The quality of leads in a lead exchange is one of the most important factors in making the exchange work. Leadpile Lead Exchange currently allows 48 hours for a lead buyer to return a lead for bad contact information. Our quality control department is there to provide feedback from the leads being returned to the business development department. If there is any sort of consistency with bad quality, the issue will be addressed individually with the lead seller/publisher.
However, how does a lead company potentially deal with lead quality if they do not allow returns?
According to the Leadcritic, Lower My Bills has not allowed leads to be returned for some time. However, they incorporate an expected return rate into the cost of the leads. Do you think this is as affective as companies allowing returns?
Each lead company is different on the time frame they allow leads to be returned, and that is another question to address. What is a fair amount of time to allow a lead buyer to return a lead? Is it maybe simplified to do things the LMB way, and just incorporate the cost of potential lead returns into the cost of the leads?
Leadpile Lead Exchange believes that hearing the feedback of the buyers – good and bad – is crucial for us to make this marketplace work effectively. If we do not get feedback from our lead buyers, we don’t know how to fix a “problem” that we might have. We LOVE feedback… good and bad!

Capturing a name, number, email, address, best time to call, can get really expensive. If you want to target geographically, by zip or state, it will increase your price and lower the amount of traffic you are getting. A lead can be really inexpensive, if you are just capturing email address, and you incentivize it, but if you are looking to attract customers that are genuinely interested in your service, its not going to be .20 cents or .50 cents, it will be way more expensive. You can expect prices as these if you are looking for lists, but why would you do that when you have the Yellow Pages and costs you nothing. You can definitely get leads for such a price, but those will be leads that are generated from the yellow pages, or aged data (lists) of consumers that showed an interest in your service years ago.  So what is the price for a good, real time, exclusive leads? It depends, it can be very expensive, depending how competitive is your vertical.  You will get what you are paying for. In other words, you are going to be happy with the return on your investment (ROI).

Advertisers have to consider that publishers or lead exchanges are eating the cost of any leads that are invalid.  Paying anywhere between .25 to $1.50 per click, or even $15, does not guarantee a conversion. Even if we get a conversion, it will not necessarily mean that you, as a buyer, will accept the lead. If you are a Debt Settlement buyer, you might want only want $15,000 and above in Unsecured Debt, which will significantly increase the price to produce that lead. 

Lead exchanges welcome advertisers to join the marketplace to HOST their offers. Paying the right price for the lead, working with the lead exchange to optimize your campaign and filter the lead sources, will ensure a successful campaign for you, as a buyer, and for the Lead Exchange and its publishers. 

Think of it this way, lets say you need to travel to a different state.  Would you rather rent a bike or a car? By renting a bike, you will save money on gas and get in a better shape If you are concerned about the time you need to get to your destination, this will not work too well for you, and renting a car might be more suited for you. Time is money, and we all know it very well.

Make great choices and you will see more money coming into your business! Buy quality, real time exclusive leads, and you can be assured that Leadpile will be on your side from start to end! Pay the price that they are worth and you will get the satisfaction that you are searching for!

Leadpile’s Motto: “Good is the Enemy of Great!” – Jim Collins, Good to Great

The Following is a from Bankrate.com by Laura Bruce, September 12^th, 2005. I thought this would be an interesting post for People following Online Payday at the Lead Exchaneg Blog.

It’s a tempting alternative to walking into the check-cashing store on the corner. Online payday lenders are popping up on the Internet, offering fast, short-term loans to cash-strapped consumers, in the anonymous comfort of cyberspace.

But if you borrow from these businesses, you might have more to worry about than the astronomical interest rates traditionally associated with payday lenders in general.

For starters, you’ll provide an amazing amount of personal data — Social Security number, driver’s license number, mother’s maiden name and, of course, your name, address and employment information — to the Web site.

You’ll also give your checking account number and bank routing number, so the lender will have access to your account. The lender will deposit your loan into your checking account and dip into your account to extract interest, fees and the principal. Some require that you fax them your latest pay stub, most recent bank statement, photo ID and a voided check.

But to whom are you giving this information? More than likely you won’t have a clue. Many Web sites that pop up when you do a search for something such as “payday loans” aren’t lenders at all. Take Advance Cash Loans, which states at the bottom of its home page, “Advance Cash Loans is not an online provider of online payday cash advances. We simply connect people seeking fast cash advances with online providers of instant cash advances so they can get the advance cash that they need, as soon as possible.”

A Consumer Federation of America (CFA) survey, of 100 online payday lenders and referrals sites, found that many are run from outside the United States and, perhaps, out of reach of American laws.

“You don’t know where your information is going,” says Jean Ann Fox, director of consumer protection at CFA.

“Many times you can’t find who the domain is registered to. There are Internet payday lenders outside the country, in Canada and on islands in the Caribbean that you can’t find with a magnifying glass. It’s like handing a stranger a blank check.”

Bankrate.com tried to contact three payday lenders. Only one could be contacted, and no one there would answer questions or return calls.

