Every plumbing business buys leads in one of four ways, and the difference between them is much larger than the price per lead suggests. You can buy shared leads from a marketplace, buy exclusive leads from a generator, buy clicks and convert them yourself, or earn them from visibility you own. Each carries a different close rate, a different amount of your own labour, and a very different answer to the question of what happens if you stop paying. Comparing a marketplace lead against a lead from your own site on headline cost alone is the mistake that keeps this market confusing. This page separates the four and shows how to price them properly.
The four channels, and what each one really is
Shared marketplace leads are sold to several contractors at once, which makes the headline price low and the close rate correspondingly low, since you are racing three competitors to call first. Exclusive leads cost more per lead and close better, but exclusivity is a promise you cannot verify, so it is worth only as much as the vendor's willingness to put it in the contract with a remedy. Paid search leads are ones you generate yourself by buying clicks, where you carry the risk and keep the learning, and where the account you build becomes an asset if you own it. Earned leads come from your listings, your reviews and pages on your own site, which cost time rather than money per lead and keep working when spending pauses. Most healthy plumbing businesses run three of the four, weighted differently through the year.
The only number that matters is cost per booked job
Cost per lead is a distraction because the close rates differ so much between channels. Work it out properly: take what you paid, divide by leads received, then divide by the share of those leads that became a booked job, and you have a comparable figure. A cheap shared lead that converts one time in six can easily cost more per booked job than a dearer exclusive lead that converts one in three. Then take one more step and weight by average job value, because emergency call-outs, water heater replacements and repipes are not the same business. Track this monthly per source in your own booking system rather than in a vendor's dashboard, because a vendor counts a lead when it is delivered and you should count it when it is money.
How to judge a lead vendor before you sign
Ask five questions. Is the lead exclusive, and what is the remedy if it is not. What is the dispute process for wrong numbers, out-of-area calls and people who wanted a service you do not offer, and what proportion of disputes are typically granted. How were these leads generated, since a lead from a search ad behaves very differently from one harvested by a comparison form or bought from a third party. Is there a minimum spend or a term. And do you own any of the assets, which for most marketplaces is a firm no. If you are calling leads that were not generated by your own advertising, check your obligations under the FTC's Telemarketing Sales Rule and your state's rules before your team starts dialling, because purchased contact data does not carry consent with it by default.
Building the channel that does not send an invoice
The channel with no per-lead cost is the visibility you own: a complete and accurate business profile, a steady flow of genuine reviews, service pages that match how people actually describe their problem, and enough page speed that someone with water on the floor does not give up. Google's local business structured data guidance describes marking up a real business with real details, which is the standard: accurate hours, service areas you genuinely cover, and a phone number that works. This takes months rather than days, which is precisely why buying leads stays attractive, but it changes the economics permanently once it works. Most plumbers who reach that point find that the sensible route was a plumber SEO company for the durable side while paid channels covered the gap, rather than either one alone.
Questions people ask about plumber leads
Are shared leads ever worth buying?
Yes, when you have spare capacity and can call within a minute or two. Speed to first contact dominates close rate on shared leads. If your team cannot answer immediately, shared leads become a subsidy to whichever competitor can.
How do we verify a lead was really exclusive?
You largely cannot, which is why the contract matters more than the claim. Ask for exclusivity in writing with a defined remedy, and watch for tell-tale signs from customers who mention being called by several companies within minutes of enquiring.
What close rate should we expect?
It varies far too much by channel, market and response time for a benchmark to be useful. Measure your own, per source, for at least a quarter, and use that figure rather than a vendor's average. Your own number is the only one that reflects how fast your team actually calls back.
Can we call purchased leads legally?
Check first. The FTC's Telemarketing Sales Rule and state rules govern outbound calling, and purchased contact data does not necessarily carry the consent your call requires. Ask the vendor exactly how consent was obtained and get the record, not the assurance.