Cost Per Lead is a widespread form of performance-based online advertising. This payment model requires advertisers to make bids based on the number of leads generated by the offer. In a broader sense, CPL is also a vital metric that tracks the efficiency of a business’s online marketing campaign.
It indicates the return on your marketing investments in the form of generated leads.
CPL, as well as cost per impression or cost per visitor all influence the Customer Acquisition Cost (how much money you spend acquiring a customer).
Tracking these metrics helps determine the number of consumers interested in your brand or product, the efficiency of marketing strategy, and define what channels are the most effective for lead generation.