Using Google Ads is one of the most effective ways for small local service businesses to generate leads, increase visibility, and grow their customer base. However, not all types of Google Ads are created equal—some are better suited for service businesses than others. Choosing the right type of ad can mean the difference between a thriving campaign and wasted ad spend.
At Kite Media, our PPC team specializes in running high-performing Google Ads campaigns tailored to local service businesses, in addition to complementary services like search engine optimization. In this article, we’ll break down the different types of Google Ads, explain which ones work best for local services, and talk about how Kite Media can help you utilize Google Ads for more leads.
Understanding the Different Types of Google Ads
Before diving into which ad types are best for local service businesses, let’s briefly go over the main types of Google Ads and their purposes.
Search Ads
These are text-based ads that appear at the top (and/or bottom) of Google search results when users search for specific keywords, such as “dumper rental Denver”. Since these ads can target people actively looking for services, they can be highly effective for driving leads.
Local Services Ads (LSAs)
LSAs are pay-per-lead ads designed specifically for service-based businesses like plumbers, electricians, carpet cleaners, and landscapers. These ads appear at the very top of Google search results, above traditional search ads. Businesses must pass a verification process to be "Google Guaranteed," which builds trust with potential customers.
Performance Max Ads
This AI-powered campaign type uses AI to run ads across Search, Maps, YouTube, Gmail and display, all in one campaign. Performance Max can work well, especially when paired with strong conversion tracking and quality creative assets. However, for most small, service-based businesses, it should support your strategy, not replace highly targeted Search campaigns.
Display Ads
These are visual banner-style ads that appear across Google’s Display Network, including websites, YouTube, and Gmail. While they’re great for brand awareness, they don’t typically generate direct leads as effectively as search-based ads.
Shopping Ads
Shopping ads display product images, prices, and store names in Google search results. These are best for e-commerce businesses and are not relevant for local service providers.
YouTube Ads
These video ads play before, during, or after YouTube videos. While YouTube Ads can help with brand awareness, they’re less effective at driving immediate leads for service-based businesses.
The Best Google Ads for Local Service Businesses
Search Ads
Search ads are often the most effective type of Google Ads for local service businesses because they target people who are actively searching for a service. For example, when someone searches “carpet cleaning in New York” or “dumpster rental in Cincinnati,” a well-optimized search ad can help ensure a business appears at the top of the results.
Google Maps Ads are a type of Search Ad that appears in the Google Maps interface, helping businesses stand out in local searches. Many local service businesses rely on Google Maps to generate leads. Google Ads on Maps can help ensure that a business appears at the top of local search results when potential customers look for services nearby.
Why Search Ads Work Well for Local Services:
- They target customers who are already searching for your service.
- You only pay when someone clicks on your ad.
- Campaigns can be optimized for specific services and service areas.
- They offer detailed performance tracking to measure ROI.
Local Services Ads
These ads take it a step further by displaying businesses at the very top of Google search results with a "Google Guaranteed" badge, which can help instill trust in a business. Because LSAs operate on a pay-per-lead model (instead of pay-per-click), they can be a cost-effective way to generate direct leads.
Why These Ads Are Ideal for Local Businesses:
- They increase visibility for local searches.
- LSAs and the Google Guaranteed badge provide an extra layer of trust with Google’s verification process.
- They generate high-quality leads from people in your service area.
Performance Max Ads
Performance Max campaigns can also be a strong addition to a local service business’s strategy when used correctly. Because Performance Max runs across multiple Google platforms (Search, Maps, Display, YouTube, and Gmail), it allows businesses to expand their reach beyond traditional keyword targeting while still optimizing for conversions. That said, Performance Max works best as a complement to Search and Local Services Ads, not a replacement. Because it relies heavily on automation and machine learning, it’s especially important that experienced PPC professionals closely monitor performance, review search term insights, adjust creative assets, refine audience signals, and tweak bidding strategies as needed to ensure the campaign stays aligned with business goals and budget.
Why Performance Max Can Work for Local Services:
- Expands visibility across all of Google’s channels in one campaign.
- Uses AI to optimize for conversions and find new high-intent audiences.
- Supports Search campaigns by capturing additional demand.
- Helps reinforce brand awareness while still optimizing for leads.
Why Other Ad Types Aren’t as Effective for Local Services
While display ads, YouTube ads, and shopping ads campaigns have their place in digital marketing, they are generally not the best choice for local service businesses.
- Display & YouTube Ads: Better for brand awareness for larger businesses, not immediate lead generation.
- Shopping Ads: Designed for e-commerce, not service-based businesses.
How Kite Media Helps Businesses Succeed with Google Ads
At Kite Media, we understand that local service businesses need a steady stream of leads at an affordable cost. That’s why we focus on running highly optimized Google Search Ads and Local Search Ads to maximize visibility and ROI. Our experienced PPC specialists have worked with service businesses of all kinds, from doctors and dentists to cabinet refinishers. Unlike automated ad services, we take a hands-on approach to managing campaigns, ensuring that our clients get the best possible return on investment. And we love to talk ads and results. You can trust that when you call us, we’ll answer (unless we’re already on the phone with another customer, in which case we’ll call you back as soon as we can!), unlike some other digital marketing agencies out there.
Let's Get Your Google Ads Running
The right Google Ads strategy can make all the difference for a local service business. Search Ads and Local Services Ads provide the best opportunity to connect with high-intent customers and generate leads. At Kite Media, we specialize in running and optimizing these campaigns so businesses can focus on what they do best—serving their customers.
Ready to get more leads from Google Ads? Contact Kite Media today for expert ad management and a customized strategy for your business!