Metrics
Cost per lead
Cost per lead is the average spend required to generate one lead, used to compare the efficiency of different channels and campaigns.
Why it matters
Cost per lead shows how efficiently a channel fills the top of the funnel. It helps compare where leads come from cheapest, which guides budget. On its own it can mislead, since cheap leads that never convert are not really cheap, so it is read alongside lead quality and downstream conversion rather than in isolation.
How it works in practice
Cost per lead is the spend on a channel or campaign divided by the leads it produced. Teams compare it across channels and over time, then pair it with conversion rate and CAC to see whether cheap leads actually turn into customers. A channel with a higher cost per lead but far better conversion can be the better investment.
Common mistakes
A common mistake is optimizing for the lowest cost per lead regardless of quality, which fills the funnel with leads that never close. Another is comparing channels on cost per lead alone without looking downstream. A third is leaving real costs out, which understates the true figure.
How hubsell approaches it
hubsell keeps cost per lead honest by sourcing contacts that are correct today, so spend goes toward reachable, in-profile people rather than leads that bounce or never fit.