Running ads is exciting. You set up a campaign, choose keywords, write copy, and launch it. But here’s the big question: how do you know if your ads are working? This is where Google Ads conversion tracking comes in.
Without it, you’re basically driving with your eyes closed. Conversion tracking tells you which ads, keywords, and campaigns are bringing real results, sales, leads, sign-ups, or calls.
In this guide, we’ll break down conversion tracking in the simplest way possible. By the end, you’ll know exactly how to set it up and use it to measure your success in 2025.
What is Conversion Tracking in Google Ads?
A conversion is any action you want your audience to take after clicking your ad. This could be:
- Buying a product on your website
- Filling out a contact form
- Signing up for your newsletter
- Downloading an app
- Calling your business
Conversion tracking is the tool inside Google Ads that records these actions. It shows you which ad click turned into a real business outcome.
Think of it like this:
- Clicks = visitors
- Conversions = results
And in advertising, results matter more than clicks.
Why is Conversion Tracking Important?
Many beginners focus on clicks and impressions. While those numbers look good, they don’t always tell you if your ads are profitable.
Here’s why conversion tracking is important:
- Measure ROI (Return on Investment): You know how much revenue your ads generate.
- Optimize Campaigns: You can stop wasting money on underperforming ads and put more budget into winning ones.
- Smart Bidding: Google’s AI bidding strategies (like Target CPA or ROAS) need conversion data to work properly.
- Better Insights: You see which keywords, ads, and audiences drive real business actions.
Without conversion tracking, you’re guessing. With it, you’re making data-driven decisions.
Types of Conversions You Can Track
Google Ads allows you to track different kinds of conversions. Let’s look at the most common ones:
1. Website Conversions
Track actions people take on your website:
- Purchases (eCommerce)
- Form submissions
- Newsletter signups
- Button clicks
2. Phone Call Conversions
If customers often call your business, you can track:
- Calls from ads (click-to-call)
- Calls from your website after clicking an ad
3. App Conversions
If you have a mobile app, you can track:
- App installs
- In-app purchases
- App engagement
4. Offline Conversions
Sometimes, a lead captured online converts later offline (e.g., a sales team closes the deal). You can import those offline conversions into Google Ads.
How Does Google Ads Conversion Tracking Work?
The process is simple:
- A user clicks your ad.
- A unique tracking code (called a tag) is triggered.
- When the user completes a desired action (like a purchase), the tag records it.
- The data is sent back to your Google Ads account.
This way, you know exactly which ads and keywords led to the conversion.
How to Set Up Conversion Tracking in Google Ads (Step-by-Step for 2025)
Let’s walk through the setup in a beginner-friendly way.
Step 1: Sign in to Google Ads
Go to your Google Ads account dashboard.
Step 2: Open Conversions
- Click on Tools & Settings (the wrench icon).
- Under Measurement, select Conversions.
Step 3: Create a New Conversion Action
Click the + New Conversion Action button. Google will ask what type you want to track:
- Website
- App
- Phone calls
- Import
Choose the one that matches your goal.
Step 4: Set Up Website Conversions (Most Common)
- Enter your website domain.
- Google will scan your site and suggest actions to track (like buttons or forms).
- Select the ones that matter.
You can also set up custom conversions by pasting a tracking code (Google tag) on specific pages, like a “Thank You” page.
Step 5: Add the Tag to Your Website
You have 3 options:
- Install the tag yourself by adding code to your site.
- Send the instructions to your developer.
- Use Google Tag Manager for easier implementation.
Step 6: Verify and Test
Once installed, test your conversion by clicking your own ad (or preview link) and completing the action. Google will confirm if the tag is working.
Best Practices for Conversion Tracking in Google Ads
To get the most out of conversion tracking, follow these tips:
- Track Meaningful Actions Only
Don’t track page views or minor clicks. Focus on actions that drive revenue or leads. - Set Conversion Values
If possible, assign a value to each conversion. Example:
- Purchase = actual revenue amount
- Lead = estimated revenue potential
This helps measure ROI accurately.
- Use Enhanced Conversions
In 2025, Google Ads relies more on Enhanced Conversions, which use first-party data (like hashed email or phone numbers) to improve accuracy, especially with privacy restrictions. - Segment Data
Check which keywords, devices, and locations bring the highest conversions. Optimize around them. - Integrate with Google Analytics 4 (GA4)
Link your Google Ads with GA4 to get deeper insights into user behaviour before conversion.
Common Mistakes Beginners Make
Avoid these common pitfalls:
- Not Setting Up Conversion Tracking at All
Many beginners skip it and only look at clicks. This leads to wasted ad spend.
- Tracking Too Many Useless Actions
Don’t track every button click. Stick to business-driving actions.
- Not Testing the Tag
If your tag isn’t working, your data will be inaccurate. Always test it.
- Ignoring Cross-Device Conversions
Users might click an ad on mobile but complete the purchase on desktop. Use enhanced conversions to track this.
You might also find these helpful:
- How to Write Google Ads Copy That Gets Clicks in 2025
- Google Ads Bidding Strategies: Complete Beginner’s Guide (2025)
- Google Ads Keyword Research: Beginner’s Guide for 2025
FAQs about Google Ads Conversion Tracking
Q1. Do I need coding knowledge to set up conversion tracking?
Not necessarily. Google provides easy, code-free options, especially with Google Tag Manager.
Q2. How long does it take for conversions to show in Google Ads?
It usually takes 24 hours for data to start appearing.
Q3. Is conversion tracking free?
Yes, it’s a free feature inside Google Ads.
Q4. Can I track offline sales?
Yes, you can import offline conversion data into Google Ads.
Q5. What if my conversions are not showing?
Check your tag installation, make sure you’re tracking the right page, and test again.
Final Thoughts on Google Ads Conversion Tracking
Clicks and impressions might look exciting, but they don’t tell you the whole story. Conversions show you the real value of your ads.
By setting up conversion tracking, you gain control over your campaigns. You’ll know which ads bring results, where to increase budget, and how to optimise for growth.
In 2025, running ads without conversion tracking is like fishing without knowing if you caught anything. So, take the time to set it up, track the right actions, and let data guide your success.
Ready to take the next step? Set up conversion tracking today and see how powerful your Google Ads can really be.
Refer to the official Google Ads Conversion Tracking page to learn more.