Many local retail and service-based businesses struggle to compete against big box retailers and national service companies in their local geo. They’re up against sophisticated marketing departments with big budgets and don’t have enough time to get hands-on with their own digital marketing efforts. Fortunately, Google released a great solution for local service-based businesses called Local Service Ads.
What Are Google Local Service Ads (LSAs)?
Google Local Service Ads are an ingenious way of advertising your business locally. Using LSAs, your business will appear at the top of Google Search results when users search for the type of services you offer. However, the true value lies in your ad only being shown to users that are local to you. This ensures that your ad is only fed to those who are likely to actually use your services.
What Types of Businesses Can Use Local Service Ads?
Many types of businesses will find value in using LSAs, including:
- Home services such as plumbers, electricians, HVAC, roofing, pest control, landscaping, moving services, locksmiths, and contractors.
- Business services such as accountants, lawyers, tax services, financial planners, and real estate agents.
- Health services such as dentists, doctors, physical therapists, acupuncturists, audiologists, and even specialized surgeons (plastic, orthopedic).
- Learning services such as tutors, preschools, trainers, and specialized instructors (driving, language, dance, or music).
- Care services such as child care, pet care, and funeral homes.
- Wellness services such as yoga studios, personal trainers, and masseuses.
- Beauty services such as manicurists, hair stylists, barbers, piercing studios, and estheticians.
- Automotive services such as mechanics, body shops, towing services, and car wash/detailing.
This is by no means a complete list. Generally, as long as your business provides a service in a specific geographic area, you’re a great candidate for making use of Local Service Ads.
How Do Google Local Service Ads Work?
Simply put, Local Service Ads work by providing you with leads for your business. However, this doesn’t tell the whole story. Let’s take a more in-depth look behind the scenes, including ranking factors, the Google Guarantee, and the cost structure.
Ranking Factors
There are likely other businesses in your area offering the same services as you. What happens when they’re also running LSAs? How does Google decide whose ad is ranked higher? Well, they use a few ranking factors. First, is the Google Guarantee badge. Businesses who have taken the time to earn this badge will always rank above those who have not. Next, Google takes into account how likely your ad is to result in a lead. They determine this by looking at your responsiveness to customer inquiries, what the customer is looking for based on their search, and the quality of your profile. The better your responsiveness and the more complete your profile is, the higher your ad will rank.
Google Guarantee
As mentioned, the Google Guarantee badge is used as a ranking factor, but it also goes a long way in gaining the trust of customers. This badge is earned by completing a verification and screening process. If customers are not satisfied with the services provided by a Google Guaranteed business, Google may reimburse them for the cost of services rendered up to a lifetime limit. In the USA the lifetime limit is $2000. This makes customers much more likely to use a business with the Google Guarantee badge, knowing that they are likely to receive a high level of service and will be reimbursed if they do not.
Cost Structure
The cost structure of LSA’s is different than that of traditional Google Search Ads. While with Search Ads you bid on keywords and pay per click, with LSAs you pay per lead you receive through your ad. The cost per lead will vary differently based on your industry and geographic area. However, there’s no need to worry about going over your budget. With Local Service Ads, you’re able to set a weekly budget and a monthly maximum. While your weekly cost may exceed your budget if many leads come in, you will never surpass your monthly maximum.
Benefits of Using Google Local Service Ads
So, why use Local Service Ads instead of a traditional Search campaign? Well, there are a number of benefits you can only experience by using LSAs. Let’s take a look at some of them.
Increased Visibility
One of the keys to a successful ad is that people actually see it, and Local Service Ads make sure this happens. LSAs appear at the very top of the Google Search results, above both paid Search Ads and organic results. This ensures that your Local Service Ad is the first thing a user sees when they search for the services you offer, making them much more likely to patronize your business.
Qualified Leads
A qualified lead refers to a lead who fits the ideal customer profile and is ready to buy. One of the major benefits of using Local Service Ads is that the leads you receive are all qualified. Not only have they searched for your specific service, showing that they are actively looking to have this service completed, but they have also clicked on your ad, showing that they have a serious intention of hiring someone to provide this service for them.
