Lead Conversion Rates – How Much Will it Cost?
From internal call centers to follow up procedures, there are a wide variety of factors that will determine the conversion rate of your sales leads. The below is a guide that will should offer a realistic idea of how much leads will cost, and what to look for. Lead cost varies by market and industry.
*Form Lead Conversion Rates (per 100 leads)
Average Cost $55 each:
- 10-15 “bad leads” (no longer interested, disconnected etc.) Price is built into lead cost
- 50-60 contacted leads
- 20-35 appointments set
- 12-15 Actual Presentations
- 5-6 sales
- $5500…………(estimated cost for 100 leads)
- $40k-$60k….(estimated net sales)
- 9%-13.5%……(estimated marketing cost)
*APPOINTMENT Lead Conversion Rates
Average Cost $100-$110 each:
Typically, per 100 Appointments received about 45-60 should end up running. Our partners should close at about a 20% clip, so roughly 11/100 appointments should close. At a $100 Appointment, that backs into an average of a $909 cost per Sale. With an average job size of $9,000, that backs into a 9.9% marketing cost.
Peak Marketing Service does not guarantee that all home owners agree to be present.
All appointments set are billable.
*Actual conversion rates will vary. We do not guarantee your conversion rates will match the above.
- Call the lead within 5 minutes of receipt (MOST IMPORTANT).
- If no contact is made, attempt to contact the lead 3 times on day one, and 7-10 dials during the first week.
- After the first week, attempt contact once daily for up to a month.
- Have a compelling, time sensitive, message to motivate return calls (i.e. same as cash financing, $1000 off windows, $0 down).
- When possible, also email and/or send text messages.
- 35% of prospects care most about total cost
- 46% are more concerned with reviews and reputation
- 60% have no preference to company size
- 40% want 2 – 4 estimates
- 80% have no preference to brand choice
- 41% close within 1-11 days
- 31% close within 12-30 days
- 25% close within 30+ days
- 3% close in 100+ days