The conjugacy transformation seems to be especially special in groups.
Defining a conjugacy equivalence relation and splitting groups into their conjugacy classes is vital in classifying and decomposing groups.
My question is, intuitively, why is the conjugacy equivalence relation special (as opposed to using some other notion of 'equivalence') for groups?
My only current intuition is that, for matrix groups, matrices that differ only by a basis transformation do intuitively represent the same symmetry transformation (just in another basis). However this intuition seems to be tied to matrices, so I was wondering if there was a better, more fundamental, intuition?
The importance of group conjugation comes down to the following.
Conjugation is an automorphism of a group. In many fields of mathematics, automorphisms are of high importance as they are in essence the symmetries of the underlying structure. Among all automorphisms of a group, the conjugations are special, since their description $c_g(x) = gxg^{-1}$ works uniformly in all groups and requires only basic group arithmetic. In this sense:
ADDENDUM
Other anwers hint at the role of conjugation in group actions. In a nutshell, it can be stated as:
While this interpretation is certainly important to have in mind, I still think the foremost reason for the significance of conjugation is № 1. Because it works for general groups, without the need of introducing any additional structure (like the group acting on some set).