Hi there,
Thanks for reaching out! Happy to give you some initial thoughts on your Google Ads situation in Austin. It's a common problem, seeing spend go up without the conversions to match, and it's bloody frustrating. Tbh, when I see this, it’s rarely about just tweaking a few bids or keywords. The real issue is usually deeper.
TLDR;
- Your low conversion rate likely isn't a Google Ads problem; it's a strategy problem. Stop focusing on keywords and start focusing on the urgent, expensive 'nightmare' your ideal customer is trying to escape.
- Stop trying to lower your Cost Per Lead and instead calculate your Customer Lifetime Value (LTV). Knowing what a customer is truly worth allows you to afford the high-quality leads that actually convert.
- Your offer is probably the biggest leak in your funnel. A generic "Contact Us" form is a conversion killer. You need to create a high-value, low-friction offer that solves a small piece of your customer's problem for free.
- This letter includes an interactive LTV calculator to help you figure out what you can *really* afford to pay for a lead, and a flowchart to map your customer's journey from problem to purchase.
- The most important advice is to stop thinking like an advertiser and start thinking like your customer's most trusted problem-solver.
We'll need to look at your customer's 'nightmare', not just their keywords...
Right, let's get one thing straight. The reason your campaigns are failing isn't because you picked the wrong keywords. It's because you're targeting demographics, not desperations. "Homeowners in Austin, TX" tells you nothing. But "a homeowner in Austin with a broken air conditioner in the middle of July who's terrified of a $5,000 replacement bill"… that’s a person you can sell to. You're not selling a service; you're selling a solution to a nightmare.
Your Ideal Customer Profile (ICP) isn't a collection of data points. It's a problem state. What's the specific, urgent, and expensive pain that keeps them up at night? What are the consequences of them *not* solving this problem right now? Once you understand that, your entire approach changes. You stop bidding on generic terms like "electrician Austin" and start targeting the long-tail, high-intent keywords that signal true urgency, like "emergency electrical repair cost Austin" or "why is my circuit breaker constantly tripping".
This is the fundamental shift you need to make. You have to get inside their head and map out their journey from the moment they realise they have a problem to the moment they decide to hire someone. Most businesses skip this work, which is why most businesses fail at Google Ads. You need to become an expert in their problem before you can sell them a solution.
1. Identify the 'Nightmare'
What urgent, expensive problem keeps your ideal customer awake at night?
2. Map the Intent
What specific phrases would they type into Google when this nightmare strikes?
3. Craft the Message
Create ad copy that speaks directly to their pain and offers immediate relief.
I'd say you need to stop chasing cheap clicks and start calculating what a customer is actually worth...
The second big mistake I see is an obsession with getting the lowest possible Cost Per Lead (CPL). It's a fool's errand. The real question isn't "How low can my CPL go?" but "How high a CPL can I afford to acquire a fantastic customer?" This is where understanding your Customer Lifetime Value (LTV) becomes your secret weapon.
Most service businesses in Austin are fighting over the cheap, low-quality leads, leaving the high-value, high-intent leads on the table because they look "too expensive." But if you know that one great customer is worth, say, $10,000 to your business over their lifetime, doesn't paying $200 or even $300 to acquire them suddenly seem like an incredible bargain? This is the maths that unlocks scalable, profitable growth.
You need to know your numbers cold. What's your average revenue per customer? What's your profit margin? And, crucially, how often do customers come back? Once you have these figures, you can calculate your LTV and, from there, a maximum Customer Acquisition Cost (CAC) that still keeps you very profitable. We usually aim for a 3:1 LTV to CAC ratio. This simple calculation will free you from the tyranny of cheap leads and give you the confidence to outbid your competitors for the customers that actually matter.
You probably should rethink your offer, not just your ad copy...
Now we get to the biggest failure point in most advertising funnels: the offer. I guarantee your landing page currently has a "Contact Us for a Free Quote" button. Am I right? This is possibly the most arrogant, high-friction Call to Action in marketing. It presumes a busy, stressed-out person in Austin has nothing better to do than fill out a boring form and wait for a sales call.
Your offer's only job is to deliver a moment of undeniable value—an "aha!" moment that makes the prospect sell *themselves* on your solution. You need to stop asking for their business and start earning it. How? By solving a small, real problem for them for free, right now. This builds trust and proves your expertise before you ever ask for a penny. It makes the decision to hire you a formality, not a leap of faith. It's a separate and completely different mindset.
