Many contractors think that running Local Services Ads (LSAs) is as simple as turning them on and waiting for calls to come in. Unfortunately, that’s not true. Google’s LSA platform can be tricky. Without the right setup and consistent management, you can easily spend money without getting the results you want.
If you’ve tried to DIY your LSAs, you might be making some of the mistakes below. Let’s go through them one by one so you can understand what’s going wrong and how to fix it.
1. Not Completing the Profile Properly
Your LSA profile is like your business’s online résumé. Google uses it to decide whether to show your ad, and customers use it to decide whether to call you.
Common issues:
- Missing business hours, photos, or business bio
- Incomplete or incorrect service areas
- Incomplete or missing job types
2. Ignoring the Background Check Process
Many contractors delay or skip parts of the verification process. Google requires a license, insurance, and background checks for LSAs to be verified and stay active.
Why it matters:
If you skip these steps or let documents expire, your ad won’t run. You’ll lose your badge and visibility until everything is updated.
3. Not Linking Your Google Business Profile (or Linking the Wrong One)
Your Google Business Profile (GBP) and Local Services Ads work hand in hand. The LSA displays the reviews directly from your GBP.
Common mistakes:
- Not linking a GBP at all
- Linking an outdated or duplicate profile
- Linking the wrong location (for multi-location businesses)
Why it matters:
Without the correct GBP linked, your LSA may not show the right reviews or details. This can confuse potential customers and hurt your ranking. The Google Guarantee badge and your overall visibility depend on accurate, consistent information between your LSA and GBP.
4. Not Managing Reviews Correctly
This one is very important and can also be tricky. Your reviews have a huge impact on how well your LSAs perform, but here’s where many contractors get confused.
Reviews for your Local Services Ads are not managed directly through your LSA dashboard.
They’re actually managed through your GBP dashboard. The reviews that show up on your LSA listing are the same ones displayed on your GBP. That’s why linking the right GBP is so important.
Common mistakes:
- Not asking customers to leave reviews on their GBP
- Ignoring or forgetting to respond to reviews
- Failing to dispute fake or irrelevant reviews
Why it matters:
Your star rating, number of reviews, and quality of reviews directly affect your ad ranking and trust factor. The more positive, recent, high-quality reviews you have, the more likely customers will call you. Managing reviews consistently on your GBP helps your LSA stay competitive.
5. Setting the Wrong Service Areas
Many contractors either:
- Choose too small of a radius (missing nearby jobs)
- Select too wide an area (getting leads from places they don’t serve)
Why it matters:
If your service area is off, you’ll waste your budget on bad leads or miss out on profitable ones.
6. Not Setting the Right Budget
Some contractors set their weekly budget too low and barely get any calls, while others overspend without tracking ROI.
Why it matters:
Google distributes leads based on your budget and performance. You need the right balance, enough to compete but not so high that you blow your monthly ad spend on poor leads.
7. Ignoring Lead Quality and Disputes
Leads from LSAs need to be monitored. Sometimes you’ll get wrong-number calls or leads for services you don’t provide.
What DIYers forget:
- You can dispute bad leads and get credit back by rating the lead
- You should track which leads convert into real jobs
Why it matters:
If you ignore disputes or don’t check quality, you’ll waste money on calls that never turn into customers. Rating a lead helps Google understand what leads were poor-quality leads and what leads were high-quality leads, helping you receive more high-quality leads.
8. Not Responding to Leads Quickly
Speed matters. Google tracks how fast you respond to messages or calls, which helps your LSA rank better. In fact, speedy responses get highlighted on the live LSA, as seen below,
Why it matters:
If you take too long to reply, your ad rank drops. Even a few hours of delay can cost you valuable visibility and jobs.
9. Letting the Ad Go “Idle”
If you don’t log in or manage your account for a while, Google sees your ad as inactive. It’s important to log into your LSA account at least once per week to check everything within the dashboard, listen to your leads and rate them, and add new photos of your work.
Why it matters:
Idle accounts drop in ranking or stop showing altogether. Consistent management helps keep your ad at the top of results.
10. Not Understanding How Ranking Works
Google’s LSA ranking algorithm looks at more than just your budget. It also considers:
- Response rate and response time
- Number and quality of reviews
- Proximity to the customer
- Business hours and availability
Why it matters:
If you only focus on one factor (like budget) and ignore the rest, you’ll never reach top placement.
11. Not Testing or Adjusting Over Time
Contractors who “set it and forget it” often see their results drop.
Why it matters:
Regularly reviewing performance and making small adjustments, like keeping lucrative job types on and pausing others, or updating photos, keeps your ad fresh and effective.
Conclusion
Periodically, Google makes changes to the LSA platform, such as new categories, new rules, and new policies.
If you don’t stay up to date, you might miss new features, get flagged for violations, or fall behind competitors who do.
Managing Local Services Ads on your own can sound easy, but one small mistake can cost you hundreds or even thousands in lost opportunities.
Most contractors simply don’t have the time to monitor their LSAs daily, respond quickly, handle disputes, and optimize settings for best results.
If you want consistent, high-quality leads without the stress of managing everything yourself, consider working with a professional team that knows how to get results from LSAs.