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Lead recovery & response

Contractor Lead Value Calculator

If you do not know what a lead is worth, you cannot tell whether a lead source is cheap or expensive. This turns your ticket and close rate into a per-lead number.

Your numbers

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%
%
Share of customers who come back for another job. Used to estimate lifetime jobs per customer.
%

Result

Revenue value per lead $392.31
Customer lifetime value $1,308
Lifetime jobs per customer 1.5
Maximum cost per lead $176.54 Gross profit per lead. Spend above this and you lose money
Each lead is worth $392.31 in revenue and $176.54 in gross profit. Any lead source costing more than that is losing you money.

Lifetime jobs are modelled geometrically from your repeat rate, a 35% repeat rate implies about 1.5 jobs per customer. It is a reasonable estimate, not a substitute for pulling actual repeat data from your CRM.

Run the missed call calculator

Questions

About this calculator

Why include repeat customers?

Because judging a lead on its first invoice undervalues it badly in home services. A customer acquired on a $180 drain clear may be worth several thousand over a decade.

Is maximum cost per lead the same as my target?

No. It is the ceiling, where the lead source breaks even on gross profit. Your target should sit well below it so the work actually contributes to overhead and profit.

How does this compare to CAC?

Cost per lead is what you pay for an enquiry; customer acquisition cost is what you pay for a customer who actually bought. The CAC calculator covers the second.

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Now protect the leads you already have

Knowing lead value only helps if the leads get answered. See what happens to the ones that don't.