The CPL acronym for Cost Per Lead is a payment method for advertising campaigns with the goal of generating contacts, that is, engaging the audience.
The advertiser of the campaign pays for each explicit subscription of the consumer interested in the offer.
There are two types of leads:
- Sales leads: these are generated based on the demographic data of the consumer (age, income, etc.). These leads can be exclusive (sold to only one advertiser) or non-exclusive (sold to multiple advertisers).
- Marketing leads: these are sold only once, unlike sales leads, meaning they are generated for a unique offer from the advertisers.
It is also important to emphasize that in CPL campaigns the advertiser pays for an interested customer, who leaves contact information.
CPL campaigns are excellent for those looking to engage consumers at multiple touchpoints, such as creating a newsletter list, community sites, and other engagement vehicles.
How is cost per lead calculated?
The formula to calculate CPL is:
CPL = TOTAL COST / NUMBER OF LEADS GENERATED
Now let's assume that the advertiser has purchased a campaign worth 1500 euros to get clicks on their website, and they have obtained 30 site visits from consumers
CPL = 1500 / 300 = 5 euros (cost per lead)
The average cost of a generated lead will therefore be 5 euros in this advertising campaign.
Case study
In regard to this topic, there are two books which, in my humble opinion, can provide you with further information on the matter and """ invaluable techniques for lead generation.
- The first book is "Lead Generation" by Emanuele Chiericato. This book provides us with extremely useful tips for acquiring new contacts and turning them into loyal customers.
- The second book I would recommend on the subject is "Lead Generation Funnel" by Alessandro Ponte and Cristian Marchisio.
You can do it too, you just need a lot of commitment and an excellent marketing and sales platform.
Free trial for 30 days. No credit card required.
