In a recent survey of home improvement professionals, the biggest challenge faced by these companies is generating leads for new business.
Whether you have a small team or own a large company, having a constant stream of high-quality prospects is the key to maintaining a consistent cash flow and a healthy business.
The challenge is – where are your customers? What’s the best way to get in front of them when they’re looking for a home improvement contractor?
Most of today’s consumers search for local service providers online. They’d find the name of a few local contractors on Google, read some online reviews, visit their websites, and request a quote.
The key to getting found by prospects is to make sure that your website shows up on the first page of relevant local search results.
Unfortunately, many home improvement contractors fall behind in their prospecting efforts because they don’t have the time and resources to spend on online marketing.
Thankfully, there are many lead generation services to which you can outsource your marketing activities.
Some of these vendors drive traffic to your website, on which potential clients submit their inquiries.
Others use online marketing techniques to attract prospects to their platforms, on which the visitors submit project details. These vendors will then verify the leads and sell them to contractors.
To help you find a lead generation service that’s best for your business, we have put together a shortlist of 10 vendors. Some of them offer pay-per-lead or pay-per-call services while others focus on using online marketing techniques to drive high-quality prospects to your website:
Exclusive Leads |
Lead Verification |
Lead Source(s) |
|
Modernize.com |
Yes, with selected programs |
Yes |
Prospects submit requests on vendor’s website |
HomeAdvisor.com |
No |
Yes |
Web form and third-party data sources |
FirstImpression.com |
Depends on service package |
Yes |
Depends on type of service |
Leadstream by Web.com |
Yes |
Yes |
Prospects visit contractor’s website |
Networx.com |
No |
Yes |
Prospects submit requests on vendor’s website |
HomeImprovementLeads.com |
No |
Yes |
Prospects request quotes on vendor’s website |
Remodeling.com |
Yes, vendor offers shared, exclusive, and branded-exclusive leads |
Yes |
Prospects submit requests on vendor’s website |
Leads-force.com |
Yes |
Yes |
Prospects visit contractor’s landing page |
CraftJack.com |
No |
Yes |
Prospects submit projects on vendor’s website |
99calls.com |
Yes |
Yes |
Prospects visit contractor’s website |
Figure 1: How each lead generation service handles lead generation, verification, and distribution
Finding the Right Lead Generation Service For Your Home Improvement and Remodeling Business
There are a few things to look out for when selecting a vendor to make sure you’re getting the right lead generation service for your contracting business:
Lead Distribution System
Some services send you shared leads while others offer exclusive leads. To decide which type is best for your business, you need to understand how they work.
Shared leads are sold to multiple contractors. Some vendors limit the numbers of contractors that each lead is sold to.
When you buy shared leads, you’d likely be competing against a few other contractors. The chances of winning a client will be lower and you may even get into a bidding war that could lower your profit margin.
If you’re rapidly expanding and/or have the resources to pitch new clients, you can take advantage of the lower cost-per-lead of shared leads.
On the other hand, when you purchase exclusive leads, you’re the only contractor getting the prospect’s information. The competition is lower and you’re more likely to close the deal.
If you’re relatively new in business or don’t have a lot of time and resources for client acquisition, getting exclusive leads is often more cost-effective even though the per-lead cost is typically higher.
Lead Source(s)
Lead source refers to where a lead is collected from, e.g., online ads, organic search results, online directories, third-party review sites, referral, or offline promotions.
If you use a lead generation service that drives traffic to your website, review the analytics and see which lead sources are sending you the highest-quality prospects so you can focus your resources on them.
If you use pay-per-lead or pay-per-call services, you should experiment with a few and see which one sends you the highest quality leads. These services generate leads using different methods (e.g., some use PPC and SEO techniques while others maintain an internal database) and their sources vary.
Lead Verification System
Any reputable lead generation service should have a lead verification system to ensure that the leads they send to you are ready to hire a home improvement contractor.
Vendors should be transparent about how they verify their leads. Here are some examples:
- Requiring website visitors to fill out a web form with details about their home improvement projects.
- Contacting the prospects to ensure that the information is accurate.
- Ensuring that the prospects are located in your service area before passing the leads to you.
- Screening the leads to make sure that they meet your criteria before setting up a sales call on your behalf.
- Setting up a website or landing page for your business with an effective lead capture system (e.g., web form and/or dedicated phone number) and driving highly targeted traffic to it.
In the case where a lead vendor has prospects call you directly, find out how to dispute a lead. Often direct leads are recorded and reported. This allows you and the lead vendor to post-qualify a lead and generally bad leads should be credited.
Pricing Structure and Cost Per Lead
Some vendors charge per lead or per call while others offer packages for a flat monthly fee.
If you want to have leads sent to you on a consistent basis, monthly packages can help you better control your budget.
