How to Target Local Customers with YouTube Ads

At Lillian Purge, we specialise in Local SEO Services and clarify How to target local customers with YouTube Ads to help businesses grow visibility in their community with cost-effective video campaigns.

YouTube Ads allow businesses to advertise to people based on their location, interests, and search behaviour. For local companies, this means you can promote your services directly to people within a specific town, postcode, or region. Instead of competing nationally, you can use YouTube’s targeting tools to focus on customers nearby who are most likely to convert.

This guide explains how to set up and optimise YouTube Ads to reach local customers effectively.

1. Understand How YouTube Ads Work

YouTube Ads are managed through Google Ads, which allows you to run video campaigns across YouTube and Google’s partner network. You pay only when viewers engage with your ad, such as watching for a set time or clicking a link.

There are several types of YouTube ads:

• Skippable in-stream ads: Play before or during videos and can be skipped after five seconds.

• Non-skippable ads: Shorter videos (15 seconds or less) that viewers must watch before the video continues.

• Bumper ads: Six-second non-skippable clips designed for quick awareness.

• In-feed video ads: Appear in YouTube search results or alongside related videos.

Each format serves a different purpose. Skippable ads are ideal for storytelling or brand awareness, while shorter bumper ads are effective for reinforcing recognition.

2. Define Your Target Area

The most important step in targeting local customers is setting your geographic parameters. Google Ads allows you to select specific cities, towns, postcodes, or even a radius around your business location.

Tips for Effective Location Targeting

• Focus on areas where your customers live or work.

• Use radius targeting to capture people within a specific driving distance from your store or service area.

• Exclude areas outside your reach to avoid wasting budget.

For example, a Bedford-based salon could set its ad radius to 10 miles to target customers in nearby villages and towns.

3. Create Localised Video Content

To connect with a local audience, your ad content should reflect the community you serve. Mention your town, show familiar locations, or include local testimonials. This helps viewers immediately recognise that your business is nearby and relevant.

Ideas for Localised Video Ads

• Showcase your shop, office, or service area.

• Feature your staff or real customers to create authenticity.

• Highlight special local offers or community involvement.

A relatable and genuine message will always perform better than a generic, overly polished advert.

4. Use Local Keywords and Targeted Messaging

Just like search ads, keywords play an important role in YouTube Ads. Use keywords that include your service and location, such as “plumber in Bedford” or “best coffee shop near me.”

Include these phrases naturally in your video script, titles, and descriptions so YouTube can better match your ads to relevant viewers.

Craft ad copy that directly addresses local needs. For example:

• “Serving the Bedford area for over 10 years.”

• “Fast delivery across Milton Keynes.”

• “Visit our Harpenden showroom today.”

These small details help establish trust and make your business feel more accessible.

5. Set a Budget That Fits Local Goals

You don’t need a huge budget to see results with YouTube Ads. Local targeting ensures your ads reach fewer but more relevant people, meaning your spend goes further. Start small, test different ad formats, and measure results before scaling up.

Google Ads allows you to set daily or campaign-level budgets, giving you full control over how much you spend. Aim to allocate enough budget to run your ads for at least a week so you can gather meaningful data.

6. Choose the Right Audience Targeting Options

YouTube offers several advanced targeting tools to refine your audience beyond location. Combining these with local targeting helps focus your message even more effectively.

Options include:

• Demographics: Age, gender, income, and household status.

• Interests: People who regularly watch videos related to your industry.

• Custom intent audiences: Users actively searching for your services on Google.

• Remarketing: Re-engage users who’ve visited your website or watched previous videos.

For example, a local gym could target people within a 10-mile radius who have recently searched for “personal trainers near me” or “home workout routines.”

7. Optimise Your YouTube Channel for Local Search

Even if your primary focus is paid ads, your organic presence matters too. Make sure your channel and videos are optimised for local search terms.

Steps to optimise include:

• Adding your location to your channel description.

• Using consistent business contact details across your channel and website.

• Including local keywords in video titles and tags.

• Linking to your Google Business Profile from your channel.

An optimised channel helps both your ads and organic videos perform better in local searches.

8. Monitor and Adjust Campaign Performance

Once your campaign is running, regularly check performance metrics in Google Ads. Key data includes impressions, views, click-through rates, and conversions.

If you find that certain areas, audiences, or keywords perform better than others, refine your targeting accordingly. Experiment with different ad lengths, visuals, and calls to action to see what resonates most with your local audience.

Remember, success on YouTube is built on testing and adjustment rather than a one-time setup.

9. Combine YouTube Ads with Local SEO

The most effective way to attract local customers is by combining paid and organic strategies. While YouTube Ads create immediate visibility, local SEO ensures your business maintains consistent, long-term presence in Google Search and Maps.

For example:

• Use your YouTube videos on your website to boost engagement.

• Link back to your Google Business Profile in your video descriptions.

• Encourage viewers to visit your store or website for more information.

This integrated approach builds authority and drives customers from multiple channels.

10. Use Calls to Action That Drive Local Results

Your video should include a clear next step for viewers. Whether it’s visiting your shop, booking a service, or calling for a quote, make the action obvious and easy.

Effective local calls to action include:

• “Visit our showroom in [town name].”

• “Call us today for same-day appointments.”

• “Drop by our store near [local landmark].”

A strong call to action converts interest into measurable leads and sales.

Final Thoughts

YouTube Ads give local businesses a powerful, cost-effective way to reach nearby customers. With precise targeting, engaging video content, and clear messaging, you can increase brand awareness and drive real-world results.

By combining YouTube Ads with strong local SEO, your business can dominate both search and video platforms, reaching customers exactly when they’re ready to buy.

At Lillian Purge, we help local businesses plan and manage YouTube advertising strategies that align with their SEO goals. From campaign setup to ongoing optimisation, we ensure your videos reach the right people and deliver measurable results for your business.

We have also written in depth articles on How to repurpose YouTube content for social media and How to use YouTube Shorts to grow local brand awareness as well as our YouTube Hub to give you further guidance.