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How to Setup Enhanced Conversion Google Ads on Shopify

In this article, we will show you how to set up enhanced conversion Google Ads on Shopify, but first, let’s discuss…

Policies like GDPR restrict third-party cookies from collecting data, resulting in less accurate data for measurement. This complication makes it challenging for marketers to analyze data and optimize campaigns.

To help marketers, Google has introduced Enhanced Conversions. Enhanced Conversions for Google Ads enhances conversion tracking in a privacy-friendly manner.

In this article, we will explain Enhanced Conversion, outline the benefits, and provide a guide on the two ways to set it up.

What is enhanced conversions in Google Ads?

Google Ads Enhanced Conversions is a recent feature designed to make tracking conversions more accurate. Enhanced Conversions help track conversions while respecting user privacy.

Here’s how it works: When someone completes a conversion on a website, their information is turned into a code (hashed) and sent to Google Ads. Google uses the secure SHA-256 algorithm for this process. Enhanced Conversions even follow the user’s journey on their different devices.

Enhanced Conversions connects the dots between the customer’s path and their conversions by using the user’s Google account. This makes ad campaigns work better and smarter.

How enhanced conversions work (Example)

Let’s explore two simple examples to understand how Enhanced Conversions works, using a scenario of an online bookstore.

Example 1: Johnny’s Journey

  • Johnny wants to buy a new book, so he searches for it online and clicks on your ad.
  • Johnny used his Google account during this search.
  • The Enhanced Conversion tag captures Johnny’s email address, encrypts it (hashes it), and sends it to Google Ads.
  • He reads the book description, checks reviews, and watches related videos.
  • Johnny adds the book to his cart, intending to purchase it. However, he gets distracted by Didi and leaves without completing the purchase.
  • After a few days, Johnny returns to the site and completes the purchase using the same email address.
  • Enhanced Conversions records this purchase email, hashes it, and sends it to Google Ads.

Now, using this hashed email address, Google Ads can link Johnny‘s actions—like viewing pages, adding to the cart, and purchasing—to the ad he initially clicked on.

Example 2: Didi’s Journey

  • Didi is on her lunch break and uses her work email to search for a book to gift to Johnny.
  • She clicks on your ad and explores the book’s details, reviews, and videos on your site.
  • Didi adds the book to her cart but must return to work as her break ends.
  • Later, she used her smartphone and email to complete the purchase. She employs two-factor authentication using the same phone number linked to her work email.

Enhanced Conversions links her email to her work email by identifying the shared phone number, recognizing that the same user carries out these interactions. The data is then hashed and sent to Google Ads. The system can only connect these interactions and establish links if you enable Enhanced Conversions.

In both examples, Enhanced Conversions help Google Ads understand the user’s complete journey across different devices and interactions, all while preserving privacy and delivering more accurate conversion tracking. This information allows marketers to make more informed decisions and optimize their ad campaigns effectively.

Why You Should Use Enhanced Conversions

There are several benefits to using Google Ads Enhanced Conversions. Enhanced Conversions is a definite recommendation if you often need help with accurate revenue figures or discrepancies between data in Google Ads and analytics. It can significantly improve the accuracy of your tracking and help align the data more effectively.

Benefits of using Google Ads Enhanced Conversions

Here are some key benefits of using enhanced conversions. 

  • Utilize first-party data without infringing on privacy. With third-party tracking becoming limited, Enhanced Conversions can be a viable solution for eliminating incomplete data and improving conversion tracking accuracy.
  • It helps get more conversion data. You lose some conversion data due to restrictions on third-party cookies, challenges in tracking user activity across devices, and privacy regulations. You can circumvent the loss of data by using Enhanced Conversions. According to Google research, marketers using enhanced conversions increased their conversion rate by 17%.
  • You can improve conversion data. If you use Google Ads, you may have noticed some discrepancies in data between analytics and the ad platform. Enhanced Conversions help align this data with the relevant user journey and facilitate displaying relevant ads to users.
  • Calculate return on investment. When you use Enhanced Conversions, you precisely determine which ads are performing better and generating more conversions in your campaign. This way, you can allocate your ad spend more effectively and better understand your ROI.
  • You can improve the clickthrough rate. Enhanced conversions improve your overall clickthrough rate. The improvement means you get more clicks and leads on every ad you run.
  • Smart bidding. Combining Smart Bidding with Enhanced Conversions helps you create a more effective bidding strategy. When enabled, Enhanced Conversions assists in reducing campaign costs through the use of Smart Bidding.

