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Home service leads: what they are, how they are priced and where demand sits

Home service leads are inquiries from homeowners who want a job done at their house, such as a roof repair, a broken furnace or a clogged drain. Contractors buy them. About 170 searches a month in the US look for "home service leads," about 110 for "home improvement lead generation" and about 90 for "home service lead generation."

What a home service lead is

A home service lead is one homeowner with one job at one address. It reaches the contractor as a phone call, a form or a booked appointment. The lead is more than a name and a number: the job type, the address and the urgency are what make it usable.

A good one carries four facts:

A made-up lead record that has all four:

FieldExample
ReceivedTuesday, 7:42 pm
JobWater heater leaking in the basement
AddressA street address inside the service area
UrgencyToday
ContactA mobile number, confirmed by a call back
ChannelPhone call, recorded
Sold asExclusive to one contractor

Emergency work and planned work

The two can behave differently, and the lead that suits one may not suit the other.

Emergency workPlanned work
Examplesburst pipe, no heat, storm damageroof replacement, new furnace, solar, remodeling
What the homeowner doesmay call the first firm that answersmay get several quotes over days or weeks
Best lead typea phone calla form or booked estimate
What decides the salespeed of responsetrust, reviews, the estimate
Best leadexclusive, delivered at onceexclusive, with time to follow up

A shared lead can work poorly for emergencies, since the first firm to answer may win and the rest pay for nothing. For planned work, a shared lead may be less of a problem, since the homeowner may be waiting for quotes anyway.

Demand for lead terms by trade

US monthly searches for the lead terms of a trade differ a lot: about 1,000 for roofing leads and about 70 for garage door leads. A small count does not make a weak trade, since buyers in a trade may use other words for the same need. The counts for every trade on the markets page show the spread.

How home service leads are priced

Three ways to pay are common, and each moves the risk:

An example, with made-up numbers. Say an electrical panel upgrade is worth $2,400, 1 in 4 leads becomes a job, and the margin is 35%. A lead is worth $600 in revenue and $210 in break-even terms. A seller offering leads at $150 leaves $60 per lead before anything else, and a seller at $230 loses money. The same logic for a roof is on the value of a lead page.

Mistakes contractors make with home service leads

What to do with it

FAQ

What is home service lead generation?

It is the business of delivering inquiries from homeowners to contractors. The seller records each inquiry and passes it on. The contractor pays per lead, per appointment or per month.

What is home improvement lead generation?

It is the same business for larger projects, such as windows, siding, kitchens and bathrooms. Jobs can be bigger and decisions slower, so a lead can be worth more, and fewer of them may become jobs.

Are shared or exclusive leads better for home services?

Exclusive tends to suit emergencies, where speed decides. For planned work, shared leads can still pay if your response is fast and your price is competitive. Compare cost per job.

Which trades have the most demand for leads?

Roofing leads get about 1,000 US searches a month and HVAC leads about 720. The lead terms by trade list on the markets page has the rest.

Contractors, lead sellers and agencies that want the search demand behind a trade in their market can see Querytally for lead generation and the sample files.

Checked by a person and delivered within 24 hours, with a link and a search number behind every row.