Many contracting businesses don't know about this, and they really—REALLY should.
Google first introduced this feature back in 2017, nearly a decade ago, after spending roughly two years testing and refining it.
The rollout was a success, and today it has become one of the most powerful lead-generation channels available to small and medium-sized local service businesses.
This one is especially relevant for local service professionals.
Traditional Google Ads can be incredibly powerful, but they're also competitive.
You need to write good ad copy, set up your campaigns correctly, monitor performance, optimize keywords, and continuously refine the account.
On top of that, you're usually paying per click—not per lead.
That means if your landing page isn't converting, you can easily spend a significant amount of money on clicks without generating many actual leads.
And unfortunately, that's a reality many businesses experience.
But what if I told you there's a way for small and medium-sized local businesses to bypass a lot of that complexity?
What if you could appear at the very top of Google, pay for leads instead of clicks, and let Google handle much of the heavy lifting for you?
Have a look at the picture attached.
This is an example search I performed in Decatur, GA.
Take a look at the top two results.
You'll notice something interesting right away.
These businesses aren't appearing through traditional Google Ads.
They're showing through Google's Local Services Ads (LSA) platform, which sits above the regular search ads and organic results.
This is what's called LSA (Local Services Ads).
It's connected to your Google Business Profile
(formerly Google My Business), which you're probably already familiar with through Google Maps.
LSAs are displayed in a way that allows searchers to either call the business directly or send a message with just a few clicks.
One of the major advantages is that you don't need a dedicated landing page to generate leads.
But the real kicker is in the pricing model.
LSA is a pay-per-lead program.
You don't pay for clicks and then hope those clicks turn into leads.
Instead, you pay when a potential customer contacts your business through the platform, either by calling or sending a message.
This removes a lot of the risk associated with traditional Google Ads, where it's entirely possible to spend money on clicks that never turn into actual inquiries.
Who Is It Good For?
LSA is particularly effective for businesses that have already built up a solid online reputation through Google reviews and have completed Google's verification process.
In other words, if you're an established local business with a legitimate presence in your market, LSA can be an excellent lead generation channel.
There is, however, one important caveat.
Unlike traditional Google Ads, where you have a high degree of control over keywords, search terms, ad copy, and campaign structure, LSA works differently.
You don't really control the keyword-to-search matching process in the same way.
Google largely decides when and where to show your listing based on factors such as your service categories, location, reviews, business profile, responsiveness, and other trust signals.
This means you gain simplicity and lower risk, but you also give up some of the control that traditional Google Ads advertisers are used to having.
To sum it up, LSA is used by many different types of local businesses, including contractors, real estate professionals, lawyers, plumbers, electricians, HVAC companies, and many others.
Yet despite being around for years and generating leads for countless businesses, a surprisingly large number of business owners who could benefit from it the most still don't know it exists.
And that's a shame.
Because for the right business, LSA can be one of the simplest and most cost-effective ways to generate local leads without dealing with much of the complexity that comes with traditional Google Ads.