On the other hand, if you only need to purchase leads once in a while, getting them on a per-lead or per-call basis is likely to be more cost-efficient.
Understanding the pricing structure, cost-per-lead, and your conversion rate will provide you with the necessary information to select the right service package so you can purchase the appropriate number of leads.
Here are the pricing structures of some of the vendors on our list:
Cost Per Lead |
Notes |
|
Modernize.com |
Depends on program and service area, ranging from $20-$60 per shared lead |
Offers pay-per-lead and subscription programs based on service type and territory |
HomeAdvisor.com |
$45-$75/shared lead |
Plus $28.99/month |
FirstImpression.com |
Varies based on service |
|
GetStarted.Web.com/Leadstream |
Varies based on package |
|
Networx.com |
$30-$70/shared lead |
|
HomeImprovementLeads.com |
Depends on program and service area, ranging from $20-$60 per shared lead |
Offers pay-per-lead and subscription programs based on service type and territory |
Remodeling.com |
Varies based on package |
|
CraftJack.com |
Ranges from $5 – $70 per lead based on service category |
|
Lead-Force.com |
Varies based on service |
|
99calls.com |
$39 per exclusive lead after intro period |
Intro offer: $199 setup and $99/month for first 10 months of unlimited leads |
Figure 2: Pricing structure comparison
Top 10 Lead Generation Services For Home Improvement and Remodeling Contractors
Selecting the right lead generation service can help you get the appropriate amount of qualified leads at a cost that will maximize your ROI.
To increase your profits, you’ll need to understand how the service works, the pricing structure, and the pros and cons of each model.
Here’s a quick overview of the vendors on our top 10 list:
1. Modernize
Cost per home improvement lead: Depending on the service package and location, typically $20-$60 per shared lead.
Lead distribution system: Leads are shared by up to four contractors with a national average of 1.2. The vendor also offers subscription programs that distribute a blend of exclusive and shared leads.
Lead source: The vendor uses online advertising and SEO techniques to drive traffic to its website, on which prospects submit requests.
Lead Verification System: Prospects’ information is verified in real time as they fill out the requests for quotes on the website.
Pros:
- Prospects have to fill out a detailed web form to get a quote. The leads are verified and sent to contractors in real-time.
- The vendor is the largest private home improvement leads provider in the US. It has access to a large amount of data for analytics to help improve results.
Cons:
- Getting shared leads means you have to compete with other contractors.
- The subscription model for exclusive leads can increase your cost.
Source: Better Business Bureau
2. HomeAdvisor
Cost per home improvement lead: $45-$75 per lead, plus $28.99/month.
Lead distribution system: Leads are shared by several contractors.
Lead source: The vendor drives traffic to its website using online marketing techniques. It also leverages third-party data sources.
Lead Verification System: Prospects submit a request on the vendor’s website.
Pros:
-
The vendor is the oldest contractor-matching service with a large user base.
-
It has a strong online presence.
-
It offers a user-friendly interface.
Cons:
-
Shared lead means you’ll be competing with other contractors and you may have to buy more leads to win enough businesses.
-
The refund policy isn’t the most satisfactory so you have to carefully manage your profile, e.g., turning off the paid leads feature if you can’t accommodate new clients to avoid paying for leads that you can’t use.
Reviews:
Source: Better Business Bureau
3. First Impression
Pricing structure: Varies based on the type of service.
Lead distribution system: Depends on the type of service.
Lead source: The vendor uses targeted media buying and search engine marketing techniques to drive traffic to your website or landing page.
Lead Verification System: The vendor uses pre-qualifying questions on web form or phone to validate leads.
Pros:
- The vendor uses a data validation and leads scoring software to ensure the quality of the prospects.
- The vendor offers pay-per-call leads so you can have the opportunity to talk to a prospect before paying for a lead.
Cons:
- The full-service approach may be more expensive than other pay-per-lead services.
Reviews:
Source: Better Business Bureau
4. Leadstream by Web.com
Pricing structure: Depends on service package.
Lead distribution system: Exclusive leads generated from your website.
Lead source: The vendor drives traffic to your website using SEO techniques.
Lead Verification System: The lead verification system on your website (e.g., a web form for requesting a quote.)
Pros:
- The vendor uses highly-targeted local SEO techniques to attract people looking for a contractor in your area to your website.
- The vendor tracks each click and every call so you can analyze the data and fine-tune your campaigns.
Cons:
- You may not get the intended results if your website isn’t set up properly for capturing leads.
Reviews:
Source: Leadstream Website
5. Networx
Cost per home improvement lead: $30-$70 per shared lead.
Lead distribution system: Leads are shared by 1 to 4 contractors.
Lead source: The vendor uses online advertising and SEO tactics to drive traffic to its websites, on which prospects fill out a detailed request and are shown profiles of contractors.
Pros:
-
You can set up a custom profile with photos and reviews to showcase your services.
