Hi there,
Thanks for reaching out! It sounds like you're facing a really common but frustrating problem for local business owners in places like Dundee. It's one thing to spend money on PPC, but it's another thing entirely to know if it's actually making the till ring by bringing people through your door. I'm happy to give you some initial thoughts and guidance on how you can get a much better grip on your campaigns and start seeing a real-world return on your ad spend.
The core issue usually isn't about just getting more clicks; it's about getting the right clicks from people in Dundee who are ready to visit and buy, and then being able to actually measure that effect. A lot of generic PPC advice falls flat for local businesses because it misses this crucial point. We're going to need to shift your focus from broad online metrics to specific, local, intent-driven actions.
TLDR;
- Your main problem is likely targeting and tracking, not the ad budget itself. Stop optimising for website clicks and start optimising for local actions like phone calls and direction requests.
- Google Ads (specifically Search and Local Service Ads) is almost certainly the best platform for you. Social media is generally poor for capturing immediate local demand for a physical store.
- Hyper-local targeting is essential. You need to structure your campaigns specifically around Dundee postcodes and surrounding areas, with ad copy that screams "we're right here".
- Tracking is everything. If you can't measure footfall directly, you MUST set up conversion tracking for proxy metrics: calls from ads, clicks on your map pin, and form fills for local enquiries.
- This letter includes a Local PPC Budget Calculator to help you estimate potential leads and a diagram showing an ideal Local Campaign Structure.
Your Ads Aren't Meant to Get Clicks, They're Meant to Get Customers
This might sound a bit backwards, but the first mindset shift we need to make is to stop caring so much about 'clicks' and 'impressions' in the traditional sense. For a local business like yours, these are vanity metrics. A thousand clicks from people in Glasgow or Aberdeen are worthless to you. Even a thousand clicks from people in Dundee who are just idly browsing are not much better. You are not an eCommerce store; your success is measured in footsteps, not website sessions.
The entire purpose of your PPC budget is to find people in your service area who have a problem you can solve or a need you can meet right now, and then make it as easy as possible for them to find your physical location. Every penny of your ad spend should be judged on one simple question: "Did this help a potential customer from the Dundee area take a step closer to walking through my door?"
Most local PPC campaigns fail because they are set up with a generic, nationwide mindset. They use broad keywords, vague location targeting, and optimise for website traffic. This approach is a surefire way to burn through your budget with very little to show for it in the real world. You end up paying for digital window shoppers instead of actual customers.
The strategy I'm going to outline is all about reversing this. We will focus relentlessly on local intent, local targeting, and local actions. It’s about quality over quantity. I'd rather have 10 clicks a day from people actively searching for "[your service] in Dundee" who then call you or ask for directions, than 100 clicks from a generic audience that just bounces from your website.
We'll need to look at choosing the right platform for local intent...
Before we even think about keywords or ad copy, we need to be sure we're fishing in the right pond. For a local business aiming to drive foot traffic, there is almost always one platform that massively outperforms all others: Google Ads.
Why? Because it's an 'intent-based' platform. People go to Google when they have an active need. They are literally typing their problem into the search bar. Someone searching for "emergency plumber Dundee" or "best coffee shop near me" isn't just browsing; they have an immediate requirement. By placing your business in front of them at that exact moment, you are solving their problem. This is fundamentally different from social media platforms like Facebook or Instagram.
On social media, you are interrupting them. They are scrolling through photos of friends, news, and entertainment. Your ad is an interruption to that experience. While you can target by location, you can't target by immediate need. You can show an ad for your Dundee-based boutique to everyone in the DD1 postcode, but you have no idea if any of them are looking to buy a new outfit today. For this reason, social media ads are generally much less effective for driving immediate foot traffic for most local businesses. They can be useful for building brand awareness over the long term, but if you want your ad budget to translate directly into customers this week, Google is where you need to focus your efforts and budget.
Specifically, within the Google ecosystem, there are two main campaign types you should be looking at:
- Google Search Ads: These are the classic text ads that appear at the top of the search results. They are incredibly powerful because you can target the exact keywords people are using when they need your services. This is going to be the backbone of your strategy.