Customer journey mapping. The primary goal of enhanced conversions is to give a clear picture of the customer journey. Marketers can leverage this insight to improve their campaign strategy. Customer journey mapping aids in recognizing each stage of the customer buying process, and Enhanced Conversions identify various touchpoints of users across devices.

Now that you understand more about enhanced conversion, Google Ads…

It is time to update your Google Ads tracking and meet the latest Google version. We can do this in 2 ways. We can set it up using Google Tag Manager or Google Tag. Let us start first with Google Tag Manager.

What do you need to set up Enhanced Conversion Google Ads on Shopify using GTM?

You will need the following:

  • You need a Google Tag Manager account. If you don’t have one, you can learn how to create a Google Tag Manager account here.
  • You need an e-commerce data layer customized for purchase and user data tracking.
  • You need a Shopify account; if you are not the owner, you need access to check out settings.
  • A Google Ads account.

Placing the GTM code and the Purchase DataLayer

Go into your Shopify store backend. Once it is open, click on settings.

Check the image below.

Screenshot of Shopify store settings for setup Enhanced Conversion Google Ads

Then click on checkout. Check the image below.

Image of checkout settings in Shopify for Enhanced Conversion Google Ads

Scroll till you reach the “Order Status Page.” Check the image below.

Image of order status code area in checkout settings in Shopify for Enhanced Conversion Google Ads

Copy and paste the ecommerce purchase data layer below and paste it into the “additional script” area.

{% if first_time_accessed %}
window.dataLayer = window.dataLayer || [];
 event: 'Purchase',
 checkoutEmail: '{{ checkout.email }}',
 fullName: '{{ checkout.billing_address.name }}',  
 firstName: '{{ checkout.billing_address.first_name }}',  
 lastName: '{{ checkout.billing_address.last_name }}',  
 address1: '{{ checkout.billing_address.address1 }}',  
 address2: '{{ checkout.billing_address.address2 }}',  
 street: '{{ checkout.billing_address.street }}',  
 city: '{{ checkout.billing_address.city }}',  
 province: '{{ checkout.billing_aaddress.province_code }}',  
 zip: '{{ checkout.billing_address.zip }}',  
 country: '{{ checkout.billing_address.country_code }}',  
 phone: '{{ checkout.billing_address.phone }}', 
 currency: '{{ order.currency }}',
 value: {{total_price | times: 0.01}},
 transaction_id: '{{order_number}}',
 tax: {{tax_price | times: 0.01}},
 shipping: {{shipping_price | times: 0.01}},
 affiliation: '{{ shop.domain }}',
 items: [
         {% for line_item in line_items %}{
         item_id: '{{line_item.product_id}}',
         item_name: '{{line_item.title}}',
         quantity: {{line_item.quantity}},
         price: {{line_item.original_price | times: 0.01}}
         },{% endfor %}
 {% endif %}

<!-- Google Tag Manager -->
new Date().getTime(),event:'gtm.js'});var f=d.getElementsByTagName(s)[0],
})(window,document,'script','dataLayer','GTM-YOUR ID');</script>
<!-- End Google Tag Manager -->

Next, Go to your Google Tag Manager account and click on your GTM ID. Check the image below.

Image of Google Tag Manager to show how to setup Enhanced Conversion Google Ads using GTM

On the pop-up window open, copy your ID and change it in the GTM code where you see ‘GTM-Your ID.’ Check the image below for how to copy the ID.

Create your Purchase, Enhance Conversion in Google Ads

Get your Google Ads purchase conversion setup in your account and prepare the conversion ID and label.

  1. First, go to your Google Ads account. Then click on “goals” for the new design and “tools & settings” for the old design.
  2. Then click “Conversions.”
  3. Once the conversion area opens, click the “new conversion action” blue button.
  4. Click on “Website – tracking actions on the website.”
  5. In the section of your website domain, you can type “test/” and press “Scan.”
  6. Scroll down and click “add manually.”
  7. Select the goal “Purchase.”
  8. Please give it a name.
  9. Leave it to “Use different values for each conversion.”
  10. The count, leave it to “Every.”
  11. The Click-through conversion window set it to 90 days. (90 days is what I use, but you can choose what is best for your business)
  12. The Engaged-view conversion window set it to 30 days. (Again, you can choose what is best for your business)
  13. The View-through conversion window set it to 30 days. (Again, you can choose what is best for your business)
  14. Attribution, leave it at “data-driven.” (Again, you can choose what is best for your business)
  15. Click done.
  16. Click “Agree & Continue.”
  17. Click on the Google Tag Manager tap to be ready to copy-paste your code into Google Tag Manager.

