Google Guaranteed and Local Services Ads: Leads, Badges and Budget

Google Local Services Ads, the listings with a Google Guaranteed or Google Screened badge, can appear above the regular ads on some local searches, such as a homeowner looking for a plumber. Each one shows your business name, star rating, hours and service area, with a button to call or send a message. People can compare a few providers without leaving the results page.

They work differently from a Google Search campaign. In Search you pick keywords, write ads, pay for clicks and send people to your website. Here you choose the job types and areas you serve, Google matches you to searches, and you pay when someone contacts you. There are no keywords to manage and little ad copy, but you also get less control over where you appear.

If you need customers this week, be realistic about timing. Once an account is verified, leads can start quickly. Getting verified is the slow part, because documents, checks and reviews by Google take time and the pace varies. A Search campaign can usually go live sooner, so many businesses run one while verification is under way.

You are charged for leads rather than for impressions or clicks. A lead is usually a phone call made through the ad, a message, or a booking request in categories that support booking. Google decides which contacts count as chargeable leads under its own rules, and those rules differ by category and change from time to time, so read the current version in your account.

The price of each lead is set in an auction and varies with your trade, your area and the type of job. You set a budget, and many accounts can choose between letting Google bid for as many leads as possible or capping what you will pay per lead. A higher cap can win more leads, while a very low one can leave you out of busy searches.

• Select only the job types you want, so you are not paying for work you turn down
• Draw your service area around the places your team really travels to
• Keep business hours accurate, since calls outside them may go unanswered
• Choose a bidding option you will review every week

Before your ad runs, Google screens the business. Depending on the category and country, that can include background checks on the owner or the staff who visit customers, proof of any licence your trade needs in your province, proof of insurance and confirmation that the business is registered. A third-party partner often runs the background checks. Expect to upload documents and to answer follow-up questions.

Which badge you can earn depends on your service category and country. Many home-service trades can earn Google Guaranteed, while many professional services get Google Screened instead. Either badge shows that the business passed Google’s checks; it is not a promise of results from you or from Google. What each badge covers has changed over time, so read the current terms in your account. Keep licences and insurance current, and add new field staff when asked, so the ad keeps running.

Budget is only part of ranking. Google describes factors such as how close you are to the customer, your review rating and number of reviews, how quickly you respond to calls and messages, your business hours and whether there have been serious complaints. A business that answers fast and keeps a steady flow of reviews can show more often than one that only raises its budget.

In many accounts, reviews from your Google Business Profile also appear on the ad, so a simple habit of asking every satisfied customer helps both. Reply to reviews, good and bad, in a calm and specific way. Never pay for reviews or ask only the customers you expect to be happy, since both break Google’s policies and can put the listing at risk.

Answering matters most. Missed calls and slow replies to messages are leads you may still pay for, and they can lower your ranking. If your team is on job sites all day, forward calls to someone who can pick up, or limit your ad hours to the times you can answer.

Some leads will not be real customers. Google lets you dispute leads that fall outside its rules, and it may credit them after a review. What qualifies, and how long you have to raise a dispute, both change, so check your lead list every few days rather than once a month. Rating leads in the account as you go also keeps your records honest.

Then follow each genuine lead through to a booked job and the value of that job. That tells you the real cost of a customer from Local Services Ads, which is the number to compare with Search campaigns, referrals and every other channel you pay for. A low lead price means little if few of those leads ever book.

• Wrong numbers and spam calls
• Sales pitches and job seekers
• Requests for services you do not offer
• Customers outside your service area

Where Local Services Ads may go next

Google has added categories, countries and features to Local Services Ads over the years, and it may keep adjusting them. Bidding and lead matching are increasingly automated, which may leave owners with fewer settings to change. Whatever shifts, the businesses that do well are likely to be the ones that stay verified, answer every lead quickly and keep reviews coming in.

1. 01More categories and regions may become eligible
2. 02Lead matching that is increasingly automated
3. 03Response speed and reviews that may carry more weight

Questions & answers