Instead of a "Free Quote," what if you offered a "Free 15-Point Home Electrical Safety Check Report"? Or an "Instant HVAC Tonnage Calculator"? Or a "Free Gutter Clogging Risk Assessment"? These are valuable assets that provide immediate utility. They get their email address, position you as the expert, and start a conversation on your terms. It's about giving value first. That’s how you get conversions.
| Metric | The Old, Broken Offer | The New, High-Value Offer |
|---|---|---|
| Call to Action | "Request a Free Quote" | "Get Your Free Home Energy Audit" |
| Perceived Value | Low (This is a sales pitch) | High (I get valuable info for free) |
| Friction | High (I have to wait for a call) | Low (I get instant value) |
| Psychology | "I am being sold to." | "This company is helping me." |
| Result | Low conversion rate, high CPL | Higher conversion rate, lower CPL |
You'll need a message they can't ignore...
Once you've defined the nightmare and created an irresistible offer, writing the ad copy becomes much easier. You stop talking about yourself and your services ("20 Years of Experience!") and start talking about them and their pain. The best framework for this, especially for service businesses, is Problem-Agitate-Solve.
You don't sell "AC repair"; you sell a cool night's sleep during a Texas heatwave. You don't sell "roofing services"; you sell peace of mind during a thunderstorm. Your ad needs to hit them where it hurts, gently twist the knife, and then present your high-value offer as the immediate painkiller.
Let's take an HVAC company in Austin as an example:
Problem: "Is your AC struggling to keep up with the Austin heat?"
Agitate: "Don't wait for a total breakdown and a $5,000 bill. Every extra hour it runs inefficiently is adding to your energy costs."
Solve: "Find out exactly how healthy your system is. Get our Free 10-Point AC Performance Check and see how much you could save."
See the difference? That ad speaks directly to a specific fear and provides an immediate, value-driven solution. It’s not about you; it's about them. That's persuasive advertising. This is how you stop competing on price and start competing on expertise. It's a completely different way of looking at it, and it works.
Problem
Hook the reader by identifying a pain point they recognise immediately. "Is your AC struggling..."
Agitate
Intensify the problem by highlighting the negative consequences of inaction. "...don't wait for a total breakdown and a $5,000 bill."
Solve
Present your high-value, low-friction offer as the clear, easy solution to their pain. "Get our Free 10-Point AC Performance Check..."
We'll need to fix your landing page, it's probably leaking money...
Finally, all this work is for nothing if your landing page doesn't seal the deal. You can have the best ad in the world, but if it sends people to a slow, confusing, untrustworthy page, you're just burning cash. Your landing page must have one job and one job only: to get the visitor to take you up on your high-value offer.
That means no navigation bar to distract them. No links to other parts of your site. No competing calls to action. Just a clear headline that matches the ad, a concise explanation of the value they're about to receive, and a simple form to claim the offer. You need to make it as easy as possible for them to say yes.
Trust is also massive, especially for local services. Your page needs to scream "legitimate and professional." That means including customer reviews (with photos!), any local awards or certifications, your physical Austin address, and a professional design. Even a small improvement in your landing page conversion rate can have a huge impact on your overall profitability. If you double your conversion rate from 2% to 4%, you've just halved your Cost Per Acquisition without spending a single extra penny on ads.
This is the main advice I have for you:
There's a lot to take in here, I know. It's a fundamental shift away from how most people approach Google Ads. To make it more actionable, I've broken down the strategy into a clear plan. This is the exact process we'd follow to turn your campaigns around.
| Step | Action Required | Why It Matters |
|---|---|---|
| 1. Define the Nightmare | Interview past customers. Identify the single most urgent, expensive problem you solve for them. | Shifts your focus from generic services to high-value solutions, allowing for more precise targeting and messaging. |
| 2. Calculate Your LTV | Use the calculator above. Determine what a new customer is actually worth to your business over their lifetime. | Frees you from chasing cheap clicks and gives you the confidence to pay what's necessary to acquire high-quality customers. |
| 3. Create a Value-First Offer | Brainstorm a free tool, checklist, or audit that solves a small piece of your customer's nightmare instantly. | Lowers conversion friction, builds trust, and positions you as an expert before you ever ask for a sale. |
| 4. Rewrite Your Ads | Apply the Problem-Agitate-Solve framework to your ad copy, focusing entirely on the customer's pain. | Creates ads that resonate emotionally and drive clicks from people with genuine intent, not just casual browsers. |
| 5. Build a Dedicated Landing Page | Create a simple, focused page with a single goal: delivering your new high-value offer. Add trust signals. | Maximises the conversion potential of every click you pay for, directly lowering your cost per acquisition. |
This isn't a quick fix, and it requires a real commitment to understanding your customer on a deeper level. But this is how you build a reliable, scalable customer acquisition machine on Google Ads, rather than just gambling with your ad spend month after month.
Getting this right can be tough when you're also busy running your business. It involves a lot of testing, analysis, and strategic thinking. If you feel like you could use an expert eye to help implement this strategy and start seeing a real return on your ad spend, we offer a completely free, no-obligation consultation where we can review your account together and build a tailored action plan.
Hope this helps!
Regards,
Team @ Lukas Holschuh