Google's Local Inventory Ads and Local Service Ads. What's the difference?

Learn more about the differences between Local Inventory and Local Service Ads and how to leverage them for your business.


What are Local Inventory Ads and Local Service Ads? 

Recent updates on the Google Ads platform have expanded the options for advertising in a capacity local to your business. These expansions provide the opportunity to capitalize on local prospects interested in the products or services your business offers.

This local advertising falls into two categories with different marketing focuses for your products. Though these categories are designed differently, many businesses will find both beneficial. We outline each type and dive into the things to consider when developing advertising.

Who should be using these?

The different local ad options offered through Google Ads should all be considered when selecting the best ways to promote your products or services. However, there are a few things to consider when prioritizing Local Inventory Ads or Local Service Ads.

When considering Local Inventory Ads keep in mind they

  • are geared towards physical locations such as retail stores, grocers, and auto dealerships;
  • require a local product feed for each location; and
  • have specific restrictions around what products/services can be advertised.

When considering Local Conversion Ads keep in mind they

  • are intended for service providers working in-home services, restaurants, businesses, education, care, and wellness;
  • offer badges for different types of services that can help build trust with your prospects; and
  • your business must meet specific licensing, insurance requirements, and background checks before serving your ads.

Despite these differences, both advertising options can be valuable ways to drive prospects to your products or services.

Where are they shown?

Next to what types of products these ad options are designed for, understanding where and how your ads will appear is critical. Local Inventory Ads and Local Conversion Ads serve different purposes and present information differently to prospects.

How do Local Inventory Ads appear?

Local Inventory Ads appear across Google Search, YouTube, and Gmail, disbursing your brand logo, headlines, images, and weekly featured products. On these platforms, your ads will appear in select areas, targeting individuals local to your store on content relevant to your product. The images below show how your ads could appear on different platforms.

1  Local product offerings may appear under the Google Business Profile of your or other businesses with similar inventories.

Image source: https://support.google.com/google-ads/answer/11348219?hl=en&ref_topic=12970830

2  Relevant products may appear under YouTube videos of related topics.

Image source: https://support.google.com/google-ads/answer/11348219?hl=en&ref_topic=12970830

 3 Your local inventory may appear in searches seeking products from local retailers.

Image source: https://support.google.com/merchants/answer/3057972?hl=en

How do Local Service Ads appear?

Correctly leveraging Local Service Ads through Google Ads creates the opportunity for your business to appear at the top of results pages for related searches. This precedence can bring in valuable leads and bookings for your business. The images below highlight how the features of Local Service Ads complement and build trust in your business's services.

1 The different badges offered by Google Ads to businesses that take specific steps for verification.

Image source: https://blog.google/outreach-initiatives/small-business/local-services-ads-expands/

2 Google Ads gives the option of connecting users to your Google Business Profile after selecting your service ads.

Image source: https://blog.google/outreach-initiatives/small-business/local-services-ads-expands/

3 Local Service Ads can also professionally present the offerings of restaurant locations.

Image source: https://support.google.com/google-ads/answer/11348219?hl=en&ref_topic=12970830

Getting Started

These advertising opportunities are certainly worth considering for any business and keep in mind that if you do not take advantage, someone else may. If you are interested in learning more about these offerings by Google Ads, follow the links below to read more about your business can get started.

Local Inventory Ads

Local Services Ads

If your business has many locations or wants to be fiercely competitive in this new advertising area, dbaPlatform can help. We provide a variety of tools and services designed around getting the most out of Google Ads for your business. With options to make managing marketing and advertising efforts for thousands of locations a breeze, we can help your business stay at the leading edge of its market.

Let dba set up and manage your feeds.

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