits of your landing pages to make sure you reflect pricing that is accurate and tax inclusive. Discrepancies can lead to disapprovals and erode customer trust.

 2. Revised Guidelines for Loyalty Discounts

If you offer exclusive pricing through loyalty programs, subscriptions, or special memberships, there is a big change coming. You’ll no longer be able to use the sale_price attribute to show member-only discounts.

Instead, Google now allows businesses to spotlight these exclusive offers directly in Search with updated structured data in the organization schema.

Rationale for Change:

This update derives from Google’s commitment to price transparency. Incorrectly using sale_price for loyalty discounts can mislead general users and contravene advertising policies.

What To Do Now:

  • Review your current product feed for items listed under sale_price that are exclusively available to members.
  • Transition these listings to the new loyalty_program attribute for a clear distinction between standard pricing and member-specific deals.
  • Add structured data for loyalty pricing.

 3. Enhanced Click Metrics for Improved Reporting

Effective Date: April 21, 2025

Google has refined its methodology for counting "clicks" in Merchant Center reports, moving from anything that resembles a click to only counting legitimate clicks that lead users to your website.

Previously, clicks encompassed various user interactions, such as swiping through images or clicking buttons that didn’t direct to your site. Moving forward, only link clicks that result in traffic to your website will be included.

Why It Matters:

This modification makes reporting more accurate and aligns Merchant Center metrics with Google Ads for a more authentic overview of your campaign performance.

Key Insight:

You should expect a decrease in click totals compared to previous reporting periods, but you can anticipate higher quality insights. Segment your performance reports before and after April 21 to draw fair comparisons.

 4. More Detailed Shipping Information at the Item Level

Retailers can now relay more detailed shipping information and updates on a per-product basis, so customers have a better understanding of when their order is to arrive, and therefore inherently improving their overall experience.

New Attributes Include:

  • carrier_shipping: Let customers know which shipping provider you’re using.
  • shipping_handling_business_days: State clearly how many business days you need to prepare and process the order before it ships.
  • Shipping_transit_business_days: Give an accurate estimate of how long shipping will take once the order is on its way.

Why This Matters:

Using these new features lets you show exactly when orders will arrive and can potentially increase conversion rates and lower instances of cart abandonment.

Tactical Tips:

  • Use the new shipping attributes for larger items, custom orders, seasonal products, etc.
  • If you're using a third-party logistics provider or dropshipping, double-check that everyone’s on the same page about shipping times and details.
  • Combine these settings with local inventory ads or location-based extensions for an omnichannel strategy that helps customers see what’s nearby and how fast they can get it.

 5. Major Interface Overhaul: Navigation and Notifications

In conjunction with ongoing refinements, Google is discontinuing the settings gear icon and moving all settings to the lefthand navigation panel. Also, archived Merchant Center emails will be permanently deleted after June 25, 2025.

What Else is New:

  • You’ll now find notifications, like alerts about feed errors and account issues, in the Notifications tab.
  • Legacy navigation tools are being retired to make room for a tidier and easier-to-use dashboard.

What to Do Internally:

  • Update your internal training docs and SOPs to match the new interface so that everyone’s working from the same playbook.
  • Remind your team to keep an eye on the Notifications tab and handle any issues as soon as they arise.

Your 3-Phase Strategy for Merchant Center Success

Phase 1: Preparation (Start Now)

  • Take a close look at your product feeds to make sure tax, tax_category, and sale_price fields are being used correctly.
  • Review past performance reports to understand how the updated click definition could affect your trends.
  • Make sure your internal teams are up to speed on these changes and update any related documentation accordingly.

Phase 2: Transition (July-Aug)

  • Eliminate tax attributes from your U.S. listings.
  • Switch from sale_price to the loyalty_program attribute for member exclusive pricing.
  • Validate the updated feed to circumvent disapprovals or inconsistencies.

Phase 3: Optimization (Ongoing)

  • Use detailed shipping information for each item to enrich the customer experience and gain an edge with faster delivery times.
  • Keep an eye on performance metrics with the revised click data to better manage and optimize ad spend.
  • Try out enhancements through Product Studio and AI features to refine your product titles and imagery for better visibility.

Foremost Media holds a commitment to helping U.S. retailers with everything from compliance and optimized product feeds to profitable shopping campaigns. We can provide a tactical support option or a complete strategy overhaul – whatever you may need to make sure you are positioned to succeed alongside the continuous changes in online shopping.

Let’s work together for a more powerful and impactful product listing. Connect with us today!