The analysis of cost per lead depends on your company's current scenario and the results obtained. Therefore, it is important to consider other metrics to make a more complete assessment. Check out what they are!
CPC
Cost per click represents the cost required to attract qualified visitors to the website. Traffic investment includes advertising on any online media channel, such as Facebook Ads and Google AdWords .
Other expenses included are website creation and maintenance, india phone number resource content generation, inbound marketing software , and others. To calculate this, you should use the following formula:
CPC = investment value / number of clicks
For example, if your company invested $3,000 in Google AdWords and purchased $1,200 clicks in a month, the CPC was $2.50. This is the average cost, since each word has its own conversion rate .
LPV
The lead per sale indicates how many potential customers must be generated for a conversion to occur. This indicator is directly related to the effectiveness of the campaign and shows whether it was accurate or not.
You can also find out if you have content that converts fewer leads but delivers a higher number of sales. To calculate this aspect, you should use the following formula:
LPV = number of leads / total sales
For example, if your company needs 13 leads , but only 2 convert in a month, you have an LPV of 6.5. Keep in mind that the sales cycle varies , but this is a way to have a managerial and strategic view of customer acquisition.
CPV
Cost per sale evaluates previous data, sales expenses, support, structure and more. To do this, it is the sum of CPL and LPV, excluding the values of the sales team, production and maintenance. The formula for CPV is as follows:
CPV = CPL x LPV
Let's use the results obtained earlier to arrive at the CPV for the example. The CPL is R$14.28 and the LPV is 6.5. So, the multiplication gives R$92.82.
Again, we want to emphasize that you need to evaluate the different aspects of your company to know if this value is high or low. Benchmarking is also a way to know how your company compares to the competition .