I turned my shopping off at the start of December. Thats because the money was being spent on smaller items (gift type) and I was suddenly spending more on them than I was making. As there is traditionally a drop in sales of mens clothing before Christmas (Its spent on the family instead) thats no surprise, but this time the effect became unsustainable so I urned that part of PPC off.
I am looking to be able to select what goes into that feed now.. I have not had to do that before, I have just put everytrhing in. As you say, the conversions have been good, and the cost low compared to other feeds.
But I am not seeing them on the UK feeds for the searches I have tested. I do see them advertising in the usual PPC but the shopping feed is still filled with ebay sellers, but not amazon ones.
So I cannot really help over here. Its an inevitable trend I think.