Google Ads vs Facebook Ads for NZ Service Businesses: Real Data
We've run both Google Ads and Facebook Ads for NZ service businesses. Here's the real CPL, conversion rate, and lead quality data to help you choose.
Key Takeaways
- Google Ads delivers higher-intent leads at slightly higher CPLs. Our cleaning campaign hit $5.93/lead with a 24% conversion rate and bookings within the first week.
- Facebook Ads delivers higher volume at lower CPLs but requires more lead qualification. Our plumbing campaign generated 120 leads at $7.21 each.
- For NZ service businesses, the best strategy uses both. Google captures people searching right now. Facebook builds a pipeline of future customers.
- Google Ads wins for emergency and urgent services. Facebook Ads wins for brand awareness, lead magnets, and high-volume campaigns.
- All data in this post comes from real NZ campaigns we managed for service businesses including cleaning, plumbing, accounting, and real estate.
“Should I use Google Ads or Facebook Ads?”
It is the most common question NZ service business owners ask when they are ready to start advertising online. And the answer from most agencies is a frustrating “it depends.”
We have run both platforms for NZ service businesses across multiple industries. Instead of giving you theory, here is real data from actual campaigns so you can make an informed decision.
The Data: Google Ads vs Facebook Ads Side by Side
Here is how both platforms performed across our NZ service business campaigns:
Google Ads Results
| Industry | CPL | Conversion Rate | Leads | Campaign Length |
|---|---|---|---|---|
| Cleaning Services | $5.93 | 24% | 7 leads | 14 days |
| Plumbing Services | $7.21 | N/A | 120 leads | Ongoing |
| Real Estate | $39.72 | N/A | 37 leads | Ongoing |
Facebook Ads Results
| Industry | CPL | Leads | Total Spend | Campaign Length |
|---|---|---|---|---|
| Non-Profit | $6.21 | 83 signups | $515 | Short campaign |
| Restaurant Events | $7.24 | 83 leads | $601 | Short campaign |
| Accounting/Tax | $19.30 | 104 leads | $2,007 | Seasonal |
| Automotive | $16.02 | 494 leads | $7,916 | 4 months |
| Restaurant Awareness | $0.46/visit | 10,620 visits | ~$4,885 | Ongoing |
The numbers tell a clear story, but the story is not “one platform is better.” Each platform excels in different situations.
When Google Ads Wins
High-Intent, Urgent Services
When someone Googles “plumber near me” or “emergency electrician Auckland,” they need help right now. They are not browsing. They are not researching. They have a burst pipe or a power outage and they need someone today.
Google Ads captures this intent perfectly. You are showing your ad to someone at the exact moment they are looking for your service. This is why our cleaning leads campaign achieved a 24% conversion rate. Nearly 1 in 4 people who clicked the ad became a lead. They were actively searching for a cleaner, found our client, and enquired.
Google Ads is best for:
- Emergency services (plumbing, electrical, locksmith)
- Services people search for when they need them (cleaning, pest control, auto repair)
- High-value services where people research before buying (real estate, legal, financial)
- Businesses in areas with moderate competition (not too many advertisers bidding up the CPCs)
Faster Speed to Lead
Our cleaning campaign generated bookings within the first week of a 14-day campaign. Google Ads can produce leads from day one because the demand already exists. You are not creating awareness or educating people. You are simply showing up when they search.
For a new business or a business entering a new market, Google Ads gives you immediate visibility that SEO takes months to build.
More Predictable Lead Quality
Because Google Ads targets search intent, the lead quality is inherently higher. Someone searching “accountant for small business Auckland” is further along the buying journey than someone scrolling Facebook who sees an ad for accounting services.
This does not mean every Google lead converts. But on average, Google leads require less nurturing and convert faster than Facebook leads.
When Facebook Ads Wins
High-Volume Lead Generation
Facebook’s strength is scale. Our automotive campaign generated 494 leads in 4 months. Achieving that volume through Google Ads alone would have been difficult because there are only so many people searching for “buy car Auckland” each month.
Facebook reaches people based on demographics, interests, and behaviour rather than search queries. This means you can reach a much larger audience, including people who need your service but have not started searching yet.
Facebook Ads is best for:
- High-volume lead generation (when you need 50–500+ leads per month)
- Brand awareness campaigns (like our $10/day restaurant campaign that reached 182,805 people)
- Lead magnet funnels (our mortgage brokerage funnel converted at 10.44%)
- Event promotion and community building
- Industries where visual creative drives decisions (food, real estate, retail)
Lower Cost for Awareness and Top-of-Funnel
Our restaurant brand awareness campaign achieved $0.46 per website visit on Facebook. The equivalent on Google Ads would cost $2–$5 per click for restaurant keywords. For pure brand-building on a budget, Facebook is significantly more cost-effective.
The non-profit campaign generated 83 signups at $6.21 each with just $515 in total spend. For organisations with limited budgets, Facebook’s lower entry point makes it accessible.
Better for Lead Magnet Strategies
Lead magnets (free guides, checklists, calculators) work exceptionally well on Facebook because you are offering value before asking for a sale. Our first home buyer guide funnel generated 640 leads at a 10.44% conversion rate through Facebook Ads.
