We tell people our average cost per lead for land clearing companies is $41. Most people nod and move on.
But let’s actually do the math — because this number is more powerful than it sounds.
The Simple Math
Let’s say you spend $1,500/month on ads. At $41 per lead, that’s roughly 36 leads per month.
Now let’s say your close rate is 10% (which is below our average). That’s 3.6 jobs per month.
Average land clearing job value? Let’s be conservative and say $3,500.
3.6 jobs × $3,500 = $12,600 in revenue from $1,500 in ad spend.
That’s an 8.4x return on ad spend. For every dollar in, you get $8.40 back in revenue.
Now Let’s Talk About the Good Closers
Our top-performing clients close at 15-24%. Let’s use 15%:
- 36 leads × 15% close rate = 5.4 jobs
- 5.4 × $3,500 = $18,900/month
- That’s a 12.6x return on a $1,500 ad spend
And that’s with a conservative job value. Many of our clients average $5,000-$10,000 per job. At $7,000 average job value and a 15% close rate:
5.4 jobs × $7,000 = $37,800/month from $1,500 in ads.
That’s a 25x return.
The Compound Effect
Here’s what most people miss: marketing compounds.
Month one, you close 4 jobs. Month two, some of those customers refer you to a neighbor. Now you’re closing 5. By month six, you have reviews, reputation, and referrals stacking on top of your paid leads.
The $41 lead doesn’t just get you one job. It gets you into a neighborhood. It gets you a Google review. It gets you a referral. The lifetime value of a $41 lead can be $20,000+.
Compare It to the Alternative
What does it cost to get leads WITHOUT paid marketing?
- Door knocking: Your time (worth $50-100/hour), gas, vehicle wear. Maybe 1-2 leads per day.
- Yard signs: $20-50 each, inconsistent results, weather dependent
- Word of mouth: Free but unscalable and unreliable
- Home shows: $500-2,000 per event, hit or miss
None of those give you 36 leads per month. None of those scale. And none of those let you choose which markets and jobs you want.
The Real Question
The question isn’t “can I afford $41 per lead?”
The question is: “can I afford NOT to have 36 potential customers calling me every month?”
Your competitor down the road is getting those leads right now. Every lead you don’t capture is a job someone else is closing.