Which metric indicates the effectiveness of ad performance in terms of conversion?

The metric that indicates the effectiveness of ad performance in terms of conversion is the conversion rate. This metric measures the percentage of users who take a desired action after interacting with an advertisement, such as making a purchase, signing up for a newsletter, or completing a form. It directly reflects the success of an ad in converting interest into actual actions, showcasing how well the ad campaign is achieving its goals.

While click counts and click-through rate provide insights into user engagement and interest in the ad, they do not necessarily correlate with the final conversion actions. Impression rates merely indicate how many times an ad has been displayed, but this number alone does not highlight the effectiveness of converting views into meaningful engagements. The conversion rate is the most pivotal metric for evaluating the efficacy of ad performance specifically in terms of achieving conversions.