How conversion tracking hurts Google

One of the more compelling aspects of online advertising is the ability to measure and track ROI. This, however, is a misconception.

Example 1:

A person searches for a software solution on Google, clicks the ad, downloads the trial, is impressed, so asks their admin person to buy a licence.

Lost tracking.

Example 2:

A person searches for a software solution on Google, clicks the ad, downloads the trial, uses it for 30 days then buys a licence.

Lost tracking.

Example 3:

A person on a train home searches for Product X on her iphone, goes home and orders it from her PC.

Lost tracking.

I could go on, but you get the idea.

Between the ad being clicked and the sale being made, there are an enormous number of possible disconnects along the way. Expired cookies, different browser, different computer, deleted cookies, EU legislation and more.

The fact is that online tracking is nowhere near as useful as many online advertisers seem to think.

And over the years I’ve seen a fair number of AdWords accounts that have been paused indefinitely, as the account holder can’t be certain that it’s working for them.

And Google know this. Which is why conversion tracking is available within the AdWords system, but you need to know where to look for it.

In other words Google aren’t going to go out of their way to make you aware of it, despite the fact that doing so would be incredibly easy.

There’s no way to estimate the figures involved, but it’s fair to assume that a lot of AdWords accounts have been paused or deleted because of so-called poor conversions.

And you can certainly understand where these companies are coming from.

Effectively they have to choose between freezing their account or spend-and-hope.

There is, however, a third option, and it’s not only a better one but is also quite simple.

Step 1:

Make sure your Google AdWords account as tight as possible. This is vital.

Check your settings, keywords, negative keywords, targeting… the whole lot. Everything.

Note that no AdWords account can be 100% watertight, but the close you get to it the better.

Step 2:

Track metrics with a high quantity of data.

For example if you’re selling a desktop software application with a trial version, track downloads not sales. The greater the quantity of data, the closer you’ll get to understanding what’s happening.

Step 3:

Consider conversions as little more than an indicator.

If, for example, you have three campaigns spending a similar amount each day, generating a similar number of impressions and clicks, but one produces far less downloads than the other two, you might want to investigate.

But don’t just kill it. Understand it first.

Conversion are indicative; not definitive.

Online advertisers often shudder at the thought of offline advertising, and see it as requiring too much faith with little by the way of measurability.

Online advertising often needs the same leap of faith, but by ensuring that your ads are as tightly targeted and executed as possible, you stack the odds heavily in your favour.

As long as your AdWords account is well set up (most aren’t), your targeting is spot-on with enticing copy, oh and let’s not forget the product itself has to be reasonable too, then you can’t go wrong.

As long as you don’t focus too much on conversions.