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Cost per Lead (CPL)

Cost per Lead (CPL) is a metric used in digital marketing to measure the cost of acquiring a lead, which is a potential customer who has shown interest in a product or service. CPL is calculated by dividing the total cost of a marketing campaign by the number of leads generated.

For example, if a company spends $1,000 on a Facebook ad campaign and generates 100 leads, the CPL would be $10 ($1,000/100).

Optimizing CPL is important for improving return on investment (ROI) in marketing campaigns. A lower CPL means that a company is acquiring leads at a lower cost, which can lead to higher profits. To optimize CPL, companies can focus on targeting the right audience, creating compelling ad content, and improving the landing page experience for potential customers.

By tracking and analyzing CPL, companies can make data-driven decisions about their marketing strategies and allocate their budget more effectively.

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