What is Conversion Tracking?
The process of tracking customer behaviors that bring your business one step closer to achieving a predetermined objective is known as conversion tracking. For instance, conversion tracking is used by advertisers who collaborate with ad platforms to determine which precise data points are achieved by the users they bring on board. The monitored metrics show how well your business’s marketing initiatives—whether they be social media advertising or email marketing—are reaching your target audience and producing the intended results. With this data, you can refine your campaigns’ keywords, spending, bidding, and other elements to better maximize them. You can also apply the tactics of your more successful campaigns to those which require development.
Conversion Tracking in Google Ads
Installing a tracking tag on your website, choosing an attribution model, and defining what a conversion means for your company are the first steps in tracking conversions in Google Ads. Conversions include any desired actions—like live chats, phone calls, website clicks, video views, form fills, and more—that your audience performs in response to your advertisement. These completed activities are measured by conversion monitoring, which links them to the relevant advertisements.
When a user interacts with several ads before converting, attribution modeling establishes how credit is allocated for conversions. Conversion value gives you the ability to give some conversion actions a monetary value, which can affect bidding strategies. A code called a “Google tag” is applied to your website to facilitate the exchange of conversion data between it and your Google Ads account. Later, we’ll go over the installation procedure in greater depth.
What makes conversion tracking important?
By revealing the source of installs, transactions, or other data points, conversion monitoring gives marketers and ad networks valuable information about the caliber of the source. Additionally, it provides a more transparent view of campaign performance, facilitating further improvement. Conversion tracking can help you determine whether your advertising campaigns are generating a sufficient return on ad spend to optimize your return on investment (ROI). You can use this information to direct the distribution of your budget, moving money from less productive routes to more lucrative ones.
You can find areas for development by examining conversion data. Comparing a campaign’s tactics to those that have worked better can highlight areas that need improvement if tactics aren’t working as intended. For instance, you can concentrate on the keyword that is doing better if campaigns targeting that keyword convert at a higher rate than those aimed at another. It’s important to keep in mind that there isn’t always a straight correlation between clicks and conversions. With conversion tracking, you can differentiate between high click-through rates and real conversions, resulting in a more precise evaluation of the efficacy of your campaigns.
Conclusion
If you don’t know when or why clients convert in the first place, it’s impossible to promote more conversions. Customers are monitored by conversion tracking while they move through the sales funnel. In this manner, you can determine when would be the most effective to persuade them to perform an activity you desire, like buying something or visiting a specific website.
