Case Study: HVAC Local Service Business

Scaling lead volume using Google Local Services Ads and Google Search

Client details anonymized due to agency-side and white-label work.

Industry: HVAC (Repair & Installation)
Location: Illinois, USA
Primary Channels: Google Local Services Ads, Google Search Ads

The Challenge

In early 2023, the owner of an HVAC business in Illinois reached out for help with underperforming Google Local Services Ads (LSA). While the business had seen increased profitability earlier in the year, lead volume and consistency became unpredictable as Google’s LSA ranking factors evolved.

The goal was twofold: stabilize and scale LSA performance, then expand into Google Search Ads to capture additional high-intent demand.

Full LSA Review

A full audit of call recordings and lead quality revealed that the majority of qualified callers came from the same nearby areas, aligning with Google’s increased emphasis on proximity. Repair requests—especially furnace and heater repairs— dominated demand.

The LSA profile itself was strong, requiring only minor updates. However, availability constraints and Google Business Profile (GBP) optimizations were impacting rankings and delivery.

LSA Optimization

  • Removed underperforming service categories to focus budget on high-converting repair services
  • Switched to manual weekly budgeting for improved pacing and visibility control
  • Monitored daily spend to prevent early capping and overspend
  • Paused LSA during full booking periods to protect job completion signals
  • Narrowed geo-targeting to prioritize proximity-driven, high-call areas
  • Optimized GBP with updated photos, review responses, and service details

LSA Results

  • 28% increase in qualified leads within the first three months
  • Repair inquiries increased from 55% to 75% of total calls
  • 15% reduction in cost per lead
  • Improved lead consistency and fewer invalid disputes

Google Ads Expansion

With LSA performance stabilized, the next step was expanding reach through Google Search Ads to capture high-intent users slightly outside the core proximity zone while maintaining cost efficiency.

The Google Ads Strategy

  • Search-only campaigns (Search Partners excluded)
  • One campaign with three tightly themed ad groups
  • 5–10 core keywords per ad group
  • One dedicated landing page per service
  • Quality Score–first structure prioritizing relevance over aggressive bidding
  • Full asset coverage (sitelinks, callouts, pricing, emergency messaging)

Optimization Process

Early performance focused on data collection rather than volume. Underperforming keywords were paused, negatives were added, and bids were refined manually before transitioning into conversion-based bidding.

Repairs dominated demand, accounting for roughly 65% of clicks, with maintenance following at approximately 25%.

Google Ads Results

  • 8% CTR (above the HVAC industry average)
  • Average Quality Score of 7/10 across ad groups
  • 45 qualified leads generated within three months
  • $62 average cost per lead
  • Approximately 4× ROAS from booked jobs

Overall Impact

Combined LSA and Google Search efforts resulted in an estimated 40% increase in booked jobs, creating a more stable and scalable acquisition system.

Results vary based on budget, competition, seasonality, and follow-up processes.

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