How Home Service Companies Can Maximize Their ROI with LSA Advertising

LSA Advertising has transformed how home service businesses connect with potential customers. Since its launch in 2016, Local Service Ads (LSAs) have evolved, expanding into new industries and refining the setup process to make it easier for businesses to get started. Unlike traditional pay-per-click models, LSAs operate on a cost-per-lead basis, ensuring you only pay for actual customer inquiries. 

With prime placement at the top of Google search results, these ads provide a powerful way to attract high-intent leads. Understanding how LSAs work and optimizing them effectively can significantly boost visibility, credibility, and overall return on investment.

Why LSA Advertising is a Game Changer for Home Service Businesses

If you’re in the home services space—plumbing, HVAC, roofing, locksmithing, landscaping, you name it—LSA Advertising is one of the smartest ways to connect with people in your area who are actively searching for your services on Google.

Unlike traditional pay-per-click (PPC) ads, LSAs operate on a pay-per-lead model—meaning you only pay when a potential customer contacts you directly. These ads are built specifically for home service-based businesses like yours—plumbers, HVAC techs, cleaning crews, restoration experts, landscapers, and more.

According to Google, LSAs are now open to 70+ types of businesses, and that list keeps growing. Here’s why that’s a big deal for your business:

• 49% of consumers prefer buying from local brands with an online presence (Search Engine Land).
• Nearly 90% of U.S. smartphone users prefer LSAs tailored to their location (Think with Google).
• 42% of users click on Google’s Local 3-Pack, where LSAs are displayed (Forbes).

Benefits of Google Local Service Ads

• Lead Generation: You show up when someone nearby is searching for exactly what you offer. These leads are hot.
• PPC Alternatives: Tired of wasting money on unqualified PPC clicks? LSAs are way more efficient.
• Cost-Per-Lead Model: You only pay for real results—not for impressions or curiosity clicks.
• Google Guarantee Badge: This badge acts like a built-in trust signal. It tells customers you’re screened and verified by Google, which instantly boosts your credibility.

LSA Setup for Home Service Businesses

Getting started with LSA advertising isn’t complicated, but there are a few steps you’ve got to get right if you want to start generating leads and showing up at the top of local search results. First off, LSAs don’t run through your standard Google Ads account, so you’ll need to create a separate Local Services profile.

• Check Your Eligibility – LSAs are available for over 70 industries. Use Google’s eligibility tool to confirm if your business qualifies.
• Get Google Guaranteed – This badge boosts trust and increases conversions. 
• Complete Your Business Profile – Fill in:

• Business name, address, phone number, and email
• Choose the services you want to advertise
• Define your service area
• Set Your Budget – LSAs operate on a cost-per-lead model, so budget wisely based on your capacity.

And yes, you can update all this later. Need to add a new ZIP code or change business hours? You’re in control.

Certify Your Business

Getting your Google Guarantee badge is what really helps your listing stand out. Here’s what you’ll need:

• Business Info: Keep your contact details up to date.
• Background Checks: Google will vet you and your team. This includes license verification and criminal background checks.
• Verification: Depending on your trade, you may need to show proof of licenses, insurance, or certifications.

Factors Influencing LSA Ranking

Just like with SEO, there’s an algorithm behind who shows up first:

• Proximity to the user: The closer you are, the more likely you’ll show.
• Reviews: More 5-star ratings = better rankings.
• Responsiveness: Fast replies to leads can push you higher.
• Business hours: You’re more likely to appear if you’re open when someone’s searching.

Google Local Ads Tips for Home Service Companies

At LMH Agency, we’ve worked with home service businesses across the country to turn LSA Advertising into a lead-generating machine. If you’re looking to show up more often, connect with better leads, and improve your ROI, here’s how we help clients just like you do exactly that.

• Optimize Your Google Business Profile (GBP): Your LSA pulls info directly from your GBP, so it’s got to be accurate and complete. Make sure your contact info, business hours, services, and photos are all up to date. An optimized profile builds trust and helps you rank higher in search results.
• Accumulate Positive Reviews: Customer reviews are a ranking factor. The more 5-star reviews you rack up, the better your LSA ranks and the more likely a customer is to contact you. Ask happy clients for reviews as soon as the job is done. Make it easy for them, and don’t be shy about it.
• Set Competitive Bids and Budgets: Your LSA visibility often comes down to what you’re willing to pay per lead. If your bids are too low, you might miss out on prime spots. We help businesses adjust their budget without overspending by aligning bids with actual ROI. Check out our PPC budget planning tips for 2025 to stay on track.
• Link LSAs to Local Landing Pages: Targeting specific service areas? Build landing pages for each one and link them to your LSAs. It helps Google understand exactly where you operate and sends people to pages built just for their location—hello, higher conversion rates.
• Maintain Updated Licenses and Certifications: Expired licenses can get your ad pulled without warning. Set a recurring reminder to upload updated credentials so Google knows you’re verified and qualified.
• Monitor and Respond Promptly to Leads: Speed matters. Google tracks how quickly you respond, and so do your potential customers. Use call tracking, lead notifications, and CRM tools to respond quickly—ideally within 15 minutes.
• ROI Calculation: Use call tracking and lead tracking software to see which leads come from LSAs and how many turn into real jobs. Then compare your lead cost to the revenue. When you know what’s working, you can scale smarter.
• Take Advantage of Google Assistant: Google Assistant now recommends service providers verbally—and LSAs are part of that mix. To be suggested, you need solid reviews, verified info, and fast response times. You can sign up for Google Assistant ads.
• Utilize the Google Guarantee Badge: Use it everywhere—your website, emails, trucks, and ads. Customers recognize the badge and trust it. It can easily be the thing that gets you the call over your competitor.

Real-World Success Stories

We’ve helped service companies across the U.S. crush their lead goals and boost ROI:

• Central California Plumber
  • 198% more qualified leads
  • 612% increase in Return on Ad Spend (ROAS)
• Louisiana Electrician and Plumbing Company
  • 1170% LSA ROAS
  • 612% paid search ROAS
• Indiana HVAC Company
  • 760% ROAS on potential business
  • 488% ROAS on closed jobs

LMH Agency: Home Services Marketing at Its Best

At LMH Agency, we specialize in LSA management for home service companies just like yours. Our team of certified Google pros knows how to set up, optimize, and scale local service ads so they make you money. We tailor every campaign around your goals, budget, and service area—no copy-paste strategies here. Get expert LSA help from LMH Agency.

Want a one-on-one consultation or a digital marketing plan built for your business? Reach out to us today.