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How much do you pay for your leads? December 6, 2006

John VanharaJohn Vanhara

Do you know what is the cost of your leads? Let’s say you advertise on Pay Per Click Google Adwords. Do you know how much does it cost you to receive one inquiry from customer? This is very important piece of information if you want to make sure that your real estate business is profitable.

1. Measure the cost of lead. If you don’t know how we can help you. You will need to set up conversion goals (for example filled out inquiry form) and then monitor conversion of different ads and keywords. Based on our experience you can lower cost of your leads substantially.

2. Measure how many leads you need to close one deal. Simple notes on piece of paper are enough. Or you can take total number of closed deals from leads per year and compare with leads generated.