The principle behind Google's Conversion Tracking is that you "track" the number of visitors that have "converted" after they come to your site via an AdWords campaign.  To find out how many have "converted" into a sale, lead, etc, all you have to do is track the number of people who land on a particular page on your site (for example, the number of visitors who land on the "Thank You" page that they are taken to after they purchase a product).  Let's say that you spend 1,000 EUROs getting 1,000 visitors to your site.  And then let's say that 100 of these people purchased something (and therefore land on the Thank You page.  You now have a conversion rate of 10%. If your product has a profit margin of 10 EURO, then you break even.  If it has a profit margin of 15 EUR, then you make money.  Finally, if you only make 9 EUR from your product, then you might have to re-think your approach! In order to set up Conversion Tracking in Google AdWords, you need to add piece of code (that Google provides) onto your web site ( the "Thank You" page in the previous example).  You can then track sales, leads, conversions, downloads, etc. In your Google AdWords account, click on the Conversion Tracking link and follow the simple instructions. Choose the Conversion Page Once you have the generated the code necessary to track conversions, simply drop it onto the page that the visitor  is brought to after they completed the action that you deem to be a conversion.  Simple drop the code onto the conversion page, just above the </body> tag. Conversion Tracking Video I have included a video below from the Google channel on YouTube that describes AdWords Conversion Tracking in more detail.

Ian Dodson