There's no magic number
Ask ten agencies what a 'good' cost per lead is and you'll get ten answers — because it depends entirely on what a customer's worth to you.
A $20 lead is great if a customer's worth $800. The same $20 lead is a disaster if a customer's worth $40.
The only formula that matters
Cost per lead should be a small fraction of what a customer's worth to you.
- Figure out what one new customer's worth (job value × repeat jobs × referrals).
- Figure out your close ratio — how many calls you turn into jobs.
- Work backwards to what you can afford to pay per lead.
Example
- Average job: $600
- You close 1 in 3 calls
- So one customer costs you 3 leads
- If you're willing to spend $100 to get a $600 customer, you can pay ~$33 per lead
What's normal for the trades
Rough ranges (your market varies):
- Emergency trades (plumbing, HVAC): $15–$40 per lead — high intent, fast calls.
- Project trades (hardscaping, roofing): $40–$120 per lead — bigger jobs, more research.
- Commodity trades (pressure washing): $10–$25 per lead — lower ticket, higher volume.
When the number's bad
If your cost per lead is climbing, it's usually one of three things:
- You're paying for the wrong searches (too broad).
- Your listing or site is a mess, so the clicks don't call.
- Nobody's watching the spend.
The truck-side takeaway
Don't chase someone else's number. Know what a customer's worth to you, know your close ratio, and pay for leads accordingly. That's the whole game.
