What Are They?

Enhanced conversions were developed to help provide additional data on top of conversion tags with first-party data. This allows websites to send encrypted user-submitted conversion data to Google, to comply with stringent user privacy and data protection regulations.

What Are the Benefits?

As we move toward a web environment with fewer cookies, enhanced conversions provide more precise data on user interactions and conversions. By minimizing discrepancies and ensuring all relevant conversion events are accurately tracked and attributed, Marketers gain deeper insights into customer behavior as relevant conversion data gets accurately tracked and attributed. This accuracy is crucial for effective Google Ads bidding. These conversion measurements facilitate more informed campaign optimizations, bids, and targeting. This leads to more efficient ad budget spending for campaign success.

How Do Enhanced Conversions Work?

There are two types of enhanced conversions: enhanced conversions for web and enhanced conversions for leads.

Enhanced Conversions Sample Paths

For Web:

Image source: Google Ads Support

1. A user logged into a Google account is served your ad.
2. They end up visiting your site through a different channel and complete a conversion.
3. User-submitted data is captured by the conversion tag and provided to Google.
4. The hashed data from the website is compared with Google’s data.
5. Your ad may then receive an attributed conversion.

For Leads:

Image source: Google Ads Support

1. A user clicks on your ad and arrives on your website.
2. They fill out a form on your website and submit it, which turns into a lead.
3. The user submitted lead data is sent to your customer relationship management (CRM) database, where it gets stored.
4. After the lead converts, you may upload the first-party data from your CRM to Google.
5. This allows Google to check the uploaded first-party data against the hashed user data.
6. Your ad may then receive an attributed conversion.

Enhanced conversions can help optimize Google Ads bid strategies through improved conversion measurement, allowing ads to receive proper credit. Previously undervalued ads now contribute to bid strategy refinement, leading to more effective bidding. By referring to a broader set of ads with enhanced conversion value, bid strategies gain access to valuable data to help maximize advertising budget effectiveness. Enhanced conversions also allow bid strategies to adapt intelligently alongside user behavior trends, promoting efficient ad spend allocation.

Sources:

https://support.google.com/google-ads/answer/9888656?hl=en&ref_topic=11337914&sjid=18156447129756304190-NC

https://www.searchenginejournal.com/why-enhanced-conversions-are-now-more-important-than-ever-google-ads/492316/