We define lead acquisition cost as the amount you pay, to acquire a single inbound marketing lead. We usually calculate the acquisition cost on a yearly basis.


You can calculate your lead a acquisition cost on a monthly and yearly basis. If you calculate on a yearly basis, you will get more accurate results because unlike PPC (pay per click) advertisement, the content you create may help you acquire new leads for several months, possibly years. That means, while you may acquire 10 leads during the first month, you could acquire a total of 40 years throughout the year.

Lead Acquisition Cost: Inbound Marketing vs Pay per Click Advertisement

Example Calculation

Let’s look at an individual article. We spend 1,000 GBP.

Month 1 2 3 4 5 6 7 8 9 10 11 12
Leads 10 9 9 8 7 5 6 4 3 1 1 1

After a year has passed, this individual article could have helped us acquire a total of 63 leads. Our average lead would cost 15.87 GBP. Do keep in mind that for inbound marketing to be truly effective, you need to commit to it on an ongoing basis. That means, you should set a monthly budget and publish new content regularly.