The short definition
Close rate = jobs won ÷ enquiries received, over a period.
Twenty enquiries producing five jobs is a 25% close rate.
Define the denominator carefully
The figure changes enormously depending on what counts as an enquiry. Include every wrong number, supplier call and out-of-area request and it looks terrible. Include only qualified enquiries and it looks better.
Neither is wrong; both are useful. What matters is measuring the same way every month so the trend means something.
Why it is the cheapest lever available
More leads costs money. A better close rate does not.
Moving from 25% to 33% on the same twenty enquiries produces roughly two more jobs a month with no additional spend. For most service businesses that is a larger gain than any realistic increase in traffic, and it arrives immediately.
It also improves every other number: cost per booked job falls, and channels that looked marginal become profitable.
What actually moves it
Response speed. The largest factor for most service businesses. A lead contacted in minutes closes far better than the same lead contacted hours later, because the customer has usually contacted competitors too.
Following up quotes. Most quotes are sent once and never mentioned again. A short sequence over two weeks recovers a meaningful share.
Being easy to say yes to. Clear pricing, a straightforward next step, and no friction between decision and booking.
Reviews. They do their work before the conversation starts, by making you the one people expected to choose.
Honest qualification. Refusing jobs you should not take raises your close rate and your margin at once.
What it varies with
Close rates differ wildly by trade, urgency and lead source. Emergency work closes higher than planned work; your own website closes higher than a shared marketplace lead.
Which is why comparing your rate to a published benchmark is not useful. Compare it to your own rate last quarter, by source.
Measuring it properly
By source. A single blended close rate hides the fact that one channel is excellent and another is wasting your time — and that is precisely the finding you need to act on.
Starting
Record source and outcome for every enquiry for sixty days. That one habit produces more useful marketing information than any tool.
Frequently asked questions
How is close rate calculated?
Jobs won divided by enquiries received over a period. Twenty enquiries producing five jobs is 25%. What counts as an enquiry changes the figure a lot, so measure it the same way every month.
Why is close rate the cheapest thing to improve?
More leads costs money; converting more of the ones you have does not. Moving from 25% to 33% on twenty enquiries produces about two extra jobs a month with no additional spend.
What improves close rate most?
Response speed, by a wide margin. Then following up quotes, being easy to say yes to, reviews that do their work before the conversation, and honestly refusing jobs you should not take.
Should I compare my close rate to industry benchmarks?
No. Rates vary hugely by trade, urgency and lead source. Compare against your own rate last quarter, broken down by source — a blended figure hides which channel is wasting your time.