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Conversion is a metric for eCommerce mainly, to track actual buyers over the number of visitors for a campaign.
Let say we run a google ad/Facebook campaign with a link to our product.
So, we got 100 clicks to the link, but only 10 people actually bought/subscribed to our service. So, the conversion rate is 10/100 i.e. purchase/visits if we say for e-commerce. here we have 0.10 conversion rate.
This process can be for paid/unpaid actions like you added some tool etc, that can be also tracked. This helps to keep check on campaigns success or failure.
Google Analytics provides metrics for conversion tracking
6 days ago   1
Balvinder Singh that's a good detailed answer. Upvoted and shared across...
6 days ago   1
The ‘number of visitors performing your desired action out of total number of visits' may be used to determine a website or webpage conversion rate.
11 days ago   1