- Google Local Service Ads (LSAs): If you're a service-based business (like a plumber, electrician, cleaner, etc.), this is a huge opportunity. LSAs appear right at the very top of the search results, even above the normal ads. You get a "Google Guaranteed" badge which builds immense trust, and crucially, you only pay per lead (a phone call or message), not per click. It's a much lower-risk way to get started and is designed specifically for local service providers. You'll need to go through a verification process with Google, but it's absolutely worth the effort.
For the rest of this letter, I'll be focusing primarily on a best-practice Google Search campaign, as the principles apply to almost any local business, but I strongly urge you to investigate LSAs if they are available for your industry. It could be a real game-changer.
I'd say you need to track what actually matters...
This is the single most important part of making your local PPC campaigns profitable. If you don't track the right outcomes, you are flying blind. You'll have no idea which keywords, ads, or locations are actually driving value, and you'll end up optimising for the wrong things.
As I mentioned, we don't care about clicks. We care about actions that lead to foot traffic. The gold standard is something Google calls "Store Visit Conversions." This uses anonymised location data from users' mobile phones to track how many people saw or clicked your ad and then physically visited your store. However, this is only available to businesses with a significant number of clicks and footfall, so it may not be an option for you right away. But don't worry, there are excellent proxy metrics we can track instead that are just as valuable:
- -> Phone Calls from Ads: This is a massive one. When someone is on their mobile and needs your service, they are far more likely to tap a 'Call' button than fill out a form. Using a Google Call Extension, we can add a clickable call button directly to your ads. We can then track every single time someone initiates a call from seeing your ad. This is a high-intent lead.
- -> Location/Direction Requests: Using a Location Extension, your business address can appear directly in your ad. On mobile, this becomes a clickable link that opens up Google Maps with directions to your front door. What could be a stronger signal of intent to visit than that? We can track every time someone clicks this.
- -> Calls from the Website: What if someone clicks the ad and then calls you from the number on your website? We can track this too. By installing a small piece of code on your site, we can dynamically swap your phone number with a unique Google forwarding number only for visitors who came from an ad. This allows us to attribute those calls back to the specific campaign and keyword that brought them there.
- -> Local-focused Form Fills: If you have a contact form on your website for quotes or appointments, this can also be tracked as a conversion. The key is to ensure the form is framed for local customers.
By setting up conversion tracking for these specific actions, we change the entire game. Instead of telling Google "get me cheap clicks," we can tell Google "get me more phone calls and direction requests from people in Dundee." The algorithm will then go to work optimising your campaigns to find people who are most likely to take those valuable actions. This is how you turn your ad spend into a predictable lead-generation machine rather than just a cost.
Without this tracking in place, any attempt to manage your campaigns is just guesswork. You might pause a keyword because it has a high cost-per-click, without realising it's actually your most profitable keyword because it drives the most phone calls. Setting this up properly is non-negotiable for success.
The Local Conversion Tracking Funnel
User Searches in Dundee
e.g., "tyre shop near me"
Clicks Hyper-Local Ad
Conversion Action 1: Clicks for Directions
Conversion Action 2: Clicks to Call
Foot Traffic & Sale
You probably should build a campaign that screams "Dundee"...
Now we get to the nuts and bolts of the campaign setup. The entire structure should be designed to capture local intent with maximum precision. Here’s how I would approach it:
Campaign Structure & Location Targeting
You should have at least one dedicated campaign just for Dundee and the immediate surrounding area. Don't lump it in with any other locations. Inside your campaign settings, this is where you get specific:
- -> Radius Targeting: Start by targeting, for example, a 10-15 mile radius around your business address. This is a good starting point.
- -> Postcode Targeting: Get even more granular. Add all the "DD" postcodes you service (DD1, DD2, DD3, etc.) as specific targets. This allows you to later see which postcodes are performing best and adjust your bids accordingly. Maybe you find that customers from DD4 convert at a higher rate, so you can tell Google you're willing to pay a bit more for clicks from that area.
- -> The "People in or regularly in" Setting: This is a critical setting. Under 'Location options', you must select "Presence: People in or regularly in your targeted locations". The default setting also includes people "who've shown interest in" your location. This is what causes you to get clicks from people in Glasgow who once searched for something related to Dundee. We want to eliminate that wasted spend completely.
