Local Service Ads vs Google Ads: Which Campaign is Better for Your Business

Unlock the potential of your business with our comprehensive comparison of Local Service Ads vs Google Ads. Find out which campaign suits your needs best, as we delve into the nuances, benefits, and performance metrics.

Blog Author
Saloni Singh

Nov 20, 2023

Choosing the right paid search advertising strategy for your local business can be a make-or-break decision. With an ad type available, understanding where to allocate your advertising budget is a critical task. Among the options, two standout choices for local businesses are Google Ads and Local Service Ads. These platforms offer distinct advantages, and making the right choice can significantly impact your business's visibility and profitability.

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Google Ads

Google Ads is a powerful online advertising platform that allows businesses to display their ads on Google's search engine results pages, as well as on various partner websites and apps. Advertisers place bids on particular keywords, and relevant adverts show up when users search for those terms. These ads can be in text, image, or video format. Advertisers pay on a (CPC) basis, meaning they only pay when someone clicks on their ad.

Google Ads offers a wide range of targeting options, allowing businesses to reach their desired audience effectively with optimized ROAS. It's a flexible and data-driven advertising solution that can drive traffic, leads, and conversions for businesses.

Local Ads

Local ads, often referred to as "Local Service Ads" on platforms like Google, are a type of online advertising specifically designed to connect local businesses with nearby customers. These ads are highly localized and focus on promoting services such as home repairs, plumbing, electricians, and other services that consumers often seek within their immediate geographic area.

Local ads typically include essential business information, like the company's name, phone number, location, and customer reviews, making it easier for local customers to find and contact businesses that can meet their specific needs quickly. These ads are a powerful tool for boosting the visibility of local businesses in search results, opined a PPC service provider in Bangalore - Webomindapps.

How Local service ads and Google ads differ from each other

Local Service Ads and Google Ads are two distinct advertising platforms offered by Google, each with its own features and targeting options.

Key differences:

Service Type:

Local Service Ads: Primarily designed for local service-based businesses like plumbers, electricians, cleaners, and locksmiths.

Google Ads: Offers a broader range of ad types for businesses in various industries, including local businesses.

Pay-Per-Lead vs. Pay-Per-Click:

Local Service Ads: Businesses are charged on a per-lead basis. You pay when a potential customer contacts you through the ad.

Google Ads: Uses a pay-per-click model where you pay each time someone clicks on your ad, regardless of whether they convert.

Ad Format:

Local Service Ads: Appear at the top of search results with a distinctive format showing the business's name, reviews, phone number, and hours of operation.

Google Ads: Appear within search results but with more flexibility in ad formats, including text ads, shopping ads, display ads, and video ads.

Local Availability:

Local Service Ads: Focused on serving local customers and requiring verification of your service area.

Google Ads: This can target a wider or more specific geographic area, depending on your business goals.

Simplified Management:

Local Service Ads: It Provides a simplified platform with less control but easier management, making it accessible for businesses with limited advertising experience.

Google Ads: Offers a more complex advertising platform with extensive customization options, making it suitable for businesses with varying experience levels.

Budget Flexibility:

Local Service Ads: It has specific weekly budget requirements, which may vary by location and service type.

Google Ads: It allows more control over daily and monthly budgets, with a variety of bidding strategies.

Google Local Service Ads Cost:

Google Local Service Ads operates on a pay-per-lead model, which means you only pay when a potential customer contacts you through the ad. The cost per lead can vary significantly depending on factors like your industry, location, and competition.

Local Service Ads vs. Google Ads: Pros and Cons

Local Service Ads:


Pay-Per-Lead: You only pay when someone contacts you, making it cost-effective.

Easy Setup: Quick and straightforward ad creation and verification process.

Mobile-Friendly: Ideal for local service providers as it caters to mobile users.


Limited Ad Copy Control: Less flexibility in ad creation compared to Google Ads.

Fewer Targeting Options: Ads target specific services and areas but not keywords.

Google Ads:


Full Control: You have complete control over ad creation, keywords, and targeting.

Keyword Targeting: Reach a broader audience based on keywords.

Ad Extensions: Customize ads with site links, phone numbers, and more.


Higher Costs: Depending on your industry, Google Ads can be more expensive.

Competition: The auction system can be competitive, driving up costs.

Local Service Ads Categories:

Local Service Ads cover a wide range of service categories, including but not limited to:

Home Services: Plumbing, electrical, HVAC, roofing, etc.

Professional Services: Lawyers, accountants, financial advisors, etc.

Health and Wellness: Doctors, dentists, fitness trainers, etc.

Home Improvement: Contractors, painters, remodelers, etc.

Auto Services: Mechanics, auto repair shops, towing services, etc.

Cleaning Services: House cleaning, carpet cleaning, etc.


The choice between Local Service Ads and Google Ads depends on your business goals and budget. Local Service Ads offer a cost-effective way to generate leads, particularly for service-oriented businesses, with the added benefit of the Google Guarantee. On the other hand, Google Ads provide more control and versatility in reaching a broader audience. Understanding the unique advantages and limitations of each platform will help you make an informed decision to enhance your online presence and achieve your business objectives.