How To Grow Your Business by Using Google's Local Services Ads for Lead Generation

June 6th, 2024, 09:00 AM

If your website, Google Business Profile, and other business listings are optimized and performing well in local search, but you're not getting as many leads as you'd like, one option you have for generating additional leads is Google Local Services Ads, or LSAs.

What Are Google Local Services Ads and How Do They Work?

The Google LSAs platform is an advertising tool offered by Google and available for a wide range of service providers, from home service and healthcare providers to beauty and automotive businesses.

Businesses in eligible industries can use Google Local Services Ads to stand out in local search and get more local leads.

Google LSAs offer a different way to appear at the top of Google Search results when potential customers perform relevant local searches, since Local Services modules are displayed above other search results.

Customers who click on a Local Services Ads unit can choose to call, message, or instantly book a service with the business, turning them into leads right away.

For businesses, the biggest benefit of using Google LSAs for lead generation is that they only have to pay for actual leads, rather than having to pay for impressions or clicks. In other words, you don't pay for Local Services Ads until someone contacts your business.

How To Generate Leads in Google Local Services Ads (And Convert More Leads into Customers)

1. Sign up for Google Local Services Ads

To get started with Google Local Services Ads, complete the sign-up process on the LSAs website.

This process is fairly similar to signing up for Google Business Profile, as it requires you to enter much of the same business information, including name, service type, and location.

After that, you'll set a monthly budget for Google LSAs. There's a budget calculator that you can use to estimate the budget you need by entering a postal code, the number of leads you want, and the industry you're in. You can adjust your Local Services Ads budget at any time.

By default, Google will automatically use this budget in the most efficient way possible to get you the most leads. You can choose to set a maximum price you want to pay per lead, but this can result in fewer leads and isn't recommended by Google.

Lastly, you'll need to complete a screening and verification process, which is different from Google Business Profile verification. Rather than simply verifying your business's location, Google may check things like your business registration, insurance, and licenses.

Depending which type of screening and verification you go through, you may be able to earn a Google Guaranteed badge for your LSAs, which means Google provides customers with a money-back guarantee for your business. This badge can improve your chances of getting more leads through Google Local Services Ads by building trust and credibility.

2. Optimize Google Local Services Ads

There are a few different ways you can optimize your Google LSAs to help them rank better in more local searches. Google recommends the following:

  • Write a detailed business description
  • Highlight up to five special features of your business (e.g., 24/7 service, 10 years in business, free estimates, etc.)
  • Get more positive Google Business Profile Reviews (these appear in LSAs and are a local ranking factor)
  • Add all the services you offer to your Local Services Ads profile
  • Expand your service areas
  • Make sure your bid type is set to "Maximize Leads"
  • Add high-quality photos to LSAs
  • Enable messaging and respond to all messages promptly (Google ranks LSAs with fast response times higher)
  • Enable direct booking through Local Services Ads

3. Track Performance and Adjust Your Local Services Ads Strategy

Google LSAs allow you to track your leads, providing insights into the days and times when you get the most leads and which leads are converting into paying customers. As time goes on, you can use these performance insights to adjust your LSAs strategy.

For instance, let's say you're not converting a lot of leads on specific days or at certain times, perhaps because your team is particularly busy with other tasks then. In this case, you may want to consider pausing your Local Services Ads for those days/times, allowing you to utilize your budget more efficiently and convert more leads at different times.

4. Follow up with Leads That Don't Convert

It's inevitable that there will be some potential customers who contact your business through Local Services Ads but don't finish booking a service.

Remember that anyone who contacts your business through LSAs is considered a lead, so you're paying for calls and messages that don't convert anyways.

So, to have the highest chances of converting these leads to customers and getting an ROI from LSAs, make sure to follow up with them at least once via phone or message. Even if you don't convert them right then and there, it will help keep your business at the top of their mind, and they may become paying customers later on.

Final Thoughts

Google Local Services Ads can complement your local SEO strategy nicely by providing another way for service-based businesses to appear at the top of Google Search results. 

Since Google Business Profile reviews appear on LSAs, steps you take to get more reviews on Google Business Profile can also optimize your Local Services Ads, helping you stand out from competitors and generate more local leads.

Unlike other types of paid advertising, LSAs only require you to pay a bid when someone contacts or books an appointment with your business, making them a cost-effective advertising choice for service providers.

As with any type of marketing, make sure to track your LSAs performance and adjust your strategy accordingly to get the most out of your time and budget!

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