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What are Google Ads & How Do They Work for Local Businesses?

Marium • May 24, 2024

At Social Media Time, we often get asked by local and small business owners about Google Ads - what exactly are they, and how can they benefit a small, location-based company? As a digital marketing agency, we live and breathe this stuff, so allow us to break it down for you.

Google Ads

What are Google Ads?

Google Ads, formerly known as Google AdWords, is an online advertising platform created by Google where businesses can pay to have their website displayed at the top of Google's search results for specific keywords and phrases. It's a pay-per-click (PPC) model, meaning you only get charged when someone actually clicks on your ad.


While it may sound simple in theory, there's a lot that goes into running an effective Google Ads campaign, especially for local businesses trying to attract local customers in their specific geographic area. But when done right, Google Ads can be an incredibly powerful tool to drive targeted leads and revenue.


How Do Google Ads Work?

Google Adwords

Every time someone types a search query into Google search, Google digs into its gargantuan index of web pages and displays what it deems to be the most relevant and useful search results. However, Google also leaves prime real estate at the top of the search results for paid advertisements from its Google Ads program.


Youu can bid to have your ads displayed when someone in your local market searches for keywords related to your products or services. For example, if you own a plumbing business, you could bid on keywords like "plumbers near me", "emergency plumber [city]", or hyper-local terms like "plumbers in [neighbourhood]".

When someone searches for those chosen keywords, Google runs an instantaneous auction amongst all the advertisers bidding on those search terms. The winners get their ads displayed at the top of the search results page, ordered by a combination of ad bid amount, relevance, quality score and other factors in Google's auction system.


If the user clicks on your ad, you pay Google whatever amount you bid for that click. If no one clicks, you don't get charged. It's that simple! You can also set a daily budget cap so you never spend more than you're comfortable with.


However, bidding on the right keywords, crafting compelling ad copy, and fine-tuning your ads campaign settings for optimal performance is where the real strategy lies.


The Benefits of Google Ads for Local Businesses

Google Ads for Local Business

At this point, you may be wondering - why bother with paid ads when I can just try to rank my website organically in Google's free search results? While achieving high organic rankings is certainly valuable, Google Ads provide some distinct advantages, especially for local services businesses:


1. Instant Visibility at the Top of Search

Even if you're a new business or have a new website, Google Ads allows you to immediately get prominent placement at the top of search results for relevant local keywords. This prime positioning is incredibly difficult to achieve through organic SEO alone when you're first starting out.


2. Laser-Focused Targeting

With Google Ads, you can hyper-target your ads by location, radius, time of day, device type, language, and more to ensure your ads are being seen by your ideal target audience. You can even adjust bids for viewers closer to your business. This precision targeting is unmatched compared to traditional advertising channels.


3. Measurable ROI

Google Ads provides comprehensive analytics so you can easily measure performance metrics like impressions, clicks, conversions, website traffic and revenue generated. This tracking allows you to continually optimise your ad spend and calculate an accurate return on your advertising investment.



4. Only Pay for Interested Prospective Customers

You only get charged when someone actively chooses to click on your ad after seeing it on Google search results. So you know the click is from a lead that is at least marginally interested in your offering, as opposed to renting a billboard seen by masses of disinterested users.


5. Capture High-Intent Potential Customers

When someone searches for something like "plumbers near me" or "emergency plumbing repair", they likely need those local services immediately and are ready to make a hire. Google Ads allow you to reach these high-intent local customers at precisely the right purchase moment.


How We Approach Google Ads Campaigns for Local Businesses?

Google Ads Campaigns

At Social Media Time, our proven process for managing effective Google Ads campaigns for locally focused clients involves these key steps:



1. Thorough Keyword Research

First, we spend significant time researching all the relevant keywords and search terms that your target local audience is likely to use when looking for your products or services online. This includes a strategic mix of broad keywords like [service category + city] as well as specific long-tail keywords indicating a high degree of purchase intent.


2. Optimised Campaign Structure

Optimised Campaign Structure

We'll set up tightly organised multiple campaigns and ad groups segmented by different products/services, locations, campaign types (search, video, etc.) and marketing objectives. Proper account structure setup combined with strategic settings like location targeting, ad scheduling and device bid adjustments ensures your ads are being displayed at the ideal times to the right prospective customers.


3. Compelling Ad Copy & Landing Pages

Our team of expert copywriters will craft compelling, attention-grabbing ad copy that clearly communicates your unique selling points and uses persuasive call-to-action language. We'll also design and build out dedicated, high-converting landing pages on your website for each core product, service or location you want to advertise.


