How Much Do Solar Leads Cost? The Factors That Affect Solar Lead Pricing
How Much Do Solar Leads Cost?
Buying solar leads can make it simpler to target customers, but it doesn’t guarantee sales. We’re upfront about that. Solar leads cost from $15 to $1000 USD, which varies by state. When you note prices that are vastly lower than that, understand the questionable quality of those leads.
Solar Leads Defined
The term “lead” in marketing and sales refers to the name and contact information of an individual or business that has expressed interest in a specific topic. A “solar lead” refers to a homeowner or business that has expressed interest in a solar panel installation for their home or office.
Capturing Solar Leads
While many companies get their direct leads from advertising, they also buy leads from reputable sources that compile the information of prospective customers, both consumers and business owners. The cost of lead capture varies because it occurs in a variety of ways, from radio and television ads to online marketing and surveys. The cost of the leads also depends on the market.
So how does the capture method affect the price? A lead capture method that costs a lot results in more expensive leads. For example, leads from in-person surveys and television ads cost quite a bit to collect, so they typically cost more. Leads collected via online surveys may cost less.
Location and Solar Lead Pricing
The market location is also important. Solar leads are more expensive in California than anywhere else in the United States. The west coast states’ installation numbers combined with the multitude of existing solar projects can drive the cost per lead up to $1,000 or more. Conversely, in North Dakota, where solar energy has yet to take off, a solar lead costs about $15.
The rest of the US falls somewhere between those two extremely divergent prices. In Minnesota, a lead on a solar installation costs about $15, while in Massachusetts, the same lead costs about $100.
Solar Leads and the Jobs They Represent
The job type referenced by the solar lead also affects the price. Typically, residential leads cost less than commercial leads.
According to ProMatcher, a consumer watchdog company that vets service people and verifies their pricing, when averaged across the US, a residential solar panel installation lead costs between $40 and $70, but a residential solar panel repair lead costs between $15 and $40 per lead.
The revenue from commercial customers increases the cost of commercial solar leads. For instance, the average US commercial solar panel installation lead ranges from $100 to $250 per lead, but the residential leads cost drastically less.
How do you determine the quality of leads?
Considering the expense of leads, you want to know that your investment will pay off with a solar installation. Here’s the straight fact: even the best leads provide a conversion rate of less than 10 percent.
Let’s say you went to the state fair and meandered through the technology building. While there, you completed a survey card on solar energy. It asked for your contact information—maybe your phone number, email address, or name and address. You became a lead.
You may have filled it out thinking you’d receive some knick-knack for your desk. The organization that obtained it thinks you want to buy a solar array. That organization might not use the lead itself but sell it with all the others it collected that week to a marketing agency or an advocacy group.
That group probably sells it to solar installers who want to make a sale. If you checked the box that said you already use solar, they might sell it to solar repair companies. The company you buy it from may collect its leads from many sources.
Defined Organic Sources vs. No Visible Origin Leads
You’ll either purchase leads with a defined organic source or those with no visible origin. So what’s the difference? When you buy lead from a clearly identified organic source, you can be sure that the lead came from just one place. Typically, marketing companies only sell these sourced leads to one solar installer or repair firm, but some companies sell them to up to four companies.
When the origin isn’t visible, the firm selling the leads typically compiles them from many sources. You won’t know the quality of these leads and can’t check the process of collecting them. Most marketing agencies sell these leads to multiple installers, usually as many as four.
That puts your company in competition with up to three other companies for the sale or repair job.
You can buy exclusive leads, but most businesses don’t. Why? Buying exclusive solar leads costs the most money. Selling a lead to just one solar panel installer or repair company costs more because it increases your chances of landing the job.
Why Date of Acquisition Matters
Your solar leads should provide you with people interested in purchasing now. Some companies sell and resell the same lists. The leads could date back a year or more. That means the original company that obtained them did so long ago, and that individual either already had the solar installation completed or lost interest. An aged lead won’t do you much good, so check the freshness of the information before paying for it.
What to Look for in Exclusive Solar Leads
With costs so high for these solar leads, why buy them? Couldn’t you just advertise and generate leads on your own?
You could, but that would cost you more money. The trick is to learn to shop for solar leads in a savvy way. Although they cost more, organic leads convert better.
Before you buy solar leads, you need to know a few important facts. These include:
- The sourcing method of the leads.
- The date the original collector acquired the lead information.
- The number of installers to which the company plans to sell the data.
With the US cost of solar installation ranging from $15,000 to $50,000, investing in these leads can quickly pay off. Even in the most expensive states such as California, where the solar lead can cost $1,000, but the project costs the average homeowner $45,000. Although part of that cost consists of materials, your company makes back the money and then some.
Watch out for companies that promise you sales from generating leads. Your sales from solar leads also depend on your sales team. A trustworthy solar lead generation company won’t promise you sales or overcharge you.
Why use solar leads?
Although they can cost a bit, compared to the revenue they can help bring in, solar leads make a good investment. Generating solar leads helps a startup that has yet to establish itself and can’t afford magazine or television advertising.
Some solar lead generation companies don’t require a contract, nor do they set minimum purchase requirements. That means your business could buy just one solar lead, or five, or ten, and get started pitching interested, ready-to-buy customers today.
Those first few customers mean everything to a fledgling business. They establish jobs and provide customer reviews. Purchasing solar leads can get you there faster. Completing jobs lets you build experience and clout. Good leads help you with that.
Why choose Clean Energy Experts for solar lead generation?
Clean Energy Experts understands the importance of consistent high-quality leads. We value your investment in making your solar installation business succeed. At Clean Energy Experts we 100% phone verify each lead, placing the quality of our leads above our competition.
Our organization grew out of a partnership with the US government, which originally funded our work. The goal of that initial project was to make solar energy more affordable. Although we no longer use that funding source, we remain committed to the goal of making solar more affordable and accessible. Clean Energy Experts does not charge upfront fees, require contracts, or a minimum purchase to generate leads. Every customer gets a dedicated account manager.
At Clean Energy Experts, we know the solar industry and we know marketing. We make a good-faith effort to ensure that you obtain the best leads possible. Contact us today to find out how to buy solar leads for your company. Let us help you land the business to get your solar installation started.