Local SEO vs Paid Ads: Which Gets More Leads?

Here’s a question every small business owner asks at some point: Should I spend money on SEO or run paid ads?

The answer isn’t one-size-fits-all. But if your goal is to get more local leads—calls, messages, bookings, walk-ins—then it helps to know what’s actually working.

So here’s the breakdown. No fluff. No jargon. Just what’s real for small businesses in places like Plano, Allen, Garland, and beyond.

What Local SEO Actually Means

Local SEO = getting found in organic search results when someone Googles something like “Mexican restaurant in McKinney” or “roof repair near me.”

It’s about:

A large share of search traffic—nearly half—is looking for local info. A 2022 study by ReviewTrackers found that 42% of consumers use search engines as their primary tool to find local businesses.

So yeah—if you’re not showing up, you’re invisible to half your market.

What Paid Ads Actually Are

Paid ads = showing up in top spots because you paid to be there. Think:

It’s fast, scalable, and when done right, it gets leads the same day.

The Pros of Local SEO

  1. You don’t pay per click. Once you’re ranking, the traffic’s free. That makes it sustainable.
  2. It builds trust. People trust organic results more than ads. Especially if you’ve got good reviews and clean info.
  3. It stacks. The more content you post, the more reviews you get, the more you show up.
  4. It helps with map rankings. If you want to show up in the map pack, local SEO is how you get there.
  5. It plays nice with everything else. Your website, your reviews, your social—all of it gets stronger.

The Cons of Local SEO

  1. It takes time. You don’t rank overnight. Sometimes it’s 30–90 days before you see traction.
  2. It needs upkeep. You have to keep adding content, managing reviews, updating profiles.
  3. Results vary by industry. It works best for high-intent, location-based services (think: dentists, contractors, auto repair).
  4. It doesn’t work if your website is trash. Seriously. No SEO band-aid fixes a bad site.

The Pros of Paid Ads

  1. You get leads fast. Turn it on, and the phone rings. Simple.
  2. It’s targeted. You can choose ZIP codes, keywords, times of day, device types—you name it.
  3. You control the budget. Spend $10 or $10,000. It’s flexible.
  4. You can test offers easily. Run two headlines, see which one wins. Done.
  5. It fills in the gaps while SEO works. Great for new businesses or seasonal pushes.

The Cons of Paid Ads

  1. You pay every time. No matter what. Whether they buy or not.
  2. It stops the second you stop paying. Turn it off? Leads stop. Period.
  3. It can burn cash fast if not set up right. Bad targeting = wasted budget.
  4. Some industries are expensive. “Personal injury lawyer near me” can cost $50+ per click.

What Actually Works Best?

Short answer: both.

Local SEO and paid ads aren’t enemies. They’re teammates.

SEO is your foundation. Paid ads are your fuel.

If your Google Business Profile is weak and your site has no SEO, running ads is like throwing gas on a car with no engine.

If you’re only doing SEO but it’s slow, paid ads fill the gap until your rankings kick in.

This is especially true in industries like restaurants. We broke it down in this post about smart Google Ads strategies for restaurants. Even with great SEO, paid campaigns bring in more consistent bookings when they’re set up right.

A Real-World Example

Let’s say you’re a local HVAC company in Garland.

Here’s how the combo works:

And you’re not depending on one channel.

What About Cost?

Local SEO is usually a flat fee or monthly retainer. Paid ads are variable—based on your budget + ad spend.

At Ad Pages Solutions, we help clients figure out:

Then we match the strategy to the budget.

For example:

A med spa in Plano might spend $1,200/month on SEO and $1,000 on Google Ads

A roofing company in Lewisville might run $800/month on SEO and spend $2,500 in peak season for ads

When to Start with SEO First

When to Start with Ads First

Final Thought

Local SEO builds your reputation. Paid ads drive traffic.

You don’t have to pick one. You just have to know what to use—and when.

If you’re not sure where to start, we help local businesses all over Texas figure it out. From restaurants in Frisco to contractors in McKinney, we’ve helped them stop wasting money and start getting better leads.

You don’t need a fancy agency or a massive budget. You just need a smart plan that fits where your business is right now.

Let’s talk.

Chatting with a Marketing Expert

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