What is Cost-per-Lead (CPL)?

A fee that a website publisher charges to serve your display ads on its site. Instead of paying for your ads to simply show up, you only pay when the audience interacts with them. Google is a major publisher of cost-per-click (CPC) ads, and it contracts with other publishers to distribute them to other sites, too.


For example, let’s say a company runs a lead generation campaign on social media. They spend $500 on the campaign and receive 50 leads in return. The Cost-per-Lead would be calculated as follows:

CPL = Total Advertising Spend / Number of Leads
CPL = $500 / 50
CPL = $10 per lead

So, the Cost-per-Lead for this campaign is $10. This means that the company paid an average of $10 for each lead acquired through their advertising efforts. CPL is an important metric for evaluating the efficiency and effectiveness of lead generation campaigns and optimizing marketing budgets to maximize ROI.

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