Pay Per Lead vs. Pay Per Click

by Josh Prizer

If you are like a lot of companies dependent on client leads to keep afloat, you may be noticing a trend from some of the lead generation companies out there. Not only are the leads expensive, but they aren’t as strong as they used to be. We are hearing this again and again from our clients who are shifting their budgets to crank up the stronger quality pay per click search leads.

Many lead gen firms use pay per click (PPC) search to attract their leads. Once they have a lead, they will ship it out to a variety of vendors, charging each the same fee. If you are seeing your leads get more saturated, it might be time for you to go right to the source instead of letting the middle men do that for you.

Getting into PPC advertising is not as simple as it used to be. Sure, you can set up a website with some contact info, but the competition has gotten more sophisticated in recent years. In order to really compete and push down your cost per acquisition, you’ve got to throttle up your effort and skills.

One thing we continually preach to clients is the importance of fine tuning every aspect of your online lead pipeline.

Let’s start with your PPC ad copy. You can certainly just place an ad and let it ride, but with the PPC algorithms placing more and more importance on Quality Scores, you need to pay close attention to your ads. If you can’t conduct daily split testing on your ads because of the time and effort, then try outsourcing to a PPC management company. A good firm should be able to double or triple your click through rates.

Why is this important? Because it doubles or triples your traffic — and in turn doubles or triples your leads.

But this is just one place to focus your efforts. Take a look at the destination urls — the landing pages where you send visitors. Are you using a contact form? How simple is your contact form? Is your phone number too small? There are always a variety of items you can optimize and test to increase conversions.

Fine tuning your landing pages will lower your cost per lead. We’ve seen small changes double conversions and drop your costs per lead in half. So, tinkering is well worth the effort.

If jumping into the paid search engines sounds like a lot of work, it is. You can roll up your sleeves and make it pay off over time, or you can hire a turnkey PPC management company. A good PPC expert will develop expansive keyword lists, mine keywords from your competitors, conduct daily split tests on your ads, and advise you on your landing pages.

So, consider getting rid of the saturated lead gen services and heading for the source. The results can be dramatic.

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