Cost Per Lead (CPL)
The total marketing cost required to produce one qualified lead.
Cost Per Lead (CPL) measures the marketing investment needed to acquire one qualified contact (phone call or form submission from a buyer-intent visitor). CPL is the single most important KPI for evaluating marketing ROI. For KC home service contractors, healthy CPL ranges: gutters $25-60, HVAC $40-75, plumbing $30-65, roofing (off-cycle) $50-90, roofing (storm) $80-150.
Without CPL tracking, you can't tell which marketing channels are profitable and which are losing money.
A roofer spending $5,000/mo on Google Ads producing 50 qualified calls has a CPL of $100. If their close rate is 30% and average job value is $12,000, they're highly profitable.
PPC (Pay-Per-Click)
Advertising model where you pay each time someone clicks your ad.
Cost Per Acquisition (CPA)
The total marketing cost required to produce one paying customer (closed job, not just a lead).
Conversion Rate
The percentage of website visitors who take a desired action (call, form submission, booking).
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