You need more jobs. Revenue is flat. So you do what seems logical and sign up for HomeAdvisor or Angie’s List and start buying leads. 

At first, it feels like progress. But three months later, you’re working harder than ever, with thinner margins, because you are fighting others buying the same leads. 

The Lead Generation Con You’re Paying For 

These services invest in promoting themselves as the best solution for you and for your customers. They make it seem like they are essential for your business to grow. 

Those marketing tactics, the ones that convinced you to sign up, are the exact same strategies these platforms use to attract homeowners. They invest in pay-per-click campaigns, video marketing, and search engine optimization. They build a recognized, trusted brand that homeowners turn to when they need help. 

And you’re paying for all of it. They’re using your money to make their brand stronger while your brand stays invisible. 

You’re Not Buying a Customer, You’re Entering a Bidding War 

Here’s where it gets worse. When you buy a lead from these platforms, you’re not getting an exclusive opportunity. That same lead, that same homeowner with that same problem, gets sold to four, five, sometimes more of your competitors simultaneously. 

The homeowner isn’t calling you because they know your company or trust your reputation. They’re comparing quotes from multiple contractors they’ve never heard of, making decisions based primarily on one factor—price. 

The Real Cost: Your Brand Never Grows 

The most devastating cost isn’t the money you spend per lead. It’s the opportunity cost of what you’re not building. 

While these services are investing in brand recognition, building trust with homeowners, and creating long-term value, your company remains unknown. Next year, you’ll be just as dependent on buying leads as you are today. Maybe more so. 

There’s a Better Way 

Imagine if you took that lead-buying budget and invested it in building your own brand, just like the countless businesses we have helped do the same. What if homeowners in your area saw your company name in their Facebook feed, on local television, or on trusted news local news sites like MLive.com? What if they called you directly because they recognized and trusted your brand? 

“Buying leads might fill your calendar today, but building your brand is what keeps it full tomorrow. The contractors who win long-term are the ones homeowners recognize and trust before they ever search for a quote.” -Tim Drummond, Sales Director 

When we help you build your brand, you own the relationship with the customer. You’re not competing with five other contractors. You’re not racing to be the cheapest option. You’re the company they already trust before they pick up the phone. 

The close rate is higher. The margins are better. And every dollar you invest builds equity in your brand that pays dividends for years to come. 

Ready to stop buying leads and start building your brand? Let’s talk about how premium advertising solutions and strategic marketing can help you capture customers directly, increase your margins, and build long-term value in your business. Contact us today to start the conversation. 

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The MLive Media Group of today drives Michigan businesses to greater success. Contact us with any opportunities for us to help you.