Google LSA Introduces Bidding Platform

Let’s show you how it works!

Google Local Service Ads is testing out a new bidding option for home service businesses. The bidding option is still in beta and is not available to every LSA account yet.

Assuming this beta test delivers positive results (for advertisers and Google), we can probably expect bidding to become generally available sometime next year.

Let’s show you how to check if you have it and how to use it.

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How It Works

Instead of setting your weekly budget and Google handles the rest, this new platform is auction based, meaning you bid for incoming leads. Either you can have Google optimize the cost per bid or you can set how much you bid for incoming leads. Make sure you set your cost per bid to an amount you are willing to spend.

Pros

This new bidding system allows you to control how much you are willing to pay per lead and have more control over the number of leads you get. If you are able to keep bidding relatively high then you will keep a competitive edge over your competitors.

Cons

We are currently seeing an increase in cost per lead on this new bidding system. It was only a matter of time until Google found a way to make more money off of LSA, and we are seeing that play out.

We are also noticing high volatility with the number of leads coming into Local Service Ads dashboards. When Google makes any major change, there is always a period of inconsistency. During this time, it is important that you do everything you can to make sure you are keeping your account up to date and relevant in Google’s search engine.

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