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Cost-per-Lead (CPL)

What is Cost-per-Lead (CPL)

Definition

Cost per lead, often abbreviated as CPL, is an online advertising pricing model, where the advertiser pays for an explicit sign-up from a consumer interested in the advertiser’s offer. It is also commonly called online lead generation.
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How much should I charge per lead? The question is how much can you afford a lead to be. You need to look at your customer lifetime value. If you have a service that is priced at $3000, then you would be happy to pay $500 to $1000 for a customer which turns into $4 to $5 dollar per lead assuming 100 leads = 1 customer.

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