Conversion Pixels vs Conversion API Tracking: Which One Tracks User Activity Better?

Effective tracking of user interactions and conversions is at the heart and soul of every marketer's strategy. By doing so, marketers improve the performance of their ads and optimize marketing campaigns effectively. Two of the techniques that are making a lot of buzz in the marketing world are Conversion Pixel and Conversion API Tracking. There is no inkling of doubt that both of these techniques unearth valuable insights into how users interact with websites after they click ads in a real-time scenario.

With Conversion Pixels, a more targeted approach has come into effect. Marketers are trying to resonate well with the audience's needs and target their audience more actively. This way, they can optimize their campaigns more effectively and drive business success. However, with the launch of iOS 14, the use of Conversion Pixels has slowed. Conversion APIs have come to the fore in response to cookie-based tracking, making tracking and measuring conversions much easier. Hence, with Conversion APIs becoming operational and seen as a new go-to tool for marketers, does this mean Conversion Pixels have gone into total oblivion? Marketers are reflecting on this in the changing market dynamics.

On this note, let us get into the details of each of these techniques:

What is a Conversion Pixel?

Conversion Pixel is a client-side tracking mechanism that places cookies and JavaScript code on the user’s browser to track their activities, such as purchases made, items added to the cart, form submissions done by the users, pages viewed, buttons clicked by them, subscription added for the newsletters, and any downloads made from the site. These events trigger the Pixels and send them directly to the servers.

Conversion Pixels lets marketers target their audiences on a much granular level by tracking their real-time or instant behavior, especially what users do when they visit the website, which pages they visit, and which pages are the most clickable by their potential audiences. Based on this data collected, marketers display relevant ads to the respective audiences, which can lead their audiences to purchase products or services and increase sales or conversions.

With Pixels, brands can also remarket to audiences that have previously shown interest in their websites. This helps brands optimize their ads based on user responsiveness to their websites and measure the effectiveness of their ad campaigns. Tracking Pixels gives detailed insight into user actions on the website, which helps marketers target more look-alike customers for future transactions and improve ad delivery.

What is Conversion API Tracking?

A Conversion API Tracking tool tracks both online and offline events on the server side instead of on the client side. This does not relate to the browser, which, in turn, insulates this tracking mechanism from the limitations associated with the browser, such as privacy issues, ad blockers, or cookie blocking. Conversion API Tracking gives more unfettered access to advertisers over what aspects of the ad they can control. With Conversion API Tracking, advertisers can be more spot-on in assessing the success of their ad campaigns, unlike Pixel Tracking. Due to ad blockers and tracking restrictions, Pixel Tracking can no longer serve its intended purpose of tracking, and hence, this can stifle getting an insight into user actions on the site. It will have ramifications in tracking the quality of custom events and lookalike audiences, and to a much larger extent, the whole campaign's success.

As a result of these browser-based limitations, Conversion API has been developed so that users can be tracked more accurately and in compliance with privacy laws at the server level. The server-side tracking does not result in any data loss during the tracking of events or user behaviors. Also, browser-related issues such as poor internet connectivity, crashes, loading errors, HTTP errors, etc., do not impede the tracking process in the case of Conversion API Tracking. Moreover, this Conversion API Tracking is resilient against third-party cookie restrictions. With first-party data, it tracks offline and online conversions and web events such as phone calls/orders or purchases in-store (point-of-sale transactions), post-purchase, conversion on apps, or CRM information.

Advantages of Conversion API Tracking Mechanism Over Conversion Pixel:

1. Conversion API Tracking is more reliable since it works even if cookies are disabled on the user’s system or if ad blockers and other privacy laws are in place. It also bypasses all browser-related restrictions to give a more secure and privacy-friendly experience (in compliance with GDPR and CCPA regulations). The data is passed onto servers, bypassing browsers and hence obscured from client-side code changes.

2. For ad tracking, Conversion API Tracking remains the most optimal solution when web events are delayed or occur outside websites, as offline conversions.

3. Conversion API Tracking gives you greater control and command over tracking ad campaigns and monitoring user behavior.

4. Conversion API Tracking gives you more flexibility to track user sign-ups and purchases, add items to the cart, add new subscriptions, etc. Marketers can customize their campaigns and access detailed user information.

5. A multiplicity of channels or cross-domain tracking allows for more accurate data. Also, unlike Pixel Tracking, there is no provision for missing data due to clearing of caches or cookies, switching between multiple devices, or private browsing in Conversion API Tracking.

6. It is a more robust option for tracking modern advertising needs. It is ideal for enterprises with strict privacy policies and enhanced data management needs. As an example, high-volume eCommerce transactions and subscription-based services. On the other hand, Conversion Pixels has limitations on the use of data.

