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What is a conversion?
Advertisers set clear targets for their potential customers. These objectives are aligned with the interests of their business. When a customer reaches that mark, advertisers count it as a conversion. A conversion, therefore, can be defined as a target/goal (directed towards a user) set by an advertiser that contribute to the success of the business.
Conversions for different businesses might mean different things. A conversion for a blogger could be a subscription to their blog. It can be a download to an app developer. Sign up for trial for a Saas company. A filling contact form for a lead generation agency. Writing a review for a restaurant. Or a purchase for an eCommerce company.
What is a conversion in Google AdWords?
In AdWords, conversion happens aftera click on the ad of an advertiser. This is counted as a conversion if the customer fulfills the goal defined by the advertiser. An advertiser can set multiple goals, few primary and a few secondary objectives. A conversion can be each such goal. It is however entirely up to the advertiser to decide what a conversion is. This is dependent on their business prospects.
Note: AdWords doesn’t keep conversions enabled by default. An advertiser has to set them manually as per their business goals.
How do conversions benefit an advertiser?
Conversions help an advertiser understand the value their campaigns are generating concerning their investments in the same. They also help track the movement of a user post-clicking on the ad. Conversions are very vital when bidding for keywords. This is because conversions provide additional information about a click, which is the quality of a click. A click that isnt leading to a conversion is basically no good for the business. Knowing this particular information about a click helps decide which keywords (driving to these clicks) are working towards the cause of the campaign. Thus bidding higher for keywords leading to high conversions.
Conversions give insights to a customers persona. It is possible to know what triggered them to make a purchase or where were they last before they left the website. Such insights come in very handy in improving the product/service, offer personalized promotions and alter the advertising tactics.
Setting up conversions help unlock a higher potential of PPC campaigns.Tracking, measuring, consolidating and processing conversions helps in achieving this. And then it also supports an advertiser to meaningfully interpret the data.
Deploying codes to track conversions isnt much of a task. Whereas mastering the art of setting up proper conversions and monitoring them needs profound experience and able guidance. AdNabus Conversion Rate, Call Conversions Tracking, Web Conversions Tracking, Common mistakes when setting up conversions and Right conversions for my business blogs are aimed at providing such relevant resources.