Enter the total marketing spend and the total number of new leads into the calculator to determine the cost per lead.
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Cost Per Lead Formula
The following formula is used to calculate a cost per lead.
CPL = MC / TL
- Where CPL is the cost per lead
- MC is the total marketing cost
- TL is the total number of new leads
Cost Per Lead Definition
Cost per lead, or CPL for short, is defined as the total expense it takes to generate one business lead. These expenses include anything that went into the marketing that generated the leads.
Cost Per Lead Example
How to calculate a cost per lead?
- First, determine the total marketing cost.
Calculate the total marketing cost that it took to generate the set of leads.
- Next, determine the number of new leads.
Determine the total number of leads generated.
- Finally, calculate the cost per lead.
Use the equation above to calculate the cost per lead.
In marketing, a lead is defined as a business opportunity or potential new customer that has come to your business.