"Lead" means different things to different suppliers. Some count every form submission. Some count only people who have asked for a quote. Before you pay for any, agree what you are paying for.
Lead, qualified lead, sale
- Enquiry or lead: someone filled in a form or called.
- Qualified lead: an enquiry that meets an agreed standard, such as real contact details and a service you offer, in an area you cover.
- Sale: the customer books and pays you.
A qualified lead is not a sale. A good one still needs you to answer quickly, quote sensibly and win the job. Anyone promising that every lead will convert is selling something else.
A working definition
The definition I use is simple. A qualified lead has real contact details, asks for a service the provider offers, and is for a property in the area they cover. That is the baseline. You may want to add other conditions, such as property type or a minimum job size, and they should be written down before you start.
Qualified or not: examples
| Enquiry | Qualified? | Why |
|---|---|---|
| Landlord asks for an HMO fire risk assessment, gives name, phone and email, property in your area | Yes | Contact details, service offered, in area |
| Enquirer wants a fire risk assessment but the property is outside your area | No | Outside the agreed area |
| Form submitted with no phone and an obviously fake email | No | No real contact details |
| Someone asks about a service you do not offer | No | Service not offered |
| A student asking what a fire risk assessment is | No | No request for the service |
| The same landlord submits the form twice | Once | Duplicate |
Why write it down
Disputes about leads usually come from a vague definition. If the definition is written, both sides can check an enquiry against it. If a lead fails, you can say why. If it passes, you pay without argument. It also helps you compare suppliers: ask each to define a lead in one sentence, then see whether the sentences match.
What a definition cannot do
It cannot promise that the enquirer will accept your quote, answer your call or have a budget. Those are down to you and to the market. What it can do is make sure you are paying for a real person asking for something you provide. For how I apply this, see pricing.
Questions
Should I pay for leads I could not contact?
That is for your agreement to say. A sensible definition requires real contact details, and the supplier should be willing to replace or credit leads that clearly fail it.
What about leads that do not answer the phone?
A person who gave real details but did not answer is usually still qualified. Following up is your job, and [how to follow up an enquiry](/blog/how-to-follow-up-an-enquiry) explains how.
Related guides
10 questions to ask before you buy leads for your service business
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