Cost Per Lead, commonly abbreviated as CPL, is a key performance indicator and pricing model used in marketing strategies to evaluate the cost-effectiveness of marketing campaigns. It represents the amount of money spent to acquire a new lead, which is a potential customer who has expressed interest in a product or service by completing an action such as filling out a contact form, signing up for a newsletter, or engaging in some other way that allows a company to follow up with them. To calculate CPL, marketers divide the total cost of a marketing campaign by the number of leads generated from that campaign. This metric is crucial for businesses because it helps them determine the return on investment of their marketing efforts and compare the cost-efficiency of different channels and campaigns. By analyzing CPL, companies can optimize their marketing spend, focus on the most profitable tactics, and adjust their strategies to lower costs while increasing the quality and quantity of leads.