Marketing Attribution for Home Service Businesses: Stop Guessing, Start Measuring
Key Takeaways
- $50 leads at 10% close rate = $500/sale; $80 leads at 40% close rate = $200/sale
- Ask 'how did you hear about us' on every call - no exceptions
- Phone tracking costs $50-100/month and pays for itself instantly
- Anonymous visitors showed intent - you can still reach them with mail or retargeting
- Track lead source through to job completion, not just first contact
Where are your leads coming from?
Marketing measurement starts with this question. If you can’t answer it with confidence, you’re guessing. And guessing means wasting money on things that don’t work while underfunding things that do.
Most home service businesses track lead count. Some track cost per lead. Very few track what actually matters: cost per sale, revenue by source, and the full picture of which marketing channels generate booked jobs.
Why lead count isn’t enough
Let’s say you have two lead sources.
Source A gives you 100 leads at $50 each, so you spent $5,000. Source B gives you 50 leads at $80 each, so you spent $4,000. Based on cost per lead, Source A looks like the winner. More leads for less money per lead.
But here’s what happens downstream.
Source A’s 100 leads turn into 10 closed jobs worth $40,000 in revenue. Source B’s 50 leads turn into 20 closed jobs worth $100,000 in revenue.
Source B has fewer, more expensive leads but generates more than double the revenue.
When you calculate cost per sale, Source A cost you $500 per closed job while Source B cost you $200 per closed job. Source B is actually 2.5x more efficient despite looking worse on a cost per lead basis.
This is why cost per lead can mislead you. What matters is cost per sale and revenue generated.
Learn more about why leads aren’t converting and where they fall out between first contact and closed job.
Building your attribution system
You don’t need expensive software to track attribution. You need discipline and consistency.
The foundation is a simple question: “How did you hear about us?”
Ask it on every call. Every form submission. Every booking. Train your team to ask it naturally and record the answer in your CRM. No exceptions.
For trackable channels, use unique identifiers. Different tracking phone numbers for Google Ads, yard signs, postcards, and organic search. Promo codes like “Mention NEIGHBOR50” for postcard campaigns. Dedicated landing pages and URLs for specific campaigns. UTM parameters to track digital campaigns through to form submissions.
Services like CallRail, CallTrackingMetrics, or WhatConverts make phone tracking easy. Most cost $50-100 per month and provide clear reporting on which channels generate calls.
But lead tracking isn’t enough. You need to connect leads to jobs.
In your CRM, maintain a field for lead source that follows the record from first contact through job completion. When you close a job, you should be able to see exactly which marketing channel originated that customer.
Once you’re tracking sources through to sales, you can calculate the metrics that actually matter:
| Metric | Formula | Why it matters |
|---|---|---|
| Cost per lead | Total spend ÷ leads | How much does attention cost? |
| Cost per sale | Total spend ÷ closed jobs | How much does revenue cost? |
| Close rate | Closed jobs ÷ leads | How qualified are the leads? |
| Average ticket | Total revenue ÷ closed jobs | What’s the typical job value? |
| Revenue per source | Total revenue from that source | Which channels generate real money? |
| ROI | (Revenue - spend) ÷ spend | What’s the return on investment? |
Run these numbers monthly. Compare channels. Look for patterns.
What most contractors miss: non-lead data
Here’s something most businesses don’t think about.
When someone visits your website and doesn’t fill out a form, they’re not a lead. But they’re not nothing either.
They showed intent. They found you, clicked, and browsed your service pages. Something made them leave without converting. Maybe they weren’t ready. Maybe they got distracted. Maybe they’ll be ready next month.
If you’re collecting data on these visitors, you can market to them later.
Website visitor identification tools can identify anonymous homeowners visiting your site and give you their contact information even if they never fill out a form. Email capture with pop-ups offering something useful like a maintenance checklist in exchange for an email address. Retargeting pixels on Facebook and Google let you show ads to people who visited your site.
Once you’ve collected these contacts, you can send email campaigns with seasonal promotions and maintenance reminders. You can send direct mail to identified visitors who didn’t convert online. You can run retargeting ads to stay visible while they make their decision. You can follow up in 30-60-90 days when their circumstances may have changed.
The leads you don’t capture today are often the customers you serve next quarter. Collecting that data means you don’t have to start from zero every month.
Learn more about capturing lost leads.
Monthly marketing review
Set aside an hour each month to review your marketing performance. It doesn’t have to be complicated.
Pull the numbers by source. For each marketing channel, whether that’s Google Ads, organic search, postcards, referrals, yard signs, or whatever else you’re doing, pull total spend, total leads, total closed jobs, and total revenue.
Calculate the key metrics. Cost per lead, cost per sale, close rate, average ticket, and ROI for each channel.
Compare and rank. Which channels have the best ROI? Which have the worst? Are there channels with high lead volume but low close rates?
Make decisions. Double down on high-ROI channels. Investigate underperforming channels to figure out if the problem is lead quality or your sales process. Cut channels that consistently underperform. Test new channels with small budgets before scaling.
Document your decisions. Write down what you changed and why. Next month, you can see if the changes worked.
Common attribution mistakes
The most common mistake is simply not asking “how did you hear about us?” on every call. If your team isn’t consistently asking and recording the answer, you’re flying blind.
Only tracking lead count is another problem. Lead count tells you about activity, not results. A channel that generates 100 low-quality leads is worse than one that generates 20 buyers.
Ignoring offline channels like yard signs, door hangers, referrals, and word-of-mouth is a mistake too. These are harder to track but often drive significant business. Use unique phone numbers and promo codes to measure them.
Looking at the wrong time frame trips people up. Some channels have long sales cycles. A lead from organic search might take 60 days to close. Looking at last week’s results won’t show you the full picture. Track cohorts over time.
And not tracking what happens after the first sale misses the bigger picture. Customer lifetime value matters. A customer from Source A might book one job. A customer from Source B might become a maintenance plan member and book five jobs over three years.
The attribution mindset
Marketing attribution isn’t just about spreadsheets. It’s about shifting from reactive to strategic.
When you know your numbers, you stop guessing and start deciding. You can justify marketing spend with data. You spot problems before they become expensive. You invest more confidently in what works.
The businesses that win at marketing aren’t necessarily spending more. They’re spending smarter because they know what’s working.
Where to go next
Marketing attribution is the foundation of smart growth. It connects your lead generation efforts to actual revenue and shows you where to focus.
To understand why more leads don’t always mean more jobs, read why leads aren’t converting. To capture leads that slip through the cracks, explore capturing lost leads. And to see how website visitor identification can reveal hidden demand, check the visitor identification guide.
The data is there. The question is whether you’re capturing it.
Written by
Pipeline Research Team