Google LSA Vs. Google Ads: Key Differences and What’s Best for Your Business
What Are Google Ads?
Google ads is the paid advertising platform options given for business for creating ads that show up on top line of search results, for when potential customers find by any particular keywords. The ads usually appear above, or in between, the organic results, marked with a tiny “Ad” symbol to denote it from typical natural search results.
If Google Ads, you’re basically bidding on keywords related to your business. Take for instance a company that provides plumbing services and you have the same or similar keywords that people will search for, if they’re looking for a plumber near them or an emergency plumber. Your ad may show up at the Top of the Search results for when these terms are searched upon. Though paying to Google Ads is not a sure shot to land your website on number 1, it definitely increases your odds of being seen by more potential customers.
Google Ads is based on a PPC (pay per click) model. You are only responsible for paying when the user clicks your ad. While this can be a high volume way to drive traffic, it’s important to realize that not every click will result in a customer. You don’t want your advertising costs to increase merely because some clicks came from people who don’t convert.
What Are Local Services Ads (LSAs)?
One other form of paid advertising offered by Google are Local Services Ads, which are meant for local businesses only. While Google Ads is about advertising businesses to people that are searching services in general, LSAs are geared toward linking up businesses with customers who find services in a local area. Shown above regular search results, these ads appear in a small rectangular box with your business name, hours of business, and a location.
One of the differences with LSAs is they are meant to be building direct links between businesses and possible customers. Users aren’t just redirected to your website when they click on an LSA. However, instead, they can see more detailed information like your Google ratings, reviews, and contact info, all of which makes it even easier for them to get in touch with you. LSAs are perfect for businesses that need to attract new customers that are local based.
The Google Guarantee badge is a unique feature of LSAs. This badge is earned by businesses which have met certain qualifications and have passed a background check and provides an additional layer of trust and credibility to your business. This is a great feature that can help consumers believe in your business and wanting to choose your business over the other competitors.
Key Differences Between Google Ads and Local Services Ads
Differences between Google Ads and Local Services Ads
Google Ads and LSAs are both awesome for growing a business but they work completely differently.
Here’s a closer look at some of the most significant differences between the two:1. Pay Per Lead VS. Pay Per Click
How you pay for them is one of the biggest differences between Local Services Ads and Google Ads. With Google Ads, you have a pay per click (PPC) model and are charged each time someone clicks on your ads. This will send traffic to your website, but for those clicks, it doesn’t mean you’ll get leads or sales.
However, Local Services Ads run on the pay per lead (PPL) model. All you pay when a customer puts you into contact with you directly through the ad, either by calling you or by sending you a message. It can be more cost effective for the local business as it ensures you’re paying only for potential customers who are really interested in your services.
2. Positioning in Search Results
As Google Ads usually appear above organic listings at the top of the search results. While they may be visible but secondary to regular search results, they still leave a lot to be desired. Local Services Ads, however, are positioned prominently at the top of the page, ahead even of Google Ads. They have higher viewability and so are more likely to be seen and clicked by prospective customers.
LSAs stand out not only because of their position and prominence, but mostly because of them when users are searching for local services. It helps to establish your credibility and build trust, which can be the deciding factor when users are deciding between some of those other businesses, which have an LSA with a Google Guarantee badge.
3. Google Guarantee Badge
LSAs are Google Ads where they do something special and that’s distinct to them through the power of the Google Guarantee badge. If your business meets the requirements and is accepted into the Google Guarantee program, you’ll have this badge next to your name on search results so customers know that you’ve been approved by Google. This also helps boost consumer trust and provide your business a little more credibility.
However, unlike Google Ads, this feature isn’t currently available. It’s true, you could build your credibility with reviews and a properly designed website, but you’ll never have the offset of a Google backpadded seal of approval that LSAs include.
4. Keyword Research and Ad Copy
In Google Ads you are responsible of conducting a research and choosing what keywords to target. The ability to ‘choose the right keywords’ will play a vital role in your Google Ads success, as you will measure your success or failure by the traffic your Twitter accounts bring to your site. On top of that, you also have to come up with effective ad copy which entices users to click to your ad.
Google takes care of the keyword research for you when it comes to the LSAs. When you sign up for Local Services Ads, since you’ve already identified the services you offer for your business, Google automatically identifies the best keywords to rank with. And, you don’t have to write custom ad copy, as Google automatically pre fills the ad with your business name, hours, and phone number.
5. Ad Availability
However, Local Services Ads are only possible for certain types of businesses. If your business falls into one of the approved industries you could run LSAs. Eligible businesses include plumber, electrician, landscaper and cleaner. But if your company is not on this list, Google Ads is your second best ace in your sleeve.
6. Ad Performance and ROI
While both Google Ads and LSAs can provide a solid return on investment (ROI), the pay-per-lead model of LSAs typically offers a better ROI for local businesses. Since you only pay for actual leads, rather than clicks, LSAs allow you to target potential customers who are actively looking to hire a service provider, making the ad spend more efficient.
When Should You Use Google Ads or Local Services Ads?
Google Ads:
- If you’re looking to reach a wider audience, including people outside of your local area.
- If you’re targeting specific keywords that aren’t necessarily tied to local services.
- If you have the time and resources to manage keyword research and create compelling ad copy.
Local Services Ads:
- If you own a service-based business that operates within a specific geographic area.
- If you want to attract leads directly from the Google search results.
- If you’re looking to build trust and credibility with potential customers through the Google Guarantee badge.
Conclusion
Both Google Ads and Local Services Ads offer valuable benefits for businesses. However, LSAs are generally better suited for local businesses looking to target nearby customers and generate qualified leads. With a pay-per-lead model, higher placement in search results, and the Google Guarantee badge, LSAs provide an excellent opportunity for local business owners to gain trust and visibility.
Google Ads, on the other hand, may be more appropriate for businesses that want to expand their reach beyond their immediate geographic area or are targeting specific keywords.
Ultimately, the best advertising platform for your business depends on your goals, target audience, and resources. It’s worth considering both options and assessing which one offers the greatest potential for growth and profitability.
If you’re unsure which platform is best for you or need help optimizing your campaigns, reach out to a digital marketing professional who can guide you in the right direction.
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