Local Services Ads (LSAs) is a pay-per-lead service offered by Google. LSAs differ from traditional PPC ads because this is a pay-per-lead (PPL) service, not pay-per-click (PPC), meaning you only pay for the leads you receive rather than paying for each click—lead or not. And while Google has made serious efforts to make it difficult to tell the difference between paid and organic search results, Local Services Ads have a unique appearance that makes them hard to miss.
Businesses can secure the GOOGLE SCREENED or GOOGLE GUARANTEED badge after successfully completing a background check. The type of Google badge you receive will depend on the industry in which you operate.
Please note that while Google is expanding LSA categories and regions, not every business is eligible to run LSAs, and LSAs are not available in all regions. If you are interested in signing up for LSAs but are unsure if your business is eligible, We can help. Contact us today to determine your eligibility.
Local Services Ads work on a weekly basis, meaning you provide a weekly budget instead of daily or monthly ad spend. So instead of telling Google how much you are willing to spend per day or per month, you tell Google how much you are willing to spend on new leads per week.
There are two types of bidding strategies with LSAs:
- Let Google control the bid. This is automatic bidding, meaning Google will maximize the number of leads you get by adjusting your bid for you. This gives you less control over how much you pay for your leads, but more opportunity to secure leads in a highly competitive region or industry.
- Manually set a max bid. This option allows you to set a max bid, meaning you tell Google how much you are willing to pay for a lead. This gives you more control over your spending, but you could limit the number of leads you receive if you choose a cap that’s lower than the competition.
Just as there are ranking factors for both organic search and traditional PPC ads, there is also a ranking system for Local Services Ads.
Local Services Ads ranking factors include:
- Proximity to potential customers’ locations
- Google review score and the number of reviews on your Google Business Profile
- Responsiveness to customer inquiries and requests
- Business hours
Local businesses looking to improve their digital marketing strategy and reach more customers should consider signing up for LSAs. Don’t miss the opportunity to gain additional visibility in the search results and add another lead source for your business!