What is conversion tracking, and how do you set it up correctly?

Conversion tracking records what happens after the click. Without it you are optimising towards clicks, which is optimising towards spending money.

How it works: you define a conversion action, then place a tag or trigger an event when it occurs — a purchase, a form submission, a call, an app install.

Setting it up correctly:

• Use Google Tag Manager rather than hard-coding tags, so changes do not require a developer and you can preview before publishing.
• Track meaningful actions. A page view of a thank-you page is a weak proxy; a verified lead or a completed purchase is real. Where possible import offline conversions so the algorithm optimises towards qualified leads rather than form fills.
• Set values. A conversion with a value lets you use Target ROAS and lets the algorithm distinguish a large order from a small one.
• Choose count settings deliberately — "every" for purchases, "one" for leads, otherwise a single user filling a form three times inflates results.
• Set a sensible conversion window matched to your real sales cycle.
• Configure enhanced conversions and consent mode to recover measurement lost to cookie restrictions.

Note: Always verify in the real world — submit a test lead and confirm it appears. And beware of double counting when both Google Ads and Analytics conversions are imported.