I’ve never met a business owner that said, “I wish my leads were more expensive.” It’s only logical to believe that cheap leads are better than expensive leads. However, the more expensive leads could actually be better than cheap ones.
We encourage our clients to define “cheap” and “expensive.” The cost of the lead doesn’t matter. What matters is how much it costs you to generate the sale and the margin that goes with it.
If you’re tracking only the cost of generating a lead, you may have the wrong metric. Rerun a couple of years’ sales and the margin associated with them by lead source. See if it changes your thinking on cheap versus expensive leads. You may find that the more expensive lead sources aren’t the most expensive method of creating customers.
We are happy to help if you could use a sounding board.