Why Ad Extensions Are Non-Negotiable
Ad extensions (now officially called "assets" by Google) expand your ad with additional information — phone numbers, addresses, links to specific pages, promotional offers, and more. They are free to add, and Google only charges you if someone clicks on the extension itself, at the same CPC as a headline click.
The impact on performance is significant and well-documented. Ads with extensions see 10-25% higher click-through rates than ads without them. They also improve your Ad Rank, which means better positions and lower costs. Google has stated that ad extensions are a factor in the Ad Rank calculation, meaning two ads with identical bids and Quality Scores will rank differently based on their extension setup.
Despite this, I audit local business accounts weekly where extension setup is incomplete, outdated, or entirely missing. Here is every extension local businesses should use, how to set them up, and how to optimize them.
Sitelink Extensions
Sitelinks add additional links below your main ad, directing users to specific pages on your website. You can add up to 8 sitelinks per campaign, though Google typically shows 2-6 depending on the device and ad position.
Best sitelinks for local businesses:
- "Get a Free Quote" — links to your quote request form. This sitelink alone often generates 15-20% of total ad clicks.
- "Our Services" — links to your full service menu page
- "Reviews and Testimonials" — links to a reviews page. Builds trust before the click.
- "Service Areas" — links to a page listing the cities and zip codes you cover
- "About Us" — links to your company story page
- "Financing Available" — if you offer payment plans, this sitelink attracts budget-conscious buyers
Include a 2-line description for each sitelink. Ads with sitelink descriptions show expanded sitelinks, which take up significantly more screen space and push competitor ads further down the page.
Call Extensions
Call extensions add your phone number to the ad, and on mobile devices, they display a clickable call button. For local service businesses, call extensions are the single most valuable extension type.
Setup best practices:
- Use a tracked forwarding number so you can measure call conversions
- Set call reporting to count calls of 60 seconds or longer as conversions (shorter calls are typically hang-ups or wrong numbers)
- Schedule call extensions to show only during business hours when someone can answer the phone. Calls that go to voicemail convert at under 5%, compared to 35-50% for answered calls.
- If you use a call center or answering service after hours, extend your schedule accordingly
Location Extensions
Location extensions show your business address, a map pin, and the distance from the searcher. They are essential for any business with a physical location or defined service area.
To enable location extensions, link your Google Business Profile to your Google Ads account. This connection also enables your ads to appear on Google Maps — a channel that drives significant foot traffic for retail and service businesses.
Performance impact: ads with location extensions see 10-15% higher engagement rates for local service queries. They are especially powerful for "near me" searches, which have grown 150% over the past two years.
Callout Extensions
Callouts are short text snippets (up to 25 characters each) that highlight key selling points. They do not link anywhere — they simply add information to your ad. You can add up to 10 callouts per campaign.
Effective callouts for local businesses:
- "Licensed and Insured"
- "Family-Owned Since 2005"
- "Same-Day Service"
- "Free Estimates"
- "24/7 Emergency Service"
- "5-Star Rated"
- "100% Satisfaction Guarantee"
- "Financing Available"
Create at least 6-8 callouts so Google has options to test different combinations. Review callout performance quarterly and replace underperformers.
Structured Snippet Extensions
Structured snippets let you highlight specific aspects of your services using predefined headers. For local businesses, the most useful headers are:
- Services: "Roof Repair, Roof Replacement, Gutter Installation, Siding"
- Neighborhoods: "Midtown, Buckhead, Decatur, Sandy Springs"
- Brands: "Carrier, Lennox, Trane, Goodman" (for HVAC contractors)
- Types: "Residential, Commercial, Industrial"
Structured snippets give Google additional context about your business, which improves ad relevance scores and helps match your ad to the right searches.
Price Extensions
Price extensions display your services with starting prices in a carousel format below your ad. They are underused by local businesses but incredibly effective at pre-qualifying clicks.
Example for a cleaning company:
- House Cleaning — From $149
- Deep Clean — From $249
- Move-Out Clean — From $299
- Office Cleaning — From $199/visit
Price extensions filter out price-shoppers who cannot afford your services, reducing wasted clicks. They also set expectations, which leads to higher-quality conversations when leads do call or submit a form.
Promotion Extensions
Use promotion extensions for seasonal offers, first-time customer discounts, or limited-time deals. They display a price tag icon and highlight the offer prominently.
Tips for effective promotion extensions:
- Set start and end dates to create urgency
- Use specific dollar amounts or percentages ("$50 Off" outperforms "Special Discount")
- Align promotions with seasonal demand: spring cleaning specials, winterization deals, back-to-school offers
- Update monthly — stale promotions lose impact and can hurt credibility
Image Extensions
Image extensions add a visual element to your Search ads — a small image displayed alongside your text. Google expanded this feature in 2024, and it is now available to most advertisers.
Best practices for local businesses:
- Use images of your actual work (before/after shots work well for home services)
- Show your team or branded vehicles for trust-building
- Avoid generic stock photos — they reduce trust rather than build it
- Upload both square (1:1) and landscape (1.91:1) formats
Extension Optimization Checklist
Run through this checklist quarterly to keep your extensions performing:
- Are all applicable extension types active? (Most local businesses should use 6 or more types.)
- Are call extensions scheduled to match your phone availability?
- Are sitelink descriptions filled in for all sitelinks?
- Are promotions current and not expired?
- Has your Google Business Profile been linked for location extensions?
- Are price extensions updated to reflect current pricing?
Ad extensions are the easiest way to improve Google Ads performance without spending an additional dollar. They take 30-60 minutes to set up properly and deliver measurable improvements in CTR, ad position, and cost efficiency. If your extensions are incomplete, fixing that should be today's priority.