With the increase in smart bidding, broad match and Performance Max we can see Google Ads moving toward audience signals and first-party data audiences.
First-party data is essential to improve audience targeting and provide Google with audience signals.
What is first-party data?
First-party data is information you collect through your website, or digital marketing and social strategies. This could be anything from email subscriptions to historical customers.
There are ways CRM data can be fed into Google Analytics before feeding this data back into Google Ads, or it can be directly sent to Google Ads.
The first is setting up enhanced conversions on existing conversion actions.
What are enhanced conversions in Google Ads?
Enhanced conversions add more data to your conversion actions and improve bidding. It works by sending hashed first-party conversion data from your website to Google.
To help demonstrate the process of enhanced conversions, let’s use an example:
A visitor is researching roofing companies using their work laptop and clicks on an ad but doesn’t purchase.