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Compare Google LSA and Google Ads by cost per lead, booked job, sold job, revenue, and gross profit with this free contractor ROI calculator before you spend.

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Google LSA vs. Google Ads
Calculator for Contractors

Stop comparing cost per lead. Start comparing cost per sold job, gross profit, and real return on ad spend. Enter your numbers and see which channel actually makes you more money.

10 Contractor Trades
10 Metrics Compared
2026 Benchmark Data
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Industry Planning Estimates: Selecting a trade loads benchmark starting points based on 2025-2026 industry data. These are not guaranteed results. Real lead costs and close rates vary by market, competition, season, reviews, response speed, job type, and advertising setup. Every field is editable.
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LSA

Google Local Services Ads

Pay per lead
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PPC

Google Search Ads

Pay per click
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Google LSA
Google Ads

Break-Even Analysis

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LSA vs. Google Ads: The Quick Comparison

Contractors often ask which channel is better. The truth is, they do different jobs. Here is how they stack up.

Feature Google Local Services Ads (LSA) Google Search Ads (PPC)
Pricing Model Pay per lead Pay per click
Placement Very top of search results Just below LSA, above organic
Trust Factor Google Guaranteed badge Standard ad label
Lead Quality High intent, phone calls Mixed intent, calls and forms
Disputes Yes (Can dispute bad leads) No (Pay for every click)
Control Low (Google controls rank) High (You control bids and copy)
Setup Time Slow (Requires background checks) Fast (Can launch in days)

How These Calculations Work

We built this calculator to show you the real numbers behind your marketing. A cheap lead means nothing if it never turns into a paying job.

Cost Per Sold Job: We take your total spend and divide it by the actual jobs you close. If you spend $2,000 to get 10 leads, book 5 appointments, and sell 2 jobs, your cost per sold job is $1,000.

Gross Profit Return: This is the number that pays your bills. We take the revenue from your sold jobs, subtract your direct costs to find your gross profit, and then compare that to what you spent on ads.

Break-Even Cost Per Lead: This shows exactly how much you can pay for a single lead before you start losing money. If your break-even is $150 and you are paying $200, you need to raise prices, improve your close rate, or turn off the ads.

Which Channel Should You Choose?

When LSA is Better: LSA is usually the best starting point for service contractors. You only pay when someone actually contacts you. The Google Guaranteed badge builds instant trust. It is highly effective for emergency trades like plumbing, HVAC repair, and garage doors where the customer needs help right now.

When Google Ads is Better: Google Ads gives you control. You can target specific high-ticket jobs like full roof replacements, pool builds, or HVAC changeouts. You can run special offers. You can turn the ads up or down instantly. If you have the budget and a strong landing page, Google Ads can scale much larger than LSA.

When You Should Use Both: Most successful contractors use both. LSA captures the cheap, high-intent emergency calls. Google Ads captures the specific, high-ticket searches that LSA misses. Running both allows you to dominate the top of the search results page.

Frequently Asked Questions

Yes, they are usually the best place to start. You only pay when a customer actually calls or messages you. That makes it much safer than paying for clicks. You are not throwing money away on people who look at your website and leave without calling.

The Google Guaranteed badge also helps you stand out. Customers trust that green checkmark. They know Google ran a background check on your business. If you run a clean business and answer your phone fast, LSA will make you money.

A cheap lead that never books is not cheap. LSA leads tend to book because the customer is looking for immediate help. They have a broken pipe or a dead air conditioner. Just make sure you dispute the bad leads so you do not pay for spam or wrong numbers.

Usually, yes. Our research shows LSA leads often cost half as much as standard Google Ads leads. You also do not have to pay an agency a big monthly fee to manage keywords and bids. Google handles the ranking for you based on your reviews and location.

However, cheaper leads do not always mean bigger profits. Google Ads can target massive jobs like full roof replacements or complete HVAC installs. LSA tends to bring in more service and repair calls. A $50 LSA lead for a simple repair is great, but a $150 Google Ads lead for a ten-thousand-dollar roof is even better.

That number looks good until you check the sold jobs. Run your numbers through the calculator. Sometimes paying more for a Google Ads lead makes sense if the job size is much larger and your close rate is solid.

A good cost per lead depends on your trade and your city. Plumbers and HVAC techs usually pay between $50 and $75. Electricians often pay around $40. Landscapers and painters might pay $30. These are just starting benchmarks.

