Google Diversity Update: What Local Contractors Need to Know

Have you noticed a drop in website traffic lately? You’re not alone. Google’s “Diversity Update” is changing how local businesses, like contractors, show up in search results. This change is big for local SEO, and it’s key to keep your online presence strong.

The Fundamental Shift in Google’s Algorithm

For years, the goal was to be in both the Google Maps “local pack” and the organic search results. Being in both spots was seen as a big win. It doubled your chances of getting noticed by potential customers.

But now, that strategy is backfiring.

Google has made a change that hurts businesses in both spots. If your business is in the local pack, Google is pushing your website down in organic rankings. It’s like Google is saying, “We’ve shown you once, now let’s give others a chance.”

This change marks a big shift in Google’s search diversity. Google hasn’t officially announced this update, but SEO experts have noticed it since August 2024. It’s affecting many industries, but service-based businesses like contractors are feeling it the most.

Real-World Impact: The Numbers Don’t Lie

The update’s impact is clear and big. SEO agencies have seen:

Some home service companies losing over 200 clicks per month from organic search
Businesses that used to be top in both local and organic results now find themselves on page 2 or worse
Keywords like “plumber near me” or “electrical contractor + city name” are seeing big drops

This drop in traffic hurts your business’s bottom line. Each lost click means a potential customer might go to your competitors instead.

How This Google Diversity Update Affects Your Contracting Business

This change could mean:

Significant drop in website traffic: With fewer spots on Google’s first page, you’ll see fewer organic sessions
Reduced visibility for your primary services: The services you’re known for may see big drops in organic rankings
Competitors gaining ground: Businesses that couldn’t compete before now have a chance to appear where you’re demoted
Wasted SEO investment: Investing in SEO to rank in both spots may now be counterproductive
Confusion over best practices: Contractors following old SEO advice may be hurting their rankings

For small to medium-sized contractors, these changes are tough. Unlike big companies, local contractors often rely on Google for new business. These changes make it harder for them to get noticed.

The Timeline: A Rolling Impact

This update didn’t affect everyone at once. The first signs were in August 2024, but many didn’t see changes until November. More businesses are noticing the impact every week.

Google’s slow rollout is typical for big algorithm changes. They start with a small group and expand to ensure stability and monitor effects.

The slow rollout has caused confusion. Contractors might see big drops while others are still unaffected. If you haven’t seen changes yet, it’s only a matter of time.

Who’s Actually Benefiting From This Update?

Interestingly, some contractors are seeing better visibility because of this update. The main winners are:

Service Area Businesses Without Physical Locations

If your business doesn’t have a physical office, you might see benefits from this update. For instance, a lawn care service targeting nearby towns could get more visibility.

Smaller, Lesser-Known Contractors

Before, big businesses could dominate both map packs and organic spots. Now, smaller contractors have a chance to shine, mainly in organic results.

Businesses With Multiple Locations

Contractors with many locations might lose visibility in some areas. But they could gain it in places where they struggled before.

Contractors Who Adapt Quickly

Businesses that spot the update early and adjust can stay ahead. They’ll lose less and might even gain while others are confused.

The Simple Fix That’s Working

SEO experts found a simple fix for this update:

Change which page your Google Business Profile links to.

For years, linking to your homepage was advised. But now, it’s causing problems.

The fix:

Find the page that dropped in organic rankings
Check if your Google Business Profile links to it
If it does, change it to link to a different page (like a service page)

Many have seen their rankings improve in days to weeks after this change.

How to Implement the Fix for the Google Diversity Update: A Step-by-Step Guide for Contractors

Step 1: Confirm You’re Affected

First, check if you’re really facing the diversity penalty:

See if you rank in the local pack for your main keywords
Check if pages that rank organically have dropped
Compare your current rankings to before August 2024
Look for patterns where local pack rankings match organic drops

Step 2: Audit Your Google Business Profile

Log into your Google Business Profile and find:

Which URL your profile currently links to (usually your homepage)
When you last updated this link
If you have multiple locations, check each one’s profile

Step 3: Select an Alternative URL

Pick a new URL for your Google Business Profile that:

Is closely related to your services
Has great content and a good user experience
Isn’t already ranking for your main keywords
Could be a service page, about page, or a special landing page

Step 4: Update Your Google Business Profile

Log into your Google Business Profile
Go to the Info section
Update the Website URL field with your new page
Save the changes

Step 5: Monitor Results

Track your rankings every day after the change
Look for better organic positions
Keep an eye on your local pack rankings
Document any changes in traffic and conversions

Advanced Strategies to Combat the Google Diversity Update

While changing your GBP link is key, here are more strategies:

Develop Secondary Keywords

Find other keywords that people might use to find you. For example, if you’re a roofer, focus on “roof replacement” or “emergency roof service” instead of “roof repair.”

Create Service-Specific Pages

If your homepage shows up in the local pack, make detailed service pages. These should be high-quality and rank well without competing with your GBP link.

Leverage Long-Tail Keywords

Use longer, more specific phrases for your SEO. These have less competition but can lead to more conversions. For example, “emergency plumbing repair for broken water heaters” is better than “plumber near me.”

Strengthen Your Overall Domain Authority

Websites with strong authority can handle algorithm penalties better. Focus on:

Getting quality backlinks from industry groups and local businesses
Creating valuable content related to your specialty
Improving site speed, mobile-friendliness, and security

Consider a Location Strategy

If you serve multiple areas:

Make your GBP listing for your main location/services a priority
Focus on organic efforts for secondary locations or services
Think if adding more GBP listings for service areas is strategic

Important Caveats and Exceptions

Some businesses might still rank well in both local and organic results. This doesn’t mean the update didn’t happen. Google’s algorithm looks at many factors. If a business is very strong in other signals, it might rank well despite the penalty.

Businesses that can overcome the penalty include those with:

Strong backlink profiles
High domain authority
Perfect on-page optimization
Strong user engagement
Relevant business categories and services

Long-Term Implications for Local Contractors

This update shows Google’s effort to diversify search results. For contractors, this means:

Multi-channel marketing will become more important – Reducing dependence on Google search alone
Traditional SEO metrics may need reevaluation – Success might not mean ranking #1 in both sections
More sophisticated tracking will be necessary – Understanding which ranking positions drive conversions
Local SEO strategies will need to evolve – Potentially separating local pack and organic optimization efforts

Action Steps for Contractors

Monitor Your Rankings: Use tools like Google Search Console, Ahrefs, or SEMrush to track your rankings.
Check Your GBP Link: Log into your Google Business Profile and see which page it links to.
Make Strategic Changes: If rankings drop, try linking your GBP to a different relevant page on your website.
Continue Testing: SEO is always changing, so keep monitoring and adapting.
Strengthen Other Ranking Factors: Improve your website’s authority through quality content, backlinks, and technical SEO.
Diversify Your Marketing: While recovering rankings, focus on other channels like social media, email marketing, and traditional advertising.
Consult with an SEO Professional: If you’re losing a lot of traffic, consider working with an SEO specialist who knows this update well.

The Silver Lining

This Google Diversity Update update might be tough, but it also brings chances for contractors who are quick to adapt. By tweaking your Google Business Profile links, you could get back your lost rankings. This is while your competitors are still trying to figure out why their traffic is dropping.

SEO is always changing. Those who spot these changes fast and adjust smartly will do well in the end. This update shows how Google keeps improving its search results for users.

Contractors who are ready to change their ways can not only bounce back but also move ahead of their rivals. This is if their rivals are slower to adjust.

Have you seen your rankings changed after the Google Diversity Update? Contact GBC Digital Marketing today. We can Help!