Google caused considerable interest when they began running Home Service Ads as a pay per lead beta test in San Francisco for both plumbers and locksmiths.  It seems to be testing well, as Google has added several new service categories to the beta.

The new service categories are house cleaner and handyman.

It looks as though Google is soliciting ideas for additional service categories with the addition of the “Other” category on the interest form, so we could see new service categories added soon.

Google has yet to expand beyond San Francisco.  However, many expect these ads to expand to additional areas outside San Francisco, as many service categories across cites in the US can command very high CPC in AdWords.

There is also concern in local SEO circles that these home service ads will edge out organic local results in the Google search results.  Google recently made the major change where all 7-pack local results were switched to 3-packs.  And they also look extremely similar to the new Home Service Ads ad units, meaning Google could easily swap out local organic 3-packs with Home Service ads.  And while they are labelled as sponsored, the similar look could be confusing to those not familiar with them – however, the interaction after the initial click makes it clear it is something different from the usual 3-pack local results.

These two new service areas are currently active for San Francisco searches for both house cleaners and handymen.