If you have searched for a plumber, roofer or HVAC company lately, you have probably seen a row of businesses at the very top of the results, above the regular ads and the map. Those are Google Local Services Ads. For many trades, they are now the first thing a customer sees.
This guide explains how they work, how they differ from regular search ads, and what it takes to make them pay.
What Local Services Ads are
Local Services Ads show your business name, rating, review count, service area and a badge that tells the customer Google has checked your business. Customers can call or message you straight from the ad.
The biggest difference from regular ads is how you pay. With regular Google search ads, you pay when someone clicks. With Local Services Ads, you pay when a customer contacts you through the ad. That makes them easier to budget for many contractors.
How they differ from regular search ads
- Pricing. Pay per lead instead of pay per click.
- Placement. Usually at the very top of the page for eligible searches.
- Control. Less control over keywords and ad text. You choose job types and service areas, and Google matches you to searches.
- Destination. Customers usually contact you through Google, not your website.
- Trust signals. Your reviews and verification badge are front and center.
Many contractors run both. Local Services Ads catch people who want to call right now. Search ads give you more control, send people to pages you built for them, and cover services or areas Local Services Ads do not.
Getting approved
Local Services Ads are not available for every trade in every area, so the first step is checking eligibility. If your trade is covered, Google verifies your business before your ads can run. Depending on your trade and location, that can include business registration, licensing, insurance and background checks for owners or technicians.
Approval can take some time, so start early if you want to be running before your busy season. Have your license and insurance documents ready, and make sure your business name and details match everywhere.
What affects where you show up
Google decides which businesses to show and in what order. The factors it describes include:
- Proximity to the customer searching.
- Reviews, both your rating and how many you have.
- Responsiveness, meaning how quickly and how often you answer calls and messages from the ads.
- Business hours, because Google favors businesses that are open when the customer is searching.
- Budget and whether your business fits the search.
Two of those are fully in your control: reviews and responsiveness. Missed calls hurt you twice, once for the lost job and again in where you show up next time.
Running them well
- Choose job types carefully. Turn off the services you do not want. Paying for leads you will turn down wastes money.
- Keep the service area tight. Only include areas you can reach profitably.
- Answer every lead fast. Make sure whoever answers your phone knows that Local Services Ads calls are paid leads.
- Review leads every week. Google credits some leads that do not fit, such as wrong job types or areas outside your service area. Flag the ones that qualify.
- Keep reviews coming. Your ad ranking leans on them.
- Set hours that match reality. If no one answers at night, do not show as open at night.
- Adjust budgets by season. Raise them ahead of your busy season and lower them when the schedule is full.
When they are not the right fit
If your trade is not eligible in your area, if most of your work comes from builders and general contractors rather than homeowners, or if you sell large planned projects that customers research for weeks, other channels may do more for you. Search ads, local SEO and a strong website give you more room to explain your work.
How they fit with the rest of your marketing
Local Services Ads work best on top of a solid foundation. Your reviews feed them. Your Google Business Profile backs them up. Your website is where many customers go to double-check you before they call. And call tracking tells you what each lead actually turned into.
We set up and manage Local Services Ads for contractors, including the verification process, job types, budgets and weekly lead review. If you want to know whether they make sense for your trade and area, ask for a free marketing audit.