Revenue and profit per lead
Job value × booking rate × close rate = revenue per lead. × gross margin = gross profit per lead. 1 ÷ (booking rate × close rate) = leads per sold job.
Drain clears keep the trucks moving. Repipes, water heaters, and sewer lines pay for the shop. Price those leads on their own.
By the BlueSmith team · Updated
Each lead is worth (revenue): $1,620
$9,000 project, 45% margin, 45% of leads booked, 40% of estimates closed.
See what we’d build for these numbersStarts with example numbers. Change them to yours. Arithmetic only, not a promise of results.
Enter your average value for repipes, water heaters, or sewer jobs, and your gross margin.
Add the share of those leads that book an estimate.
Add the share of estimates you sell.
Job value × booking rate × close rate = revenue per lead. × gross margin = gross profit per lead. 1 ÷ (booking rate × close rate) = leads per sold job.
A clog or a running toilet books easily and pays little. Mixing those into an install average makes every lead look worth the same, and they aren’t.
$9,000 job, 45% book, 40% sell: $1,620 revenue per lead. At a 45% margin, $729 gross profit per lead. About 5.6 leads per sold job.
Only if your real numbers match what you enter. It’s arithmetic, not a forecast, and the defaults are examples, not a plumbing benchmark.
Often from a service call. The tech spots corroded pipe or a failing heater and quotes the replacement. Those count too, so track which install estimates started as service visits.
Better apart. A water heater swap and a whole-house repipe sit far apart in price, and the homeowners decide differently.
Answering fast, asking a couple of questions to sort install work from service, and following up on every quote that doesn’t sign the same day.
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