Keyword Strategy: Think Like a Local
Your keywords need to reflect how real people in Dundee search for your services. We can group these into themes within different 'Ad Groups'. For example:
- -> Location-Based Keywords: This is your bread and butter. Think `[your service] Dundee`, `Dundee [your service]`, `[your product] in Dundee`. These show clear local intent.
- -> "Near Me" Keywords: Searches like `[your service] near me` have exploded in recent years. Google knows the searcher's location, so if you're the closest and most relevant result, you'll show up. It's vital to have an ad group dedicated to these terms.
- -> Service/Problem-Specific Keywords: What specific problems do you solve? `emergency boiler repair`, `cracked screen replacement`, `last minute gift ideas`. Combine these with your hyper-local location targeting.
- -> Negative Keywords: Just as important is telling Google what you don't want to show up for. Create a list of negative keywords like `free`, `jobs`, `training`, `DIY`, `cheap` (unless you are a price leader). This stops you from wasting money on irrelevant searches.
Ad Copy: Make it Obvious You're Local
Your ad needs to instantly signal to the searcher that you are a local business, not a national chain. This builds trust and increases click-through rates.
- -> Mention Dundee in the Headline: The most prominent part of your ad should have "Dundee" in it. For example: "Fast Boiler Repairs in Dundee" or "Dundee's Favourite Italian Restaurant".
- -> Use a Local Landmark or Street Name: In the description, add more local flavour. "Serving Dundee & Tayside" or "Just off the Kingsway". This creates an instant connection.
- -> Highlight a Local Offer: "Free Quote for all DD Postcodes" or "10% Off for Dundee Residents".
- -> Call to Action: Your call to action should encourage a local action. "Call Us Today for a Quote" or "Get Directions to Our Showroom".
Ad Extensions: Your Secret Weapon
Ad Extensions are extra snippets of information that can be added to your ads, making them larger, more informative, and more likely to be clicked. For local businesses, they are not optional; they are essential.
- -> Location Extension: This is the most important one. It links your Google Business Profile to your Google Ads account, allowing your address, phone number, and a map pin to appear with your ad. This is how you enable the "direction request" conversion we talked about.
- -> Call Extension: This adds your phone number or a clickable call button to your ad. Essential for capturing mobile searchers.
- -> Sitelink Extensions: These are additional links to specific pages on your site. You could have sitelinks for "Our Services," "Contact Us," "Opening Hours," and "About Our Dundee Team."
- -> Image Extensions: These allow you to add relevant images to your search ads, making them stand out visually. You could show pictures of your storefront, your team, or your products.
By combining this hyper-local structure, keyword strategy, ad copy, and extensions, you create a campaign that is perfectly aligned with the goal of driving foot traffic. It's designed from the ground up to attract and convert local customers, and nothing else.
You'll need to set a realistic budget...
This is always the big question: "How much should I spend?" The honest answer is that it depends heavily on your industry, the level of competition in Dundee, and how many leads you actually need.
However, I can give you some real-world benchmarks from campaigns we've managed. For local service businesses, the cost-per-lead (CPL) can vary wildly. For instance, we ran a campaign for a home cleaning company where we achieved a CPL of just £5. For childcare services, it was around $10 per signup. On the other hand, for a more competitive industry like HVAC services in a dense urban area, we're currently seeing a CPL of around $60. Your specific industry in Dundee will fall somewhere within a similar range.
Typical Cost Per Lead (CPL) for Local Services
Based on our campaign data
Average Range
The best way to determine your budget is to work backwards:
- How many new customers do you want per month from ads? Let's say you want 10.
- What is your lead-to-customer conversion rate? Let's say you close 1 out of every 4 qualified leads (a 25% conversion rate). This means you need 40 leads to get 10 customers.
- What is a realistic CPL for your industry? Let's estimate a CPL of £25 for your business in Dundee.
The calculation is then straightforward: 40 leads x £25/lead = £1,000 per month ad spend.
As a starting point, I usually recommend a minimum ad spend of £1,000 - £2,000 per month for a local business to gather enough data to properly optimise. If you spend too little, say £10 a day, you might only get one or two clicks and you'll never get enough data to know what's working. You need to be prepared to invest enough to let the system learn and to give your campaigns a real chance to achieve their goals. Of course, this is just a starting point, and as we gather data and prove the return on investment, the budget can be scaled up confidently.