7. It is more suitable for end-to-end tracking of customer journeys, which depicts every touchpoint and user interaction, while Pixel Tracking is more apt for specific conversion events.

8. When two similar events are logged, the duplication between them is eliminated in Conversion API Tracking, as one is kept and the other is discarded. Hence, there is no possibility of any redundancy occurring in the system.

Advantages of Conversion Pixel Over Conversion API Tracking:

1. Simple set-up process. You can start tracking user behavior by copying and pasting JavaScript code onto your website.

2. The Conversion Pixel Tracking mechanism does not require technical expertise. On the other hand, the Conversion API Tracking solution requires server-side implementation, and sound technical knowledge is essential.

3. In addition to being more widely used than Conversion APIs, it can be easily integrated with other third-party platforms.

4. This method is primarily used by small and medium-sized businesses with no large budgetary requirements, with simple tracking needs, or for newbies in advertising. It is the archaic method of tracking that is becoming obsolete due to the advent of new iOS versions and privacy laws.

5. It provides more real-time tracking of user behavior and website conversions, unlike the delayed event tracking of Conversion API.

6. Pixel Tracking is browser-based and requires no server maintenance, thus removing any of the maintenance hurdles. In Conversion API Tracking, the server load adds an increased burden on the performance of existing systems and is an expensive option. Hence, the browser-based Pixel Tracking method is an economical and convenient option as far as maintenance issue is considered.

Conversion Pixels vs Conversion API Tracking: Which One Tracks User Activity Better?

The larger question is, which one should you choose to future-proof your marketing strategy? Both these Conversion Tracking mechanisms are holding in good stead and churning out profits for businesses. However, their application depends on how well they meet business needs and objectives. Each has its own benefits and challenges, pros and cons, and ultimately, it boils down to how well they meet a business's overarching needs and goals.

This being the case, we cannot undermine either of these two, as both are beneficial in their own right. Together, they present a holistic picture of effective ad tracking and optimization. In case one fails, the other may be used to fill the gap. Both techniques are desirable for complete end-to-end campaign management, and marrying them can generate profound results for the business.

Steps For Setting Up Conversion API and PIXEL Tracking In the Offer18 Platform for Ad Platforms?

• Facebook Conversion API

• Snapchat Conversion API

Customizable Conversion Events with Offer18

The Offer18, a performance marketing platform, allows users to define and customize conversion events according to their evolving needs and priorities of their business goals. Whether it's a purchase or a sign-up, a form submission, or another user interaction, such as a subscription to third-party services, Offer18 adapts to the diverse needs of different businesses.

Attribution Modeling with Offer18

Understanding the nuances of the customer buying journey is essential for optimizing marketing strategies. Offer18 incorporates advanced attribution modeling, providing insights into the touchpoints of users' buying journeys that translate to conversions. This feature empowers marketers to distribute their resources efficiently, focusing on the channels and interactions that drive quality results.

Conversion Reports and Insights with Offer18

Integrating third-party platforms allows Offer18 to generate comprehensive conversion reports. These reports are curated and presented in a user-friendly format, making it easy to interpret the data and derive actionable and meaningful insights. In addition, marketers gain insights from key metrics such as conversion rates, click-through rates, etc.

Multi-Channel Tracking with Offer18

Offer18 advances marketing operations by offering multi-channel Software Affiliate Tracking capabilities. Whether your campaign involves social media, email marketing, or affiliate partnerships, Offer18 consolidates data from all these channels and provides a wholesome picture of your conversion landscape. This strategy allows marketers to easily identify the best-performing channels and simplify analysis.

Conversion Pixel Placement with Offer18

Placing Conversion Pixels correctly is crucial for accurate attribution. Offer18 simplifies this process with clear instructions and detailed guidelines. While working with diverse channels and mediums, such as websites, mobile apps, or other platforms, Offer18 provides step-by-step assistance on how to place pixels correctly, guaranteeing precise data collection.

Conclusion

Tracking mechanisms such as Conversion Pixels and Conversion APIs are crucial to ad tracking and optimization, serving as the heart of the marketing landscape. However, to make the most of them, you must eschew some common mistakes, which can prove futile and eventually take your marketing business downhill.

Several mistakes, such as setting up the server incorrectly, placing the pixel code in the wrong area of your site, giving a short shrift to discrepancies in tracking data, improper use of tools that can result in inaccurate conversions, and not keeping up with the latest tracking features and updates, can sabotage your business and cause its meltdown.

Running a business successfully means you can’t afford to drop the ball — instead, you need to try to hit the gold on every possible opportunity. Hence, make the best use of these techniques and leverage them individually in scenarios where they are needed the most, regardless of comparing which one edges out the other.