Cincinnati, OH-KY-IN (1888PressRelease)
October 23, 2007 - Over the past few years lead generation revenues in the United States have continued to soar. Contractors inevitably contribute a significant amount to these revenues due to their broad base- the entire service industry. It is difficult to name one home or business owner who cannot benefit from at least one service these contractors provide, which in turn creates intense competition within the service industry. Many lead generation companies are going online to appeal to a broader range of clients, which could be an explanation for increasing revenues in the lead industry. A significant amount of contractors, though, are finding many of their purchased leads are not producing results.
According to the Interactive Advertising Bureau (IAB)/PriceWaterhouseCoopers (PWC) Full Year Internet Advertising Revenue Report, lead generation revenues topped $1.3 billion in 2006. In 2005 this amount was only $753 million (it is difficult to make this number sound small). The rate at which these numbers appear to be increasing is merely indicative to how aggressive the market is becoming.
Nearly all lead generation companies in the service industry make all of their profits by charging contractors for leads, if not a yearly fee as well. The problem with these leads, however, is they often have been sold to many others companies and contractors. Aaron O’Hanlon, marketing consultant with FootBridge Media who specialize in the contracting industry, explains, “Some lead services don’t do any background checks of their clients, so someone can receive leads from a major lead company and then sell that lead again.” He continues by stating, “There have been many cases in the lead generation industry where a single lead has been sold up to 20x times.”
Many disgruntled contractors can probably relate with the above scenario. The solution to this dilemma is simply free leads, submitted directly through one site. Contract Spot makes this possible. When the contractor has no obligation to purchase leads, they ultimately feel better about the leads they receive whether they land the job or not. Customers of Contract Spot post projects with no obligation, and contractors in the posted project category receive these leads, pending the job is within their job radius. Contract Spot does not obtain leads from large marketing companies that sell leads to competitors. All jobs posted on the site are from current customers of Contract Spot.
###
