Is Google Local Service Ads Worth It?

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In this video, I share a conversation with a client about investing in Google Local Service Ads. By breaking down his numbers, I showed him how spending $1,200 per month could generate $7,700 in profit - a nearly 7x return on investment. If you could put $1 into your business and get $7 out, would you do it?
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[@MireilleSnowdon]

google local service ads

[@jaytea23]

I completely understand what you’re saying about no guarantees you’ll get a return. That’s my biggest hang up right now. I have been paying down debt pretty aggressively but can’t help but feel I should be focused more on growing the business. $1,000 spent on paying down an 8% loan saves $80. $1,000 on local service ads might be $5-7k increased income. But it’s the unknown for me that keeps me from pulling the trigger…

[@chuckthecontractor]

You won't get over the hurdle until you pull the trigger. Track your numbers closely. Even if you don't see a positive ROI the first time, you will gather data and get batter at making money through advertising. Don't give up and you will be successful. Shit loads of people are doing this... You can too. TRACK YOUR NUMBERS CLOSELY

[@julius.150]

One new customer a day is truly a huge deal to me

[@levonstilson9032]

Is this 60% profit before after overhead? I.E. Payroll, taxes etc..?

[@chuckthecontractor]

I'm not sure how he calculated that. I asked for net profit but every company does their numbers differently.

[@jessejohnson9065]

My conundrum is my average ticket is about $150-paying 40 for a shot at a job isn't feasible. Any advice?

[@chuckthecontractor]

Well, you can try to find jobs for less or try to make your average client worth more to you.

[@Lightning718]

Google put an automated message before each call that killed LSA in my area. Conversions literally fell off overnight.

[@stefan_gordik]

what area?

[@matthewbennett3729]

What was the message?

[@AngelLopez-no7ze]

what did the message say and where are you located?

[@wonderfulworld5015]

Oh my goodness I wish we knew about Google local service adds a long time ago! We just started next month and yes it is working! I am definitely recommend!

[@chuckthecontractor]

Awesome!

[@AnimatedHoodStoriez]

Is the is better than home advisor?

[@salvadorgarcia5716]

Yes

[@douglasedmonds8372]

Blown away that google charges that much. Is it because he’s in a saturated market? If your the only business showing up in a local market will google charge you less?

[@chuckthecontractor]

Google charges what people are willing to pay. They created the marketplace and people pay the prices. The people pay because they are able to make a profit... So, I wouldn't get hung up on the cost per lead. What matters is how much of a return you can get from investing in these leads. If you are very good at business, you'll be able to make more from a lead than your competitiors and turn around and spend more per lead than everyone else. This means you can get more leads than everyone else! At that point, you set the prices... Not Google.

[@JonnaWolfenberg]

nice video by the way, neeed to more

[@wcbscout]

Funny how some folks cant convert in their mind that 1200$ investment with essentially a guaranteed 6X return is a no brainer

[@chuckthecontractor]

Math is a foreign language for many. :)