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How to Calculate Lead ROI: A Simple Formula With Examples

The only question that matters when buying leads is whether you make more than you spend. Here is a simple way to find out.

The formulas

  • Revenue per lead = close rate x profit per sale
  • Profit per lead = revenue per lead - cost per lead
  • ROI = profit per lead / cost per lead

Worked example

You pay $40 per lead, close 12% of leads and earn $500 profit per sale. Revenue per lead is $60, profit per lead is $20 and ROI is 50%.

Break-even close rate

Break-even close rate = cost per lead / profit per sale. At $40 per lead and $500 profit, you break even at 8%. Anything above is profit.

Include your costs

Add agent time, software and returns for a truer picture. Teams that track this monthly make smarter buying decisions.

Test, then scale

Run a small order, record every outcome and recalculate. Use our pricing calculator to model different volumes.

Frequently asked questions

What is a healthy lead ROI?

Any ROI that stays positive after all costs and leaves room for growth. Targets vary by business.

Ready to see your price?

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General educational information, not legal, financial or compliance advice. Prices shown are indicative ranges; final rates are confirmed in writing.

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