LSA vs. PPC

Compare Local Service Ads to paid search

Both appear on Google, but they work very differently. Here’s how Local Service Ads stack up against traditional pay-per-click ads.

Placement

LSAs sit above everything else

When someone searches for a local service, Local Service Ads appear first, above both paid search ads and organic results. They include the “Google Guaranteed” badge, ratings, and a call or message button.

Local Service Ads

Google Guaranteed badge, ratings, call and message buttons.

Paid search ads (PPC)

Text ads marked with a small “Ad” label.

Organic results

Regular search listings.

At a glance

The key differences

Where you appear

LSA

Very top of Google

PPC

Below LSAs

What you pay for

LSA

Leads only

PPC

Every click

How customers reach you

LSA

Call or message directly

PPC

Through a landing page

Verification badge

LSA

Google Guaranteed

PPC

None

Side by side

The full comparison

	Local Service Ads (LSAs)	Paid Search Ads (PPC)
Placement in search results	At the very top of Google, above paid search ads and organic results, with the “Google Guaranteed” badge, ratings, and a call or message button.	Text-based ads that appear below LSAs but above organic results, marked with a small “Ad” label.
Payment model	Pay per lead. You’re charged only for actual customer leads, like phone calls or messages.	Pay per click. You pay for each click, whether or not it turns into a lead.
Targeting and reach	Hyper-local targeting that connects you with customers in specific geographic areas, based on service type, location, and customer reviews.	Broader, more customizable targeting such as keywords, demographics, and location.
Customer interaction	Direct calls or messages without visiting a website, plus a business profile with ratings and reviews.	Usually sends people to a landing page or website, where they have to take more steps to contact you.
Trust and credibility	Google Guaranteed or Google Screened badge that verifies the business, for higher trust and credibility.	No verification badge. Trust has to come from the ad copy.

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