Cost per lead (CPL) calculator
Enter your ad spend, number of leads, close rate, and average deal value. You get your cost per lead, cost per customer, projected revenue, and ROI on the campaign.
Positive revenue ROI of 289%.
- Cost per lead
- 41.67
- Expected customers
- 21.6
- CAC
- 231.48
- Projected revenue
- 19,440.00
- Revenue ROI
- 289%
CAC = spend ÷ (leads × close rate). ROI here compares revenue to spend — subtract delivery costs for a true profit view.
How it works
CPL is spend divided by leads. It is the natural first metric for lead generation because leads are what you can count immediately, long before deals close. On its own, though, it says nothing about whether the campaign makes money.
The calculator carries the math through to customers. Expected customers are leads times your close rate, and CAC is spend divided by those customers. This is where cheap leads often fall apart: a source with half the CPL but a quarter of the close rate has double the CAC.
Finally it projects the return. Revenue is customers times average deal value, and ROI is revenue minus spend, divided by spend. An ROI of 0 means break-even on revenue; note this compares revenue to spend, so a positive ROI still needs to cover your margin and delivery costs before it is true profit.
Assumptions and limitations
- Close rate and deal value are estimates you supply; small errors in close rate compound directly into CAC and ROI, so test the calculation with pessimistic values too.
- Lead quality varies enormously by source. A blended close rate hides the difference between channels, so calculate per channel where you can.
- There is a time lag between spend and closed revenue. This projection treats future deals as certain and ignores how long the sales cycle locks up cash.
- ROI here is revenue-based, not profit-based. It excludes cost of delivery, sales team time, and overhead.
Frequently asked questions
What is cost per lead?
Cost per lead is your total ad spend divided by the number of leads it generated. Spend 2,000 to get 50 leads and your CPL is 40. It measures the efficiency of your lead capture, but it needs close rate and deal value alongside it to say anything about profitability.
What is the difference between CPL and CAC?
CPL is the cost of a lead; CAC is the cost of an actual customer. CAC equals spend divided by customers, which is the same as CPL divided by your close rate. A 40 CPL with a 20% close rate is a 200 CAC, and CAC is the number your deal value has to beat.
How do I calculate ROI on lead generation?
Multiply leads by your close rate to get customers, multiply customers by average deal value to get revenue, then compute revenue minus spend, divided by spend. That is your ROI as a fraction of spend. Keep in mind it is a revenue ROI; subtract delivery costs if you want a profit view.
What is a good cost per lead?
It depends entirely on what a lead is worth to you, which comes from your close rate and deal value. A 500 CPL is excellent if closed deals are worth tens of thousands, and a 5 CPL is terrible if leads never convert. Work backwards: decide the CAC you can afford from your deal economics, then multiply by close rate to get your maximum viable CPL.
Is anything I type here saved or sent anywhere?
No. The calculator runs entirely in your browser, and none of your spend, lead, or deal figures are transmitted or stored. Closing the tab removes everything.
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