Guides & best practices
View all articlesHow to generate leads for local business

Connecting with local customers doesn’t have to be so hard. Your area is full of quality leads, waiting to discover all that your unique local business has to offer.
By utilizing effective marketing channels and lead generation tactics, there are more than just a few ways to get your local business on the map. Take that uphill battle and turn it into a walk in the park with this guide on how to generate leads for local businesses.
Effective strategies for generating local leads
Effective lead generation strategies are key to business success. They help you stand out from other businesses, build trust with prospects, and retain existing customers. To optimize your local lead generation efforts, try the following strategies:
Local search engine optimization (SEO)
Local SEO focuses on optimizing your business’s online presence so it appears at the top of search engine results pages (SERPs) when people look for services near them. This way, you can turn Google – and other search engines – into marketing channels and generate leads through search results.
Leverage local SEO with:
Keyword research: Identify what potential customers search for and use location-specific terms on your website.
Local backlinks and directories: Get listed in relevant local directories like Google Business and Yelp.
Consistent citations: Ensure your business name, address, and phone number match across platforms.
Let’s say you own an Italian restaurant in Chicago. Your local SEO strategy could look like this:
Keyword research: Use location-specific keywords like “best Italian restaurant in Chicago” or “authentic pasta near me” in your website content, meta descriptions, and blog posts so Google – and new customers – can find you.
Local backlinks and directories: Partner with food bloggers in your local community and Chicago-based websites for backlinks. Get listed in food directories like Yelp, TripAdvisor, and OpenTable.
Consistent citations: Ensure your restaurant’s name, address, and phone number (NAP) match across Google Business Profile, Yelp, Facebook, and other platforms. This helps search engines verify your business and improve rankings.
Email marketing
Email marketing is a powerful way to attract and convert local leads by engaging with potential customers directly in their inboxes – it strengthens your overall marketing efforts by keeping your brand top-of-mind.
Keys to email marketing for local lead generation:
Create a lead magnet: To build an email list, offer a compelling lead magnet – such as a discount, free consultation, or exclusive local event invite – in exchange for a customer’s email address. For example, a local coffee shop could offer “Get 10% off your first order when you sign up to our newsletter!”
Share valuable content: Once subscribers join your list, keep them engaged with valuable content tailored to their interests and your business. This could include local events, special promotions, or expert tips. A yoga studio, for instance, might send an email about “Top 3 Breathing Techniques for Stress Relief” to keep new leads interested.
Personalization: Personalized emails, event announcements, and exclusive offers drive local leads to take action, whether visiting your store, booking an appointment, or making a purchase. For example, a local salon might send a personalized email like, "Hi [Customer Name], we noticed you’ve been loving our facials! Book your next facial this week and get 15% off as a thank you for being a loyal customer."
By consistently providing value, businesses can nurture relationships and turn email subscribers into loyal local customers – customer relationship management at its finest.
Referrals
Referrals are a great way to generate local leads as they leverage trust and social proof – two key factors behind local consumers' decisions.
Here’s how to use referrals to generate leads for your local business:
Set up a referral program: This incentivizes current customers to refer their friends and family, and ensures that new leads are relevant to the business and part of the local community. For example, a real estate company could offer existing customers a discount for every new client they refer.
Collaborate with local influencers: By working with local influencers who have established trust with their followers, you can tap into a wider audience and generate more leads for your business. For example, a local clothing brand could connect with a local influencer to do a “City Tour” in their area, using social media marketing to meet the local audience at the top of the lead generation funnel and turning awareness into interest by showing off their style.
Create referral contests on social media platforms: This creates a sense of urgency and excitement, encouraging current customers to refer other potential leads in your target audience and expanding your visibility in the local community. For instance, a local bagel shop could run a referral contest on social media platforms where customers earn an entry into a prize drawing for every friend they tag in a post. The winner could receive free bagels, a gift card, or a month of free coffee, incentivizing engagement and attracting new customers – a page out of the social media recruiting tips book.
Local events
Local events are an effective strategy for generating local leads because they provide direct engagement with the target audience.
What’s going on in your local community? Find out, so you can get involved with other local businesses and reach your target audience. The more aligned the event is with your business’s potential leads, the more likely you’ll be able to attract potential customers.
Benefits of local events:
Opportunity to share your value proposition
Natural word-of-mouth marketing
Presence in the local community
Enhanced brand loyalty
Participate in or sponsor local events to showcase your products or services, interact face-to-face with potential customers, and build personal connections that online lead generation can't always replicate. Local events create a sense of community, encouraging attendees to trust and support local businesses just like yours.
Best tools used for local lead generation
Online lead generation utilizes various social media recruiting tools to bring potential nearby customers to your door. Use the following tools for the best local lead generation results:
Google Business Profile
You're out and about in town, having a good time, and suddenly it happens – the pizza craving. You’re in an area you don't know, so naturally, the first thing you do is pull out the Google machine and type “pizza places near me.”
To get your business listed high in the hearts of the local audience, you first need to set up Google My Business, a key step in small business lead generation. Then you can reap the benefits of reviews and shared customer satisfaction.
By utilizing SEO and local keywords, optimize your profile and share what your business is all about – from your backstory to special pizza toppings. Include important information like contact details, your address, images, menus, offerings, and directions on Google Maps. This will help people find your business in those moments of need.

Get your local business on the map - literally. Source
Google Keyword Planner
To use Google Keyword Planner for local lead generation, start by logging into Google Ads and selecting the tool. Click on “Discover new keywords,” then enter search terms related to your business. Be sure to set your target location to get keyword suggestions specific to your area.
Look for high-volume, low-competition keywords that your local audience is searching for. Focus on long-tail keywords with local intent, like “best plumber in [city]” or “affordable dentist near me.”
Once you have a solid keyword list, use them strategically in your website content for search engine optimization – this can be in your Google Business Profile, ads, and blog posts. Then, keep checking Keyword Planner to track trends and refine your strategy.

In the example above, Giordano’s ranks high thanks to keywords, matching their offerings with pizza lovers in the local area.
Local campaigns on Google Ads
With local campaigns on Google Ads, you can run targeted local ads specifically for your target audience in your area, ensuring your business gets noticed by the right people. By setting your location, budget, and ad content, Google’s AI will automatically place your ads across Google Search, Maps, YouTube, and the Display Network to maximize local visibility.
For example, if you own a coffee shop in downtown New York, you can run ads targeting coffee lovers within a 5-mile radius of your store. The ads will appear when potential customers search for terms like “best coffee near me” or “coffee shop in downtown NYC.” Then you can explore features like location extensions that allow users to get directions or call directly, increasing the chances of foot traffic.
By targeting specific locations and interests, you ensure your ads reach the people most likely to visit your business, driving more local leads and engagement.

Google Ads’ official landing page. Source
Local lead generation made easier
Now that you know how to generate leads for your local business, it’s time to put it into action. But don’t make it an uphill battle – use the best lead generation software out there. Heyflow uses multistep forms to help you seal the deal as you generate local leads, providing the software you need to capture client information, send customized emails, and more.
By making it easier for potential customers to find you, current customers to continue business with you, and satisfied customers to recommend you, you make capturing quality leads a walk in the park.