Pay-per-lead prices only the first step of a job. To compare offers, divide the lead price by the share that book and the share that close: a $25 lead at 10% booked and 30% closed costs $833 per job, while a $17 qualified lead at 29% lead-to-close costs about $58 per job. Ask whether leads are exclusive, what counts as billable, and whether the ad account is yours.
- Cost per job = lead price ÷ booked rate ÷ close rate.
- $25 lead at 10% booked and 30% closed = $833 per job.
- $17 qualified lead at 29% lead-to-close = about $58 per job.
- Ask: is the lead exclusive, what is billable, and whose ad account is it?
Pay-per-lead is the simplest offer in business marketing: you pay a fixed price every time someone raises a hand. A roofing lead for $40, a plumbing lead for $25, an HVAC lead for $60. No retainer, no ad budget to manage, no creative to approve. On paper it is the lowest-risk way to buy work.
The catch is that a lead is not a job. Between "someone filled in a form" and "someone paid you" sit three filters — is it a real person, do they actually want the work done, and did you reach them before the other three companies they also contacted. Pay-per-lead prices only the first step. You carry the rest.
Do the division
Take any pay-per-lead offer and ask for two more numbers: what share of those leads become booked estimates, and what share of estimates close. Then divide.
- $25 leads, 10% book, 30% close — you pay $833 per job.
- $60 leads, 40% book, 35% close — you pay $429 per job.
The cheapest lead in that list is the most expensive job. That is not a trick of the example; it is the normal shape of pay-per-lead markets, because the vendor is rewarded for volume and you are rewarded for quality. The incentives point in different directions.
Where shared leads fall apart
Most pay-per-lead marketplaces sell the same enquiry to several companies at once. The homeowner did fill in a form — but they filled it in on a directory, not on your site, and they are now fielding calls from everyone who bought it. Your close rate on a shared lead is capped by how fast you dialled, not by how good your quote was.
If four companies bought the same lead, the best possible outcome is a 25% chance at a price war.
What to ask before you sign
- Is the lead exclusive? If not, ask how many others receive it.
- What qualifies as billable? Wrong number, out of area, "just pricing" — do you pay for those?
- Where does the lead come from? Your brand, or a generic directory page?
- Can you see the account? If the ads run in a vendor's account, you own nothing when you leave.
Pay-per-lead is not wrong. It is just priced on the wrong step. The model we run instead — ads in your own account, a qualifying form in place of an instant form, and follow-up that reaches every enquiry in minutes — costs more per lead and less per job, and the account screenshots are the argument.
Common questions
What is pay-per-lead marketing?
A model where a business pays a fixed price for each enquiry a vendor delivers — for example $25 per plumbing lead — instead of paying for ad spend and management. The vendor is paid per lead whether or not it becomes a job.
How do I calculate cost per job from cost per lead?
Divide the lead price by your lead-to-booked rate and then by your estimate-to-close rate. $25 ÷ 0.10 ÷ 0.30 = $833 per job. $17 at a 29% lead-to-close rate is $58 per job.
Are shared leads worth buying?
Rarely at the advertised price. If four companies receive the same enquiry, your best case is a one-in-four chance at a price war, and your close rate is capped by how fast you dial rather than how good your quote is.
What questions should I ask a pay-per-lead vendor?
Is the lead exclusive? What qualifies as billable — wrong number, out of area, price-checkers? Where does the lead come from, your brand or a directory? And whose ad account do the campaigns run in?
About Vobet Media
Vobet Media is a growth agency for brands that builds and runs Meta and Google ad campaigns, custom qualifying forms and automated follow-up systems, so enquiries become booked, qualified estimates. Campaigns run in the client's own ad accounts, results are published as real ad-account screenshots, and the standard guarantee is 120 qualified estimates in 90 days or Vobet Media keeps working free. It works with roofing, landscaping, HVAC, plumbing, electrical, remodeling, solar, car detailing, pressure washing, pest control and cleaning brands. Vobet Media was founded by Kartik Sharma, who started in digital marketing at 13 and has four years of hands-on experience. Learn more on the home page, meet the founder, see the case studies or book a call.