Local Lead Gen Value Calculator
Stop guessing how much you should pay HomeAdvisor or marketing agencies. Calculate the exact dollar value of a single phone call to your business.
Your Business Metrics
Profit after subtracting direct materials and labor.
Out of 100 phone calls, how many turn into booked jobs?
Marketing Target
e.g. 300% means you want to make $3 for every $1 you pay an agency.
Lead Value Analysis
Because of your 25% close rate, every time the phone rings, it is statistically worth $850.00 in profit to your business.
To hit your 300% ROI goal, you should never pay Google Ads or HomeAdvisor more than $212.50 per lead.
The Math of Local Services
Whether you are a roofer, plumber, landscaper, or electrician, you survive on leads. A lead is simply a person calling your phone or filling out a form on your website asking for a quote. But not all leads turn into paying jobs.
How to Calculate Lead Value
To figure out how much a lead is worth, you need three numbers:
- Average Job Value: The total amount you charge for an average job.
- Gross Profit Margin: The percentage of that job value that is actual profit (after paying for materials and labor).
- Close Rate: The percentage of leads that actually hire you. If you get 10 phone calls, give 5 quotes, and win 2 jobs, your close rate is 20%.
Why This Number Matters
If you calculate that your "Value per Lead" is $150, that means you can safely pay Google Ads, Yelp, or an SEO agency up to $100 per lead and still make a healthy profit. If a lead generation service is charging you $200 per lead, you are mathematically guaranteed to lose money over time.
Frequently Asked Questions
What is the Local Lead Gen Value?
The Local Lead Gen Value is a free online tool designed to help you calculate the exact monetary value of a single lead based on your close rate.
How much does the Local Lead Gen Value cost?
Our Local Lead Gen Value is 100% free to use. We do not require any signups, subscriptions, or credit cards.
Is my data safe when using this tool?
Yes. All calculations are performed locally in your web browser. We do not store or save your financial data or inputs on our servers.