What is cost per lead?
Cost per lead is the average amount you spend on marketing to get one new lead.
Cost per lead divides what you spent on a campaign by the number of leads it brought in. If an ad costs 300 dollars in a month and brings 12 calls and forms, your cost per lead is 25 dollars. It is close to cost per acquisition, but a lead is an inquiry, not yet a sale. Compare it with your close rate to see your true cost per customer.
Why it matters for your business: Cost per lead lets you compare channels fairly, such as search ads versus social ads versus a directory listing.
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