Google Ads Enhanced Conversions for Leads is a new feature that helps advertisers track leads more accurately by using first-party data from your website (like email addresses or phone numbers). Traditional conversion tracking (relying on cookies or pixels) often misses conversions, especially when users switch devices or convert offline. For example, a customer might click an ad on their phone but fill out a lead form on their laptop – cookies alone might not link these events. Enhanced Conversions for lead generation fills these gaps by capturing the contact info users enter on your lead forms and using it (in hashed form) to match conversions back to your ads. This means you get a more complete picture of how ads drive real leads, which is critical for improving ROI. And importantly for European marketers, the process is designed to be privacy-safe and GDPR-compliant by hashing personal data and requiring explicit consent
How It Works
Google’s Enhanced Conversions for Leads works in a series of steps that tie lead form submissions back to ad interactions. When a visitor submits a lead form on your site, the Google Ads tag on that page captures the data they entered (for example, their email or phone number). The tag then hashes this information in the browser using a secure one-way algorithm (SHA-256), converting it into an encrypted string. Only the hashed data is sent to Google Ads – the raw personal data never leaves your site. Once Google receives the hashed identifiers, it attempts to match them against signed-in Google user accounts from people who clicked or viewed your ads. If a match is found, Google attributes the offline lead back to the original ad. The result is that more conversions (including cross-device and offline conversions) are accurately counted, without compromising user privacy.
- Data capture: When a lead form is submitted, the Google Ads tag collects the provided contact info (e.g. email address, phone number) and any other identifiers you’ve configured.
- Hashing: The tag normalizes the data (lowercases it, trims spaces, etc.) and then hashes it using SHA-256. This one-way encryption ensures the data is anonymized.
- Secure transmission: The hashed data is sent securely to Google Ads in place of the raw data
- Matching: Google compares the hashed identifiers against the hashes of signed-in Google users who saw or clicked your ad. If they match the same person, Google knows which ad interaction led to the lead.
- Conversion reporting: When a match is found, Google counts that lead as a conversion in your campaign report. This closes the loop on tracking by linking the ad click (even if the sale happens offline) to the lead outcome.
By following this flow, Enhanced Conversions for Leads boosts your tracking accuracy. It works even if cookies or third-party tracking are blocked, because it relies on first-party data that users knowingly provided on your site.
Why It Matters for Lead Generation
Enhanced Conversions for leads delivers several key benefits for lead-focused marketers:
- More accurate offline attribution: You can match offline lead outcomes (like phone calls, in-person visits, or CRM-recorded sales) back to the original ad campaign. When you upload offline conversions, Google uses the hashed lead info to connect them with past ad interactions This “closes the loop” on lead tracking, so you know which ads actually drove each offline sale.
- Improved Smart Bidding: Google’s automated bidding algorithms (Target CPA, ROAS, etc.) perform better with richer conversion signals. By feeding in extra lead data, your campaigns give Smart Bidding more inputs to optimize against, often lowering cost-per-lead over time.
- Better ROI and funnel visibility: With Enhanced Conversions, you see a fuller customer journey. More conversions are counted, so you understand true ROI and can invest in channels that deliver real leads. For example, you’ll detect if certain keywords or ads are producing high-quality leads that close offline.
- Compliance with privacy rules: The feature is built to respect GDPR/CCPA requirements. All user data is hashed locally (so Google never sees raw personal info). You must obtain consent before collecting the data, and it’s only used for conversion measurement, not ad targeting. This privacy-safe design means you can use Enhanced Conversions without running afoul of EU data laws
- Insightful conversion data: Ultimately, you get more reliable data on how ads perform. By eliminating “blind spots” in tracking, you can identify bottlenecks in your funnel and optimize every step – from ad click to lead to sale – with confidence.
Implementing Enhanced Conversions helps your ads reach the right people and proves their value. In a cookieless future, relying on first-party, consent-based data is the way to maintain measurement accuracy without compromising privacy.
Setup via Google Tag Manager
Setting up Enhanced Conversions for leads involves configuring your Google Ads conversion action and your GTM tag. Here’s a high-level checklist:
- Enable the feature in Google Ads: In your Google Ads account, go to Tools > Conversions and either create a new conversion action (type “Import” for leads) or edit an existing one. Under Enhanced Conversions, check the box for Enhanced Conversions for leads and select “Google Tag Manager” as your setup method. Agree to the Customer Data Terms. This tells Google Ads that you plan to send hashed lead data through GTM.
- Create the GTM tag: In Google Tag Manager, click New Tag and choose Google Ads User-Provided Data Event. Enter your Google Ads Conversion ID (the numeric ID from your conversion action) into the tag settings.
