Marketers today face a myriad of changes that will impact the way they measure and optimize conversions. Regulatory changes, driven by increased concerns around user privacy and data protection, as well as technological changes such as browser restrictions on third-party cookies and mobile restrictions on device identifiers, are reshaping the conversion measurement landscape.  

In this blog post, we will explore the importance of Google’s Enhanced Conversions (EC) and how it helps marketers prepare for these changes, futureproof conversion measurement, and ultimately drive greater long-term media performance in Search Ads 360 (SA360) and Google Ads through more complete and better conversion data.

Preparing for Change

Conversions are key to advertising success. They represent the tangible outcomes that businesses strive for, whether it's a completed purchase, a sign-up, or any other desired user action.  However, regulatory and technological changes are greatly impacting how marketers measure conversions.  iOS and Firefox are already blocking 3P cookies and Google Chrome plans to deprecate cookies by the end of 2024.  

Marketers must take important steps now to respond to these changes and futureproof their conversion measurement. One of these steps is strengthening data accuracy and conversion tracking through Google’s Enhanced Conversions.

Understanding Enhanced Conversions

Google's Enhanced Conversions (EC) enables more accurate conversion tracking in Google Ads and SA360. It will continue to track conversions once cookies are deprecated and unlocks opportunities for more strategic bidding.  

EC allows conversion tags to capture hashed customer data, such as email addresses, which advertisers collect on their conversion pages. It then matches this hashed data against Google's logged-in user data, ensuring precise conversion tracking.  

EC is an ideal solution for advertisers who run Search or YouTube campaigns on Google Ads or SA360. It's also a good fit for advertisers with access to customer data on their websites and who can make use of API connections via their server.

Here’s how it works:

  1. A Google signed-in user views your ad
  1. The user converts on your website
  1. The conversion tag captures a field you specify, hashes the data (unless already hashed) and securely sends it to Google
  1. It is matched against Google’s identity spine and a conversion is reported in your account

Benefits of Enhanced Conversions

Implementing EC offers marketers a multitude of benefits. Not only does it futureproof conversion measurement, but it also makes Google’s bidding algorithms smarter by ingesting more accurate data, enabling:  

Increased Conversion Observability: EC helps marketers regain conversions lost due to browser and regulatory changes and will observe net new conversions from additional first-party data. This means stronger and better data.  

Better Modeling & Conversion Reporting: By improving conversion observability and enhancing data quality, EC enables more accurate conversion modeling and enhances overall conversion reporting capabilities.

Improved Bidding & Attribution: Stronger data enables Google’s bidding models and attribution models to work more strategically and effectively.  

Enhanced Performance: As a result of all the above benefits, EC ultimately helps drive better conversion rates, higher ROAS, lower CPA, and increased statistical significance in incrementality studies.

On the flipside, choosing not to implement Enhanced Conversions poses real risks. Without EC, come 2024, marketers’ ability to track and measure conversions in SA360 and Google Ads may be significantly diminished, which could impact overall understanding of campaign performance.  

Additionally, bidding strategies may become less effective as Google’s models ingest less high-quality data, potentially leading to performance declines.  

In Summary

As the industry undergoes seismic shifts from regulatory and technological changes, EC is a critical feature for marketers to maintain and grow performance. By improving conversion observability, enhancing data accuracy, and optimizing bidding and attribution, EC positions marketers to thrive in the evolving digital ecosystem. Don't miss the opportunity to enhance your performance while preparing for a privacy-focused future.  

Contact Acceleration today to learn more about EC and if you qualify for a limited-time opportunity to have EC implementation fees waived through Acceleration.  

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