What to consider when calculating CPL

[subornaakter20]

When determining and assessing CPL, the following features must be taken into account:

Advertising channel analysis . Remember that a lead does not guarantee a purchase. Therefore, it is impossible to understand from CPL whether the PR channel from which it came is successful. This method often produces many leads, but they are not targeted. And sometimes the opposite happens. Just a few leads can recoup physical therapist email list advertising costs several times. If you need to evaluate a channel by CPL, you need to analyze not only the cost of the application, but the full transaction cycle.

Lead price . If it is expensive, then before disabling the channel, you need to analyze the factors that affect it. These include the ad format, season, lead form settings, design. You need to eliminate all errors and after some time, re-evaluate the channel's effectiveness.

Lead processing . Even inexpensive targeted leads can be ineffective if they are not processed correctly. You need to answer calls quickly, work with objections, and call clients back.

What to consider when calculating CPL

Source: shutterstock.com

The following factors also influence the CPL value:

Topic . The cost of a lead may vary depending on it. For example, in the real estate sector, the CPL may be hundreds of thousands of rubles, since the sale of one property pays off the marketing costs. And the CPL in the clothing sector can be ruinous, even if it is only 10,000 rubles.

Competition . To attract a potential client in a highly competitive environment, you need to pay more, since different companies are fighting for the same customers. But there is no need to be afraid of competition, since it indicates a formed demand. It is better to improve the offer, work on advertising and positioning.

Targeting audience . The cost of a lead increases with the growth of audience specificity. For example, if you compare the portraits “Freelancer aged 20 to 25” and “Potential buyer of a mansion aged 35 to 45”, it is obvious that there are fewer people matching the second portrait, and advertisers compete more for their attention, so marketing costs will be higher.

Advertising channel . Leads from different platforms have their own cost. When calculating a promotion strategy, marketers take this into account in order to understand which channels should be allocated a larger budget, and which can be completely turned off.

Geolocation . In large cities, the cost per lead will be higher than in smaller towns, as they have a different population density, standard of living, and competition.

The purpose of marketing activities . The CPL for advertising launched for the purpose of generating leads will be lower than for a campaign that is designed to increase brand relevance. Therefore, you cannot evaluate the latter by the characteristics of the former - if you need to increase brand awareness, you need to calculate the growth of this specific metric.

Customer journey . If the site loads slowly or the application form is hard to find, even the most "hot" visitor can "cool down". Take care of your customers, periodically follow their path to the application to identify and remove barriers between their request and you.