Do not get obsessed with the exact dollar amount. Focus on what happens after the phone rings. If you pay $75 for a lead and sell a $3,000 job, that is a great lead. If you pay $20 for a lead and they never hire you, that is a terrible lead.

Your market size matters too. If you work in a crowded city like Dallas or Atlanta, you will pay more because of the competition. If you work in a rural area, leads are cheaper but there are fewer of them. Track your cost per sold job instead of worrying about the cost per lead.

Most HVAC companies pay between $80 and $170 for a Google Ads lead. During the summer heat, those costs can spike even higher because everyone is bidding on the exact same repair keywords. The auction gets very expensive when it hits ninety degrees outside.

You can lower that cost by using a dedicated landing page. If you send a repair click to your main homepage, the customer might get confused and leave. Send them to a page that only talks about repairs, shows your reviews, and has a massive phone number right at the top.

Remember that a $150 lead is perfectly fine if you are selling a $10,000 system replacement. Just keep an eye on your close rate. If your guys cannot close the deals, those expensive leads will drain your bank account fast.

Roofing leads are expensive. You should expect to pay between $140 and $250 per lead on Google Ads. After a major hail storm, those prices can easily double as out-of-town storm chasers flood the market and drive up the bids.

The high cost makes sense when you look at the job value. A new roof can easily run $15,000 or more. Paying $200 to get a shot at a job that size is just a standard cost of doing business in the roofing industry.

To survive those high lead costs, your sales process has to be completely dialed in. You cannot afford to let $200 leads slip through the cracks because nobody called them back. You have to answer the phone, book the inspection, and close the deal.

LSA prices go up when competition goes up. If five new contractors in your city get Google Guaranteed this month, the cost for every lead will rise. Google charges more when more people want the phone to ring.

You might also be paying for bad leads. If someone calls looking for a job or trying to sell you software, Google will charge you. You have to dispute those charges to get your money back. If you do not dispute them, your average cost per lead looks terrible.

Make sure your profile is tight. If you have bad reviews or miss phone calls, Google will drop your rank. When your rank drops, you get fewer calls and the ones you do get seem much more expensive because your total volume is down.

Yes, they charge you the moment the phone rings. It does not matter if the caller is a real customer, a telemarketer, or someone looking for a completely different service. Google takes the money first and asks questions later.

You have to manually review your calls and file a dispute for the bad ones. If you do not check your dashboard every week, you are just throwing money away. The system is not going to fix itself.

Most contractors find that about six or seven percent of their LSA leads are invalid. Stay on top of your disputes and Google will credit your account. It takes a few minutes a week but saves you hundreds of dollars.

Yes, and you absolutely should. You can dispute leads if the caller is outside your service area, looking for a service you do not offer, or trying to sell you something. You can also dispute spam calls or wrong numbers.

Just log into your LSA dashboard, find the lead, and click the dispute button. Google will listen to the call recording to verify your claim. If they agree, they will put the money back in your account.

Do not try to game the system. If you dispute a legitimate customer just because you did not close the job, Google will figure it out. If you file too many fake disputes, they might suspend your account entirely.

You need to answer the phone immediately. If a call goes to voicemail, the customer is going to hang up and call the next guy on the list. They want their problem fixed right now, not tomorrow.

Google tracks your response rate. If you consistently miss calls, they will stop showing your ad. Google wants to send customers to businesses that actually pick up the phone. Google cannot fix a phone nobody answers.

If you cannot answer the phone during the day because you are on a job site, hire a dispatcher or use an answering service. Missing an LSA call hurts your wallet and destroys your ranking.

Reviews are the engine that drives LSA. If you do not have good reviews, you will not get calls. It is that simple. Google uses reviews to decide who gets the top spot.

Google wants to send customers to reliable businesses. A contractor with fifty five-star reviews will almost always rank higher than a guy with three reviews. The algorithm rewards businesses that make customers happy.

You have to ask every single customer for a review. Make it part of your daily routine. Hand them a card, send them a text, or ask them before you leave the driveway. Without a steady stream of fresh reviews, your LSA profile will die.

Yes, it makes a huge difference. Homeowners are scared of getting ripped off by shady contractors. When they see that Google has verified your license and insurance, they relax.

The badge tells the customer you are a real business, not a guy working out of his trunk. That trust translates into better conversations and higher close rates. They are ready to buy because Google already vouched for you.

