Why Conversion Tracking is the Foundation of High-Performance Google Ads Campaigns

You can’t optimize what you can’t measure. In Google Ads, that truth becomes even sharper: conversion-based bidding only works as well as your conversion tracking setup.

If you’re running campaigns without robust tracking in place, you’re essentially driving blind – feeding Google incomplete or misleading data. And in an ecosystem powered by machine learning, bad data = bad decisions.

Why Conversion Tracking Matters
Modern bidding strategies like Maximize Conversions or Target CPA/ROAS rely on signals from your conversions to guide performance. When your tracking is accurate and comprehensive, Google’s algorithm learns:
-Who your ideal customers are
-What actions indicate high intent
-Which ads and keywords actually drive results
Without that foundation, the algorithm can’t distinguish between meaningful engagement and noise – resulting in wasted spend and plateaued performance.

What to Track: TOFU, MOFU, and BOFU Conversions

A full-funnel strategy needs different types of conversion actions to guide learning across the customer journey.

Top of Funnel (TOFU): Awareness & Engagement
At this stage, the goal is to attract new visitors and build initial interest. Track micro-conversions that show engagement signals, such as:
-Newsletter sign-ups
-Video views (25%, 50%, 75%)
-Time on site / page scroll depth
-Downloads of educational assets (e.g. guides or infographics)
These actions don’t generate revenue directly, but they train Google to identify audiences who engage with your brand.

Middle of Funnel (MOFU): Consideration & Nurture
Your prospects are evaluating solutions. You want to measure high-intent actions that bridge awareness and purchase, like:
-Free trial sign-ups
-Product demo requests
-Add-to-cart or checkout initiations
-Content form submissions (e.g. “Download the case study” or “Book a call”)
Tracking these helps Google learn which behaviors correlate with likely buyers – and allows your campaigns to focus spend where intent is strongest.

Bottom of Funnel (BOFU): Decision & Purchase
This is where revenue happens. Track primary conversions that represent real business outcomes:
-Purchases or transactions
-Paid subscriptions
-Qualified leads or closed deals (via CRM integration)
-Phone calls from ads or landing pages
For BOFU campaigns, these should be your primary conversion actions used for optimization – ideally linked to actual value through conversion value tracking or offline conversion imports.

For B2B Lead Generation: Track More Than Form Submissions
If your business relies on online marketing to generate leads (e.g. form submissions or call requests), you need to go beyond a single conversion event. B2B sales cycles are longer and more complex, so it’s crucial to:

-Track multiple engagement points throughout the journey (e.g. resource downloads, video views, or repeated site visits).
-Assign different conversion values to each event based on intent or likelihood to convert.

By reviewing your Google Analytics reports, you can identify which touchpoints most often precede a lead submission – and use that data to assign appropriate values. This allows Google’s algorithm to learn which behaviors lead to qualified leads, not just form fills.

The Ideal Setup
A strong conversion infrastructure usually includes:
–Google Tag Manager (GTM) for flexible implementation
–Enhanced Conversions to capture accurate first-party data
–Google Ads & GA4 linking to align performance metrics
–Offline conversion imports for lead-based businesses to close the data loop
When all layers are properly set up, you empower Google’s algorithm with the feedback it needs to deliver more of what matters – qualified customers, not just clicks.

How Glitch Ads Can Help
At Glitch Ads, we work with businesses to review, audit, and optimize their conversion tracking setup. Our goal is to ensure you’re feeding Google’s algorithm with clean, structured, and meaningful data – so your campaigns can learn faster, bid smarter, and perform better.
Whether you’re eCommerce or B2B, we help you track the right metrics across every funnel stage, ensuring your conversion-based bidding strategies reach their full potential.

Final Thoughts
In 2025, Google Ads success isn’t just about writing clever ad copy or finding the perfect keyword. It’s about feeding the algorithm high-quality data so it can do what it does best – learn and optimize. So before you launch your next campaign, ask yourself:
Are we tracking the right actions at every stage of the funnel?
If not, that’s the first place to start. Glitch Ads are ready to partner with you on this journey. Book your free demo here.

Photo credit: Lukas Blazek on Unsplash