Updated
Cost per lead (CPL) is the average amount you pay to win one lead, meaning the contact details of a potential customer. A lead can be a submitted form, a phone call, an online booking or a webinar registration. CPL matters most for service businesses, B2B and any company that does not sell directly on its website.
How to calculate CPL
CPL = campaign cost / number of leads. If a campaign costs €600 and brings in 40 enquiries, your CPL is €15. You can count only the ad budget or also agency fees and creative work. What matters is calculating it the same way every time so the numbers stay comparable.
CPL vs CPC vs CPA
- CPC: the cost of one click.
- CPL: the cost of one enquiry or contact.
- CPA: the cost of a specific action, often a sale or a new customer.
A low CPL is not enough on its own. If cheap leads never turn into customers, the campaign does not pay off. Track how many leads become customers as well as your ROI.
How to lower your CPL
- improve the landing page and shorten the form
- target people with clear search intent, for example in Google Search
- offer a phone call and online booking as extra ways to get in touch
- exclude irrelevant keywords and locations
- test ad copy and offers
For clinics and private practices we also track the cost per patient who actually attended the appointment. Read more about our healthcare marketing.
Further reading: How to track booked patients, Google Ads for clinics.
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