Getting the badge is a hassle. The background checks take time and the paperwork is annoying. But once you have it, the quality of your phone calls will noticeably improve. It separates the pros from the amateurs.

Most plumbing shops need to spend at least $2,000 to $3,000 a month to see real results. Anything less than that and your ads will turn off by noon because you ran out of daily budget.

Plumbing clicks are expensive, especially for emergency keywords like burst pipes or backed-up sewers. If your daily budget is too small, you will never get enough traffic to book a consistent schedule of jobs.

Start with a budget that hurts a little bit, run it for three months, and track your cost per sold job. If the math works and you are making money, keep spending. Do not let a small budget choke out a profitable campaign.

An established HVAC company should plan to spend $3,000 to $6,000 a month. In major cities during the summer, that number can easily hit $10,000 or more. You have to pay to play in this trade.

HVAC is brutally competitive. Every shop in town is bidding on AC repair. You have to spend enough to stay visible when the heat waves hit. If your budget is tiny, the big guys will push you off the page completely.

Do not waste money on broad keywords. Focus your budget on high-intent searches and system replacements where the profit margins justify the heavy ad spend. A ten-thousand-dollar install makes a big ad budget look very small.

With PPC, you pay every time someone clicks your ad, even if they just look at your website and leave. You control the keywords, the ad copy, and exactly where the customer lands on your site.

With LSA, you only pay when someone actually calls or messages you. Google controls your ranking based on your reviews and location. You do not pick keywords or write ads. Google does the heavy lifting.

Think of PPC as casting a wide net to catch specific types of fish. Think of LSA as putting your business card right in the customer's hand when they need help immediately. Both work, but they serve different purposes.

Yes, and you absolutely should. Running both gives you maximum visibility. When a homeowner searches for a roofer, they will see your LSA badge at the very top and your standard ad right below it.

This strategy builds massive trust. If a customer sees your name twice before they even scroll down, they assume you are the top dog in town. It makes you look like the biggest, most reliable company in the area.

Use LSA to grab the quick service calls. Use Google Ads to hunt for the big replacement jobs. They work together perfectly to keep your schedule full.

If you are running service calls, you should be closing around 60 to 70 percent of the jobs you quote. The customer called you because something is broken and they need it fixed today.

For big installation jobs or full roof replacements, a 30 to 40 percent close rate is solid. Customers are getting multiple bids for those big tickets. They are going to shop around before they spend that kind of money.

If your close rate drops below 25 percent across the board, stop spending money on ads. You have a sales problem, not a lead problem. Fix your pitch before you buy more leads.

Take your total ad spend for the month and divide it by the number of jobs you actually completed from those ads. It is the simplest and most important math in your business.

If you spent $3,000 on Google Ads and sold 6 jobs, your cost per sold job is $500. It does not matter how many clicks or leads you got. The only thing that matters is the final sale.

This is the only number that matters. You take sold jobs to the bank. You cannot deposit a cheap lead. Always track your marketing back to the signed contract.

First, figure out your gross profit. Take the total revenue from your ad jobs and subtract your direct labor and material costs. This shows you what is left to pay overhead and ads.

Next, subtract your total ad spend from that gross profit. If the final number is positive, your ads are making you money. If it is negative, you are paying for the privilege of working.

Do not use total revenue to calculate ROI. Revenue is vanity. Profit is sanity. If you do a million dollars in sales but lose money on every job, you will go out of business. Always measure ROI based on gross profit.

Yes, absolutely. If you pay Google $2,000 for clicks and you pay an agency $1,000 to run the account, your total investment is $3,000. You have to account for every dollar.

Many agencies like to hide their fee when showing you your return on ad spend. They want the numbers to look better than they actually are. Do not let them do that. The money left your bank account, so it has to be counted.

Use our calculator and make sure you check the box to include management fees. You need to see the real numbers so you can make smart business decisions.

Cost per lead only tells you what it costs to make the phone ring. It tells you nothing about the quality of the caller. A phone call is not a paycheck.

I can get you $10 leads all day long if I promise free service calls on your website. But none of those leads will buy anything. You will go broke chasing them and paying your guys to drive around town.

A $150 lead that turns into a $5,000 job is infinitely better than ten $15 leads that just want free advice. Track your sold jobs instead. That is the only metric that puts money in your pocket.

For home services, a good landing page should convert between 8 and 12 percent of its visitors into leads. Some fast-moving trades, like house cleaning or garage door repair, can hit 15 percent.