-
The vendor has gotten positive reviews on providing personalized services.
Cons:
-
You’ll be competing with other contractors for the same leads.
Reviews:
Source: Better Business Bureau
6. Home Improvement Leads
Cost per home improvement lead: Depending on your service area, cost ranges from $20-$60 per shared lead.
Lead distribution system: Leads shared by up to four contractors with a national average of 1.5.
Lead source: The vendor uses online marketing methods (e.g., paid ads, SEO, etc.) to drive traffic to its website, on which prospects submit requests.
Lead Verification System: Prospects’ information is verified in real time as they fill out the request for quotes on the vendor’s website.
Seems to be affiliated with Modernize.com.
Pros:
- You can set up filters to receive only leads that match a pre-determined set of criteria, such as territory, trade, type of service, etc.
- You can set the number of leads you want to get per week to help control your budget.
- You can manage leads with the vendor’s online lead management tool, which sends you prospect information in real time.
Cons:
-
Sharing leads means you’ll compete with other contractors.
-
Quality of the leads may vary.
Reviews:
Source: Google reviews
7. Remodeling.com
Cost per home improvement lead: Varies based on your choice of lead type.
Lead distribution system: The vendor offers shared, exclusive, and branded-exclusive leads.
Lead source: The vendor drives traffic to your website, on which prospects submit their requests for quotes.
Lead Verification System: The lead verification system on your website (e.g., a web form for requesting quotes.)
Pros:
- You have full control of your campaign from the dashboard. E.g., creating or pausing campaigns, adjusting bid, or fine-tuning targeting.
- The vendor offers different types of leads and bidding techniques (e.g., pay per call, lead, or click.)
- You can utilize the vendor’s platform for invoicing and payment processing.
Cons:
-
The full-service model could be more expensive than other pay-per-lead websites.
Reviews:
No review is available at the time of publication.
8. Lead-Force.com
Cost per home improvement lead: Varies based type of service.
Lead distribution system: Exclusive leads generated from your website.
Lead source: The vendor drives traffic to a landing page using online marketing and mobile search call technologies.
Lead Verification System: The vendor offers data capture, filtering, and delivery as part of the service.
Pros:
- The vendor verifies all the leads with its SMS Text Verification Platform prior to delivery.
- The vendor uses demographic, behavioral, geographic, and psychographic targeting to attract high-quality leads.
- Mobile search call platform helps you capture prospects that are searching for contractors on their mobile devices.
Cons:
-
The full-service model could be more expensive than other pay-per-lead websites.
Reviews:
No review is available at the time of publication.
9. CraftJack
Cost per home improvement lead: $5-$70 per shared lead, depending on specific category.
Lead distribution system: Leads shared by up to four contractors.
Lead source: Prospects submit a request on the vendor’s website.
Lead Verification System: When prospects submit their requests on the vendor’s platform, the automated system calls them to verify their information.
Pros:
-
You can use the vendor’s lead management tool to keep track of prospects and receive text or email alerts on new leads.
-
It’s easy to request a credit through the lead management tool if you receive a bad lead.
Cons:
-
Getting shared leads means competition will be relatively high.
Reviews:
Source: Better Business Bureau
10. 99 Calls
Pricing structure: $199 setup fee. $99 per month for the first 10 months to get unlimited leads. $39 per exclusive lead after the intro period.
Lead distribution system: Exclusive leads.
Lead source: The vendor uses local SEO to promote your business so it appears at the top of search engine results and gets found by high-quality prospects that are looking for a home improvement contractor in your local area.
Pros:
-
You get exclusive leads that are looking for home improvement contractors in your area.
-
You get a website optimized to rank high in organic searches, boosting your SEO and generating long-term results.
-
Your company will be listed on prominent directories. These profiles, along with a Facebook business page, will be properly set up for you so you can promote special offers to attract potential clients.
-
The vendor’s packages guarantee a minimum number of leads per month or your bill is prorated.
-
Packages include monthly reporting to help you track results and maximize ROI.
Reviews:
Source: Better Business Bureau
Also see:
Google reviews for 99 Calls
Facebook reviews for 99 Calls
Conclusion
Home improvement is a multi-billion dollar industry that’s trending to grow in the foreseeable future.
This translates into many business opportunities for home improvement and remodeling contractors who have the ability to generate high-quality leads and close the sales.
Besides lead generation, make sure you have the rest of your sales funnel dialed in so you can turn prospects into clients.
Of course, don’t forget to deliver high-quality work and provide outstanding customer service so you can get recurring business, referrals, and 5-star reviews from your happy clients.
Thank you for providing great information on how to get leads for a home improvement contractor. As we all know that home improvement is an investment for the home owners making the industry a million dollar industry.
So a lead will be most important to funnel out prospects clients to get more sales or projects.