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Google Is Phasing Out Call-Only Ads: What Businesses Need to Know

Google has officially announced that Call-Only Ads are being phased out, with new call-only ad creation ending in February 2026 and all existing call-only ads permanently removed by February 2027.

That means advertisers who depend on call-driven campaigns — from auto dealerships and healthcare providers to home services and insurance — need to transition their Google Ads strategy to maintain performance and avoid disruption.

At Red Sparrow Agency, we’re adept at helping clients prepare for the change by rethinking campaign structures and implementing flexible ad format alternatives like responsive search ads (RSAs) with call assets, Performance Max (PMax) campaigns, and Local Services Ads (LSAs).

Why This Matters

Despite the rise of online forms and chat tools, phone calls remain one of the most powerful conversion channels. Research from Invoca shows that:

  • Phone calls account for 30% to 90% of total leads and conversions, depending on the industry.
  • Behavioral Health leads the way with 90% of conversions happening over the phone.
  • Automotive follows at 80%, and Health Insurance at 78%.
  • Calls convert 30% faster, produce 28% higher average spend, and result in 28% higher loyalty compared to web leads.

For many businesses, phone calls aren’t just another conversion type — they’re often the most valuable source of new customers and repeat business.

What’s Changing with Google Ads

Google is consolidating ad formats and encouraging advertisers to use call assets within responsive search ads (RSAs) instead of standalone call-only campaigns.

Here’s the key timeline:

  • February 2026 – You’ll no longer be able to create new Call-Only Ads.
  • February 2027 – Existing Call-Only Ads will stop serving entirely.

Google’s official guidance recommends using call assets (formerly “call extensions”) alongside responsive search ads to continue driving phone calls. You can find Google’s detailed transition recommendations here.

How Advertisers Should Adapt

To protect performance and continue generating high-quality call leads, businesses should begin testing alternative ad formats.

  1. Responsive Search Ads (RSAs) with Call Assets: Pairing call assets with RSAs allows you to maintain call volume while benefiting from flexible ad combinations and improved visibility.
  2. Performance Max Campaigns: For multi-location and conversion-heavy advertisers, Performance Max campaigns provide powerful automation and cross-channel reach — including call conversions and form submissions.
  3. Local Services Ads (LSAs): For service-based businesses (like home repair, legal, or healthcare), LSAs are a natural fit. They focus on local intent and prominently feature “Call” buttons, giving users direct access to your business.

Next Steps for Businesses

  1. Review all active Call-Only campaigns in Google Ads
  2. Begin A/B testing RSAs with Call Assets
  3. Enable call tracking and offline conversions in GA4
  4. Set up Performance Max or LSA campaigns for broader lead coverage

The Bottom Line

Google’s phasing out of Call-Only Ads over the next year marks a significant change in how businesses generate phone leads. But it also presents an opportunity to adopt more integrated advertising strategies that reach customers across multiple touchpoints. If your business relies on inbound calls for conversions, the time to transition is now.

Red Sparrow Agency can support your business by:

  • Auditing current call-driven campaigns
  • Transitioning to call assets and new ad formats
  • Optimizing for continued (or even increased) call volume and lead quality

Need help navigating the Google Ads evolution?

Let’s talk SEM strategy. Red Sparrow’s team of digital marketing experts can ensure your campaigns are future-ready and your phones continue ringing.
Contact Red Sparrow Agency to start your strategic Google Ads evolution today.