Why the replacement policy matters more than the price per lead
Every supplier says invalid leads are replaced. Almost none define invalid. That definition is worth more to you than a few pounds off the price.
For owners negotiating terms with a lead supplier
'Invalid leads replaced free' appears on nearly every lead supplier's website. It is close to meaningless on its own, because the word doing the work is undefined, and it is defined at the moment you try to use it — by the person who does not want to replace it.
Define invalid, in writing, before you buy
There are only about six categories, and a reasonable supplier will agree all of them in advance.
| Category | Should be replaceable? | Why it is contested |
|---|---|---|
| Number unobtainable or wrong | Yes | Rarely disputed |
| Duplicate of a lead already supplied | Yes | Depends on the window used |
| Outside the agreed postcodes | Yes | Depends how the area was defined |
| Not the property owner | Yes | Only if tenure was a supplied field |
| Never responds to contact | Usually not | Unreachable is not the same as invalid |
| Changed their mind | No | A real enquiry that did not convert |
The last two are where disagreements happen, and both are reasonable exclusions. A lead that answered a form honestly and then decided against the work is a lead, not a fault. What you are protecting against is data that was never usable, not a sale you did not win.
The window, and where it starts
Windows are commonly 48 hours or 7 days. What matters more than the length is when it starts, and almost every supplier counts from delivery, not from when you got round to calling.
The process is the real test
A generous policy with an awkward process is worse than a narrow policy that works. Ask exactly how a replacement is requested and how quickly it is resolved.
- Can I flag it from the lead record, or does it need an email?
- Who decides, and how long does a decision take?
- Is the replacement a credit or an actual replacement lead?
- Is there a cap on replacements, and what happens if I exceed it?
On fair-use caps
A cap is not unreasonable. A supplier with no cap at all is either very confident or not thinking clearly, and buyers do occasionally abuse open policies. What matters is that the cap is stated as a number rather than discovered when you hit it.
If a supplier tells you replacements are 'no problem, we're reasonable', ask them to write down what reasonable means. The answer to that request tells you more than anything else in the sales conversation.
What this is worth against price
At £45 a lead and a 5% invalid rate, a policy that covers those five leads in a hundred is worth £225 per hundred leads. That is a bigger number than most of the discounts you will be offered, and unlike a discount it protects you in the month things go wrong.
Mark Ellery
Commercial Director
Mark handles commercial terms and compliance, including the consent and screening processes behind every enquiry we sell. He writes the pieces on regulation and supplier agreements.
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