Case Study: HVAC Lead Generation

How a local HVAC company increased qualified leads by 28% and achieved 4x ROAS

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28% More Leads
15% Lower CPL
4x Return on Ad Spend
40% More Booked Jobs
Industry: HVAC (Repair & Installation)
Location: Illinois, USA
Channels: LSA + Google Search Ads
Timeline: 90-Day Engagement
Monthly Budget: $1,800 – $2,400
Primary Goal: Scale qualified lead volume

The Challenge

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

The client faced three core issues:

  • Inconsistent lead flow with sharp week-to-week fluctuations
  • Rising cost per lead as local competition increased
  • No presence on Google Search Ads to capture additional demand
Goal: Stabilize and scale LSA performance, then expand into Google Search Ads to capture high-intent demand beyond the core proximity zone.
Before vs. After: Key Performance Metrics
Qualified Leads / mo
18
23
Cost per Lead
$78
$62
Booking Rate
28%
41%
Before Optimization
After 90 Days

Full LSA Audit

A complete review of call recordings, lead quality data, and geographic performance revealed that the majority of qualified callers came from the same nearby areas — aligning with Google's increased emphasis on proximity as a ranking signal.

Repair requests, especially furnace and heater repairs, dominated demand. The LSA profile itself was strong, but availability constraints and Google Business Profile (GBP) gaps were limiting rankings.

75% Repairs
Repair Requests 75%
Maintenance Calls 15%
Installation Inquiries 10%

LSA Optimization Strategy

Based on the audit findings, we implemented a focused optimization plan targeting the highest-converting service categories and geographic zones.

Week 1–2
Profile & Category Cleanup
Removed underperforming service categories to focus budget on high-converting repair services. Updated GBP with professional photos and detailed service descriptions.
Week 3–4
Budget & Geo Optimization
Switched to manual weekly budgeting for improved pacing. Narrowed geo-targeting to prioritize high-call areas within the core proximity zone.
Week 5–8
Performance Monitoring & Tuning
Monitored daily spend to prevent early budget capping. Paused LSA during full booking periods to protect job completion signals and ranking.
Week 9–12
Review & GBP Enhancement
Implemented review response strategy. Optimized GBP listing with updated service details and response to all customer reviews to boost trust signals.

LSA Results

+28%
Qualified Leads
-15%
Cost per Lead
75%
Repair Lead Share (up from 55%)
Key insight: Removing low-intent service categories (like general consultations) and focusing budget on repair-specific queries drove the largest improvement in lead quality. Repair inquiries increased from 55% to 75% of total call volume.

Google Ads Expansion

With LSA performance stabilized, the next phase focused on expanding reach through Google Search Ads — capturing high-intent users slightly outside the core LSA proximity zone while maintaining cost efficiency.

Campaign Architecture
HVAC Search Campaign
Repair Services
8 keywords
Furnace, AC, heater repair
~65% of clicks
Maintenance
6 keywords
Tune-ups, seasonal service
~25% of clicks
Installation
5 keywords
New system, replacement
~10% of clicks

The campaign was built using a Quality Score-first approach:

  • Search-only campaigns with Search Partners excluded
  • One campaign with three tightly themed ad groups
  • 5–8 core keywords per ad group (exact + phrase match)
  • One dedicated landing page per service category
  • Full ad asset coverage: sitelinks, callouts, pricing extensions

Optimization Process

Early performance focused on data collection rather than aggressive bidding. Underperforming keywords were paused, negative keywords were layered in, and bids were refined manually before transitioning to conversion-based bidding at week 6.

Metric Week 1–4 Week 5–8 Week 9–12
Click-Through Rate 5.2% 6.8% 8.1%
Avg. Quality Score 5/10 6/10 7/10
Cost per Lead $89 $71 $62
Conversion Rate 3.1% 4.6% 6.2%
Qualified Leads 8 14 23

Google Ads Results

8.1%
Click-Through Rate
7/10
Avg. Quality Score
~4x
Return on Ad Spend

Combined Impact

Combining LSA and Google Search created a multi-channel acquisition system that captures demand across the entire search funnel — from high-proximity, Google Guaranteed leads via LSA to broader geographic reach through Search Ads.

Monthly Performance: Before vs. After (Combined Channels)
Total Leads
18
38
Booked Jobs
5
16
Monthly Revenue
~$4.5K
~$12.8K
Before (LSA Only)
After 90 Days (LSA + Search)

The combined strategy resulted in an estimated 40% increase in booked jobs, creating a more stable and scalable customer acquisition system with predictable monthly performance.

Key Takeaways

  • Focus LSA budget on your highest-converting service categories — not all services deserve equal spend
  • Manual weekly budgets give more control than automated pacing on LSA
  • Pause LSA during full booking periods to protect your completion signals
  • Build Google Ads campaigns around Quality Score, not aggressive bidding
  • Start with data collection before optimizing for conversions
  • LSA + Search Ads together create a full-funnel lead engine
Disclaimer: Client details anonymized due to agency-side and white-label work. Results vary based on budget, competition, seasonality, and follow-up processes. The metrics shown represent this specific engagement and should not be taken as guaranteed outcomes.

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Quick Stats

Qualified Leads+28%
Cost per Lead$62
Click-Through Rate8.1%
Quality Score7/10
ROAS~4x
Booked Jobs+40%

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