Trust and Credibility
When people hire a service provider, they are looking for someone they can trust. Nobody wants to get ripped off. Your Google Guarantee badge that will be displayed on your Local Service Ad will go a long way in building this trust. It lets people know that Google has found you to be a trustworthy and qualified service provider. Customers will also be able to see your Google reviews, allowing them to hear from former customers regarding the level of service they can expect from your business.
Simplified Setup Process
When it comes to digital marketing, many business owners are scared off because it seems too complicated. Fortunately, Local Service Ads are much more simple to set up than traditional Google Ads campaigns. With LSAs, there is no need for keyword research, much less maintenance required, and they have a much simpler interface that is not intimidating for beginners.
How to Set Up Google Local Service Ads
Setting up Google Local Service Ads is extremely easy. Here’s a short guide that can help you get set up, allowing you to start receiving leads.
- Check your eligibility. LSAs are only available for certain types of local businesses and certain geographical locations.
- Set up your account. Once your eligibility has been confirmed, you will be prompted to set up your LSA account. This involves entering details regarding your business, such as services offered, business hours, service area, and contact information. Make sure to provide as much info as possible and that it is all accurate.
- Complete the verification process. At this point, you will need to supply proof that your business is licensed and insured. You will also need to undergo a background check. As long as all information given is valid and you have no serious criminal history, you should be able to complete the verification process with no problems.
- Create your ad! Make sure all information is accurate. Also, ensure that the description of your services is well-written and will convince customers to use you. Remember, if anything changes (such as your business hours), to make updates immediately so that no customers are receiving false information.
- Set your budget. Make sure your budget is set to an amount you can afford. Remember, you only pay when you receive a lead and you can change your budget at any time.
- Start managing your leads. When a lead comes in, they’re not a customer yet. You need to reply via email or phone call, or decline the lead if you feel it is not what you’re looking for. Regardless of if you accept a lead or not, make sure to respond promptly. This will help with customer satisfaction and your ranking. Should you feel a lead was low-quality, such as spam or not relevant to your business, you can dispute it and receive a credit to your account.
Follow this guide and you should have no trouble getting your Local Service Ads set up, and you’ll be swimming in leads in no time!
Tips for Optimizing Your Google Local Service Ads
Once you have ads running, your job isn’t done. While LSAs are lower maintenance than other campaign types, that doesn’t mean they are set-it-and-forget-it. Here are some tips to make sure you’re getting the most out of your ads.
- Collect Reviews: Having good reviews will not only help your ad rank higher, but will also make customers more likely to choose your business over others. Make sure to actively solicit reviews from customers. Either in person after services have been rendered or through follow-up emails.
- Respond Quickly: When a customer inquires about your services, respond as soon as possible. How quickly you respond is weighed heavily when Google is deciding where to rank your business in search results.
- Monitor Performance and Stay Competitive: Pay attention to how your ad is performing. If you’re not closing leads, you may need to consider lowering your prices. If no leads are coming in at all, you may have to increase your bid amount.
By following these tips, you’ll be optimizing your Local Service Ads and giving yourself the best chance at success.
Common Mistakes to Avoid with LSAs
Now that we’ve talked about what you should do when it comes to LSAs, let’s talk about what you shouldn’t do.
- Neglect Reviews: Don’t ignore your customers on Google. When someone leaves a review, respond to it whether it is good or bad. For bad reviews, respond with an apology and an offer to make things right. For good reviews, it’s as simple as thanking them for their business. Engaging in this way will help you rank higher.
- Incomplete Profile: Not fully filling out your profile is one of the worst things you can do. Not only will it hurt your ranking, it will also make customers less likely to contact you. People want as much information as possible before they hire someone to complete a service for them.
- Not Tracking Leads: You should be tracking and following up with all leads. This will help Google learn what you consider a bad lead and what kind of leads you are looking for.
Avoid doing these things at all costs. The negative effect these actions can have on your success can not be understated.
Need Help with Local Service Ads?
Still not sure if you’re up to tackling LSAs on your own? Not to worry, you’re in the right place. Contact Rise Marketing Group and our expert team can set up and maintain an LSA campaign that is sure to keep the leads coming in!
