It allows users to search online for sources of local information drawing information from , including local business listings, maps and useful web pages.
The service has been launched in the US with plans to roll out the technology to the UK although no timescale is confirmed.
Local information for specific keywords or locations is automatically presented to users at the top of Google search results pages if they add the name of a town or a zip code into the search. When search results are available they are marked by a compass icon, which connects users to a Google Local search results page.
Local results are accompanied by a phone number, street address and related websites.
Kate Burns, managing director for UK advertising sales, said: "This is just the start of Google localisation: we will internationalise Local and bring it across Europe and the UK.
"Local represents the start of building of our local advertising product as part of [Google's text-based advertising programme] AdWord."
Sergey Brin, co-founder and president of technology at Google, said: "Google's goal is to connect searchers with the information they need whether it's halfway around the world or in their neighbourhood.
"Google Local combines a wide array of sources including Google's more than 4bn web page index to produce the deepest local search."
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