What is the difference between google/organic and local/organic traffic?

local traffic = traffic that comes from the region (village, city, country, etc) that your business operates in. So, for example, if you have a roofing business in London you obviously want traffic from London only as there's no point in people from Dallas or Paris finding your site because you won't travel to Paris / Dallas to repair their roofs.

So, if you have a local business you obviously want to rank in the region that your business operates in, so that google can deliver you only targeted (local) traffic, but how you can rank locally I don't know cause I never tried it, so I'm not the best to give advice on how to rank locally :)

And organic simply means traffic from google's rankings, not from their ads system (called Google Adwords... or I think they've rebranded into Google Ads nowadays).

When you google something you know how the first few results (2-5, depending on keywords and locale) at the top of the page (and sometimes on the righthand side of page, as well) are tagged with a barely visible "Ad" tag? Well, those position in google are NOT organic results, so if you want people to click on those results that are tagged with the "Ad" tag you need to create a Google Ads account and pay google to put your ad in that position.

But if you don't want to appear at the top of the results page, then you can rank below those ads by doing SEO. And if you manage to rank below those ads then you will get organic traffic, ie. traffic that comes to your site organically, unincentivized by google, you, or anybody else. But to rank there... well... that's where SEO comes into play
 
I think tazarbm gave a pretty good summary. I will add to that by saying local SEO is primarily the Google profile with the website for branding purposes, where organic is all the website. If you are a brick-and-mortar business, Google is your homepage because most people are using smartphones and the map pack 92% of the time, and ranking is determined by GPS whereas organic is a canonical search requiring a geo modifier. Since money leads are coming from mobile then you are trying more often to rank for main keywords like "dentist", "plumber", etc., or near-me variations, while canonical searches require a geo modifier like "dentist dallas". The important thing to remember is that local is defined by trade area, not city geography, and the best SEO targets are where the customers of the client are, and who are most likely to buy what they actually sell. A couple of years ago I was wondering if websites were even going to be here today, but Google still considers them an important part of the branding portion when determining local ranking. I will say, too much local SEO software and larger agency companies still focus on the website instead of the GMB. Many have built their systems, management, and training years ago based on outdated single-digit ranking systems and website tactics that just don't sell through at the client level like they used to.
 
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