CPL or cost per lead is a marketing metric used to determine the average cost spent to acquire a new lead. It helps marketers assess the efficiency and effectiveness of their campaigns by measuring how much money is being invested to generate interest from potential customers. The formula to calculate CPL is simple: divide the total cost of a marketing campaign by the number of leads generated during that campaign. A lower CPL indicates a more cost-effective strategy, while a higher CPL suggests adjustments may be needed. By tracking CPL, businesses can optimize their budget allocation, refine targeting strategies, and improve lead generation efforts to maximize return on investment.