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How Much Would You Pay For 18k Leads?

by RichardR
15 replies
Hey folks! I'll make my question very simple, how much would you pay for let's say, 18 thousand leads (for the "how to make money online" niche), considering the leads are strong?
#18k #leads #pay
  • Profile picture of the author tpw
    Where do they come from?
    How were they drawn into the system?
    How old are the leads?
    Have they been telephone verified?
    Have they been address verified?
    Have they been verified to be buyers and not tire kickers?
    What is the reputation of the seller?

    You get the idea...

    There is far more information that is needed, before anyone can give you a concrete answer...

    At the end of the day, it is about economics...

    If you buy 100 leads on a test, how many will convert? What conversion rate?

    What is the cost of the 100 leads?

    What does your company earn total on those leads?

    How much does your company profit on those leads?

    Are you putting people into a repeat purchase scenario, or a one-time sale?



    Do a small test... Then calculate your results on that test...

    Even if you pay more for those test leads, it will be worthwhile for a testing sample...

    If you can profit on the 100 leads at a higher price, then step up your lead purchase volume...
    Signature
    Bill Platt, Oklahoma USA, PlattPublishing.com
    Publish Coloring Books for Profit (WSOTD 7-30-2015)
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  • Profile picture of the author King Shiloh
    Banned
    I will pay $0. Why? There's no 100% Money-back guarantee. Why do I need Money-back guarantee? I'm not sure the lead is worth my while.
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    • Profile picture of the author RichardR
      Originally Posted by King Shiloh View Post

      I will pay $0. Why? There's no 100% Money-back guarantee. Why do I need Money-back guarantee? I'm not sure the lead is worth my while.
      Thank you for the answer K.Shiloh! ok, how much would you pay if there was a 100% money back guarantee?
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    • Profile picture of the author tpw
      Originally Posted by King Shiloh View Post

      I will pay $0. Why? There's no 100% Money-back guarantee. Why do I need Money-back guarantee? I'm not sure the lead is worth my while.

      There is also no such thing as a Get-Your-Time-Back-Guarantee either...

      If you spend any time doing a task, there should be a perceived cost for that...

      We should measure our "time spent" vs "the cost of outsourcing" at all levels of our businesses...

      If it is cheaper to buy leads... Buy them...

      If it is cheaper to spend your time to acquire leads, then do so...

      But remember, the amount of time you have in your work week is limited, but money can buy you more time, if you can buy that time at a profit...
      Signature
      Bill Platt, Oklahoma USA, PlattPublishing.com
      Publish Coloring Books for Profit (WSOTD 7-30-2015)
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      • Profile picture of the author King Shiloh
        Banned
        Originally Posted by tpw View Post

        There is also no such thing as a Get-Your-Time-Back-Guarantee either...

        If you spend any time doing a task, there should be a perceived cost for that...

        We should measure our "time spent" vs "the cost of outsourcing" at all levels of our businesses...

        If it is cheaper to buy leads... Buy them...

        If it is cheaper to spend your time to acquire leads, then do so...

        But remember, the amount of time you have in your work week is limited, but money can buy you more time, if you can buy that time at a profit...
        My loss. I'm walking away right now.
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        • Profile picture of the author tpw
          Originally Posted by King Shiloh View Post

          My loss. I'm walking away right now.

          Please don't think I was being critical of you... I was not...

          I apologize if you feel that I was wrong in my comments...

          Bill
          Signature
          Bill Platt, Oklahoma USA, PlattPublishing.com
          Publish Coloring Books for Profit (WSOTD 7-30-2015)
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        • Profile picture of the author RichardR
          I'm not selling them right now, i'm just figuring out how much can i sell them for i don't have all the answers, that's why i posted this question! )

          anyhow you're saying 28 a lead?

          so in my case that could be 28x18,000?

          about them feeling "being sold to" that's something you must take into the account and, to make sure that whatever you're selling DOES worth the money, the time AND gets results!
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          • Profile picture of the author tpw
            Originally Posted by RichardR View Post

            I'm not selling them right now, i'm just figuring out how much can i sell them for i don't have all the answers, that's why i posted this question! )

            anyhow you're saying 28 a lead?

            so in my case that could be 28x18,000?

            about them feeling "being sold to" that's something you must take into the account and, to make sure that whatever you're selling DOES worth the money, the time AND gets results!

            No, I am not saying that at all...

            I am saying, compare yourself to your competition to see what they are selling, and then match what they are doing...

            I seriously doubt that you can get as much for an IM lead as you can for an auto insurance lead...

            And it is important to understand that Age Of Lead and Competition For Lead are both important consideration in your pricing...


            I am also saying that if you sell solo-mailings to people, then you get to maintain list and allow outsiders to enter your customers web space, without your getting caught in any unwanted fall-out....
            Signature
            Bill Platt, Oklahoma USA, PlattPublishing.com
            Publish Coloring Books for Profit (WSOTD 7-30-2015)
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  • Profile picture of the author RichardR
    Thanks for the response!

