[{"@context":"https:\/\/schema.org\/","@type":"BlogPosting","@id":"https:\/\/aokmarketing.com\/google-local-services-ads-pay-per-lead-not-pay-per-click\/#BlogPosting","mainEntityOfPage":"https:\/\/aokmarketing.com\/google-local-services-ads-pay-per-lead-not-pay-per-click\/","headline":"Google Local Services Ads &#8211; Pay Per Lead &#8211; Not Pay Per Click","name":"Google Local Services Ads &#8211; Pay Per Lead &#8211; Not Pay Per Click","description":"Book Local Jobs And Grow Your Business Are Google Local Services Ads new to you?\u00a0 Launched in 2017 in the US, and late 2018 in Canada, the ad platform is completely separate from the Google Ads (formerly Google AdWords) platform complete with it&#8217;s own set of bidding, targeting and ad rank criteria. We&#8217;ve all seen &hellip; <a href=\"https:\/\/aokmarketing.com\/google-local-services-ads-pay-per-lead-not-pay-per-click\/\" class=\"more-link\">Continue reading <span class=\"screen-reader-text\">Google Local Services Ads &#8211; Pay Per Lead &#8211; Not Pay Per Click<\/span><\/a>","datePublished":"2019-11-04","dateModified":"2026-04-16","author":{"@type":"Person","@id":"https:\/\/aokmarketing.com\/author\/jana-legaspi\/#Person","name":"Jana Legaspi","url":"https:\/\/aokmarketing.com\/author\/jana-legaspi\/","identifier":8,"image":{"@type":"ImageObject","@id":"https:\/\/secure.gravatar.com\/avatar\/ba3039ce7c5eedb92f315518b69aea1d90d5c2076ce893d078c6f29cf6ddd032?s=96&r=g","url":"https:\/\/secure.gravatar.com\/avatar\/ba3039ce7c5eedb92f315518b69aea1d90d5c2076ce893d078c6f29cf6ddd032?s=96&r=g","height":96,"width":96}},"publisher":{"@type":"Organization","name":"AOK Marketing","logo":{"@type":"ImageObject","@id":"https:\/\/aokmarketing.com\/wp-content\/uploads\/2025\/07\/AOK-Marketing-Logo.png","url":"https:\/\/aokmarketing.com\/wp-content\/uploads\/2025\/07\/AOK-Marketing-Logo.png","width":126,"height":53}},"image":{"@type":"ImageObject","@id":"https:\/\/aokmarketing.com\/wp-content\/uploads\/2019\/11\/Google-Guaranteed.jpg","url":"https:\/\/aokmarketing.com\/wp-content\/uploads\/2019\/11\/Google-Guaranteed.jpg","height":223,"width":440},"url":"https:\/\/aokmarketing.com\/google-local-services-ads-pay-per-lead-not-pay-per-click\/","about":["PPC - Pay Per Click Marketing","Adwords","Local Marketing","Local Marketing and Reputation Management"],"wordCount":1419,"keywords":["Google Ads"],"articleBody":"Book Local Jobs And Grow Your BusinessAre Google Local Services Ads new to you?\u00a0 Launched in 2017 in the US, and late 2018 in Canada, the ad platform is completely separate from the Google Ads (formerly Google AdWords) platform complete with it&#8217;s own set of bidding, targeting and ad rank criteria.We&#8217;ve all seen the Google Ads above organic search results, but these ads show up ABOVE the regular pay per click (PPC) Google Ads on the search results page.\u00a0 Because these show for local results, this means they push down the organic search results into 4th place.In the sales material from Google &#8211; they don&#8217;t hide that fact, they feature it!\u00a0\u00a0Benefits of Local Services ads:\u00a0Get seen at the top of Google.&nbsp;How Do Local Services Ads Impact Search Results?Let&#8217;s say you search for &#8216;Plumbers Dallas&#8217;First place: Google Local Services Ads (below &#8211; under the &#8220;Google Guaranteed&#8221; text)Second place: Google AdsThird Place: The Local Search results pack, including maps and local search results.Fourth Place: Organic Results.&nbsp;So why have yet another format of ads, above the ads, above the local results, above the organic results?\u00a0 One of the reasons is fraud.Did you know that one of the biggest online scams is perpetrated by so-called locksmiths? Google knows, and the issues are finally being taken seriously.Google is concerned about people getting great service from the providers they find on Google.\u00a0\u00a0In fact, there are entire websites like Angie&#8217;s List, Houzz, and Homestars that have made a great business of servicing the local marketplace.Wherever there is a hole in the market, you know Google is going to try to plug it.&nbsp;The Google GuaranteeSo Google came out with the Google Guarantee badge program.\u00a0 The badge is available for businesses that pass a Google screening and qualification process through Google Local Services.If you\u2019re backed by the Google Guarantee, and your customers (that came to your business through Google) aren\u2019t satisfied with work quality, Google may refund\u00a0the amount paid for the service. The following are the upper limits of lifetime coverage for claims:United States: $2,000Canada: CAD $2,000What it covers:The Google Guarantee covers claims up to the amount on the job invoice up to the lifetime cap for coverage.Services must be booked through Google Local Services. The Google Guarantee doesn\u2019t cover add-on or future projects, damages to property, dissatisfaction with price or provider responsiveness,\u00a0or cancellations.&nbsp;Google ScreenedA newer offering from Google is being Google Screened.\u00a0 Google Screened provides consumers added protection since all firms that have the Google Screened badge must pass a business-level background and a business-owner background check. Additionally, each professional in the business must pass a license check and the business overall must have a 3.0 star rating or higher.On Local Service listings, you will see the Google Screened icon next to these businesses.As this point only firms that provide professional services including Law, Financial Planning, and Real Estate are eligible for the Google Screened badge.What About Google Assistant?With a growing presence in the home market, if you\u2019re Google Guaranteed, you may also be listed as a local provider on the Assistant.