Measuring your marketing results by using Cost per lead analysis
Understanding your marketing spend is an important step when running an efficient business that is trying to grow. The beauty of online marketing has always been the absolute control of spend against results. Whereas typically with print based adverts, you have limited information on people seen and reacted your advert, conversely online marketing provides a way to see pound for pound what sort of impact your campaigns have had.
We are aware that many agents accurately control their spending, with ‘Price per lead’ being the common metric used to analyse the effectiveness of marketing platforms such as ourselves. We’ve used this as just one of the metrics of our performance in our 2015 stats pack that was released at the end of last year.
The calculation is simple.
TOTAL SPEND / VOLUME OF LEADS = COST PER LEAD
Using that metric, you can then analyse how many leads you generated from other marketing activities such as Google, PPC or Facebook or indeed other portals. We’ve used price per lead calculations as part of our research into our performance in late 2015, and discovered that within a large Estate Agency on the Lisburn Road in Belfast our competition was seven times more expensive than ourselves.
Many of our customers have taken the steps to evaluate their cost per lead across platforms to help control their budgets, and perform to their optimum. We plan on making it easier for you to use this calculation within our software, and we will be sharing further details on how to analyse and measure all aspects of your business and your website performance throughout the rest of the year. Stay tuned and follow our LinkedIn account to learn more.