Google Ads can drive traffic to lead magnets too, but the cost per click for informational queries tends to be lower on Facebook because you are not competing with the same commercial intent bidding.
Stronger for Retargeting
Facebook’s retargeting capabilities (showing ads to people who visited your website, watched your videos, or engaged with your content) are more sophisticated and typically cheaper than Google’s equivalent. If someone visits your website but does not enquire, Facebook lets you follow up with ads across Facebook and Instagram at a low cost.
The Real Answer: Use Both
For most NZ service businesses, the optimal strategy is not choosing one platform. It is using both for different purposes.
The Combined Strategy
Google Ads: Capture existing demand. Run Search campaigns targeting high-intent keywords in your service area. These are your “bottom of funnel” leads who are ready to buy or hire now. Budget 60–70% of your ad spend here if you need immediate leads.
Facebook Ads: Build future demand. Run brand awareness campaigns to stay visible in your local area. Use lead magnets to capture people earlier in the buying journey. Retarget website visitors who did not convert. Budget 30–40% of your ad spend here.
The flywheel effect: Over time, your Facebook brand awareness campaigns increase the number of people who know your business. When they eventually need your service, they Google your business name directly. This increases your branded search traffic and reduces your overall cost per acquisition.
Budget Split by Business Stage
New business (0–6 months):
- 80% Google Ads (need immediate leads to survive)
- 20% Facebook Ads (basic brand awareness)
Established business (6–24 months):
- 60% Google Ads (steady lead flow)
- 40% Facebook Ads (building pipeline and awareness)
Mature business (2+ years):
- 50% Google Ads (optimised for best keywords)
- 50% Facebook Ads (scaling awareness, lead magnets, retargeting)
- Plus SEO investment to reduce dependence on paid channels
Platform Comparison Summary
| Factor | Google Ads | Facebook Ads |
|---|---|---|
| Lead intent | High (searching now) | Lower (interrupted while browsing) |
| Lead volume | Limited by search demand | High (broad audience targeting) |
| CPL for NZ services | $5.93–$39.72 | $6.21–$19.30 |
| Best for | Urgent/emergency services | Brand awareness, lead magnets |
| Speed to first lead | Days | Days to weeks |
| Lead nurturing needed | Less | More |
| Creative requirements | Text-based ads | Visual (images, video) |
| Retargeting | Good | Excellent |
| Minimum budget | $20–$30/day | $10–$20/day |
| Best conversion metric | Phone calls, form fills | Lead forms, landing pages |
Common Mistakes
On Google Ads
Not using negative keywords. If you are a residential plumber, you do not want to pay for clicks on “commercial plumbing contractor.” Negative keywords prevent your ads from showing for irrelevant searches.
Sending traffic to your homepage. Every ad should link to a dedicated landing page that matches the search query. Someone searching “blocked drain Auckland” should land on a page about blocked drain services, not your homepage.
Not tracking phone calls. For service businesses, phone calls are often more valuable than form submissions. Set up call tracking so you know which keywords and ads drive phone calls.
On Facebook Ads
Optimising for link clicks instead of leads. If you tell Facebook to find people who click links, it will find clickers, not buyers. Always optimise for the conversion event closest to revenue (lead form submission, phone call, purchase).
Running the same ad for months. Creative fatigue kills Facebook campaigns. Rotate new creative every 2–3 weeks. Our car sales campaign succeeded because we tested dozens of creative variations over 4 months.
Too broad or too narrow targeting. For local services, target a 5–15km radius around your service area. Adding dozens of interest-based targeting layers often hurts more than it helps because it limits Facebook’s algorithm.
Frequently Asked Questions
Are Google Ads or Facebook Ads better for small businesses in NZ?
Both work well for NZ small businesses, but for different purposes. Google Ads is better for capturing people actively searching for your service (higher intent, faster conversion). Facebook Ads is better for building awareness, generating high volume leads, and running lead magnet campaigns. Our NZ data shows Google Ads CPLs of $5.93–$39.72 and Facebook Ads CPLs of $6.21–$19.30 depending on industry.
How much should a NZ service business spend on ads?
Start with $20–$50/day ($600–$1,500/month) split between Google and Facebook. This is enough to test both platforms and identify which delivers better results for your specific service and location. Scale spend into whichever platform delivers lower CPL and higher lead quality. Read our full digital marketing budget guide.
Can I run Google Ads and Facebook Ads at the same time?
Yes, and you should. The platforms serve different functions and reach different audiences. Google captures people searching now. Facebook builds awareness with people who will search later. Running both creates a flywheel where brand awareness on Facebook drives more branded searches on Google, reducing your overall cost per acquisition.
Which platform has better lead quality?
Google Ads typically delivers higher-quality leads because users are actively searching for your service. Our Google Ads cleaning campaign had a 24% conversion rate with bookings in the first week. Facebook leads require more qualification but come at higher volume and lower cost. Using qualifying questions in Facebook lead forms (budget, timeline, specific needs) significantly improves Facebook lead quality.
All data in this post comes from actual campaigns managed by Lucid Media for New Zealand service businesses. For a personalised recommendation on which platform is right for your business, book a free consultation.
Jason Poonia