A low cost per enquiry can look attractive while producing few paying customers. Track the steps from marketing response to qualified appointment, accepted quotation and completed paid work.
Define a consistent conversion event
Choose whether you are evaluating a first paid job, a recurring customer or another clearly defined outcome. Track duplicates, cancellations and unsuitable enquiries separately. The denominator must match the acquisition spending and time period being evaluated.
Include the relevant acquisition effort
Record advertising, intermediary charges and the labour used to qualify and quote where you choose to include it. State the definition so comparisons remain fair. A campaign handled by the owner is not necessarily costless merely because no agency invoice exists.
Compare with customer contribution
Estimate contribution from actual completed work and retention evidence, with uncertainty visible. Do not treat the full value of a long-term contract as immediately collected cash. A campaign can acquire valuable customers while creating a short-term funding need.
A worked research example
Illustrative example: 1,200 spent generates 60 enquiries but only 12 first paid jobs. Cost per enquiry is 20; cost per acquired paying customer is 100 under that definition. Further sales effort would increase the second measure if included.
Evidence to gather
- Define what counts as an acquired customer
- Deduplicate and qualify enquiries
- Record spending and selected sales effort
- Compare cost with contribution and receipt timing
Before you move forward
Frequently asked questions
Are enquiries the same as customers?
No. Some may be duplicate, unsuitable or never convert to paid work.
Does a signed annual contract equal cash received?
No. Check billing, payment timing and the actual delivery costs.
Can I compare campaigns with different definitions?
Align definitions and periods first, or label the comparison’s limitations clearly.
Sources and scope
References checked 6 November 2026. The questions, examples and diagrams are our editorial research tools; they are not statements that every franchise has the same terms.
- SBA — Plan your business
General US business-planning reference, not franchise-specific costs or a forecast.
- SBA — Manage your business
General operating and finance background; local and contractual requirements still need checking.
General editorial information, not personalised legal, tax or financial advice. Confirm local requirements and the actual documents with appropriate advisers. Examples are hypothetical. Contact the editor or suggest a correction.
Continue your research