Lead generation is the engine of firm growth. But the goal isn’t just more leads. It’s building a system that delivers qualified prospects who become signed cases. For budget context, see our law firm advertising budget breakdown. Here’s how to think about it.
Lead Generation Methods
Search PPC
What it does: Captures people actively searching for a lawyer.
Cost: $442 average CPL for PI, with $700-$1,500 in competitive markets.
Pros: Highest intent channel. They’re actively looking for help.
Cons: Most expensive. Everyone competes for same keywords.
Local Service Ads
What it does: Places your firm at top of search with Google Screened badge.
Cost: $378 average CPL. Pay per lead, not click.
Pros: Pay only for leads. Trust signal from Google badge.
Cons: Limited control. Variable lead quality.
SEO
What it does: Builds organic visibility for searches in your practice area.
Cost: $183 average CPL. Requires $10,000+/month investment typically.
Pros: Lowest CPL. Compounds over time.
Cons: Takes 6-12+ months to see results.
Facebook/Instagram
What it does: Targets specific audiences with paid social ads.
Cost: $286 average CPL.
Pros: Precise targeting. Good for retargeting.
Cons: Lower intent than search. iOS changes reduced effectiveness.
YouTube
What it does: Video advertising to targeted audiences.
Cost: $319 average CPL.
Pros: Video storytelling. Detailed targeting.
Cons: Requires video creative. Often skippable.
Display Advertising
What it does: Banner ads across websites your audience visits.
Cost: $296 average CPL.
Pros: Brand awareness. Retargeting capability.
Cons: Lower intent. Can feel intrusive.
TV/CTV
What it does: Builds broad awareness that drives branded search.
Cost: Varies significantly by market and approach.
Pros: Massive reach. Builds brand that compounds.
Cons: Harder to attribute directly. Requires scale.
Referrals
What it does: Uses relationships for case introductions.
Cost: Near-zero acquisition cost.
Pros: Highest quality. Often best cases.
Cons: Not scalable. Unpredictable volume.
Understanding Lead Costs
CPL by Channel
| Channel | Average CPL |
|---|---|
| SEO | $183 |
| Generative Engine Optimization | $246 |
| $286 | |
| Display | $296 |
| YouTube | $319 |
| Local Service Ads | $378 |
| Google Search | $442 |
CPL by Case Type
| Case Type | Average CPL |
|---|---|
| Slip and fall | $312 |
| Workplace injury | $354 |
| Auto accidents | $391 |
| Product liability | $476 |
| Medical malpractice | $512 |
The Real Cost: Cost Per Signed Case
CPL is just part of the equation. What matters is cost per signed case.
If your CPL is $400 and you convert 10%, your cost per case is $4,000. If you improve conversion to 15%, it drops to $2,667.
Industry scenarios suggest ~$2,700 cost per signed case in competitive PI markets, requiring significant volume at typical conversion rates.
Lead Quality vs. Quantity
Not all leads are equal. The challenge is getting leads that actually become cases.
Quality Indicators
- Clear incident description
- Within your service area
- Liability appears viable
- Meaningful damages potential
- Recent incident (not stale)
- Responsive to contact
What Degrades Quality
- Shared leads sold to multiple firms
- Leads from questionable sources
- Leads without proper screening
- Leads from outside your geography
- Tire-kickers seeking “free advice”
The Math That Matters
Scenario A: Volume Focus
- 100 leads at $200/lead
- 5% conversion rate
- 5 cases signed
- $4,000 cost per case
Scenario B: Quality Focus
- 60 leads at $350/lead
- 12% conversion rate
- 7.2 cases signed
- $2,917 cost per case
Higher-quality leads at higher CPL often produce better cost per case than cheap leads that don’t convert.
Conversion: The Multiplier
Typical PI lead-to-case conversion runs around 10%. That means:
- 3,000 leads → 300 cases
- 30,000 clicks at 10% → 3,000 leads
- At $2,700 cost per case → ~$810,000/year in marketing
Improving conversion from 10% to 15% is equivalent to increasing lead volume by 50%, without spending more on marketing.
This is why intake optimization matters as much as lead generation. The leads you’re already paying for have untapped potential.
Building a Lead Generation System
Layer Your Channels
Don’t rely on one source. Build a system:
Awareness: TV/CTV builds recognition Capture: Search and LSAs convert when they need a lawyer Nurture: Email and retargeting stay in touch Compound: SEO builds long-term organic visibility
Track to Signed Cases
Don’t optimize for lead volume. Track:
- Cost per lead by channel
- Lead-to-case conversion by channel
- Cost per signed case by channel
- Case value by lead source
This reveals which channels actually produce cases, not just contacts.
Optimize Intake
Every percentage point improvement in conversion directly improves your marketing ROI. Invest in:
- Speed to lead
- 24/7 availability
- Trained intake specialists
- Proper follow-up systems
Common Misconceptions
“More leads always equals more cases.” Not if the additional leads are low quality. Volume without quality just burns intake time.
“Shared leads are always a bad deal.” Not necessarily. They’re often cheaper. The question is cost per signed case, not cost per lead.
“Lead generation is just marketing’s job.” Intake is half the equation. Marketing and intake must work together.