4. Competitive Bid Strategy

Competitive Bid Strategy

Based on in-depth research into your specific market's competitiveness and average costs-per-click, we'll develop a bidding strategy aimed at maximising your ads' visibility while keeping your budget and overall ad spend as efficient as possible. We utilise an optimal mix of manual bidding tactics and Google's automated bidding strategies where appropriate.


5. Continual Testing & Optimisation

Once your campaigns are live (as per chosen campaign type), the work is nowhere near done. We'll be relentlessly testing new ads, landing pages, different keyword sets, negative keywords, bidding tactics and more in an effort to iteratively improve your ads' click-through rates and conversion performance over time. We monitor your campaigns daily and provide in-depth monthly reports with data-driven optimisation insights.


6. Robust Conversion Tracking

Perhaps most crucially, we ensure robust, accurate conversion tracking is set up from the start. Whether it's tracking online lead form submissions, calls from your website listings, e-commerce transactions, in-store visits, or any other conversion events you deem valuable, we'll make sure everything is properly tracked within your Google Ads account. This closed-loop measurement is critical for being able to calculate your true return on ad spend and make optimisations accordingly.


Unlock Your Local Business Growth Potential

Local Business Growth Potentisl

If you're intrigued by the possibilities of Google Ads for your business but intimidated by the learning curve and intensive management required, we've got you covered. Our team of Google Ads specialists lives and breathes this stuff daily, ensuring you get a Google Ads account and campaigns properly set up for maximum success right out of the gate.


To get started, we'll provide you with a free, comprehensive Google Ads evaluation for your business, including:


• A thorough analysis of your product/service offerings to identify the highest-potential advertising opportunities

• Researching your competitive landscape, projected costs-per-click, and estimating realistic performance metrics you could achieve

• Developing a forecasted cost and ROI projection customised for your specific business situation

• Outlining our full-service Google Ads account setup, campaign buildout and ongoing management approach


There's no obligation, just an informed discussion to shed light on how Google Ads could effectively fit into your local business marketing strategy. We'll lay out all the specifics so you can make an educated decision.

Google's own internal data shows that businesses, on average, make back £8 in revenue for every £1 they spend on Google Ads. With our proven processes and the high purchasing intent of local searchers, we're extremely confident we could exceed those averages for your company.


So, if you're ready to tap into the powerful potential of Google Ads to reach more customers in your area, we encourage you to reach out to Social Media Time today to get the process started.


Get the Inside Scoop on the Latest Google Ads Features

Latest Google Ads Features

Are you looking to stay ahead of the curve and make the most of your Google Ads campaigns? With Google constantly introducing new features and tools, it's essential to stay informed and adapt your advertising strategy accordingly. As a local business, you have unique challenges and opportunities when it comes to reaching your target audience online. Fortunately, Google Ads has been rolling out a range of updates specifically designed to help local businesses thrive in the digital space.



From enhanced location targeting options to new ad formats tailored for local search, these latest features can help you connect with potential customers in your area more effectively than ever before. By leveraging these tools strategically, you can increase your visibility, drive more foot traffic to your store, and ultimately boost your revenue. 


Invest In Google Ads For Your Local Business 

We've really only just scratched the surface here. Google Ads campaigns require continuous management, optimisation, creative refreshing, and strategic adjustments to keep performing at peak levels over time. Work with our team at Social Media Time, your true Google Ads experts who can leverage the latest updates to move your campaigns ahead of the competition. 


We'll take the time to deeply understand your unique business, customer(s), sales cycles, and marketing goals. Then, we'll build out and manage tailored Google Ads campaigns to most effectively and efficiently drive your desired results by bringing new customers to your landing page.


There's no better time than now to get started with running Ads, one of the world's most powerful advertising platforms. Let Social Media Time show you how to leverage it to its fullest potential within your budget.


Frequently Asked Questions (FAQs)

  • Q1. What is the difference between Google Ads and Google Local Services Ads?

    Google Ads is a pay-per-click advertising platform where businesses bid to display ads on Google's search results and other properties. Google Local Services Ads are a separate program designed for local service providers, featuring background-checked businesses and a Google Guarantee.

  • Q2. How much does it cost to advertise on Google Ads?

    The cost of advertising on Google Ads varies depending on factors like your industry, target keywords, and competition. You set your own daily budget and maximum cost-per-click. On average, small businesses spend between £700 to £4,000 per month on Google Ads.


  • Q3. How long does it take to see results from Google Ads?

    Most businesses start seeing results from Google Ads within the first month of launching their campaigns. However, it typically takes 3-6 months of continuous optimisation to achieve peak performance and maximum ROI.

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