Google’s ad format for home service providers, called Local Service Ads (LSAs for short), is a must-have for contractors serious about dominating their local market.
These ads are a proven way to attract a consistent flow of high-quality leads, with some of our clients seeing their monthly lead volume increase by as much as 50% after implementing LSAs. Unlike traditional pay-per-click, this powerful acquisition system allows you to pay for leads, not clicks. This means you only pay when a customer calls your business or sends a booking request.
However, LSAs are not an easy fix. Like any advertising channel, you are still competing with other contractors. To make the most of them, you need to understand the key factors that determine which ads are shown and how to ensure your business stands out.

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What are local service ads?
Local Service Ads are a Google ad type created specifically for home service and home improvement providers. When a user searches for a service, up to three LSAs appear at the very top of the search results page in a card-like format.
Because they sit above all other search results, LSAs take up a prime piece of digital real estate, making them an essential part of any contractor marketing strategy.

To earn a spot in the LSA section, your business must first go through a thorough screening process conducted by Google.
This is to ensure every business is legitimate and trustworthy. The process varies by business type and location and may include background checks, business registration, and license and insurance verification.

Source: techjury
These checks are a huge benefit to you, as they help your business earn the coveted Google Guaranteed badge, which builds immediate trust with potential customers.
Getting Started: Activating Local Service Ads
To get your business up and running on Local Service Ads, you’ll need to set up and verify your profile with Google. Here are the steps provided by Google to get started:

The 5 Essential Factors for LSA Ranking
Just like with a traditional PPC campaign, you are competing with other advertisers for the top local service ad spots.
Here’s what Google looks at when determining which ads to display, and how you can ensure your business appears at the top.
1. Your Customer Reviews and Star Rating
This is the most critical factor in outranking your competitors with LSAs. Having a high volume of positive reviews is non-negotiable for success.
A Google representative has even stated that you need an average star rating of 4.8 to be considered among the top results. The more 5-star reviews you collect, the more exposure you’ll earn through your ads, which will lead to more leads for your business.
Our Advice: Prioritize engagement and communication with your clients to turn homeowners into raving fans. Consider training your staff to ask for a review after every completed job.
2. Your proximity to potential customers’ location
Google will take into account how close your business is to the potential customer’s location.
This is a win-win for both homeowners and contractors: homeowners can work with a local business, and you can book jobs closer to your home base, reducing travel time and costs.

Source : NiceJob
The highlights: Your physical address will determine how “proximity” comes into play when ranking your local service ads. So there’s not much you can do.
Our advice: If you really want to increase your chances of getting ranked, do your best to become part of the Map Pack. The Map Pack is Google’s roundup of the most relevant services based on location and keyword queries.
3. Responsiveness to Inquiries
Your level of responsiveness to new leads is a key factor in your ad rank.
Google wants contractors to respond in a timely manner to provide a great user experience.
Even if a lead is of low quality, you should still respond quickly so that your ad rank doesn’t take a hit.
In fact, businesses with a professional follow-up strategy can increase their closing rates by up to 10%. Developing an automated follow-up process can also help you manage this effectively.
4. Business Hours and Availability
Businesses that are willing to answer calls and deal with inquiries 24/7 are often given priority over those with more restricted schedules.
Your ads will only be displayed during the business hours you select when setting up your account. If you can stretch your office hours or arrange to have a representative answer calls late into the evening, it can have a positive impact on your ad rank and help you generate more leads.

5. Your Reputation and Public Relations
Google wants to ensure that the businesses it recommends to its users are legitimate and offer great service. If too many homeowners complain to Google about their experience with you, your ad rank will take a serious hit.

Source: Hubspot
The best solution is to be proactive and ensure every customer is satisfied with your work. While one complaint is not cause for concern, repeated negative feedback can increase your chances of having your LSA privileges revoked.
Conclusion: The Bottom Line for Contractors
Local Service Ads are a great addition to any contractor PPC strategy. Even though they require some paperwork and background checks upfront, their return is more than worth it.
By keeping these 5 factors in mind and putting your best foot forward, you are already lightyears ahead of other contractors in your area. This will ultimately pay off in the form of more, better-quality leads for your contracting business, helping you scale for success.
Want To Know More?
Explore other ways you can make it to Google’s top spot with our Guide to Building a Contractor Empire with Ads.







