Understanding Income Per Lead (IPL)

It’s not always easy to appreciate the difference between a 10% or 15% sales rate, or the difference between a £55 or £60 CPL. However, it’s shocking to see how these differences add up to make or break lead generation campaigns.

One of the key metrics we work with our clients to understand is IPL, which is short for Income Per Lead. Income Per Lead is a straightforward measure and is useful at comparing the sales effectiveness between different channels and partners.

For instance, if you want to compare your affiliates utilising different marketing strategies, then Income Per Lead is your friend. It can be described as:

Income Per Lead = Income generated / Total number of leads

Simple as that, right? 

Just in case you don’t have your excel model to-hand, today we’ve released a new free-to-use calculator that makes calculating IPL straightforward. Our goal with this calculator is to help aid intuition when thinking about IPL. This calculator takes lead volumes, CPL’s and sales rates into account, and spits out an easy to understand IPL figure.

You can find the IPL calculator here. Please go and have a play, and be sure to send us some feedback.

This calculator is the first of many we’re going to release to make the inner workings of lead generation more accessible, understandable and transparent, to buyers and sellers alike. We hope you find it useful.

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