In this guide, we'll cover nearly everything you need to know to get started with server-side tracking: what it is, how it can benefit your business, and a few ways to implement it.
12 minute read
Updated Sept 1, 2025
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If you’re tired of unreliable data and feel like less and less of your conversions are being tracked each day, you’re in the right place. Server-side tracking is a more accurate, privacy-friendly way to gather insights, optimize your marketing efforts, and make the most of your ad spend.
Server-side tracking involves collecting and processing your website visitors’ activity data directly on a server running behind your website rather than relying on the user’s browser or device.
By doing this, you have better accuracy, more control over personal data collection, and the ability to overcome tracking challenges like ad blockers and iOS tracking prevention — all while respecting user data privacy without third-party cookies.
Sounds almost too good to be true, right? Well, we promise it’s not. Let’s get into it.
Server-side tracking is a method of collecting and processing your website visitors' activity data directly on a server running behind your website rather than relying on the user's browser or device. It's a significant improvement in how we gather, track, and use advertising data.
Traditionally, this tracking happens on the "client side," which means it's done by the user's browser (e.g., Chrome, Safari). When you visit a site, your browser runs a number of scripts (like Google Analytics, Meta, etc.), which collect data and send it back to the site owner.
Client-side tracking is becoming less reliable. Hurdles like ad blockers, privacy features (like Apple's Intelligent Tracking Prevention), and cookie restrictions have made it harder to collect data this way.
This is where server-side tracking comes in.
Instead of relying on the browser to collect and send data, a server running behind the website handles the tracking. When someone visits your site and does something important like making a purchase or filling out a form, the server captures this information and sends it directly to your tracking tools (like Google Analytics 4, Meta Pixel and Facebook Conversion API).
As paid advertising increasingly relies on algorithmic bidding, high-quality data is essential. Without proper data, businesses tend to face poorer results and higher customer acquisition costs.
With server-side tracking you can gain control of your tracking by capturing higher-quality data, and feeding it back to your ad platforms. This means ad platform algorithms can work more efficiently for you and bring new clients at a lower cost.
Mostly an increase in the desire for cleaner, more accurate data. As we mentioned earlier, server-side tracking bypasses many of the common obstacles that come with browser-based tracking and is less susceptible to the disruptions that can occur on the browser side. This leads to more reliable insights and helps businesses understand their audience without as many blind spots – and ultimately, make more money.
By sending more high-quality data to ad platforms, you’re able to optimize your ad campaigns better and get more out of your marketing budgets, leading to a lower CAC and a better growth for your business.
Finally, while GDPR and CCPA have changed how companies are allowed to collect and store data, server-side tracking gives you the ability to stay compliant whilst still able to track user behavior.
We’ll get into the technical implementation a few sections down, but basically, how it works is as follows:
Server-side tracking can utilize first-party cookies, which are cookies that your own domain sets and manages, making them less prone to be blocked by browsers or privacy tools.
Before sending your conversion data to digital advertising platforms, your server can also process and transform the data – things like combining multiple data points, filtering out unnecessary information, or anonymizing user data.
And since the tracking is happening server-side, you have full control and transparency over what data is collected, how it’s processed, and when and where it’s sent.
Any business that is spending money on digital advertising is losing money without server-side tracking. It’s as simple as that.
We touched on this earlier, but there are plenty of additional benefits. For now, we’ll talk about the benefits of server-side tracking for ecommerce and advertising agencies specifically.
Server-side tracking allows ecommerce businesses to capture and analyze the entire customer journey more accurately. You can track complex events with underlying ecommerce product data, like add-to-cart actions, and multi-step checkouts without losing data.
All that extra data means you can build bigger, more accurate audiences for retargeting. Your conversion tracking becomes more precise, so ad algorithms actually know what they're doing. The result? You find more high-intent customers and spend less to get them.
Running campaigns across multiple channels? Server-side tracking connects your online and offline sales data, so you can see the full picture of how customers really buy from you.
Here's a nice bonus: moving tracking to your server means less JavaScript weighing down your site. Pages load faster, users have a better experience, and you'll see higher conversion rates. Your SEO gets a boost too. Woohoo!
Want to optimize for actual profit instead of just revenue? Server-side tracking lets ad platforms see your real costs and margins, so they can focus on bringing you the customers that actually make you money.
With server-side tracking, you're in the driver's seat when it comes to privacy. Everything happens on your server, so you get to decide what data gets collected, how it's handled, and where it goes.
Need to comply with GDPR or CCPA?
Much easier when you control the process. You can clean up the data, remove personal details, or filter out stuff you don't need before sending anything to ad platforms.