Are these businesses fly-by-night scammers that will steal your identity, trap you into budget-busting, long-term borrowing habits, or illegally siphon money out of your bank account? Nope, not necessarily. But you should think long and hard before sending your information to companies that are so stingy about their own information, Fox says.

“If you borrow from them, you’re not seen in line at the corner payday lender, so there’s privacy and that might be a selling point. But I hope it’s offset by sending all that personal information over the Internet. It’s a financial strip search. They want every piece of your financial information. People should be afraid to provide that information. I wouldn’t want to give that to someone over the counter, much less over the Internet.”

Traditional payday lenders — the so-called brick-and-mortar shops — are represented by Community Financial Services of America, a trade association. Online payday lenders have no such organization and, therefore, have no one to represent them. But Andy Jacob, CEO of Leadpile.com, a company that seeks leads for salespeople in the cash-advance business and other industries, calls the growth in online payday lending “explosive.”

“What’s happening in online is happening fast and furious. The major players are trying to position themselves to be the leader online. It’s a bifurcated space right now. There are many players that are lead generators that aren’t in the payday loan space and they’re attempting to secure the lead to themselves. Many payday-loan companies are late to the game. It’s challenging to figure out which company is doing what right now.”

The growth of online payday lending is presenting problems for state law enforcement officials and consumer advocates. Earlier this year, the Massachusetts Office of Consumer Affairs and Business Regulation ordered 91 companies marketing Internet payday loans to stop. The companies were reportedly charging annual percentage rates averaging 300 percent and fees averaging $30. The state says none of the companies were licensed to offer loans to residents.

Some of the letters we sent to these companies were returned when the post office was unable to find the address,” says David Cotney, senior deputy commissioner at the Massachusetts Division of Banks. “That reinforces our concern about consumers handing over personal information. That’s one of the reasons licensing is required; it gives the consumer some recourse.”

James Brusselback, enforcement chief at Washington State Department of Financial Institutions, says his division is investigating some 10 online payday lenders.

“The difficulty with the online outfits is in locating them, and then some of them claim that our state law doesn’t apply to them, so we have that issue of trying to bring them under our state law. I guess part of their argument is that they’re not located in the state and that their home-state law is sufficient to protect their customers. The requirements in those states — Nevada and Utah — are far less than what we require.”

Karolyn Klohe, financial legal examiner in Brusselback’s department, says consumers can have a tough time stopping online payday lenders from taking money out of their accounts.

“A common complaint against online payday lenders is that the customer is required to give banking information, whereas if they walk into a payday lender store they give them a postdated check. But what’s happening online is the payday lender uses the bank information to make unauthorized withdrawals from the consumer’s account. They say they’re collecting funds owed to them. They can make these withdrawals in a way they can’t with a postdated check.”

Turning to a payday lender — online or on the corner — is almost universally discouraged by consumer advocates. But the alternatives can seem thin to someone who needs cash to see them through to the next paycheck. Many banks offer bounced-check protection plans that consumer advocates often equate with payday lending. A notable difference, perhaps, is that the consumer is less likely to be able to overdraw several times and end up owing money they probably can’t repay.

“The long-term solutions include getting a good spending plan and building a nest egg of savings,” says Fox. If you can afford to pay $45 every payday to keep a $300 loan from bouncing, then you can afford to save it so you don’t need to borrow in the future.

“Pawn shops are cheaper than payday loans. On rare occasions you can ask your employer for an advance. Negotiate directly with whomever you owe. Get a second job. Put off purchases until you can pay. None of these are comfortable. It’s appealing to write the check without having money in your checking account and walk out with cash, but it comes at a high price.”

In their survey of Internet payday loan sites, CFA found that loans of $200 to $2,500 were available, but $500 was the most-frequently offered. Finance charges ranged from $10 per $100 up to $30 per $100 borrowed. The most common rate of $25 per $100 translates into an annual percentage rate of approximately 650 percent if the loan is repaid in two weeks.

Many states have passed laws regulating payday and small loan laws. Consumer Federation of America has compiled important information that consumers should be familiar with before borrowing.

Aside from a disconnected phone number or wrong number, what is a valid reason?  It will definitely depend on the lead type.  

If your buying leads on a CPL basis don’t expect every lead to close. So you come across these companies that when they don’t make a sale they want to return the lead for any whimsical reason.  We need to be fair.  If our not buying leads on a CPS basis then take it as a cost of doing business.  Protecting publishers that are spending revenue to generate leads is also an important factor.  Advertisers must be fair in what they return.  If the lead acknowledges submitting the request but they just don’t qualify for YOUR program.  That is still considered a valid lead.

Remember that some marketplaces have certain percentage or number of leads to return.  That’s not right. If a lead a bad its bad return it.  But if its good then make the sale and buy more.  

I know that the economic crunch right now affect part of our society, but for God’s sake lets be clear on how business should be done. 

Here are valid reasons for returns:

• Not a working number
• Wrong number
• Person did not fill out request
• Bogus contact information

That’s it! Ask yourself.  Are you here to cry about the leads or work the leads?  If you have leads that are interested, CLOSE THEM! A strong company doesn’t complain they ask for more! They are here to do serious business and they need our help to increase their ROI. So get back to work an close those leads!