Contractor here: pay per lead or a percentage of closed jobs?

George Hawkins

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I run a licensed general contracting company in Washington state. Google Ads seems to be getting less profitable, so I'm thinking about paying outside marketers instead, either a set price per lead or a percentage of the jobs that actually close.

For those of you who sell leads to contractors:

1. Which model has worked better for you? A percentage puts the risk on the marketer, per lead puts it on the contractor, and I can see why a marketer wouldn't want to depend on someone else's sales skills.
2. How do you define a billable lead? I'm thinking something like: a real homeowner, inside the service area, asking for a job type we actually do, and reachable within a day.
3. How do you handle disputes: duplicates, wrong area, tire-kickers?

If I go ahead, I'll do it through a proper Hire a Freelancer post. For now I'm trying to understand what's fair to both sides before I talk to anyone.
 
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