Here's the thing about cookies: when they come from your own domain (first-party cookies), browsers and ad blockers are way less likely to mess with them. Server-side tracking lets you use these more reliable cookies.
Plus, you're not stuck tracking just website activity. Got sales happening in your CRM? Phone orders? In-store purchases? Server-side tracking can pull all that together so you actually see how all customers move through your business.
Implementing server-side tracking as an agency can help increase the value of your service offerings. It provides you with more accurate and comprehensive data analysis, allowing you to deliver deeper, more useful insights to your clients. By using server-side tracking, you can capture a more complete view of customer journeys, reducing data loss or confusion that can be common with traditional tracking methods.
This improved accuracy means you can deliver more reliable reporting to your clients. You’ll be able to show precise performance metrics across various marketing efforts, including detailed campaign-level data. This empowers your clients to make smarter decisions about their marketing strategies and budgets.
Some server-side tracking platforms provide user-friendly interfaces and pre-built integrations, making it easy to set up and manage without deep technical knowledge. This means your team can deliver sophisticated tracking solutions, such as cross-platform user tracking and enhanced data privacy controls, while minimizing operational costs. By leveraging these tools, you can scale your services efficiently, providing top-tier tracking solutions without the complexity or expense of building a dedicated development team.
Like choosing any other software tool, there is a whole market full of options with varying attributes – and not all will be right for your business. When weighing up your options, consider these factors (as a start):
Assess your team's skills, realistically. Also, assess your team’s workload now and in the future. Are you ready to assign a person on your team (or hire someone) whose focus will be implementation and maintenance, or would you rather outsource all the tech hassle by utilizing a plug-and-play tool?
Choose server-side tracking tools that handles high traffic and can grow with your business. For example, whether the platform can track offline conversions or support specific ad platforms. Also, check the pricing structure for the tool you choose – most tiered pricing plans will have a limit on how many events you can track before needing to upgrade.
Balance the upfront setup and maintenance costs (DIY tools, developer time, hosting costs etc.) vs. subscription fees (with managed tools like Tracklution). A good rule of thumb is that server-side tracking should boost your advertising efficiency by around 10%, so the cost of implementing server-side tracking should be no more than 10% of your ad budget.
Consider not only how easy the tool is to implement and use for non-technical users, but the availability and quality of customer support.
Ensure the tool you choose is GDPR compliant if you operate in the EU, or CCPA in the USA.
Ready to improve your tracking accuracy? Try Tracklution free for 30 days →
We like a spot of DIY as much as the next people, but setting up your own server-side tracking is often a task that most people would gladly hand over to someone else. That being said, it’d be unfair if we didn’t explain both ways of implementing it, so here goes. Don’t say we didn’t warn you.
Psst: if you want to skip to the easiest way, click here.
Full DIY solution Build server-side tracking from a scratch | Server-Side GTM Self-service tool for configuring and managing server-side tagging | Tracklution Plug-and-play server-side tracking tool for any website | |
---|---|---|---|
Technicality rating | 10/5 🫣 | 4/5 🫡 | 1/5 😎 |
Implementation time | 3-12+ months | From weeks to months | From 5 to 30 minutes |
Maintenance | Full-time job...? | ~Half-time job | Managed by the Tracklution crew ⚡️ |
For who? | Team of engineers | Web analytics specialist or engineer | Practically anyone can plug it in |
Scalability | Depends how you've built it | Ensure having enough server capacity | Scales as you scale |
Integrations | Build yourself what you want and need | Build yourself or utilise templates to help | Utilize ready-made integrations 🪄 |
API updates | Update manually | Update manually | Handled by Tracklution |
Support | If your tech team counts, then yes | Paid services available (e.g. consultants) | Included in the monthly fee |
Difficulty rating: 10/5 👿
To start, you’ll need access to a web server that will process incoming data. This could be hosted on a cloud platform like AWS, Google Cloud, or any other server you manage.
Some important server requirements:
You’ll need to create endpoints on your server that can receive tracking event data (e.g., page views, other funnel events, conversions). These endpoints act as listeners that take incoming data, process it, and forward it to the necessary destination.
Once the data reaches your server, you’ll need to process it before forwarding it to your analytics or marketing platforms of choice (e.g., Google Analytics, Facebook Ads, or your own internal system). Processing includes things like keeping sessions together, connecting data points, hashing data, and transforming it in the correct format separately for each Conversion API.
Once the data reaches your server, you’ll need to process it before forwarding it to your analytics or marketing platforms of choice (e.g., Google Analytics, Facebook Ads, or your own internal system). Processing includes things like keeping sessions together, connecting data points, hashing data, and transforming it in the correct format separately for each Conversion API.
