
Many contractors buy solar leads to increase their revenue. These leads connect them with consumers who may be interested in solar projects, allowing them to close more deals.
But solar leads have a dark side—many providers scam customers, wasting their time and budgets. In fact, according to Convoso, about 30% of leads sold by third-party vendors are fraudulent across all industries.
Contractors who know what to look out for can avoid scams. This article will guide you in the right direction, ensuring you avoid scammers and attain quality leads that help you grow your business.
What are Common Solar Lead Scams?
The first step is to know what to look out for. Familiarity with solar lead scams helps you spot them from a mile away, ensuring the best outcomes when you buy solar leads. Here are some to be aware of.
· Exclusive Non-Exclusive Leads: Exclusive leads go directly to you and are not shared with other contractors, reducing competition and increasing conversion rates. They are typically more expensive than non-exclusive leads but are often worth the investment. Unfortunately, some lead gen companies will tell clients their leads are exclusive and charge a higher rate, but they will share these leads with other contractors, minimizing their advantages.
· Fake Leads: Misrepresenting leads is bad, but some companies go a step lower, selling completely fake leads. They may simply gather a list of unvetted contacts who have no known history of showing interest in solar, and may not even own a home.
· Lead Scraping: This practice involves scraping leads from other websites without consent. It is an illegal practice that could blow back on their clients. Additionally, the leads are often out of date or inaccurate.
· Lead Generation Bots: Bots may be used to generate fake leads or conduct lead scraping activities, which leads to poor outcomes. According to ClickPatrol, companies lose over $1.4 billion annually to fake leads and bot submissions.
· Misrepresentation of Lead Quality or Quantity: Some companies make promises they can’t keep. They will promise you a certain number of leads or guarantee conversion rates, but once you buy their services, you will realize they have made false claims.
· Phishing Scams: You may encounter companies that claim they do lead generation, but they are actually illegitimate scammers who are just trying to access your personal information for fraudulent reasons.
· Non-TCPA Compliance: The Telephone Consumer Protection Act (TCPA) outlines how sales companies can interact with consumers. Key components include getting express consent before sales calls are made, maintaining do-not-call lists, and adhering to call time restrictions. These rules apply to the way lead-gen companies initially generate leads. If they attain leads in a non-compliant fashion, it could trickle down to their clients, leading to fines and reputational damage.
What are the Impacts of Bad Leads?
Even a reliable lead gen agency may get you some dud leads, but you can tell you’ve been taken advantage of if most of the leads you call are unreachable, don’t own a home, or have no interest in solar. Following up on these leads can have a negative impact on your business as follows:
· Waste of Money: Obviously, whatever money you spent on leads will have been wasted. Additionally, you may have spent time and money arranging for a sales team to work on these leads, only to find it’s all gone down the tubes.
· TCPA Violations: Working with a non-TCPA-compliant company can impact contractors. For example, if the company creates a call list without first receiving consent from leads or includes people who have stated they don’t want to be contacted, your company could get in trouble.
· Skewed Metrics: Many contractors track metrics that allow them to see the impact of their marketing efforts. Working off bad lead lists can skew these metrics, making it difficult for them to determine what’s working and what isn’t.
How to Ensure You Are Working with a Trusted Provider?
So how can you make sure you’re working with a trusted provider when you buy solar leads? Here are some things to look out for.
· Vagueness and a Lack of Transparency: Beware providers who are not clear about their policies and practices. They should explain their process and write documents and contracts in a language that’s easy to understand, avoiding technical jargon.
· Unrealistically Low Prices and Guarantees: Contractors should shop around to find providers that offer low prices and valuable guarantees, but they should be aware of companies that offer rates that seem too good to be true- they probably are!
· Limited Online Visibility: The company you work with should have a vibrant online presence, with references and case studies. If the provider is difficult to find online, and/or the only information you find is years old, that’s a red flag.
· Pressure Tactics and Salesy Approach: Avoid companies that pressure you to sign a contract quickly without going over the details.
· Prioritizes Quantity Over Quality: The provider should offer leads that are customized to your needs based on location, homeowner status, and other factors. Companies that overlook personalization and try to sell you on quantity should be avoided.
· A Lack of Insight: The provider should address all questions regarding how leads are generated, how old they are, and lead demographics. If they refuse to provide that information or are vague when delivering it, keep looking!
· Ensure the Company is TCPA Compliant: Unfortunately, there are no documents that ensure a company is TCPA compliant. However, you can look for signs of compliance, such as clear disclosures and consent from leads and do-not-call lists.
· Reviews and Referrals: Work with a company with positive online reviews and a long history of offering quality service to their community. You may also ask if you can contact the companies’ past client base for referrals.
· Licensing: Most lead generation companies are required to hold a general business license, which indicates legitimacy. The license number may be listed on the website. If you don’t see it- ask.
· Invest in Minimal Services: Start out purchasing a smaller package so you can try out the services without investing a lot of money. Avoid companies that force you to make excessive initial investments.
How to ‘Get Back’ At Companies That Wronged You
Have you partnered with a lead generation company to buy solar leads and experienced subpar service? There are some avenues for justice, including the following:
· Contact the Company: Even dishonest companies may be willing to work with you and refund your money, especially if you can point out areas where they violated contract terms. Most banks will require you to take this step before ordering a chargeback.
· Request a Chargeback: If all else fails, request a chargeback to get your money back through your bank. You may be successful, depending on the nature of the transaction.
· Post Negative Reviews: Negative reviews can damage the company’s reputation and alerts others so they don’t fall into the same trap.
Buy Solar Leads Through Clean Energy Experts
You can’t go wrong when you buy solar leads through Clean Energy Experts. We don’t require contracts or minimum purchases. You set the price per appointment and only pay for closed appointments.
We are backed by over 15 years of experience in the solar lead generation industry. Our team has helped clients generate up to 45,000 solar appointments per month. We offer analytics and reporting for full transparency.
Contact us when you are ready to buy solar leads that will take your company to the next level.
FAQs
How to outsmart a scammer?
You can outsmart a scammer by not making decisions in the moment. Hang up or walk away if you feel pressured. Don’t share any personal or financial information that seems unnecessary.
How to get free solar leads?
You will attract leads by listing your company on solar directories, building a strong social media presence, and getting involved in homeowner communities. However, buying leads may get faster results.
How to close solar sales?
Working with a reputable lead-gen company helps, but it’s up to the contractor to close those leads. You will increase success rates with consistent follow-up and by providing valuable information that aligns with the client’s needs. Nurturing leads can lead to 50% more sales and 47% higher order values.
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