One of the features in Google Ads is Conversion tracking. It allows advertisers to see what happens after a customer interacts with their ad. A conversion can be: a sale, a phone call, answers to questions like: Did they make a purchase? Submit a contact form? Call your business? Or a million other things.

Google defines a conversion as any user action that you’ve determined to be valuable. It can be: A product purchase, Newsletter signup, Quote request form submission, Phone call from your site or App install/ in-app action. By enabling ‘Google Ads conversion tracking’, you can attribute those actions back to specific ads, keywords, devices, and campaigns — giving you a complete picture of what’s working and what’s not.

How to track conversion on Google Ads?

Launching a Google Ads Campaign today without tracking conversions is like throwing darts in the dark. You might hit the target occasionally, but you won’t know how, why, or what to do next. That’s where Google Ads conversion tracking steps in — giving marketers the clarity and data they need to measure success and optimize spending.

Understanding how to track conversions properly is critical. Whether you’re a small business owner running local campaigns or a marketer, managing high-budget Google advertising, tracking conversions can become overwhelming. This blog breaks down the core components of digital strategy, the need for Google Ads conversion tracking, and how to implement it effectively.

Importance of Google Ads Conversion Tracking

You can only measure surface-level metrics like impressions and clicks without conversion tracking. However, with conversion tags, you can track real outcomes and answer critical business questions like: What’s my return on ad spend (ROAS)? Which keywords are generating sales? Which campaigns are draining the budget without results?

Google Ads conversion tracking is essential because:

• It optimizes your bidding strategy using data-driven models like Target CPA or Target ROAS.
• It improves ad relevance by identifying high-converting ad copy and creatives.
• It scales successful campaigns with confidence using real-time performance insights.
• It reduces wasted spend by pausing underperforming ads or keywords.

Conversion Tracking methods in Google Ads

• Website Actions, which include form submissions, product purchases, or button clicks. You can track them using a Google Ads tag or via Google Tag Manager (GTM).
• Track calls directly from your ads, from your website after a click, or via mobile click-to-call buttons.
• Track users' interaction with your mobile apps through Firebase or third-party app analytics tools.
• Import conversion data into Google Ads manually or via automation, for offline sales

You can Set Up Google Ads Conversion Tracking by:

• Creating a Conversion Action in Google Ads
• Setting Up the Conversion Tag in Google Tag Manager
• Verifying Tag Installation (to verify that your tags are firing correctly, use Google Tag Assistant/ Google Ads Tag Diagnostics Tool)

Best Practices for Google Ads Conversion Tracking

Use Google Tag Manager for easier tag updates without modifying website code. Track micro and macro conversions to understand the full customer journey. Set different conversion values for different actions (e.g., product purchase vs. contact form). Test your tags before going live using GTM’s Preview Mode or Chrome extensions. Enable Enhanced Conversions to improve tracking accuracy by using first-party data (such as email addresses) in a privacy-compliant way.

Common mistakes to avoid

Avoid adding both GTM and hard coded tags for the same action. Always test and confirm that your conversion events are working as intended. Know what action you’re trying to track before setting it up, and Ensure your tag fires on the correct event especially for form submissions or dynamic thank-you pages.