Google Local Service Ads vs. Google Search Ads

Google Local Service Ads and Google Search Ads are two popular advertising options offered by Google that can help businesses increase their online visibility and reach potential customers. While both ad formats aim to promote products and services through Google’s platform, they differ in terms of purpose, targeting options, cost structure, and verification process. Understanding the distinctions between these ad formats is crucial for businesses looking to optimize their online advertising efforts.

The Differences between Google Local Service Ads and Google Search Ads

Purpose and Placement

Google Local Service Ads primarily focus on promoting local service-based businesses, such as plumbers, air duct cleaners, or carpet cleaning companies. These ads are designed to appear at the top of search results when users search for relevant services in their local area. On the other hand, Google Search Ads target a broader audience and aim to promote products or services across different locations, industries, and niches based on specific keywords.

Targeting Options

In terms of targeting, Google Local Service Ads primarily rely on location-based targeting. These ads are triggered when users search for services within a specific geographical area. Google Search Ads, on the other hand, offer a wide range of targeting options, including keywords, demographics, interests, and more. This allows businesses to refine their ad targeting based on their specific audience and objectives.

Cost Structure

Google Local Service Ads operate on a pay-per-lead basis. Businesses are charged only when potential customers contact them through the ad, such as by calling or messaging. This cost structure ensures that businesses pay only for genuine leads and inquiries. In contrast, Google Search Ads use a pay-per-click (PPC) model, where businesses are charged each time a user clicks on their ad. This model is based on driving website traffic rather than direct leads.

Verification Process

To appear in Google Local Service Ads, businesses need to go through a verification process to confirm their legitimacy and trustworthiness. This includes background checks, license verification, and ensuring customer reviews meet Google’s standards. In contrast, Google Search Ads do not have a specific verification process, although businesses need to comply with Google’s advertising policies and guidelines.

Benefits of Google Local Service Ads For Local Businesses

Increased Visibility for Local Businesses

One of the major advantages of Google Local Service Ads is the increased visibility they offer to local businesses. By appearing at the top of search results with a distinctive “Google Guaranteed” badge, businesses gain prominent exposure to potential customers who are actively searching for local services. This visibility helps businesses stand out from their competition and boosts their chances of being contacted.

Higher Conversion Rates

Google Local Service Ads are designed to drive high-quality leads, resulting in better conversion rates. Since these ads target users who are specifically looking for local services, the likelihood of converting them into customers is higher. The “Google Guaranteed” badge further enhances trust and credibility, instilling confidence in potential customers and increasing the chances of them choosing a business over competitors.

Enhanced Trust and Credibility

The verification process for Google Local Service Ads enhances the trust and credibility of businesses. Customers are more likely to trust and engage with businesses that have gone through Google’s verification and background checks. The “Google Guaranteed” badge signals reliability and professionalism, attracting customers who prioritize trusted service providers.

Benefits of Google Search Ads For Local Businesses

Wide Reach and Potential Audience

Google Search Ads provide access to a vast network of users actively searching for products or services. With Google’s extensive reach, businesses can target a wide range of keywords and capture the attention of potential customers across multiple industries and niches. This broad reach allows businesses to expand their customer base and tap into new markets.

Effective for Product and Service Promotion

While Google Local Service Ads focus on promoting local services, Google Search Ads excel in promoting both products and services. This versatility makes them suitable for businesses across various industries, including e-commerce, software services, and professional consultations. By leveraging keyword targeting and ad extensions, businesses can effectively showcase their offerings to a wider audience.

Advanced Analytics and Reporting

Google Search Ads provide robust analytics and reporting tools, allowing businesses to measure the performance and success of their ad campaigns. Detailed insights into click-through rates, conversion rates, and other metrics help businesses optimize their ads and make data-driven decisions. This level of analytics is crucial for evaluating the effectiveness of ad campaigns and fine-tuning strategies to maximize ROI.

How to Choose Between Google Local Service Ads and Google Search Ads

Consideration of Business Type and Objectives

Businesses offering local services should prioritize Google Local Service Ads, as they are specifically designed to target local customers and generate leads. For businesses with a broader target audience or those selling products, Google Search Ads can be a more suitable option.

Understanding Target Audience and Local Market

Analyzing the target audience and understanding the local market dynamics is essential. If the majority of potential customers are searching for local services, Google Local Service Ads can provide a competitive advantage. However, if the target audience is dispersed geographically or the focus is on product promotion, Google Search Ads might be the better choice.

Evaluating Budget and Cost-Effectiveness

Budget considerations play a significant role in selecting the appropriate ad format. While Google Local Service Ads operate on a pay-per-lead basis, businesses should evaluate the potential costs associated with each lead and compare them with their marketing budget. Google Search Ads’ pay-per-click model may provide more cost-effective options, depending on the industry and competition.

Expert Recommendation About Google Ads

Google is like a monopoly board, there are 4 distinct sections, Google local service ads, Google Search ads, Google local pack, and Google website results. The more sections you can appear in, the better your chance of getting a lead.

For local service businesses, Google local service ads are the first place we would start with advertising on Google because they give you the best chance at leads. Google search ads drive traffic to your website, and if it is not optimized to convert traffic into leads then you will be wasting more for website traffic instead of leads which you ultimately want. If you are thinking about setting up ads and are unsure, setup a meeting with us and discuss your business to get more clarity on a plan.

FAQs About Google Ads

What are the main differences between Google local service ads and Google Search Ads?

Google Local Service Ads focus on promoting local service-based businesses, whereas Google Search Ads target a broader audience and can promote both products and services.

Google Local Service Ads operate on a pay-per-lead model, while Google Search Ads use a pay-per-click model.

Google Local Service Ads require businesses to go through a verification process, whereas Google Search Ads do not have a specific verification process.

Which type of ad is better for local businesses?

Google Local Service Ads are specifically designed for local businesses offering services and can provide increased visibility and higher conversion rates within the local market.

Can I use both Google local service ads and Google Search Ads simultaneously?

Yes, businesses can use both ad formats simultaneously to leverage their unique advantages and reach a wider audience. 

How can I measure the success of my Google ad campaigns?

Both Google Local Service Ads and Google Search Ads provide comprehensive analytics and reporting tools that allow businesses to track key performance metrics such as click-through rates, conversion rates, and ROI.

Are Google local service ads available in all regions?

Google Local Service Ads are gradually expanding to new regions. You can check your area here.