Converting MP3 to OGG re-encodes your audio through the Vorbis codec inside an Ogg container — a completely different, open-source, royalty-free compression scheme than the one MP3 uses. Unlike converting MP3 to an uncompressed format, this is a lossy-to-lossy conversion: Vorbis decodes the MP3's already-lossy audio and compresses it again using its own algorithm. That means there is some additional quality loss layered on top of whatever the original MP3 encode already discarded. This tool uses libvorbis at quality level 5, a VBR setting that targets roughly 160kbps on typical music — a reasonable, commonly-used default — but it's honest to say up front that re-encoding a lossy file into another lossy format is never a quality improvement, only a format change with a quality cost attached.
The reason to do this anyway comes down to where OGG Vorbis is actually required or preferred. It's a fully open, patent-free codec, which made it the format of choice for a long list of software that specifically wanted to avoid MP3's historical licensing entanglements: countless game engines (Unity's default audio import format is OGG, and many older game titles ship audio exclusively as .ogg), a large share of open-source software and Linux distributions, and Wikipedia/Wikimedia Commons, which uses Ogg formats for audio and video samples precisely because of the lack of patent restrictions.
OGG also shows up in some more specific modern contexts — Discord's custom soundboard feature accepts OGG alongside MP3 for user-uploaded sound clips, and a handful of VoIP and real-time communication tools default to Vorbis or Opus-in-Ogg for their audio pipelines. If a game, mod, or piece of software you're working with specifically asks for an OGG file and only hands you an MP3 to start from, this conversion exists for exactly that gap.
Quality level 5 (on libvorbis's 0–10 scale) was chosen as a sensible middle ground — high enough that the additional lossy pass is not generally noticeable on top of a reasonably-encoded MP3 source, without producing an unnecessarily large file. If your source MP3 was already encoded at a low bitrate, re-encoding to OGG won't claw back any of that lost detail; at best, it will hold onto what's left reasonably well.
Going the other direction? OGG to MP3 converts Vorbis audio back to the more universally-playable MP3 format.