It used to be argued that marketers only really need to track one conversion… sales. In a world where the most important metric might have been cost per click and where Google treated each click equally that might have been true but Google Ads has changed fundamentally.

Google Ads bidding isn’t just about getting lots of one specific conversion anymore. It now relies heavily on tracking all valuable actions (sales, leads, signups, etc.) and knowing the monetary value you give each one.

Why this change?

AI Learning

Tracking more conversion types gives Google’s algorithms more signals to predict which users are truly valuable.

A “Total Value” Strategy

Modern bidding (like Target ROAS or Maximise Conversion Value) uses the assigned values (£) to bid for users likely to generate the most overall value for your budget, not just the most primary conversions.

More Effective Budget Control

Google Ads now bids smarter, investing more in clicks predicted to lead to higher total returns, considering all the ways a user might convert.

A holistic Approach

Google can now understand that users take multiple steps (some small, some big) and can optimise for the complete, valuable journey.

In Summary

Google Ads now aims to maximize your total business profit by understanding the value of all important customer actions, not just counting one main goal. Limiting your conversion tracking to just one type of goal or even worse one literal goal will have a detrimental impact on your account performance and therefore your business