What's a lead?
Any time a user visits your website and leaves their contact information, that is considered a lead. The user has expressed interest in your business enough to leave a way for you to contact them. Basically a lead is a potential sale. Depending on the contact information displayed and the lead capture functions on your website, leads can come from:
- Phone calls
- Contact Forms
- Online Schedulings
Why assign a value to a lead?
If you're paying for any kind of online marketing program, you want to know if you're getting a return on your investment. Say you pay $300/month for PPC management. How do you know if you're getting your money's worth? You need to determine if the business you're getting can be traced back to that ad campaign.
How to assign a value?
In order to assign value to leads, first you need to track which leads are coming from where. If you're using Spectora's SEO or PPC management programs, leads are automatically tracked via Google Analytics. This means if someone goes on your website from their phone and clicks on the phone number to call you, that action is tracked. If that phone call turned into an inspection, how much would that be worth? Whatever you charge for an inspection.
If you pay for monthly marketing services and get 15 phone calls, 6 contact forms, and 1 online scheduling in that month, how would you determine if you're getting your money's worth?
15 phone calls + 6 contact forms + 1 online scheduling = 22 leads
1 phone call turned into an inspection, 1 contact form turned into an inspection, and the online scheduling went through. So you got 3 inspections.
Let's assign an average cost per inspection. For this example we'll use $300.
Your campaign yielded 22 leads, 3 of which converted to inspections. This comes out to a 14% conversion rate. With an average home inspection price of $300, we can value each lead at $42.
How can I use this information to bring me more business?
Once you know how much a lead is worth you'll be able to better evaluate your marketing budget. Instead of setting your marketing budget based on how much you can afford to spend or just a general feel of things, take the time to actually calculate the value of each lead. This way you can run your marketing programs based on the number of leads and ROI. Constantly reevaluate your marketing efforts to see what's working the best and bringing you the most business.