Google Ads vs. Google Local Service Ads: Which One is Right for Your Business?

In online advertising options, Google provides two powerful tools to help businesses connect with potential customers: Google Ads and Google Local Service Ads (LSAs). While both platforms are excellent ways to increase visibility and reach potential clientele, they serve distinct purposes and cater to different types of businesses and goals. Let’s break down the differences, benefits, and how to choose the right one to meet your business goals! Stick with us:

What Are Google Ads?

Google Ads is a pay-per-click (PPC) advertising platform that allows businesses to bid on keywords and display ads on Google’s search results pages, websites, YouTube, and more. These ads can be tailored to reach a specific audience and include various formats such as text, display, shopping, or video ads.

Google PPC ads are best for:

• Businesses seeking broad visibility across search, display networks, and YouTube.
• E-commerce brands, service providers, or businesses with a global or national target market.
• Highly customizable campaigns based on goals like conversions, traffic, or awareness.

Pros of Google Ads:

• Flexibility: Reach audiences across multiple platforms (search, display, video).
• Advanced Targeting: Demographic, behavioral, and keyword targeting capabilities.
• Diverse Ad Formats: Text, image, video, and shopping ads to suit various marketing objectives.
• Scalability: Works for both small budgets and large enterprises.

Challenges:

• Learning Curve: Requires expertise in keyword research and campaign management.
• Competitive Bidding: Costs can escalate in industries with high competition.

What Are Google Local Service Ads?

Google Local Service Ads are designed specifically for local service providers, such as plumbers, electricians, and locksmiths. These ads appear at the top of Google search results, above standard Google Ads, and are marked with a “Google Guaranteed” badge to build trust. Businesses only pay for qualified leads, not clicks.

Google Local Service ads are best for:

• Service-based businesses targeting a local audience.
• Companies looking to build credibility through the Google Guaranteed* program.
• Small businesses with a focus on lead generation.

Pros of Google Local Service Ads:

• Pay-Per-Lead Model: You’re charged only for leads, not clicks!
• Google Guaranteed: Instills customer trust and credibility.
• Prime Placement: Ads appear at the very top of search results.
• Simplified Setup: Once verification is complete, the ads can be easier to manage compared to Google Ads.

Challenges:

• Limited Industries: Restricted to service-based businesses in certain categories.
• Geographic Focus: Best suited for hyper-local markets, not national or global reach.
• Less Customization: Fewer targeting and creative options compared to Google Ads.

*What is Google Guaranteed?

The Google Guarantee is a badge that appears in Local Services Ads for home service providers. It shows potential customers that Google has vetted your business. Only businesses that have passed Google’s screening and verification process can get a badge. Which can give customers peace of mind. 

*What is Google Screened?

Google Screened is an endorsement badge that shows that a professional service business has passed license checks and this can help build trust with potential customers. The free screening process verifies that professional licenses are current, both when businesses join Local Services and on an ongoing basis. The Google Screened badge covers professional services, including law, financial planning, real estate, child care or preschool industries.

How to Choose the Right Platform for Your Business

We suggest Google PPC Ads if:

• You want to expand beyond local markets.
• Your business thrives on e-commerce or broader brand awareness.
• You need flexibility to craft diverse campaigns with advanced targeting options.

We suggest Google Local Service Ads if:

• You’re a service provider focused on generating local leads.
• Your business aligns with the industries supported by LSA’s: We can run an eligibility check!
• You’re looking to build immediate trust with customers via Google Guaranteed.

Using Both Platforms Together

In many cases, our team recommends combining both platforms for the best results! For example:

• Use Google Ads to build brand awareness and drive general traffic to your website.
• Use Google Local Service Ads to capture high-intent local leads.

This dual approach allows you to cover a wide audience while also focusing on highly specific, conversion-ready customers.

Both Google Ads and Google Local Service Ads offer distinct advantages depending on your business goals and target audience. With our team’s help and by understanding their features, strengths, and limitations, you can make an informed decision to maximize your advertising!

Need help setting up your next ad campaign? Contact our team at Aaron Rich Marketing to create a tailored advertising strategy that truly drives results and gets potential clientele to your business. Let’s take your business to new heights!