Every HVAC owner we onboard asks the same question: should I run Local Service Ads (LSAs), Google Search Ads, or both? After twelve months of running both side-by-side for a mid-sized Phoenix HVAC client, the answer is clearer than most agencies will tell you. Here are the actual numbers and how to decide.
The setup
$4,200/month combined ad spend, split roughly 60/40 between LSAs and traditional Google Ads. Same offer, same landing experience, same call-tracking stack. Twelve months, 1,847 tracked leads.
Cost per lead
LSAs averaged $38 per lead. Google Search Ads averaged $71 per lead. On the surface, LSAs win.
Cost per booked job
LSAs averaged $112 per booked job (close rate ~34%). Google Ads averaged $164 per booked job (close rate ~43%). The Google Ads leads were lower-volume but better qualified, people who clicked an ad, read a landing page, and chose to call.
Cost per $1 of revenue
LSAs returned about $7 of revenue per $1 spent. Google Ads returned about $9 per $1 spent because the jobs were larger (replacements vs repairs).
What LSAs are best for
Filling the truck on slow days, capturing emergency demand (no/low cooling, no heat), and getting in front of buyers who skip the 'compare contractors' step. They are the closest thing to a faucet you can turn on.
What Google Ads are best for
High-ticket installs (replace a full system, ductwork, mini-splits), seasonal tune-up campaigns, and any service where the homeowner wants to see your story before calling. The landing page does the qualification work.
How we split the budget today
60% LSAs, 30% Google Search Ads aimed at install keywords, 10% retargeting on display. That mix has held up through two seasons and a soft Q2.
The two mistakes that waste HVAC ad budgets
Running both channels without negative keyword overlap (you bid against yourself) and ignoring LSA review responses (Google heavily favors profiles that reply within 24 hours).
The takeaway
If you can only run one channel, start with LSAs, lower cost per lead, faster to set up, and Google sends you pre-qualified clicks. As soon as you're booked out, layer Google Ads on top to win the bigger install jobs.