If your conversion rate is sitting at 2 percent, your page is broken. You are probably sending traffic to a cluttered homepage with no clear phone number and too much text. People get confused and hit the back button.

Fixing your landing page is the fastest way to cut your lead costs in half. Make it simple, show your reviews, and give them a massive button to call you right now.

Yes, they absolutely do. Google puts three contractors right at the top of the page. Most homeowners will just call down the line until someone answers the phone.

This is why speed is everything. If you are the first guy to answer the phone and book the appointment, the customer stops calling. You win the job just by being fast.

If you wait an hour to call them back, they have already hired your competitor. Treat every LSA call like a race. The fastest contractor usually gets the check.

They are not necessarily better, just different. LSA leads are usually looking for a quick fix. The toilet is leaking or the garage door will not open. They need a guy in a truck right now.

Google Ads leads often involve more research. The customer is planning a bathroom remodel or pricing out a new heating system. Those jobs take longer to sell but pay much more in the end.

Both leads are good. You just have to handle them differently. Close the LSA leads fast and nurture the Google Ads leads over time. A good business needs both types of jobs to survive.

LSA wins the emergency game hands down. When water is pouring through the ceiling, the customer is not going to read a long landing page or fill out a contact form.

They search for a plumber, see the Google Guaranteed badge at the very top, and hit the call button. They want the fastest solution possible and Google puts you right in front of them.

If your business relies on emergency calls, you need to be running LSA and you need to answer the phone on the first ring. Speed is your best salesman.

Google Ads is the better tool for high-ticket jobs. You can target exact phrases like "cost to replace roof" or "new HVAC system financing." LSA cannot get that specific.

You can also build a custom landing page that explains your warranties, shows your financing options, and displays photos of your past work. You get to build a real argument for why they should hire you.

High-ticket buyers want to feel confident before they spend ten grand. Google Ads lets you control that entire sales message from the first click all the way to the phone call.

Seasonality completely changes the math. During the first heat wave of the summer, every HVAC company turns their ads on. That drives the cost per click through the roof because the auction gets crowded.

During the slow shoulder seasons, clicks get cheaper but customers are harder to convert. You have to run special offers or discounts just to get the phone to ring when the weather is mild.

You have to adjust your budget based on the weather. Stockpile cash during the busy months so you can afford to market aggressively when things slow down. Do not run the exact same budget all year long.

Lead costs are based entirely on competition. If you work in a major metro area with two hundred other plumbers, you are all fighting for the same clicks. Prices will be high because the auction is packed.

If you work in a rural area with only three competitors, the clicks are cheap. But there are also fewer houses, which means fewer total leads. You trade high volume for low cost.

Do not compare your lead costs to a guy in another state. It is a waste of time. Only worry about whether your leads are profitable in your own backyard.

Yes. Missing calls is the fastest way to kill your LSA campaign. Google tracks every single interaction and they know exactly how fast you pick up the phone.

If they send you three calls and you miss two of them, Google assumes you are out of business or just lazy. They will drop your rank and give the calls to your competitor who actually answers.

If you are going to be on a roof all day and cannot answer the phone, pause your ads. Do not pay for calls you cannot take. It ruins your ranking and wastes your money.

Break-even is the maximum amount you can pay for a lead without losing money on the job. It factors in your close rate and your profit margin to give you a hard limit on ad spend.

If you make $500 profit on a job, and it takes you five leads to sell one job, your break-even cost per lead is $100. If you pay $101, you are working for free and losing money on gas.

Our calculator figures this out for you automatically. Always know your break-even number before you hand your credit card to Google. If you do not know this number, you are flying blind.

For most trades, it takes about three to five leads to sell one job. Not every lead will book an appointment, and not every appointment will end up buying from you.

If you book half of your leads, and close half of your appointments, you need four leads to get one sale. That is completely normal for the home services industry.

If it takes you ten leads to sell a job, you either have a terrible lead source or your sales skills need serious work. Track your numbers, find the leak in your funnel, and fix it.

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Data Sources & Methodology: The industry planning estimates provided in this calculator are based on aggregated 2025 and 2026 data from SearchLight Digital, 99 Calls, LocaliQ, M.Wolf Media, and Contractor In Charge. These figures represent national medians. Actual lead costs, booking rates, and profit margins vary significantly based on local market competition, seasonality, business reputation, and operational efficiency. For more contractor resources, visit the Contractor Tools Vault.