Posted by Fox on July 30, 2007 at 3:09 PM

Johnder Perez over at webhostb2b.com explains what CPL (Cost Per Lead) means.

WHAT IS CPL?

CPL (cost per lead) and PPL (pay per lead) refer to the cost and the payments made for each qualifying lead. CPL is a calculation of the actual cost incurred in successfully acquiring a valid lead, while PPL refers to the model. Leads are usually generated in various ways, including the gathering of information. For example, when a web site visitor submits their e-mail address, or registers for a particular offer by providing their contact information and perhaps even by completing a survey by submitting demographic information, these actions result in a lead. Calculating CPL is similar to calculating other costs including CPA. As illustrated by the CPA formula, it will depend on the number of overall impressions with the resulting click through as a determining point on the cost. Depending on the percentage resulting in a lead, internet publishers will set rates in accordance with these figures and the risk factor involved in order to maximize their earnings and to fully utilize ad inventory.

Source: webhostb2b.com

More Jargon Busting:
What is RON? (Run of Network)
What is PPS? (Pay Per Sale)
What is CPL? (Cost Per Lead)
What is PPC? (Pay Per Click)
What is CPS? (Cost Per Sale)
What is CPC? (Cost Per Click)
What is CPA? (Cost Per Action)
What is CTR? (Click Through Rate)