Electrical work has one genuinely good piece of news buried in the ad-cost data: leads tend to run cheaper here than almost anywhere else in home services. That's not a reason to skip checking the math, though — a cheap lead that doesn't book a job is still a wasted one, and the agency fee on top of ad spend still needs to be accounted for either way.
This guide covers how to check Google Ads ROI for electrical contractors using reports you already have, why electrical's naturally lower cost per lead can still hide an unprofitable account, and how to calculate a true cost per customer.
Why "Cheap Leads" Isn't the Same as "Working"
A $39 lead sounds inexpensive next to $104 for HVAC or $167+ for plumbing. But cost per lead only tells you what you paid to generate contact — not whether that contact turned into a scheduled, paid job. Two numbers matter more:
- Book rate — the share of leads that actually become scheduled jobs. Industry data puts this around 43% for electrical Local Service Ads, but individual accounts vary widely based on response speed and follow-up.
- Average ticket — what a typical electrical job is worth. Panel upgrades, EV charger installs, and minor repairs price very differently, and a blended average ticket can obscure which job types are actually driving profit.
Cost per lead
$39
Local Service Ads, industry average
True cost per booked job
Depends on book rate
the number that actually reflects acquisition cost
How to Calculate Your True Cost Per Electrical Customer
Step 1: Total your ad spend across whichever channels you're running — standard Google Ads search, Local Service Ads, or both.
Step 2: Add your agency's management fee, if you pay one separately from ad spend.
Step 3: Divide by booked jobs, not raw leads — this is where a seemingly cheap lead cost can turn out to be more expensive than it looks if book rate is weak.
Step 4: Compare against your average ticket by job type, since electrical work spans a wide price range from minor repairs to panel upgrades and full rewires.
With an 8.52x closed ROAS reported industry-wide for electrical Local Service Ads, a well-run account has real room to be profitable even at higher spend levels — which makes it worth checking whether an account that "feels expensive" actually is, once real job value is factored in, rather than assuming a rising ad spend number is automatically a problem.
What to Check If the Numbers Look Off
- Is job type being tracked at all? A panel upgrade and a light fixture repair shouldn't be averaged into one "cost per job" figure — the spread in ticket value is too wide for that number to mean much.
- Is spend split between Local Service Ads and standard search? Each has different economics, and a combined report can make it hard to tell which is earning its budget.
- How is book rate trending? A dropping book rate with stable cost per lead usually points to a response-time or follow-up issue, not an ad targeting issue.
Frequently Asked Questions
What's a good cost per lead for electrical contractors?
Industry data puts Local Service Ads leads around $39 on average — notably cheaper than HVAC or plumbing — with an 8.52x closed ROAS reported industry-wide. But cost per lead alone doesn't confirm profitability; book rate and average ticket by job type matter just as much.
Why are electrical leads cheaper than HVAC or plumbing?
Lower competition and typically less emergency-driven search behavior both play a role — electrical searches skew more toward planned work (upgrades, installs) than the urgent, same-day demand that drives up plumbing and HVAC costs.
Should electrical contractors use Local Service Ads or standard Google Ads?
Many run both. Local Service Ads tend to show a lower cost per lead and charge only for matches within your trade and service area, while standard search offers more targeting control. Comparing true cost per booked job across both shows where your budget is working hardest.
Does job type affect how I should read cost per lead?
Yes — a lead for a minor repair and a lead for a panel upgrade or full rewire have very different revenue potential. Averaging them into a single "cost per job" number can make a genuinely well-performing campaign for high-ticket work look worse than it is, or vice versa.
Is this the same calculation as for other trades?
The underlying formula is the same one used for HVAC and other home services — spend plus fee, divided by booked jobs, compared to job value — just applied to electrical's specific cost structure and job-type spread.
The Bottom Line
Electrical contractors tend to see some of the lowest cost-per-lead numbers in home services, but that's not the same as automatic profitability. True cost per booked job — ad spend plus agency fee, divided by jobs actually scheduled — compared against average ticket by job type is what actually answers whether the ads are working.
You can calculate this yourself from your ads report and invoice, or run both through an audit tool that does the math automatically. Your first audit is free; audit packs are available after that with no subscription.
What does your true cost per booked job look like once book rate and job type are both factored in?