\u00a0You won\u2019t pay for this service and it could be a real game-changer for you.&nbsp;Google Local Services Ads ProfileWhen you sign up for Local Services ads, Google will ask you to provide your business information, such as\u00a0your business hours, service area, and services offered. This information is\u00a0used to generate your business profile.Your ad will show a preview of your business profile. When users click on your ad, they\u2019ll see your profile.Who&#8217;s Eligible to run Local Services Ads?According to Google, only pre-screened local providers in most major markets which include the following:In the US:\u00a0Appliance Repair ServiceAuto Service TechnicianCarpet CleanerElectricianEstate LawyerEvent PlannerFinancial PlannerGarage Door ProHVAC ProHouse CleanerImmigration LawyerJunk Removal ProviderLawn Care ProviderLocksmithMoverPest Control TechnicianPet Care ProviderPet GroomerPhotographerPlumberReal Estate AgentRooferTree Service ProviderTutorWater Damage Service ProviderWindow CleanerWindow Service Provider&nbsp;In Canada:The Canadian market is limited at the moment to only the four following categories:ElectricianHVAC ProLocksmithPlumber&nbsp;Local Services Ad Targeting:To have effective ad reach, when you are setting up your local services listing, you can set the service areas and service types to determine where your Local Services ads can appear and what types of searches can make your ad appear.&nbsp;When Do Ads Show?You can define the services you\u2019d like to advertise by choosing from a list of potential services\u00a0(such as \u201cinstall shower\u201d) for each business category. When people search for phrases related to these services, your ads will be eligible to appear.Your ad will also be eligible to appear if someone searches for general categories related to your business (for example, \u201cplumber\u201d). In some cases, your ad will only appear for general category searches if you offer common services for your category.&nbsp;Where Do Ads Show?You can set your service area by choosing cities and postal codes where you would like your ad to show. When you add a geographic area (for example, the city of San Francisco) to your service area, your ads will be shown to that area in two ways:Estimated location of person at time of search and names of locations in searches.When you add a particular city to your service area, your ad can show to people in both of the categories listed above (people estimated to be located in the city you added, as well as people who show an interest in that city by their search terms).&nbsp;You Can Even Reach Users in Specific Postal Codes By Excluding Unwanted AreasYou can also exclude postal areas within a city where you provide services by deselecting them from the list of postal codes assigned to that city. For example, if you want to exclude 3 postal codes in the northernmost section of San Francisco from your San Francisco service area, you can deselect those 3 postal codes. If you do, your ads won\u2019t show to people who are estimated to be located within those postal codes. Your ads also won\u2019t show to people who show an interest in those areas based on their search terms.&nbsp;Local Service Ad Rankings:All provider ads are displayed and ranked based on a number of factors that help Google match service providers to consumers.\u00a0\u00a0Factors that can affect your ranking within the Local Services unit\u00a0include:Your review score and the number of reviews you receiveYour responsiveness to customer\u00a0inquiries and requestsYour proximity to potential customers&#8217; locationsYour business hoursWhether or not Google has received serious or repeated complaints about your business&nbsp;How Does Google Spend Your Budget?In addition to these ranking factors, Google will attempt to spread out the leads you receive over time. This is to prevent you from spending your entire budget early in the budget period. If your ad is generating leads more quickly than your budget can accommodate, you may see your ranking affected or your ad paused temporarily in order to more evenly spread out your leads.&nbsp;Local Services Reviews Are Important!Your star rating and number of reviews affect how your business is ranked within the Local Services results. Providers with higher star ratings and more reviews stand out and typically book more jobs through Local Services ads.&nbsp;How Much Does A Lead Through Local Services Ads Cost?When I contacted Google on November 4, 2019 here are the costs per call:HVAC &#8211; $30 per callPlumber &#8211; $30 per callLocksmith &#8211; $14 per callElectrician &#8211; $20\u00a0per callThe costs will vary over time based on geography, seasonality, competition and the success of the program.\u00a0 If lots of people are getting great leads, it&#8217;s going to get more expensive.\u00a0 That&#8217;s just the way it is.&nbsp;Google Ads vs. Google Local Services AdsLocal services ads are for you if you want to connect with potential customers who are searching for services you provide and are most likely to book, and if you only want to pay for leads related to your business and the services you offer.For everything else, there&#8217;s Google Ads (and Microsoft Ads, and Facebook Ads&#8230;)"},{"@context":"https:\/\/schema.org\/","@type":"BreadcrumbList","itemListElement":[{"@type":"ListItem","position":1,"name":"Google Local Services Ads &#8211; Pay Per Lead &#8211; Not Pay Per Click","item":"https:\/\/aokmarketing.com\/google-local-services-ads-pay-per-lead-not-pay-per-click\/#breadcrumbitem"}]}]