Your phone will still use GPS and Wi-Fi crowdsourcing to determine location information. Turning off Cellular Data (I'm assuming that's what you were referring to when you said "cell search service") helps battery life, although the amount will be negligible. Data transmission via Wi-Fi uses less power then the same data transmission via Cellular Data.
If you were referring to "Find My iPhone" when you said "cell search service," then in theory, yes, it should help battery life to leave it off, although it will be by a very negligible amount. If you're going to have Location Services on, I would highly recommend against turning "Find My iPhone" off. Arguably, the main reason to have Location Services on is for the "Find My iPhone" feature.