Google Ads vs Yelp ads - which has better ROI for home improvement?

Our comprehensive guide includes both a full analysis of both Yelp and Google Ad platforms and strategies. The video down below will showcase how to pick your cities based on "homes" and not population, who can afford your services, and the distance from your business' physical address.

Just in case you don't know SEO vs SEM, here's the short lived answers first.

• SEM is search engine marketing or paid advertising. People search online and click "ads" to get to your paid advertising website landing page, or click a different link to call you directly.
  
• SEO is organic traffic and explained in depth in our Blog, click here to read. This is people clicking and calling from non-paid listings and pages on Google searches.

Imagine this scenario: You're a local plumber, roofer, or gutter specialist looking to create a buzz in the expansive sea of local marketing targeted at homeowners. You're eager to discover which platform will propel you to the pinnacle and attract those valuable customers. Fortunately, we're about to delve into the dynamic and delightful universe of Google Ads vs.Yelp Ads.

Google Ads for Home Service Companies

There are three types of Google Ads you can choose from. Each has its own appeal and is meant for businesses at different stages of their advertising history and budget. Here they are:

Google Verified

You can do these right through your Google Business Profile if you have 20-30 online reviews, with a 4.5 rating or higher. You get direct calls. Cool feature is that you dispute leads and you only pay for leads. The downfall is less total leads compared to other Google and Yelp Ad types.

Smart Campaigns

Right from your Google Business Profile click "advertising" and just through the steps it gives you. It's relatively easy, and you can set it up for clicks to a website page or direct calls. These are usually require the least amount of ad spend and are for companies starting out.

CPC Campaigns

Only those trained in paid advertising should use Google's CPC or cost per click ads. There's a lot to it, and you need to monitor the ad daily. However, they produce the most amount of calls and clicks of any ad on the internet!

Google Ads - Casting a Wide Net with Keyword Planner

When you decide to dive into the world of online advertising with Google Ads, it's essential to understand that you're casting a wide net across the vast ocean of the internet. Google is, after all, the go-to search engine for nearly everything. Whether someone is looking for a quick DIY solution to a leaky faucet or urgently needs a professional plumber, they're likely to turn to Google.

The Challenge of Broad Targeting

Now, here's the catch: while casting a wide net can be highly beneficial, it can also pose some challenges. When you create your ad campaign on Google, you might be bidding on keywords like "plumber," "plumbing services," or even "fix leaky faucet." While these keywords are directly related to your plumbing business, they can attract a diverse set of searchers.

Enter Google's Keyword Planner

This is where Google's Keyword Planner comes to the rescue. Think of it as your trusty fishing rod, helping you catch the right fish in the vast sea of online searchers. The Keyword Planner is a tool provided by Google that allows you to research and select the most relevant keywords for your ad campaign.

How It Works

• Keyword Ideas: When you start using the Keyword Planner, you can input a seed keyword like "plumber." Google will then generate a list of related keywords, along with important metrics like search volume and competition.
• Refining Keywords: You can further refine your keyword list based on criteria like location, language, and even historical data. This helps you ensure that your ad reaches the right audience in the right place.
• Budget Planning: The Keyword Planner also helps estimate the cost and potential traffic for your selected keywords, allowing you to plan your budget effectively.

Example: Let's say you're a plumber in New York City. Using the Keyword Planner, you can discover that "emergency plumber NYC" has high search volume and moderate competition. This keyword is likely to attract users who need immediate plumbing assistance in your specific location.

Negative Keywords

Now, let's add another layer of sophistication to your Google Ads campaign - negative keywords. These are the keywords you want to exclude from triggering your ads. For instance, you might want to exclude keywords like "DIY plumbing" or "YouTube plumbing tutorial" to ensure your ads don't appear to users who are looking for DIY solutions.

Refining Your Cast


Using Google's Keyword Planner and implementing negative keywords helps you refine your net-casting strategy. You're no longer catching every fish in the sea; you're targeting the specific species that are most likely to convert into customers.

Budget Optimization

Moreover, by selecting the right keywords and excluding irrelevant ones, you're optimizing your ad spend. You won't be wasting your budget on clicks from users who are looking for plumbing tips on YouTube. Instead, your ads will be shown to people actively seeking professional plumbing services in your area

Yelp Ads Overview

While every client we have has a Yelp profile and we manage it for them, Yelp is great for some and horrible for others. Yelp Ads, on the other hand, takes a different approach. It's all about reviews, baby!

Yelp is like the digital equivalent of that trusted friend who always has restaurant recommendations. If your business has stellar reviews, Yelp can be your golden ticket. Caution though, if you don’t ask every customer for a Yelp review, your paid ads still show but once they go offline you’re like a fart in the wind. Gain reviews for every customer! Same goes for Google, but with Yelp it’s even moore important.

