What is CPL / CPA (cost per lead or acquisition)?

Cost per lead (CPL) or cost per acquisition (CPA) is the average ad spend needed to get one lead or customer.

It is calculated as ad spend ÷ number of leads (or customers).

For service businesses it is a more useful target than clicks or impressions, because it connects ad spend to real enquiries.

Related terms

Conversion rate ROAS (return on ad spend)

Keep learning

Full glossary

PPC is online advertising where you pay each time someone clicks your ad.

CPC is the amount you pay for each click on an ad.

CTR is the percentage of people who click a link or ad after seeing it.

Conversion rate is the percentage of visitors who complete a goal, such as submitting a form, calling or buying.

Chat with us