Google Local Services Ads

Case Study:

Optimizing Google Local Services for a Home Services Vendor

Case Study: Improving Google Ads Performance for a Home Services Business

In June 2024, we took over the Google Local Services account for a home services vendor with the goal of improving cost efficiency, increasing lead quality, and enhancing overall performance. This case study compares the results from the period before management (February 1, 2024 - May 31, 2024) to the period after (June 1, 2024 - September 30, 2024).

-37.19%

Total lead spend

-33.33%

Charged leads reduction

+51.49%

Absolute Top IS increase

Key Challenges

1. High Lead Spend with Lower Efficiency

Before taking over, the total lead spend was high, combined with a relatively low absolute top impression rate of 18.49% indicated a need for improved budget allocation and more targeted ad placement.

2. Low Absolute Top Impression Rate

While the overall top impression rate was at 100%, only 18.49% of those impressions were showing as the very first ad in search results. This limited visibility was likely affecting the quality and quantity of leads.

3. Absence of Message Leads

The account was not utilizing the message leads feature, missing out on an important lead-generation opportunity. With no message leads generated in the pre-takeover period, there was room for improvement in tapping into this channel.

Actions Taken

1. Budget Optimization

After taking over, we implemented a more targeted approach to budget allocation, focusing on improving lead quality and reducing overall lead spend. By optimizing bidding strategies, we were able to reduce total lead spend by 37.19% while maintaining a strong presence in the search results.

2. Boosting Absolute Top Impressions

A major focus was improving the account's absolute top impression rate, which increased from 18.49% to 28.01%, representing a 51.49% improvement. This resulted in more frequent first-ad placements, increasing the chances of generating high-quality leads.

3. Leveraging Message Leads

We enabled and actively utilized the message leads feature, generating 11 message leads in the post-takeover period. This represented an additional lead channel that wasn't being used previously, offering potential customers another way to get in touch.

4. Enhancing Cost Efficiency

By improving ad targeting, reducing wasted impressions, and refining our bidding strategies, we brought down the cost per lead significantly. The cost savings and improved targeting resulted in better efficiency.

Results and Impact

  • Lead Spend Reduction: The overall lead spend dropped 37.19%, while still generating a significant volume of leads.

  • More Efficient Impressions: Despite a reduction in overall ad impressions, the absolute top impression rate improved dramatically from 18.49% to 28.01%, boosting visibility for the most competitive ad placements.

  • Message Leads Channel: The introduction of message leads generated an additional 11 leads in the post-management period, providing a new opportunity to capture customer interest.

  • Improved Cost Efficiency: The focus on improving cost efficiency and targeting resulted in better ROI for the reduced budget.

Conclusion

Through targeted budget optimization, improved ad placement, and the introduction of message leads, we successfully reduced the lead spend while increasing visibility and generating more efficient leads. This resulted in a significant decrease in overall costs while maintaining a strong presence in search results, ultimately delivering better value for the client.