Lead Costs: Are You Getting Ripped Off?

Kasra Dash: So, how much do your leads cost? James Dooley: That’s actually one of the worst questions someone can ask — so well done! But seriously, it’s a question we get constantly: “How much do your leads cost?” The real answer is: 👉 It depends on how qualified the lead is. If it’s a cold telemarketing-style inquiry, the lead might only be £5–£10. But if it’s a high-intent, pre-qualified lead where someone has gone through a detailed multi-step form — say a mortgage lead for a £300k+ property — that could easily be £150+. Lead cost changes based on: the industry keyword difficulty competition the qualification steps whether the lead is exclusive and the method used to generate it Kasra Dash: Exactly. At FatRank we get hundreds of enquiries every week, and people often message saying nothing except: “How much do your leads cost?” But they don’t tell us their industry, their location, or the type of service they offer. A lawyer in Manchester might be £150 per lead. A lawyer in New York might be £300+. It varies massively. Lead cost also depends on how the lead was generated: inbound vs outbound SEO PPC influencer marketing organic social YouTube Each method has a different cost structure. James Dooley: A good way to explain it is this: Asking “How much is a lead?” is like asking: 👉 “How much is a car?” Well… is it a used Fiesta or a Ferrari? Is it a terraced house or a mansion? You can’t answer the question until you know the details. Another huge variable is exclusivity. Some lead gen companies resell the same lead to 5 or 6 companies. They’ll sell one £100 lead for £50 to each business — making £250 total. So if a company is offering very cheap leads, it’s often because: ⚠️ They aren’t exclusive ⚠️ They lack qualification ⚠️ They're low intent And cheap leads usually destroy your conversion rate. The real KPI is not cost per lead — it’s cost per acquisition and profitability. Kasra Dash: Exactly. Cost per lead is meaningless without knowing: How many leads convert How many convert profitably The time wasted by your sales team Your average transactional value Your lifetime value A £150 lead that converts into a £10,000 job is far better than a £20 lead that never converts. James Dooley: This is why at FatRank we run a commission-based lead generation model — no win, no fee. If you qualify, you: don’t pay for SEO don’t pay for PPC don’t pay for content don’t pay for the lead 👉 You only pay when the job converts. And that’s exactly why we get so many enquiries — it's a no-brainer for business owners. But yes, there is a qualification process. We need to know: you can convert leads you have case studies you have testimonials you respond fast you have a solid reputation Otherwise the model doesn’t work. Kasra Dash: So please — for anyone enquiring — don’t just ask: “How much is a lead?” Tell us: Your industry Your location Your ideal customer How you qualify a lead Your average deal size Your current conversion rate This allows us (or any lead generation company) to give you accurate expectations. James Dooley: Exactly. And if you do qualify for our commission-based approach, all the stress of cost per lead disappears. You just focus on converting the leads — we focus on generating them.