Audience extension helps in the conversion of traffic into what?

Audience extension primarily refers to the practice of leveraging data to reach users outside of a publisher's own media properties, thereby extending the reach of an advertising campaign. The aim is to convert traffic into advertiser audiences by utilizing insights about user behaviors and preferences.

When advertisers extend their audience, they are able to target potential customers who share similar characteristics with their existing audience or who have shown interest in their products or services. This targeted approach is designed to enhance the effectiveness of advertising by reaching individuals who are more likely to convert into customers. By broadening the scope of audience targeting, advertisers can increase the chances of engagement and ultimately drive conversions, which is a key goal in digital marketing.

The other options, while relevant to digital advertising, do not specifically align with the primary focus of audience extension. Subscription fees for publishers relate more to monetization strategies rather than the conversion of traffic. Lead generation is a broader concept that can involve various tactics beyond audience extension. Physical product sales can result from effective advertising but are not a direct result of the audience extension strategy itself.