Contractor buying guide

How to measure home service lead ROI

Track a complete cohort

Group leads by the month received and allow time for jobs to close. Record spend, leads, contacts, estimates, jobs won, and revenue from those jobs.

Use the right formulas

Cost per customer = total acquisition spend ÷ jobs won. Lead-to-job rate = jobs won ÷ leads received. Gross profit after acquisition = attributable revenue minus direct job costs and acquisition spend.

Account for the full cost

Include agency fees, advertising charges, and sales costs where applicable. Keep revenue and gross profit separate. A strong revenue multiple does not automatically mean a profitable campaign.

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