How to Interpret Your Results
A positive ROI means you're making more from converted clients than you're spending on leads. But there are a few things to keep in mind:
Start Conservative
When you first start buying leads, your conversion rate will likely be at the lower end of the benchmarks. It takes time to refine your follow-up process, improve your scripts, and build confidence with lead-based selling. We'd recommend using a conservative conversion rate for your first month's projections.
Factor in Lifetime Value
The calculator shows revenue from the initial deal, but many financial services clients generate repeat business. A mortgage client might come back for remortgage, protection, or refer friends and family. If you factor in lifetime value, the true ROI of lead buying is often significantly higher than the initial calculation suggests.
Not All Months Are Equal
Lead conversion isn't linear. Some weeks you'll convert 3 out of 20 leads, other weeks you'll convert 0. Over a 3-month period, the averages tend to smooth out. This is why we recommend committing to at least a 3-month test before making a judgment on whether leads work for your business.
The Speed Factor
The single biggest variable in your conversion rate is speed to contact. Research shows that contacting a lead within 5 minutes of receiving it makes you 21x more likely to convert than waiting 30 minutes. If you can't commit to fast follow-up, your conversion rate will be significantly lower than the benchmarks above.
Should You Buy Leads or Generate Your Own?
This calculator can also help you compare the cost of buying leads versus running your own advertising. If you're considering running Facebook or Google ads yourself, use our Cost Per Lead Calculator to work out your current CPL, then compare it to the cost of buying leads from us.
In general, running your own ads will be cheaper per lead in the long run — but it requires significant time investment (5-10 hours per week) and a test budget of at least £1,500-£2,000. Read our full comparison here.