A Google Ads conversion rate measures how effectively your clicks turn into valuable actions – like a purchase, enquiry form submission, or phone call – on your website. It’s calculated as (Total Conversions / Total Clicks) x 100%, providing a percentage representing your campaign’s performance.
- Enhanced Conversion Modelling: Current systems include Google’s advanced machine learning, now features more granular data modelling to account for privacy changes and provide more accurate conversion tracking, even with limited data.
- Value-Based Bidding: Google Ads in 2026 prioritises bidding strategies based on conversion *value* rather than just quantity, allowing for optimisation towards higher-revenue outcomes.
- Audience Signals & Personalisation: Leveraging first-party data and Google’s audience signals allows for highly personalised ad experiences, boosting relevance and conversion rates.
As of early 2026, a ‘good’ conversion rate in Australia varies significantly by industry. Generally, a rate between 3-5% is considered average, while 6% or higher is excellent. However, highly competitive sectors like finance or legal may see lower averages (2-3%), while e-commerce with well-optimised landing pages can achieve 7%+. Australian Consumer Law compliance regarding clear pricing and accurate product descriptions is also crucial; misleading ads negatively impact trust and conversions. Furthermore, the increasing use of mobile devices means optimising for mobile-first experiences is paramount.
Rather than navigating these complex technical requirements yourself, you can simply reach out to our team. At ROI.com.au, we can take care of all this for you—visit our contact page to get started.