- Configure user data variables: In the tag configuration, click to add a New User-Provided Data variable. You have two modes:
- Automatic: GTM will automatically pick up form fields on the page. Simply set Type = Automatic and give the variable a name, then save. This is easiest if your lead form fields have standard names.
- Manual: If needed, set Type = Manual. Then for each identifier (email, phone, etc.), select or create a GTM variable that pulls that value (for example, a “DOM Element” or data layer variable for the email field). Name and save each one. GTM will automatically hash these values when the tag fires.
- Set a trigger: Attach a trigger to the tag so it fires at the right time – typically when the user submits the lead form or lands on a thank-you/confirmation page after filling out the form. For example, you can use a Form Submission trigger on the URL of the form page.
- Publish the container: Once the tag and trigger are set up, save and publish your GTM container. This activates the Enhanced Conversions tag on your site.
- Import offline conversions (if applicable): If you collect lead outcomes offline (e.g. sales recorded later), upload those conversions via Conversions > Uploads in Google Ads. Include the same identifiers (email, phone) that were captured, hashed in the same way. Also be sure to include the GCLID (Google Click ID) from each ad click if you have it – this is required for matching. Google will use the hashed data to link each offline conversion back to the corresponding lead form submission and ad click.
By following these steps, you’ll have Enhanced Conversions running for your lead forms. Google provides a Diagnostics report to verify that data is being sent and matched correctly. Remember to ensure you have user consent for data collection and that your privacy policy is updated to explain the usage of hashed data
Conclusion
Enhanced Conversions for Leads is a powerful way to improve your Google Ads lead tracking and ROI, especially in Europe’s privacy-sensitive market. By sending hashed first-party data (email, phone, etc.) from your website to Google, you can fill in the gaps left by cookies and capture conversions that happened offline or on different devices. The payoff is more complete conversion data, smarter bidding decisions, and a better understanding of your campaign performance. Importantly, all of this is done in a privacy-safe, GDPR-compliant way – only hashed data is used, and you retain control over user consent. We recommend that lead-focused businesses implement Enhanced Conversions via Google Tag Manager as outlined above. Doing so will help ensure every lead is counted and every ad dollar is well spent, without sacrificing user privacy.
Implement Enhanced Conversions for leads today to unlock improved measurement and drive better results from your campaigns
FAQs – Google Ads Enhanced Conversion for Lead
Q1: What is Google Ads Enhanced Conversion for Lead?
A: Google Ads Enhanced Conversion for Lead is a feature that improves the accuracy of lead tracking by capturing first-party customer data (like email or phone) from your website forms. This data is securely hashed and used by Google to match conversions back to ad clicks, even if the conversion happens on another device or offline.
Q2: How is Enhanced Conversion different from standard conversion tracking?
A: Standard conversion tracking relies mainly on cookies and browser data, which can be blocked or expire. Enhanced Conversions use first-party data that users enter in your forms, allowing more accurate attribution, especially when cookies aren’t available or leads convert offline.
Q3: Is Enhanced Conversion for Lead GDPR-compliant?
A: Yes, it is designed to be GDPR-compliant. The customer data is hashed using SHA-256 before leaving your site, and Google only uses it for conversion matching. You must obtain proper user consent before collecting and using this data.
Q4: What kind of data does Enhanced Conversion for Lead use?
A: It typically uses customer-provided identifiers such as email address, phone number, first name, and last name. These are hashed and matched with signed-in Google users to attribute conversions accurately.
Q5: How do I set up Enhanced Conversions for Lead in Google Tag Manager?
A: You’ll need to:
- Enable Enhanced Conversions for Leads in your Google Ads account.
- Create a new Google Ads tag in GTM using the “User-Provided Data” option.
- Configure data variables (automatic or manual).
- Set a trigger (e.g., form submission or thank-you page).
- Publish your container.
Q6: Do I need to change my lead form to use Enhanced Conversions?
A: Not necessarily. If your form already captures data like email or phone, you can configure GTM to pick up those values. If your form uses unusual field names, manual setup may be required to link the correct variables.
Q7: Can I track offline conversions with this feature?
A: Yes. You can upload offline conversions (e.g., when a lead becomes a sale) using hashed identifiers. Google will match those back to the original ad click using Enhanced Conversion data.
Q8: Does this feature improve Smart Bidding performance?
A: Absolutely. Enhanced Conversions give Google Ads more complete conversion data, which allows Smart Bidding algorithms to optimize more effectively for qualified leads.
Q9: Is it suitable for all businesses?
A: It’s especially beneficial for lead generation businesses—like real estate, B2B services, education, or healthcare—where conversions may happen after the initial form submission and often offline.
Q10: Is Enhanced Conversion for Lead available worldwide?
A: Yes, but it is particularly important in regions like Europe where privacy regulations (e.g., GDPR) impact traditional tracking. Enhanced Conversions offer a compliant way to maintain performance.
