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Inbound Marketing Lowers Cost of Leads by Sixty-Seven Percent

According to the 2014 State of Inbound study from Hubspot, leads sourced through inbound marketing are consistently less expensive than outbound leads, regardless of company size.

The graph below examines cost per lead for North American B2B companies. The absolute costs are less important than the relative cost between inbound and outbound leads.


The inbound tactics of blogging (content marketing), SEO, and social media excel in the quality of leads and cost effectiveness. When deciding which is less expensive—inbound or outbound marketing, the size of the company does not make a difference. Even at the enterprise level, traditional outbound leads cost almost double the amount of inbound leads.

How Do You Lower the Cost of Your Inbound Leads?
Study after study shows that SEO provides the best ROI of any inbound marketing channel.

marketingspendSource: The 2013 State of Inbound Marketing report, Hubspot.

SEO on average is 12% of a typical marketing budget, but generates 14% of leads. On the other hand, despite having 8% of the marketing budget, PPC generates only 6% of leads. If you are spending more of your marketing budget on PPC than SEO then your lead generation program is costing you.

It’s not just the number of leads generated from SEO that makes it such an important inbound tactic; it is the quality of those leads.

In the aforementioned study, Hubspot asked marketers for the average percentage of leads converted to sales by marketing channel. As you can see below, SEO leads inbound marketing conversion rates, netting 15% above the average conversion rates.


SEO consistently delivers the best ROI of any inbound marketing channel. Don’t let the thought that SEO is too challenging keep you from netting a profit!

 Contact us today to learn how you can lower the cost of your leads by 67%!!