Local Lead & Budget Estimator
Use this calculator to estimate the number of monthly leads (calls, direction requests, etc.) you might generate based on your ad spend and an estimated cost per lead (CPL). Adjust the sliders to match your goals and industry benchmarks.
Finally, a quick word on your website...
Your ads are only one half of the equation. Once someone clicks, they land on your website, and that experience has to seal the deal. Your website needs to immediately reinforce the local, trustworthy message of your ads.
- -> Make Your Address and Phone Number Obvious: They should be clearly visible in the header and footer of every single page. Don't make people hunt for them. The phone number should be "click-to-call" on mobile devices.
- -> Embed a Google Map: Show people exactly where you are. This builds trust and makes it easy for them to get directions.
- -> Use Local Testimonials and Reviews: Showcasing reviews from other people in Dundee is powerful social proof.
- -> Show Pictures of Your Team and Premises: People buy from people. Seeing the faces behind the business and the physical location makes you feel more real and approachable than a faceless national competitor.
- -> Ensure it's Mobile-Friendly: The vast majority of local searches happen on mobile phones. If your site is difficult to navigate on a small screen, you will lose customers. It needs to load fast and be easy to use.
Think of your ad as the signpost and your website as the welcoming front door. The journey between the two needs to be as smooth and reassuring as possible.
So, what's the plan?
I know this is a lot of information to take in, but the good news is that it's a proven, systematic approach. It's not about finding a magic bullet, but about putting a solid, logical structure in place that is designed specifically for a local business like yours. By focusing on local intent, precise tracking, and a compelling local message, you can transform your PPC campaigns from an expense into a reliable and profitable source of new customers.
This is the main advice I have for you:
| Area of Focus | Actionable Recommendation | Why It's Important |
|---|---|---|
| Platform | Pause other platforms and focus budget on Google Search Ads. Investigate eligibility for Google Local Service Ads. | Targets users with active, immediate intent, which is crucial for driving foot traffic and local service leads. |
| Tracking | Set up conversion tracking for phone calls (from ads and website), and direction requests via Location Extensions. | Allows you to optimise for actions that actually lead to customers, not just worthless clicks. This is the most critical step. |
| Location Targeting | Create a new campaign targeting only a radius around Dundee and specific DD postcodes. Crucially, set targeting to "Presence: People in...". | Eliminates wasted ad spend on clicks from outside your service area, focusing your budget where it matters. |
| Keywords | Build ad groups around location-specific keywords (e.g., "plumber Dundee") and "near me" terms. Build a robust negative keyword list. | Matches your ads directly to the language local customers are using when they need you. |
| Ad Copy & Extensions | Rewrite ads to include "Dundee" in headlines. Fully utilise Location, Call, and Sitelink extensions. | Increases click-through rate by signalling you're a genuine local business and provides easy ways for customers to contact you or find you. |
| Budget | Work backwards from your customer goals to set a monthly budget. A starting point of £1,000-£2,000 is realistic for meaningful data collection. | Ensures you invest enough to give the campaigns a fair chance to work and gather enough data for proper optimisation. |
Implementing all of this correctly does take a fair bit of work and expertise, especially the technical setup of the conversion tracking. It's often where businesses get stuck. Getting it wrong can mean you end up making decisions based on faulty data, which is worse than having no data at all. This is often why working with a specialist can be a shortcut to getting results much faster, avoiding the costly trial-and-error phase.
We do this day-in, day-out for businesses and have seen first-hand how a properly structured local campaign can become a cornerstone of a company's growth. If you'd like to have a chat about your specific situation, we offer a completely free, no-obligation initial consultation where we can look at your current setup and give you some more tailored advice.
Hope this helps!
Regards,
Team @ Lukas Holschuh
Lukas Holschuh
Founder, Growth & Advertising Consultant
Great campaigns fail without expertise. Lukas and his team provide the missing strategy, optimizing your entire advertising funnel—from ad creatives and copy to landing page design.
Backed by a proven track record across SaaS, eLearning, and eCommerce, they don't just run ads; they engineer systems that convert. A data-driven partnership focused on tangible revenue growth.