In a recent development, we received information last week from the Google Partner’s team that there were some major changes coming to the Local Service Ads (LSAs) product. This information was just released to the public and was reported by Search Engine Land. Google is set to roll out “automated lead credits”, this change will be effective as of July 31, 2024. This change is significant as it aims to “streamline” the process for advertisers to receive credit for potentially poor-quality leads. For law firm’s who rely on LSAs to attract clients, this update could have a substantial impact on their budgets and overall experience with the platform.

The Automated Lead Credit System
The new automated lead credit system claims that by automatically reviewing all leads and crediting invalid ones without the need for manual disputes, it will save time for advertisers and ensure a more equitable distribution of ad credits. Make sure you read the fine print here though. In moving to this new automated version of lead crediting and eliminating the ability to manually request lead credits, they are also removing two of the most important categories that award the most credits. They will no longer be allowing ANY credits for "job type not serviced” and "geo not serviced" leads. We know from years of managing hundreds of LSAs campaigns that over 90% of lead disputes that are requested of Google fall into one of these two categories. That means, no credits for bad leads. In Google’s own words, “This change may mean fewer credits for some advertisers. It's important to remember that not every lead will convert into a customer.”

Impact on Law Firms
The shift towards automated lead credits in LSAs could potentially pose a significant impact on law firms' advertising budgets and overall lead quality. With credits typically applied within 30 days, it is crucial for advertisers to closely monitor their campaigns and make necessary adjustments based on the performance of their ads. It is more important than ever to make sure that your LSAs account settings are aligned with exactly what you are looking to attract in terms of case type and jurisdiction. Moreover, this change underscores the importance of diversifying lead sources between Local Services Ads and traditional search (PPC) campaigns to determine the most profitable channel for attracting clients.

Pivoting

At Convert It Marketing, we understand the challenges law firms face when navigating digital advertising platforms like Google Ads. Our team of experts can help you optimize your campaigns, maximize your ROI, and adapt to changes in the industry such as this most recent development of automated lead credits in Local Services Ads. By leveraging expertise, strategic insights and campaign tracking technologies, you can stay ahead of these changes and adopt new practices to ensure your firm’s revenue goals stay on track.

The introduction of automated lead credits in Google's Local Services Ads marks a significant shift in how advertisers receive credit for poor-quality leads. For law firm owners who rely on digital advertising platforms like Google Ads to attract clients, this update underscores the importance of staying informed about industry developments and proactively managing their campaigns. At Convert It Marketing, law firm owners can trust in the best guidance and marketing technology to ensure their firm’s marketing ROI is always optimized.