Local Services Ads Bid Ceiling Analyzer

Back into a Local Services Ads bid ceiling by combining booked job value, true profit margin, disputed lead rate, and close rate so you can set defensible CPL caps and budgets before peak seasons.

Defaults to 4 closed jobs per week if left blank.

Use historical close rates, refunds, and profit margins when setting bids. Monitor real-time LSA reports to adjust CPL caps before overspending.

Examples

  • $2,800 job value, 35% close rate, 12% refunds, 45% margin, 6 target weekly closes ⇒ Max CPL $501.14, 3.25 paid leads per close, $9,762.40 weekly budget, $42,271.18 monthly budget.
  • $950 job value, 25% close rate, 5% refunds, 30% margin, 3 target weekly closes ⇒ Max CPL $75.00, 4.21 paid leads per close, $947.37 weekly budget, $4,102.11 monthly budget.

FAQ

Should I include repeat-customer value?

If repeat work is common, increase the average revenue input or lower the target margin to reflect lifetime value before recalculating the CPL ceiling.

How do booking fees or platform charges affect the result?

Subtract platform fees from revenue or treat them as an additional refund percentage so the model nets out those costs before calculating CPL.

What if I want to grow aggressively and accept thinner margins?

Drop the margin input to the minimum profit you can tolerate per job. The calculator will surface a higher CPL ceiling and budget aligned with that strategy.

Can I split the budget across service categories?

Run the numbers for each category with its own job value and close rate, then sum the weekly budgets to set a blended cap in Google Ads.

Additional Information

  • Profit margin should reflect contribution margin after labor, materials, and overhead tied to the booked job—otherwise the CPL ceiling will be inflated.
  • Refund rate captures disputed, invalid, or shared leads credited back by Google. Lower refund approval rates reduce the paid lead share and lower your CPL ceiling.
  • Weekly and monthly budgets assume consistent pacing; re-run the model with seasonal close rates or job values to refresh your caps.
  • Pair the calculator with call-recording QA to monitor lead quality and update close rates quarterly.

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