Google Local Service Ads, often called LSAs, show your business at the very top of Google search results, above regular ads and above the map. You only pay when a potential customer calls or messages you directly through the ad. To run them, you need to pass a background check and earn a Google Guaranteed or Google Screened badge.
What Local Service Ads Look Like
When a homeowner searches something like "plumber near me" or "roof repair in Dallas," the first thing they see is a row of small boxes. Each box shows a business name, a star rating, the number of reviews, a phone number, and a green badge. Those boxes are Local Service Ads. They appear before everything else on the page. That position matters because many people call the first name they see and never scroll further.
The Google Guaranteed and Google Screened Badges
Most trade contractors, such as roofers, plumbers, electricians, HVAC techs, and general contractors, qualify for the Google Guaranteed badge. Professional service businesses like lawyers or financial advisors usually get the Google Screened badge instead. The badge tells homeowners that Google has checked your business out. If a customer is unhappy with work booked through an LSA, Google may refund them up to a lifetime cap. That protection makes homeowners more willing to call you over a stranger.
How to Qualify and Get the Badge
Google runs you through a verification process before your ads go live. The steps are not hard, but they take time. Here is what you need to prepare.
- A valid business license for your trade and your service area.
- Proof of general liability insurance that meets Google's minimum coverage amounts.
- A background check on the business owner. Larger companies may need checks on technicians too.
- A Google Business Profile that matches the information on your application.
- At least a few Google reviews. More reviews help your ad show more often.
The verification can take a few days to a few weeks. Google uses a third-party company to handle the background checks. Once you are approved, your badge appears on the ad automatically.
What Local Service Ads Cost
LSAs use a pay-per-lead model. You do not pay for clicks. You pay when someone contacts you through the ad, either by calling or by sending a message. Google sets a price for each lead based on your trade and your market. A lead for a basic plumbing call in a small town costs less than a lead for HVAC installation in a major city. The table below shows how LSAs compare to a few other common ways contractors spend money to get leads.
| Method | What you pay for | Lead quality | You own the lead? |
|---|---|---|---|
| Google Local Service Ads | Each call or message | High, person searched and called you | Yes |
| Google Search Ads | Each click to your site | Good, depends on your page | Yes |
| Angi or HomeAdvisor | Each lead, often shared with competitors | Varies, can be shared | No |
| Thumbtack | Each connection or lead | Varies, often shared | No |
| Organic search (SEO) | Time and ongoing work | High over time | Yes |
You set a weekly budget in your LSA dashboard. Google tries to stay within that number. If a week runs over, Google adjusts the next week. You can dispute a lead if it was a wrong number, a duplicate, or outside your service area. Google will credit you for leads that clearly should not count.
How Google Decides Which Ads to Show
Google does not show every approved contractor every time someone searches. It ranks LSA ads based on a few things.
- Your review score and the number of reviews you have.
- How quickly and consistently you respond to leads.
- Whether your business is open at the time of the search.
- Your proximity to the person searching.
- Your bid, meaning how much you are willing to pay per lead.
This means that responding fast matters a lot. If you are on a roof and miss a call, the lead may call the next name on the list. If you miss leads often, your ad ranking can drop. That is a real cost that does not show up on your bill.
Tips to Get More Out of Your LSA Budget
Getting approved is only the start. Here is how contractors tend to get better results once their ads are live.
- Ask every happy customer to leave a Google review. More reviews push your ad higher. A system that asks automatically after every job works better than remembering to ask yourself.
- Answer every call. If you cannot answer, call back within minutes. Speed matters more in LSAs than in almost any other channel.
- Keep your profile updated with the exact services you want leads for. If you do not want drain cleaning jobs, turn that category off.
- Dispute bad leads right away. Do not let junk leads drain your budget.
- Run LSAs alongside your regular Google Search Ads and your organic search work. Each channel supports the others.
- Check your weekly report to see which job types are converting. Raise your budget on the ones that make you the most money.
When LSAs Make Sense and When They Do Not
LSAs work well when homeowners are already searching for what you do. Emergency calls, seasonal work like AC tune-ups before summer, and common repairs are a good fit. LSAs are less useful for very niche commercial work where buyers do not search on Google the same way homeowners do. They are also less useful if you are not able to answer calls consistently. A missed call in an LSA is money gone. If your front office or your phone situation is not set up to handle incoming calls quickly, fix that first.
LSAs are also not the only thing you need. A homeowner might see your LSA ad, then look up your name to check your website and reviews before calling. If your website looks bad or your reviews are thin, you lose leads that your ad budget already paid for. Learn more about building that foundation.
Questions Contractors Ask
- Do I need a website to run Local Service Ads? No, Google does not require a website to run LSAs. But homeowners often search your business name after seeing your ad, so a solid website helps you close those leads.
- Can I pause my LSAs in slow season? Yes. You can pause your ads any time inside your LSA dashboard and turn them back on when you are ready for more calls.
- What if I get a spam call through my LSA? You can dispute the lead in your dashboard. Google reviews disputes and credits your account for leads that clearly do not count.
- Will my LSA ad show up everywhere in my city? Google shows your ad to people searching in your selected service area. Distance, availability, and your ranking factors all affect exactly when and where it appears.
- Is the Google Guaranteed badge the same as being bonded or insured? No. The badge means Google has verified your license, insurance, and background check. It is not a substitute for your own coverage.
How Bricked Up Systems Can Help
If you want someone to manage your Local Service Ads for you, Bricked Up Systems offers LSA management as a standalone service starting at $297 a month. Ad spend is paid directly to Google, separate from the management fee. The core plan at the same price also includes a full lead-generating website, local SEO, Google Business Profile work, automated review requests after every job, missed-call text back, and a CRM to track every lead so none fall through the cracks. You can see everything that is included or get a free audit of your current online presence to find out where you are leaving leads behind.