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How to Build an Effective PPC Campaign for Local Service Businesses

Writer: Mike SteinMike Stein

Illustration of a PPC advertising strategy showing keyword research, ad optimization, and conversion tracking for local service businesses.

If you run a local service business, you know how important it is to get in front of the right customers at the right time. Pay-Per-Click (PPC) advertising is one of the best ways to make sure your business shows up when people are searching for your services. But if you don’t have a strategy, it’s easy to waste money on clicks that don’t turn into paying customers.

At ASP, we aim for a 17-20% conversion rate on PPC campaigns for local service businesses. That means nearly 1 in 5 people who click on your ad should turn into a lead. If your ads aren’t reaching that level, you’re probably spending too much and getting too little.

This guide will walk you through exactly how to build an effective PPC campaign that drives leads, saves money, and grows your business.



Choosing the Right Keywords: The Foundation of a Successful PPC Campaign

The success of your PPC campaign starts with choosing the right keywords. If you’re targeting the wrong search terms, you’ll either waste money on people who aren’t ready to buy or fail to reach the people who actually need your service.

Imagine you run a plumbing business and you bid on the keyword "how to fix a leaky faucet." While this might get a lot of traffic, the people searching for this are likely DIYers looking for a tutorial, not customers who want to hire a plumber. Instead, a keyword like "emergency plumber near me" or "same-day faucet repair" would attract people who are actually looking for a service provider.


How to Find High-Intent Keywords with Google Keyword Planner


Google Keyword Planner is a free tool that helps you find the right keywords for your business based on search volume, competition level, and cost-per-click (CPC). You can access it inside Google Ads (Try it here).

Here’s how to use it effectively:

1️⃣ Enter Your Main Service Keywords

  • Type in what your business does (e.g., "roof repair," "HVAC installation," "pest control services").

  • You can also enter your website URL, and Google will suggest relevant keywords.

2️⃣ Look at Search Volume

  • Higher search volume means more people are looking for that service in your area.

  • Avoid keywords with super low searches—if no one is looking for it, you won’t get traffic.

3️⃣ Analyze Competition & Cost-Per-Click (CPC)

  • High-competition keywords are more expensive because multiple businesses are bidding on them.

  • If you’re on a tight budget, look for medium-competition keywords that still get a decent number of searches.

4️⃣ Focus on "Buying Intent" Keywords

  • Some keywords bring in leads while others just bring in browsers.

  • Use words that show urgent needs or a hiring mindset, like:

    • "emergency HVAC repair" instead of "best HVAC brands"

    • "pest control near me" instead of "how to get rid of ants"

    • "affordable electrician in [city]" instead of "electrician salary"

5️⃣ Look for Localized Keywords

  • People looking for local services often include their city or “near me.”

  • Examples:

    • "Lawn care service in Austin"

    • "Best roofing contractor near me"

    • "24-hour plumber Los Angeles"


Why Local Service Businesses Should Use Long-Tail Keywords

Instead of targeting broad keywords like "plumbing" or "electrician," it’s better to focus on long-tail keywords—more specific search phrases that indicate high intent.


For example:

"Roofing" (Too broad—someone could be looking for DIY tips)✅


"Roof repair services in Denver" (Someone looking for a roofer now)✅ "Emergency


roof leak repair near me" (High-intent buyer)


Long-tail keywords usually have lower competition, cost less per click, and attract customers who are ready to book a service.


Negative Keywords: Stop Wasting Money on the Wrong Clicks


Google charges you for every single click—so you want to block searches that won’t bring you real customers.


For example, if you’re a moving company, you don’t want your ad to show up for:❌ "moving truck rental" (Someone looking to move themselves)❌ "DIY moving tips" (Not a paying customer)❌ "cheap moving boxes" (No interest in hiring movers)


Inside Google Ads, you can add these as negative keywords so you don’t waste money on the wrong audience.



Next Steps: Turning Keywords Into a Winning PPC Campaign


Once you have a list of high-intent, local, and long-tail keywords, you can:✔ Organize them into ad groups (e.g., emergency services vs. standard services).✔ Write ad copy that matches search intent (so Google rewards you with lower costs).✔ Track which keywords actually convert into leads—and increase bids on the best ones.


A great PPC campaign isn’t about spending more—it’s about spending smarter. Choosing the right keywords ensures you get qualified leads instead of wasted clicks



2. Structure Your Campaign for Maximum Results


Use Performance Max Campaigns for Brand Awareness


Google Performance Max helps businesses show up across Google Search, YouTube, Display, Discover, and Maps with a single campaign. It uses AI to place your ads where they perform best.


When to use it:

  • If your brand is new and you need to increase awareness

  • If you want to reach customers across multiple Google platforms

  • If you have strong visual content (images, videos)



Use Google Local Services Ads (LSA) for Pay-Per-Lead


Google Local Services Ads (Sign up here) are a great way to get leads without paying for clicks. Unlike regular PPC ads, you only pay when someone calls or messages you directly.


Why LSA is great for local businesses:✔ Google guarantees your business, increasing trust✔ You only pay for actual leads, not wasted clicks✔ Ads appear above regular Google Ads


If you’re on a tight budget, LSAs are one of the best ways to maximize ROI without overspending.



3. Time Your Ads When Customers Are Active


Many businesses waste money by running ads 24/7, even when customers aren’t looking.


How to track when your customers are active:✔ Check your Google Ads reports to see when clicks turn into calls.✔ Use Google Analytics (Get it here) to track website traffic by time of day.✔ If you get calls mostly between 8 AM - 6 PM, schedule your ads to only run during those hours.


This helps you avoid wasted ad spend and make sure your ads reach customers when they’re most likely to convert.



4. Optimize for a Minimum 17-20% Conversion Rate


At ASP, we aim for a minimum 17-20% conversion rate for local service businesses. That means for every 100 clicks, at least 17-20 should turn into leads.


How to Increase Your Conversion Rate:


Use strong calls-to-action (CTAs) – “Call Now for Same-Day Service” works better than “Learn More.”✔ Send traffic to a high-converting landing page – Avoid sending people to your homepage.✔ Use click-to-call ads – People searching on mobile don’t want to fill out forms.✔ Retarget people who didn’t convert – Use Google retargeting ads to stay top of mind.


If your campaign isn’t hitting that 17-20% goal, it’s time to adjust your targeting, keywords, and landing pages.


5. Track & Adjust for Better Performance


PPC is not a set-it-and-forget-it strategy. The best campaigns are constantly tested and improved.


Best Free Tools to Track PPC Performance:


  • Google Analytics (Set it up here) – Tracks how users interact with your website after clicking an ad.

  • Google Ads Dashboard (Login here) – Shows which ads and keywords are driving conversions.

  • Hotjar (Try it free) – Helps analyze how users behave on your landing page to identify problems.


Every two weeks, review your data and ask:✔ Which keywords are converting? Increase their budget.✔ Which ads are underperforming? Adjust the wording or targeting.✔ Are calls coming in at the right times? Adjust ad scheduling if needed.



Build a PPC Strategy That Works for Your Business


A successful PPC campaign isn’t about spending the most—it’s about spending smart. By choosing the right keywords, structuring your campaigns effectively, and tracking performance, local service businesses can generate consistent, high-quality leads without wasting money.


At ASP, we set a minimum goal of 17-20% conversion rates for our local service clients. If your PPC campaigns aren’t delivering those kinds of results, it’s time to refine your strategy. Whether you need help optimizing your ads, setting up Local Services Ads, or improving conversion tracking, we can help you get more leads for less.


Ready to build a PPC campaign that actually grows your business? Contact us today to get started.


 
 
 

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