Making sure your setup complies with data protection and privacy regulations like GDPR, CCPA includes things like:
For your setup to run smoothly, you’ll need to implement proper error handling and logging mechanisms on your server. You should track failures in data processing or transmission, and fire retries where necessary.
Before going live (and periodically forever), thoroughly test your server-side tracking setup. Ensure that data is accurately captured, processed, and forwarded. Use debugging tools to inspect incoming HTTP requests and responses, and verify that your tracking logic works across different browsers and devices. Also, you’ll need to set up a plan to not only maintain your setup’s efficiency but scale it too to handle growing amount of traffic and new data destinations.
…simple, right?
Yeah, we thought so. And would you believe it? The next option isn’t even the easiest way.
Difficulty rating: 4/5 😅
We’ll tell you all about that even easier way in a moment, but for a middle-of-the-road example, the generic setup of a server-side tagging system in Google’s Server Side tool looks like this:
Create a Google Cloud Project, enable billing, and set up App Engine on Google Cloud Platform (GCP).
In Google Tag Manager, create a Tag Manager Server container, deploy it on GCP, and get the container URL.
Configure your domain’s DNS settings to route traffic through your server container. For example, you might set up a subdomain like track.yourdomain.com and point it to the App Engine instance. This will make your tracking more secure and maintain first-party context for your data.
Modify your client-side GTM tags to send data to your server container. This typically involves replacing or modifying existing tags to route data through the server-side container.
In the server-side container, set up tags to forward data to third-party services like Google Analytics or Facebook Pixel. This is the most resource-intensive part, as you must configure each data destination separately. Yep, that means hashing, payloads, data layer work, pixel setups, conversion API configurations, and deduplication have to happen one by one.
Test your implementation to ensure data is being passed correctly from the client (browser or app) to the server-side container, and then to your tracking platforms (GA4, Facebook, etc.). Use tools like Preview Mode in GTM and browser developer tools to check that the tracking requests are working as expected.
Once live, continue to monitor your sGTM setup for performance and any potential issues. sGTM requires ongoing maintenance to ensure data accuracy and system efficiency. Regular monitoring helps you catch issues early and optimize your setup for better performance. This includes checking server logs, making updates to tags and CAPIs as necessary, and ensuring the server remains stable and cost-effective.
You’ve probably figured it out by now, so in the interest of full transparency, we are a bunch of conversion tracking nerds with a pretty slick server-side tracking tool. So for this section, we’ll just share a few results that our own customers have seen after implementing server-side tracking with Tracklution.
When we say fast, we mean it. Like, set up within the time it takes to drink your morning coffee fast.
P.s. you can read what these people actually say riiiight here. Even the morning coffee part.
The average increase in tracked conversions right after switching from traditional tracking pixels to Tracklution’s server-side tracking is as high as +32.1%. In general, our users report much more accurate tracking, with improvements ranging from 11-67%.
Our customers see, on average, reductions of 5% to 20%, but even as impressive as 50%—which means they spend less to gain new customers.
Our users can easily experiment with new marketing strategies and channels without needing to rely on developers. This makes it easier to try new things and adjust their approach quickly.
Tracklution users can easily combine offline sales and other valuable offline-world happenings to their website activities and online conversions to improve data quality.
While most tracking setups allow you to optimize for revenue, Tracklution’s profit tracking allows you to optimize for… profit!
Any business that is spending money on digital advertising is losing money without server-side tracking. It's as simple as that.
Server-side tracking gets around the usual browser problems and isn't as easily messed up by things happening on the user's end. You get more reliable data and can actually see what your audience is doing without the gaps.
Think of it this way: client-side tracking happens in your browser. When you visit a website, your browser runs tracking scripts like Google Analytics or Meta that collect data and send it back to the site owner.
With server-side tracking, the website's server does all that work instead of the browser on your computer.
GDPR and CCPA changed the rules around collecting and storing data, but server-side tracking helps you stay on the right side of those regulations while still tracking what users do.
Server-side tracking is essential when you want to improve your data quality and ad performance, especially if you're relying on algorithmic bidding. It works great if you're running ads across multiple channels. You can link up your online sales with offline purchases and see how all your advertising actually performs together.
Yes, server-side tracking is legal depending on the data collected and how it's used. The key is implementing it correctly with proper consent and compliance measures.
Since everything happens on your server, you're in control of what data gets collected and where it goes. With Tracklution, this complexity is handled for you. We're fully GDPR-compliant and make staying on the right side of regulations straightforward.