Running a local business means you’re competing for attention in your own backyard. You need customers who live nearby, work in your area, or visit your region. But here’s the problem… it’s so easy to spend big with a marketing budget that look might look impressive, but doesn’t actually bring in customers.
Let’s talk about what works in local business marketing, what doesn’t, and how to spend your marketing dollars where they’ll actually make a difference.
The local business marketing trap
TV ads. Facebook campaigns. Radio spots. Billboards. These channels can all drive thousands of impressions. Sounds great, right?
The issue isn’t that these channels are bad. It’s that they’re often used wrong. A local restaurant might spend $5K on Facebook ads and get 50,000 impressions, but only three new customers. A medical practice might run radio ads for months without tracking whether anyone actually booked an appointment because of them.
These advertising channels can work very well for general branding. But if you’re running them by themselves, without a broader strategy or a way to measure real results, you’re probably throwing money away.
The trap here is spending on visibility without tracking what actually drives revenue. Impressions don’t pay your bills. Customers do.
These marketing channels can be invaluable in getting new eyes on your business, but to work effectively you need to have the broader strategy in place that makes them worthwhile.
What actually moves the needle
Here’s what works for local business marketing. These are the activities that bring real customers through your door.
Claim and optimize your Google Business Profile
Your Google Business Profile is probably the most important free marketing tool available. When someone searches “plumber near me” or “best brunch on the Sunshine Coast”, Google shows local businesses. If you’re not showing up, you’re invisible.
Set up your profile properly:
- Add your business hours, phone number, and address
- Upload quality photos of your business, team, and products
- Choose the right business categories
- Post updates regularly
This is quick, easy and simple. For some more detailed information on setting up, see the Google Business Listing section in our website launch guide.
But here’s where most local businesses drop the ball: reviews. Your Google reviews are social proof that you’re legit. Ask happy customers to leave reviews. Respond to every review, good and bad. This shows potential customers that you care about their experience.
According to BrightLocal’s 2024 research, 81% of consumers that check reviews do so on Google , and 71% won’t consider a business with less than a 3-star rating. Reviews matter.
Get out in your community
Face-to-face marketing is still one of the most powerful tools you have as a local business. Network at chamber of commerce events. Sponsor a local sports team. Show up at community festivals. Partner with other local businesses.
Why does this work? Because people buy from businesses they know and trust. When someone meets you in person, you’re no longer just another business. You’re a real person they’ve talked to.
This doesn’t cost much. It just takes time and consistency. But the relationships you build through local networking create customers who stick around and refer others.
There is a huge trend in buying local, and both consumers and business owners are increasingly trying to support local businesses and services within their region.
Get your local SEO sorted
Local SEO is how you show up when people in your area search for what you offer. It’s not just about your Google Business Profile. Your website plays a huge role here, and there are on-site and off-site factors that determine how visible your business is locally.
Your website needs to clearly show where you’re located and what areas you serve. Include your city and region in key places:
- Your homepage content
- Service pages
- Footer
- Contact page
Create content that mentions local specific information such as landmarks, suburbs, and areas you serve. If you’re a physiotherapy clinic in Brisbane, write about “sports injuries in Brisbane” or “physiotherapy for runners in the inner city”. This helps Google understand where you operate, and builds trust with customers in your area.
Build local backlinks too. Get listed in local business directories. Partner with other local businesses and link to each other. Sponsor local events that list you on their website. These local links tell Google you’re a legitimate business in your area.
A quality, well designed website is the foundation for all of this. It’s where potential customers land when they find you through Google, your Google Business Profile, or local searches. If your site isn’t optimised for local marketing, you’re losing customers before they even contact you.
Track what’s working
This is where most local businesses fail. You need to know what’s actually driving results.
Set up Google Analytics on your website. Track where your traffic comes from. Look at which marketing activities lead to contact form submissions, phone calls, or online bookings.
When someone calls, ask how they heard about you. Create a simple spreadsheet and track it. After a few months, you’ll see patterns. Maybe 60% of new customers found you on Google. Maybe 20% came from word of mouth. Maybe that expensive Facebook campaign only brought in 2%.
Now you know where to focus your budget.
Where bigger campaigns fit in
Advertising and marketing channels that are more focused on visibility like billboards, radio ads, TV spots and branding Facebook campaigns aren’t a waste. These can be so important in being visible, and top of mind for customers. But they need to be part of a bigger strategy.
If you’re spending on visibility based marketing, make sure your website is ready to convert visitors. Ensure your Google Business Profile is optimised so people can find you easily. Track the results with a specific offer or landing page for that campaign, so you can see what’s working.
The same goes for any paid advertising. It needs to work alongside your foundational marketing (your website, your local presence, your SEO). If you’re spending thousands on ads but your website loads slowly, has no clear call to action, or doesn’t show up in local searches, you’re wasting money.
Think of it like building a house. You need a solid foundation before you add the fancy features. Your website, Google Business Profile, and local SEO are the foundation. Paid advertising is the fancy feature.
The best investment you can make
Local business marketing isn’t complicated. It’s about showing up where your customers are looking, building real relationships in your community, and making it easy for people to choose you.
Start with the essentials:
- Get active in your local community
- Optimise your Google Business Profile and collect reviews
- Make sure your website is set up for local SEO
- Track everything so you know what’s working
Once you’ve nailed those, you can layer in paid advertising and bigger campaigns. But without the foundation, you’re just burning money.
Most local businesses do this backwards. They spend big on advertising before they’ve sorted the basics. Don’t be one of them.
Frequently asked questions
How much should a local business spend on marketing?
Most small businesses should aim for 5-10% of revenue on marketing. Start with free or low-cost activities like Google Business Profile optimisation and local networking. Once you’re tracking results, you can invest more in paid channels that work.
How long does it take to see results from local SEO?
Local SEO typically takes 3-6 months to show significant results. You might see quicker wins from Google Business Profile optimisation, especially if you’re collecting reviews. Be patient and consistent.
Should I use Facebook ads for my local business?
Facebook ads can work, but only if you have a clear strategy, a well-optimised website, and a way to track results. Don’t start with Facebook ads. Start with the free stuff that builds your local presence first.
What’s the most important factor for local search rankings?
Google Business Profile optimisation and reviews are the biggest factors. After that, it’s having a website that clearly shows your location and the areas you serve, plus building local backlinks.
How do I get more Google reviews?
Ask. Most customers are happy to leave a review if you ask them at the right time. Send a follow-up email after a purchase or service. Make it easy by including a direct link to your review page. And always respond to reviews.
Do I need a website for local business marketing?
Yes. Your website is your home base online. It’s where people go to learn more about you, see your services, and contact you. Without a website, you’re missing out on customers who want to research before they buy.
Need a hand?
Ready to get your local marketing sorted? Your website is the foundation everything else builds on. Get in touch and we’ll make sure your site is set up to bring in local customers.
