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Value/Conv. what is it and how it's calculated?

Visitor ✭ ✭ ✭
# 1
Visitor ✭ ✭ ✭

Hi,

I would like to know how value/conv. is calculated in Adwords. I see the following table when I pull a report on the targeted countries and conversion values. As you see different numbers are reported with conversions associated with each country. can anyone help me understand value/conversion and how Google determines some conversions have higher values than others?

conv.PNGthanks.

1 Expert replyverified_user

Re: Value/Conv. what is it and how it's calculated?

Top Contributor
# 2
Top Contributor
Hi Sara,

Value/conversion metric is the total value of your conversions divided by the number of your conversions.(simply its an average)

In your case it is different because you are looking for separate countries. But within a particular country it might be same.

Regards
Archit, AdWords Top Contributor, Community Profile
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Re: Value/Conv. what is it and how it's calculated?

Explorer ✭ ☆ ☆
# 3
Explorer ✭ ☆ ☆

Hi Sara.

@Archit explained the formula: "total value of your conversions divided by the number of your conversions".

Regarding your other question: "how Google determines some conversions have higher values than others?"

If indeed some conversions have higher values than others, then it could be one of the two:
1. You have a dynamic value configured and the actual conversion value is being pulled from a purchase, and then one sale for example is $40 and another is $15, so the first has higher value.
2. You have more than one conversion configured, and each has different fixed value, for example conversion #1 has a fixed value of $10 and conversion #2 has a fixed value of $30. So if you have 4 conversions of #1 your value is $40, and if you have 3 conversions of #2 your value is $90.

Check the conversion settings and see how the value is configured:

1.jpg


Re: Value/Conv. what is it and how it's calculated?

Visitor ✭ ✭ ✭
# 4
Visitor ✭ ✭ ✭
Thanks for your help. It seems that conversion goals and values are set in Analytics. I am not sure whether the numbers that Adwords is reporting are dollar figures? There's no measurement unit attached to the report...

Re: Value/Conv. what is it and how it's calculated?

[ Edited ]
Explorer ✭ ✭ ☆
# 5
Explorer ✭ ✭ ☆

This might get slightly complicated.

 

If the conversions are goals imported from Google Analytics, the conversion values are being imported from GA, also.

 

Google Analytics makes you set a default currency at the view level, so whatever numbers GA sends to AdWords are in that currency. https://support.google.com/analytics/answer/1010249?hl=en

 

AdWords assumes all conversions are being reported in the same currency you pay your AdWords bill with. https://support.google.com/adwords/answer/3419241#currency

 

So, go check those settings in both accounts right now. If the two accounts are using the same currency, and your website only accepts purchases in that currency, you're good. You don't even need to read the rest of this reply.

 

If those three currencies (AdWords default, Analytics default, and actual purchase currency) don't match, your old data is potentially inaccurate, and you'll need to change some settings to make future data accurate. Keep reading!

 

 

You can never change the currency an AdWords account uses, but you can change the GA default. That's the easiest fix.

 

If you need to keep the two account using different currencies, you need to find the conversion settings for the imported conversion (in AdWords) and check a box (in the "Value" section) that says "Use the currency provided with the value in Analytics." That won't change historical numbers, but future conversions will be automatically converted to the currency of the AdWords account.

 

Now, then, about the values themselves:

 

Is the imported goal just a goal, or is it an imported ecommerce transaction? (The AdWords "Conversion Actions" page will say "Transaction" in the "Type" column if it's an ecommerce transaction.)

 

If it's just a goal, the value is whatever fixed value you entered in the goal settings, reported in the default currency of the view. https://support.google.com/analytics/answer/1032415?hl=en

 

If it's an ecommerce transaction, GA should be reporting the actual value of the sale, but assumes the value is in the view's default currency. If your website allows people to purchase with a different currency, you need to customize the GA tags a little. https://support.google.com/analytics/answer/6205902?rd=1 (If you're using an off-the-shelf ecommerce platform, the odds are good it's customizing the tags automatically, so don't panic.)

 

Remember, any of those changes only affect future conversions. You can't make the system go back and recalculate any reports that were messed up by mismatched currencies.