New Leads vs Old Leads: Where Should Contractors Spend Next?
Cameron Richards, Founder7 min read
New leads grow your pipeline but cost money up front whether or not they book. Old leads are already paid for and often still need the job, but nobody has followed them up. Most contractors should keep buying the new leads that pay for themselves and put a structured process on the old ones, because that's where the cheapest appointments usually are.
What do new leads cost?
| Source | Reported cost per lead | Notes |
|---|---|---|
| Angi | About $15 to $85, $100+ in competitive trades, plus ~$300 a year membership | Shared with 3 to 8 pros (LeadTruffle) |
| Thumbtack | Pros report about $16 to $100+ | You set prices within minimums |
| Google Local Services Ads, roofing | About $106.87 | 99 Calls data via Netembark |
These are per-lead costs. Your cost per booked appointment is higher, because many leads never book.
What do old leads cost?
Nothing extra for the leads themselves: you've already paid. The cost is the time or service needed to follow them up. That's why reactivation can lower your blended cost per booked job even if only a small share of old leads book. Test your own numbers in the cost per booked job calculator.
How do they compare?
| New leads | Old leads | |
|---|---|---|
| Up-front cost | Paid per lead, booked or not | Already paid |
| Speed to appointments | Fast if you respond fast | Fast once a campaign starts |
| Intent | Some ready now, many shopping around | Mixed: some sorted, many still need the job |
| Competition | Often shared with other pros | Usually just you, months later |
| Quality | Set by the source | Set by your own past lead generation |
Why do contractors underinvest in old leads?
Because new leads feel urgent and old ones feel like a lost cause. In reality, research published in Harvard Business Review found 23% of companies never responded to an online lead at all, and slow follow-up is common. A large share of your "lost" leads were never properly worked.
How should you split your effort?
- Keep buying new leads from sources where your cost per won job is below your margin.
- Fix speed to lead so fewer new leads go cold in the first place.
- Run a monthly reactivation on leads from the last 3 to 24 months that never booked or didn't sign.
- Track both by cost per booked appointment and cost per won job, not cost per lead.
How Setterly fits
Setterly works the old-lead side for you by two-way AI text and books appointments into your calendar. You pay per booked appointment. There is no setup fee and no retainer. CRM integration is optional for a one-off fee. It doesn't buy or sell leads; it only works leads you already own. See lead reactivation for contractors.
Our published results are UK campaigns. Cloudy2Clear, a UK misted double glazing repair franchise, booked 673 appointments from 6,769 old leads. A UK electric heating company booked 105 home surveys in its first 30 days. Past results, not a forecast.
What's the takeaway?
Don't choose between new and old leads. Keep the new-lead sources that pay, respond faster, and give your old leads a proper process. Start with what to do with old Angi leads and how many times to follow up on an estimate.
Frequently asked questions
Are old leads worth following up?
Usually. Many were never properly worked, and the need often hasn't gone away. Check consent first.
How old can a lead be and still book?
Leads from a few months to a couple of years often still reply, depending on the trade.
Should I stop buying new leads?
No. Keep sources where your cost per won job is below your margin, and add a process for old leads.
What's the best metric to compare lead sources?
Cost per booked appointment and cost per won job, by source.
Sources
Works for: Roofing, Solar, Kitchen remodeling, Pools
