What Does 'Conversion (Value)' Mean in My Google Ads?

Conversion (Value) is the monetary value of a specific conversion.

Each conversion's value can be customized through the Google Ads portal. This has two main benefits:

1. An accurate overall picture on all of your conversions in one metric.

While it is certainly okay to keep the conversion values to the default '$1' so that it is easier to see how many conversions have happened, it is a bit more helpful to weight the different conversions so that it paints a better picture when summing all types of conversions into one metric (ROAS).

Example: You are actively monitoring Phone Calls, Store Visits, and Website Visits.

All conversion values are set to $1 and your report says that your Conversion (Value) is $10. You can safely say that you have 10 conversion events.

Alternatively: You set Phone Calls to $10, Store Visits to $60, and Website Visits to $5.

Your report says your Conversion (Value) is $495. Which paints a better picture on the benefit of your ad compared to 10 conversion events.

2. A main driver to help feed into ROAS-based bidding strategy.

Targetable is continually developing and providing new features within its portal. ROAS-based bidding is currently on our roadmap to provide. Using actual values for Conversion (Values) will help drive the ROAS-based bidding strategy we plan to release.

How do I determine a monetary value for a Conversion (Value)?

This is a very business-specific question and can be different for all types of businesses.

For restaurants specifically, Store Visits can be a higher value conversion. You can assume that a Store Visit has a higher chance of revenue compared to other retail like clothing.

Store Visits value (for restaurants) can be calculated by your average dine-in check.

When it comes to other conversions like phone calls or website visits it can be a little more complicated as it requires a bit more insight within your business. For phone calls, consider if you take orders to go or RSVPs. Take a timeframe to measure your volume of calls and your total revenue from phone orders and/or RSVPs to get an average value for phone calls.