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What Are Google Local Services Ads?


The Local Services Ads unit is shown at the top of Google Search results when people are searching for the services you offer in your area. These are very basic ads that include your NAP info (Name, Address, Phone number), review rating, Google Guaranteed badge, and business hours. In order to receive the “Google Guaranteed”  badge, your business must go through an application process including background checks, as well as business license and insurance checks. When seeing your ad, potential customers can either call you or send you a message request by clicking on your ad. When they do, you’ll get an email and notification from the Local Services ads app. From this point on, it is up to you to convert the lead into a customer.

Google Local Services Ads Example

The $2,000 Google Guarantee

When you become a Google Guaranteed business, Google will provide their users with an extra layer of protection. If your customers aren’t satisfied with your work quality, Google may refund up to the amount paid for jobs booked through Local Services ads, with a lifetime cap for coverage of $2,000.

Local Services Reviews

Another benefit of Google Local Services Ads is the review features. Google will automatically ask a booked lead for a review. You can also go into the app or desktop dashboard and ask for a review. Not only does this make your life easier and increase the chance of you getting a review, but the review itself becomes a Google verified review. The verified review is extra helpful for users looking for your service as well as it is helpful for Google to know how satisfied their users are with the business they are guaranteeing.

Google Local Services Ads App - Interface

Who Can Run Google Local Services Ads?

These ads are currently only available to some industries and in select cities across the United States.

Eligible Cities:

Google Local Services Ads Eligible Cities / Locations

Eligible Services:

Google Local Services Ads Eligible Services

How Do I Become Google Guaranteed?

To become a Google Guaranteed business you will need to complete their verification process. The verification process includes a Background Check of the business and the field workers. You will also have to submit proof of liability insurance and any other licenses or registrations the business holds.

Background check:

Background checks are required for the business owner(s) and field employees (including independent contractors and temporary workers). Office workers, customer support, etc. do not have to undergo a background check. They are conducted for free by Pinkerton, a third party service provided by Google. An authorized representative has to complete the background check for the business. That person will also give them a list of the company’s field workers will have to complete their own background check. Keep in mind, this is a very basic background check, checking the most serious offenses like sex offender- and terrorist registries.


Google Local Services Ads Background Check: Pinkerton - third party

Insurance & Licenses

– You will have to scan and upload proof of liability insurance.

–  You will also need to enter information about any licenses or registrations your business currently holds.

Local Services Ads: Insurance, License and registration details form

Google’s factors in Ad Ranking

  • – Your proximity to potential customers’ locations
  • – Your review rating and the number of reviews: Your business’ review rating is one of the key factors for ranking in Google Local Services Ads. 
  • – Your responsiveness to customer inquiries and requests: Respond to all messages in a timely manner, even to invalid leads or leads you end up declining. If you fail to respond to messages or have a lot of delays in your answers, Google will drop you in the rankings and remove the option to send message requests to your business.
  • – Your business hours
  • – Whether or not Google has received serious or repeated complaints about your business

How/When You Are Charged

One of the great benefits of Google Local Service Ads is you only pay per lead. You set your average weekly budget, Google gets you the leads, and then you pay for them. The cost varies depending on what city you’re located in and what services you provide. You will receive a monthly itemized invoice, so there is no need to pay up front.

What Is A Valid Lead?

  •  Receive a text message or email from the customer.
  •  Receive a voicemail from the customer.
  •  Answer a phone call and speak with the customer.
  •  Receive a missed call (without a voicemail), and you return the customer’s message with a text message, email or call where you either speak with the customer or leave a voicemail.

What types of charged leads are eligible for a credit

If you receive an invalid charge, you can dispute the charges. For example: if you’re charged for a lead that is a sales call or someone enquiring about a service you don’t offer.

Types of charged leads are eligible for a credit:

  •  Requested job isn’t listed on your profile.
  •  Customer’s location isn’t listed on your profile.
  •  Not a customer (for example a wrong number, sales call or other solicitation).
  •  Not a human (spam or bot).
  •  You were charged twice for the same customer lead within 15 days.
  •  You didn’t have a conversation with a customer and you had no way to contact them. For example, you receive a message lead where the customer’s email is invalid or a phone lead with no caller ID.

Do you recommend Local Services Ads?

Local Services Ads could be a great profit-generator for your business, and at the very least you will have a Google Guaranteed badge which is valuable in itself. Once you have gone through the processes to be approved by Google, the Local Servies Ads do not require nearly as much maintenance as an AdWords campaign or most forms of PPC advertising. If your business falls into one of the categories of services and you are located in one of the available locations, it is definitely worth testing out.

Do you have an itch to get started with Local Services Ads? Feel free to reach out for a free consultation!

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