Quick and fast quotes through Yelp

Yelp Ads - Precision Targeting and Local Dominance

While Google Ads may cast a wide net across the vast online ocean, Yelp Ads are all about precision targeting and local domination. If you're a home service company looking to conquer your local market, Yelp can be your strategic weapon. Here's how Yelp helps you target users based on location and user intent, ensuring that those in your neighborhood stumble upon your glowing reviews.

Local Focus

Yelp understands the importance of "location, location, location" for home service companies. When you advertise on Yelp, you have the advantage of pinpointing your target audience by location. Whether you're a neighborhood electrician, a pest control expert, or a landscaping wizard, you want your services to be discovered by folks in your immediate vicinity.

Location-Based Searches

One of Yelp's key strengths is its ability to capture local intent. When users search for services on Yelp, they often include location-based terms like "near me," "in [city name]," or even specific neighborhoods. Yelp's algorithm recognizes these cues and ensures that your business appears prominently in the search results when users are looking for services in your area.

Example: Let's say you run a home cleaning service in San Francisco. With Yelp Ads, when someone in the Pacific Heights neighborhood searches for "house cleaning services near me," your business listing is more likely to show up at the top. It's like having a beacon that attracts local customers.

Sponsored Listings

Yelp's sponsored listings take this local targeting to the next level. When you opt for Yelp Ads, your business is promoted at the top of relevant search results and on competitor business pages. This prime real estate ensures that users searching for services in your category see your business first.

Showcasing Reviews

Now, let's talk about the power of reviews. Yelp is renowned for its user-generated reviews, and they play a pivotal role in users' decision-making process. When someone is looking for a service, they often scroll through reviews to gauge the quality and trustworthiness of a business.

Example: As an electrician in Los Angeles, having a collection of positive reviews on Yelp can be your secret weapon. When a homeowner searches for "electrician in LA," your business not only shows up prominently but also displays those shining reviews that vouch for your expertise.

Paid Ad Platforms per Homeowner Intent

Google Ads vs. Locally Sponsored Google Ads for Google Maps

When it comes to targeting local customers, Google offers two powerful options: Google Ads and Locally Sponsored Google Ads for Google Maps. Both have their unique strengths and serve distinct purposes. Let's dive into the differences between the two to help home service companies make an informed choice.

Google Ads: The Broad Reach

Google Ads is a versatile advertising platform that operates on Google's search engine result pages (SERPs) and various partner websites and apps. While it allows for precise targeting, it also casts a wider net, making it suitable for businesses aiming to reach a broader audience beyond just local customers.

Advantages of Google Ads:

• Broad Exposure: Google Ads can showcase your business to a vast audience searching for relevant keywords, not limited to your immediate locality.
• Diverse Ad Formats: Google Ads supports various ad formats, including text, display, video, and shopping ads, offering flexibility in your advertising strategy.
• Keyword Targeting: You can bid on keywords related to your industry, allowing you to capture users' attention based on their search intent.
• Remarketing: Google Ads enables retargeting, which means you can reach users who have previously interacted with your website or ads.

Example: Suppose you run a roofing company with an exceptional track record. Google Ads can help you target a broader audience looking for roofing services in a larger geographic area, such as an entire city or county.

Locally Sponsored Google Ads for Google Maps: The Neighborhood Hero

Locally Sponsored Google Ads for Google Maps, on the other hand, are tailored for businesses that primarily serve a specific geographic area. These ads appear within Google Maps when users search for local services, making them an excellent choice for home service companies looking to dominate their local market.

Advantages of Locally Sponsored Google Ads for Google Maps:

• Hyper-Local Targeting: These ads are designed to reach users in close proximity to your business location. They're ideal for attracting nearby customers.
• Enhanced Map Presence: Your business appears prominently on Google Maps, making it easier for users to find and contact you.
• Location Extensions: Locally Sponsored Ads can include important details such as your address, phone number, business hours, and directions, enhancing user convenience.
• Local Offers and Promotions: You can highlight special deals, discounts, or promotions to entice nearby customers.

Example: If you're a small, family-owned bakery in a specific neighborhood, Locally Sponsored Google Ads for Google Maps can help ensure that anyone searching for "fresh bread near [your neighborhood]" finds your bakery and its delicious offerings.

Google has better reporting

Google Ads provides a treasure trove of data. You can track clicks, conversions, and even see which keywords are performing best. It's like having a dashboard in your spaceship, monitoring every aspect of your journey.

Yelp's quick messaging

The ability for homeowners, businesses, and HOAs who can quickly message via their website and app make it fast and easy to get the help their need for your home services.

Google has better ROI

We've ran over 50,000 in both platforms in 2024 and we're seeing that Yelp CPC rates are 2-3 times more expensive. When we optimize Google Ads for our customers we're getting $1 to $7 per click while Yelp is at $13 - $27!