Cost Per Lead (CPL) - Definition
Digital advertising is the land of acronyms and technical terms. Our glossary can help you make sense of it all with definitions of the most common terminology.
What is Cost Per Lead (CPL)?
The price a marketer pays for each lead generated is referred to as cost-per-lead (CPL). This metric measures the cost of acquiring each potential customer who expresses interest by providing their contact information, often through actions like filling out a form on a website or landing page. These forms typically capture details such as the user’s name, email address, phone number, or other information that indicates they are interested in learning more about a product or service. CPL is calculated by dividing the total cost of the marketing campaign by the total number of leads obtained. It is a crucial metric for understanding the cost-effectiveness of lead generation efforts, helping marketers determine the efficiency of their campaigns in attracting qualified prospects to enter the sales pipeline.
