Guide · 6 min read

Google Local Services Ads: how they work and who they suit

The short answer

Local Services Ads are Google ads that appear above regular search results for many home and professional services. They carry a Google Guaranteed or Google Screened badge, and you pay per lead rather than per click. They suit many trades and professional services and are often one of the best-value ways to get calls, though eligibility and costs vary by category and market.

Key takeaways

  • You pay per lead, not per click.
  • Ads appear at the very top of results with a trust badge.
  • Eligibility depends on your category and location, and you must pass Google's screening.
  • Reviews, response speed and profile quality affect performance.
  • Many businesses run Local Services Ads alongside regular search ads.

How do Local Services Ads work?

You set up a profile, complete Google's background and license checks, choose the services and areas you want, and set a weekly budget. When someone nearby searches for your service, your ad can appear with your rating, reviews and a call button. You are charged when you receive a valid lead.

How are they different from regular Google Ads?

Regular Google search ads charge per click and give you control over keywords and messaging. Local Services Ads charge per lead and show a standard format with a trust badge. They are simpler to run, but you have less control.

What affects how well they perform?

  • Your review rating and number of reviews.
  • How quickly you answer calls and messages.
  • The completeness of your profile.
  • Your budget and service area.
  • Whether you dispute invalid leads promptly.

Are they right for your business?

They are available for many trades and professional services, but not every category or area. If yours is eligible, they are usually worth testing because you only pay for leads. If not, regular search ads and a strong Google Business Profile are the alternative.

How do you get the most from them?

Answer every call, since missed calls waste paid leads. Keep your reviews strong, track which leads become booked jobs, and review your budget and service area monthly.

Frequently asked questions

Do Local Services Ads replace Google Ads?

No. Many businesses run both: Local Services Ads for pay-per-lead calls and regular search ads for more control and more services.

How much do Local Services Ads cost?

Cost per lead varies by service and market. Track cost per booked job rather than cost per lead alone.

Can I dispute a bad lead?

Yes. Google lets you dispute leads that are not valid, and doing so promptly helps keep your costs down.