How Much Do Solar Leads Cost? A Strategic Guide for Installers

In the competitive solar installation industry, a steady pipeline of qualified leads is the lifeblood of growth. Yet, the most common and pressing question for business owners remains: “How much do solar leads actually cost?” The answer, while not simple, is crucial for budgeting and building a sustainable customer acquisition strategy.

Understanding the price tag isn’t just about a number—it’s about evaluating value, return on investment (ROI), and the long-term health of your business. Let’s break down the landscape.

Bargain to Premium

Solar lead costs are not one-size-fits-all. They vary dramatically based on source, quality, and level of qualification. Here’s a current market snapshot:

Unqualified/Generic Leads: These often come from bulk list purchases or low-intent online captures. You might see prices as low as $5 to $20 per lead. However, these leads typically have not expressed specific, timely interest in solar. The conversion rate is often abysmal, making the true cost per acquisition (CPA) very high. Consider these "names," not true leads.

Standard Online Leads (Shared or Exclusive): This is the most common category. Generated through digital ads, landing pages, or comparison sites, these leads have shown interest.

Shared Leads: Sold to multiple installers (3-5 companies). Cost ranges from $20 to $60 per lead. Competition is fierce, and speed-to-call is critical. Conversion rates are lower due to the "feeding frenzy" effect.

Exclusive Leads: Sold to only one installer. Prices jump significantly to $80 to $200+ per lead. The higher cost is justified by a much higher potential conversion rate, as you are the first and only point of contact.

High-Intent & Pre-Qualified Leads: These are the gold standard. The lead has not only expressed interest but has also been vetted for key criteria: homeownership, credit score, utility bill review, and roof suitability. Expect to pay $150 to $400 per lead. While the upfront cost is substantial, the close rate can be 5-10x higher than unqualified leads, offering a superior and more predictable ROI.

Referrals & Strategic Partnerships: Often overlooked in "cost" discussions, these are high-value channels. While the direct monetary cost per lead might be low (a referral fee of $250-$500 after a close, for example), they require investment in relationship building, networking, and stellar service to generate. Their conversion rate is typically the highest of any channel.

Beyond the Sticker Price: Calculating True Cost Per Acquisition (CPA)

The per-lead price is just the starting point. The only metric that truly matters is your Cost Per Acquisition (CPA)—how much you spend to gain one paying customer.

CPA = (Total Lead Spend + Sales Overhead) / Number of Customers Acquired

Example:

You buy 100 exclusive leads at $100 each: $10,000

Your sales team spends time calling, qualifying, and designing for these leads.

You close 8 customers from this batch.

Your CPA is $10,000 / 8 = $1,250 per customer.

Now, if your average project profit is $4,000, that’s a strong return. But if you bought 100 shared leads at $40 each ($4,000 total) and only closed 2 customers, your CPA is $2,000—less efficient, despite the cheaper leads.

Key Takeaway: A higher-cost, higher-converting lead often yields a lower and more profitable CPA.

Factors That Influence What You Will Pay

Geography: Lead costs are market-dependent. Highly competitive states (CA, FL, TX) often have higher costs due to demand. Emerging or less-saturated markets may offer lower prices.

Lead Source & Vettting: A lead from a trusted, solar-specific platform with a strong vetting process costs more than a generic online form-fill from a home improvement site.

Exclusivity: As outlined, paying for exclusivity is a direct trade-off between upfront cost and competitive friction.

Volume & Commitment: Many lead providers offer discounts for high-volume, consistent monthly purchases.

A Strategic Investment Framework for Installers

Instead of asking "How much do they cost?" shift your mindset to "What is the right mix for my business?"

Audit & Track: Before buying, know your current metrics. What is your close rate by lead source? What is your actual CPA and customer lifetime value (LTV)?

Balance the Portfolio: Don't rely on a single source. Smart installers create a blend:

High-Intent Purchased Leads: For predictable, scalable pipeline.

Digital Marketing (Owned Channels): Invest in SEO, content, and targeted social media to generate your own leads. Higher initial effort, but lower long-term cost and builds brand equity.

Referral Program: Systematize and incentivize happy customers to become advocates.

Quality Over Quantity Every Time: It’s better to buy 10 well-qualified leads you can focus on than 100 cold names that waste your sales team’s time and morale. Protect your most valuable asset: your sales team's time and energy.

Negotiate and Pilot: Reputable lead providers should offer clear data on their average lead-to-appointment and appointment-to-close rates. Start with a small, paid pilot to test their leads against your own sales process before committing to large volumes.

So, how much do solar leads cost? Anywhere from $20 to $400+, but the defining factor is qualification.

For the modern solar installer, the goal is not to find the cheapest leads, but to optimize for the most profitable cost per acquisition. This requires viewing lead generation not as an expense, but as a strategic investment. By understanding the market, tracking your metrics religiously, and building a diversified lead generation engine, you can turn the question of cost into a powerful lever for sustainable growth.

Invest in quality, know your numbers, and focus on the close. That’s how you build a resilient solar business in today’s market.

We’ve worked closely with solar businesses and understand that solar marketing is fundamentally different from most industries. It involves long sales cycles, educated buyers, local trust, and high-value decisions that aren’t made on impulse. That experience shapes how we approach digital marketing—focusing on intent, clarity, and conversion rather than surface-level traffic. The goal is simple: build demand systems that align with how solar buyers actually research, evaluate, and commit.