    The leads are about 10 days old, it's a mailing list, i personally generated them and therefore they are mine, out of the 18k about 4-5k purchased the launch product, and more are buying the upsell stuff daily.

    i never dealt with list selling before, and i don't really know the $$ value of it, and that's why i'm asking

    If you can't give a 100% answer, a good guess will be awesome as well!

    Thanks!
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    • Profile picture of the author Alexa Smith
      Banned
      Originally Posted by RichardR View Post

      i personally generated them
      How are they going to feel about being "sold"?

      Was that what they expected/wanted from you? :rolleyes:
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      • Profile picture of the author King Shiloh
        Banned
        Originally Posted by Alexa Smith View Post

        How are they going to feel about being "sold"?

        Was that what they expected/wanted from you? :rolleyes:
        Alexa, I think they understand my plight. So, they will not feel so bad.

        Emm...I don't know what they expected from me but I will tell them that they are going on loan, rent or lease. SO, they will still be back.
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        • Profile picture of the author JohnMcCabe
          Richard, there's a difference between a list of leads and a targeted mailing list.

          Leads are people actively requesting information about a subject, product, service, etc. When Bill quoted $28/lead for auto insurance quotes, that was likely for someone who filled out an information request form and indicated a desire to purchase auto insurance.

          It sounds more like you have a targeted mailing list. In other words, you have a list of people who have either purchased an entry level product or signed up for a freebie related to that offer. Such lists are often priced per thousand names.

          In physical direct mail, such lists are usually rented, rather than sold. You pay whatever CPM the list owner or broker will settle for (usually room to negotiate), and you get the names to mail one time. Because they're available to just about anyone who pays the rental fee, they don't bring as much per name as fresh, direct leads.

          Actually renting mailing lists isn't practical in the digital world, so list owners turned to the solo mailing instead. For a fixed fee, you would take the buyer's email and send it to your list yourself.

          If you want to see what kind of price such a solo mailing can bring, take a look at the Directory of Ezines. I took a quick peek, and solo ads were running ~$2-$5 per thousand. That would make your list somewhere between $36 and $90 per mailing.

          One more thing before you start counting your money...

          Alexa mentioned it, but I'll spell it out here as well. Check the terms of service and/or privacy policy you had in place when you generated this list. If you have language that says you will "never sell, rent or share" your list, you might have a problem if people start getting ads from whoever pays the fee...
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          • Profile picture of the author RichardR
            Originally Posted by JohnMcCabe View Post

            Richard, there's a difference between a list of leads and a targeted mailing list.

            Leads are people actively requesting information about a subject, product, service, etc. When Bill quoted $28/lead for auto insurance quotes, that was likely for someone who filled out an information request form and indicated a desire to purchase auto insurance.

            It sounds more like you have a targeted mailing list. In other words, you have a list of people who have either purchased an entry level product or signed up for a freebie related to that offer. Such lists are often priced per thousand names.

            In physical direct mail, such lists are usually rented, rather than sold. You pay whatever CPM the list owner or broker will settle for (usually room to negotiate), and you get the names to mail one time. Because they're available to just about anyone who pays the rental fee, they don't bring as much per name as fresh, direct leads.

            Actually renting mailing lists isn't practical in the digital world, so list owners turned to the solo mailing instead. For a fixed fee, you would take the buyer's email and send it to your list yourself.

            If you want to see what kind of price such a solo mailing can bring, take a look at the. I took a quick peek, and solo ads were running ~$2-$5 per thousand. That would make your list somewhere between $36 and $90 per mailing.

            One more thing before you start counting your money...

            Alexa mentioned it, but I'll spell it out here as well. Check the terms of service and/or privacy policy you had in place when you generated this list. If you have language that says you will "never sell, rent or share" your list, you might have a problem if people start getting ads from whoever pays the fee...
            First of all i want to say thank you very much for the detailed and the very helpful answer! 2nd, that fish in the photo is about 4 times bigger than all the fishes i ever caught, together!

            Thank you for helping me realize how it works, Have an outstanding week!
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    • Profile picture of the author tpw
      Originally Posted by RichardR View Post

      Thanks for the response!

      The leads are about 10 days old, it's a mailing list, i personally generated them and therefore they are mine, out of the 18k about 4-5k purchased the launch product, and more are buying the upsell stuff daily.

      i never dealt with list selling before, and i don't really know the $$ value of it, and that's why i'm asking

      If you can't give a 100% answer, a good guess will be awesome as well!

      Thanks!

      Sorry... I thought you were buying...

      Check the rates that your competition is selling the same types of leads for...

      In the auto-insurance industry, I know one company selling leads under 7 days old for $28 and exclusive for three days...

      Then after the three days, they sell the same lead for $18 to five companies with a 7 day window of action...

      After the first ten days, the leads drop to $8 each... etc.

      --

      And as Alexa suggested... Review what you told your customers to make sure that you are not invading their privacy and hurting your reputation if you sell those leads...

      Why not instead sell solo-mailings to your list?
      Signature
      Bill Platt, Oklahoma USA, PlattPublishing.com
      Publish Coloring Books for Profit (WSOTD 7-30-2015)
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