Lead Value Calculator
Find how much revenue and gross profit an average lead is worth, and the most you could pay per lead.
- Revenue per lead
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- Customers per 100 leads
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What is the Lead Value Calculator?
Lead value is what an average lead is worth to your business. Multiply average sale value by the share of leads that become sales to get revenue per lead, then apply your gross margin for gross profit per lead. That profit is the most you could pay per lead before losing money.
How it works
Revenue per lead = average sale value x lead-to-sale % / 100. Gross profit per lead = revenue per lead x gross margin % / 100. Customers per 100 leads = lead-to-sale %. Paying more than the gross profit per lead leaves you worse off on that sale.
How to use it
- Enter the average value of a sale.
- Enter the percentage of leads that become paying customers.
- Enter your gross margin on a sale.
- Compare gross profit per lead with what you pay for leads today.
Lead Value Calculator — FAQ
Is gross profit per lead my target cost per lead?
It is the ceiling, not the target. You also need to cover overheads and profit, so aim for a cost well below it.
Where do I get the lead-to-sale rate?
Divide customers won by leads received over a period from your CRM or sales records.
Does it include repeat purchases?
No. It uses one sale value. If customers buy again, a lifetime value approach shows a fuller picture.