Set up Enhance Conversion Google Ads in Google Tag Manager

Let’s get started:

  1. Go to your account and log in.
  2. Create a new tag, 
  3. Click on Tag Configurations
  4. Search for Google Ads Conversions Tracking. Click on the Lego symbol.
  5. Click on the plus symbol next to the built-in in the top right corner.
  6. Click on Variable Configuration. 
  7. Search for a variable with the name “Constant.”
  8. Go to your Google Ads account and 
  9. Copy your purchase conversion ID.
  10. Paste it in the constant variable box.
  11. Give it the name “GAds-ID-Past your ID.” 
  12. Click save. 
  13. Go again to your Google Ads account.
  14. Copy your purchase configuration label. 
  15. Paste it in the conversion label area of the tag.
  16. Click on the value Lego symbol.
  17. Click on the blue plus symbol next to the built-in in the top right corner.
  18. Click on Variable Configuration.
  19. Please search for the Data layer Variable and select it.
  20. Place in the box. –> “ecommerce.value
  21. Give the variable the name. “dlv-ecommerce.value” and save it.
  22. Repeat this step for the transaction ID and currency.
  23. Here are the names you need. “ecommerce.transaction_id” & “ecommerce.currency” 
  24. Check “include user-provided data.”
  25. Click on user-provided data and click Create a new variable, 
  26. Once the screen opens, click to select the email variable.
  27. Scroll down till you reach a new variable.
  28. Click on Variable Configuration.
  29. Please search for the Data layer variable and select it.
  30. Please place in the box. –> “checkoutEmail” without quotation marks.
  31. Repeat this step for the rest of the user data and use the following names below:
  32. phone, firstName, lastName, street, city, country, province, zip.
  33. Click save. It will automatically give you a name. Click save again.
  34. Next, click on the trigger.
  35. Click the plus symbol in the top right corner.
  36. Search for “Custom Event” and select it.
  37. Type in the box “Purchase” without the quotation marks.
  38. Please give the name “E-Purchase” The “E” stands for an event.
  39. Give the “Tag” the following title, “GADs-event-purchase.”
  40. Click save.
  41. Preview and test.
  42. Publish if everything is working correctly.

Let us set it up using the Global sit Tag.

Step one: place the code in Shopify.

Go into your Shopify store backend to place the code. See how here.

Go to Google Ads to create your purchase conversion. See how here.

Copy and paste the code below in the “Order Status Additional Script Area” and change the following:

  1. Change the text “Your ID” with your Google Ads Conversion ID.
  2. Change the text “Conversion Label” to match your conversion label.
  3. Click save and make a test purchase.
<!-- Enhanced Conversion Google Ads -->
{% if first_time_accessed %}
  var enhanced_conversion_data = {
    "first_name": "{{ checkout.billing_address.first_name }}",
    "last_name": "{{ checkout.billing_address.last_name }}",
    "home_address": {
      "street": "{{ checkout.billing_address.street }}",
      "city": "{{ checkout.billing_address.city }}",
      "region": "{{ checkout.billing_aaddress.province_code }}",
      "postal_code": "{{ checkout.billing_address.zip }}",
      "country": "{{ checkout.billing_address.country_code }}"
  if("{{ checkout.email }}"){
    enhanced_conversion_data.email = "{{ checkout.email }}";
  if("{{ checkout.billing_address.phone }}"){
    enhanced_conversion_data.phone_number = "{{ checkout.billing_address.phone }}";
<!-- END Enhanced Conversion Google Ads -->

<!-- Global site tag (gtag.js) - Google Ads: YOUR ID -->
<script async src="https://www.googletagmanager.com/gtag/js?id=AW-YOUR ID"></script>
  window.dataLayer = window.dataLayer || [];
  function gtag(){dataLayer.push(arguments);}
  gtag('js', new Date());

  gtag('config', 'AW-YOUR ID', {'allow_enhanced_conversions': true});

  gtag('event', 'conversion', {
    'value': {{ checkout.total_price | divided_by: 100.0 }},
       'currency': '{{ currency }}',
       'transaction_id': '{{ order_number }}',
<!-- END Google Ads -->

Important: to know about Enhanced Conversion, Google Ads.


My mission is to add value to each business and help them grow. This article is best on my level of expertise. As I improve and improve, I will keep aborting this article to ensure you have the best tracking quality.

We must adapt to a world where tracking is becoming less accurate, start implementing strategies, and focus less on exploring user data. This setup is not intended to provide 100% accuracy but to help you update your tracking to the latest version of Google.

Josipher & the Team

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