With Google AdWords and there online advertising, a conversions occurs when a person clicks on your ad and it leads to, a purchase, signup, page view or lead. One of Google’s latest tools allows you to measure these conversions. This in turn helps you to identify how effective your Adwords ads and keywords are.
This is accomplished by Google through placing a cookie on the user’s computer or mobile device when they click on one of your AdWords ads. If the user then reaches one of your conversion pages, the cookie is connected to your web page (you will need to add the necessary code to your webpage, supplied by Google). Google records a successful conversion every time a match is made. This can be a great help for optimizing your keywords and AdWords ads for your AdWords campaign.