Are Lead Sites Like Angi and Thumbtack Worth It for Contractors?
Are lead sites like Angi, Thumbtack, Checkatrade and hipages worth it for contractors? How they work, pros and cons, and how to tell if they pay off.
Paid lead sites can be worth it for contractors, especially when you’re starting out, have gaps in your schedule, or work in a trade where these platforms are popular with homeowners. But they’re rarely the cheapest or best long-term source of work, and many contractors lose money on them because they don’t track results.
Whether they’re worth it for you comes down to one number: what each won job costs you. This guide explains how these platforms generally work, the pros and cons, and a simple way to decide.
The main lead platforms by country
Every country has its own popular platforms. Common ones include:
| Country | Examples |
|---|---|
| USA | Angi, Thumbtack, Houzz, Yelp, Porch |
| UK | Checkatrade, MyBuilder, Rated People, TrustATrader, Bark |
| Canada | HomeStars, Thumbtack, Houzz |
| Australia | hipages, Airtasker, ServiceSeeking |
| New Zealand | Builderscrack, NoCowboys |
Pricing models, fees and features change often and vary by trade and area. Always check each platform’s current terms for contractors before signing up.
How lead sites usually work
There are a few common models. Some platforms use more than one:
- Pay per lead: you pay for each job request or contact you receive or accept, whether or not you win the job.
- Membership or subscription: a regular fee to be listed, sometimes with a set number of leads or better placement.
- Directory with reviews: you pay to be listed and vetted, and customers contact you directly.
- Credits or bids: you buy credits and spend them to respond to jobs you want.
A key question with any pay-per-lead model is how many other contractors receive the same lead. If several pros get the same request, you’re competing on speed and price from the start.
The pros
- Fast leads. You can get enquiries within days, which is hard to do with SEO alone.
- No website needed to start getting work.
- Trust signals. Some platforms vet contractors or show reviews that homeowners trust.
- Fills gaps in your schedule during quiet periods.
- Useful when starting out, before you’ve built reviews and referrals.
The cons
- You often pay whether or not you win the job.
- Shared leads mean competing with several contractors at once, which can push prices down.
- Lead quality varies. Some homeowners are just collecting prices, or the job isn’t a good fit.
- You don’t own the customer relationship in the same way, and your reviews live on someone else’s platform.
- Costs can creep up as you add more trades or areas.
- It stops the moment you stop paying.
How to tell if a lead site is worth it for you
Track every lead for at least a month or two:
| Number to track | Example question |
|---|---|
| Total spent | Fees, subscriptions and lead charges together |
| Leads received | How many enquiries did you get? |
| Leads contacted | How many did you actually reach? |
| Quotes sent | How many turned into a quote? |
| Jobs won | How many did you win? |
| Revenue and profit | What were those jobs worth? |
Then calculate:
Cost per won job = total spent ÷ jobs won
Compare that with your profit on an average job. If the cost per won job eats most of your profit, it isn’t worth it, no matter how many leads you get.
How to get better results from lead sites
- Respond fast. With shared leads, the first professional reply often wins.
- Be picky. Only accept jobs, areas and job sizes that suit you.
- Complete your profile fully, with real photos and a clear description.
- Collect reviews on the platform, since homeowners compare them.
- Turn customers into direct relationships. Provide excellent service, then ask for a Google review and referrals, so future work comes to you directly.
- Review your spend monthly and cut categories or areas that don’t pay back.
Lead sites vs building your own lead sources
| Lead sites | Your own sources (Google profile, website, referrals) | |
|---|---|---|
| Speed | Fast | Slower to build |
| Ongoing cost | Pay for every lead or a regular fee | Mostly time, low cost |
| Competition per lead | Often shared | Usually just you |
| Who owns the relationship | Shared with the platform | You |
| Long-term value | Stops when you stop paying | Keeps growing |
The best approach for most contractors is to use lead sites as a bridge, not a foundation. While they bring in work, build your own lead sources: a strong Google Business Profile, reviews, a good website and referral partners. Our guide on how to get more leads for your contracting business walks through those.
Alternatives to try alongside lead sites
- Google Business Profile: free, and where many homeowners search first
- Google Local Services Ads: pay per lead, but leads come only to you. See are Local Services Ads worth it?
- Referrals from past customers and partner trades
- Your own website and local SEO
Frequently asked questions
Do contractors have to pay to be listed on lead sites?
It depends on the platform. Some charge per lead, some charge a membership or listing fee, and some use credits you spend to respond to jobs. Many use a mix. Read the current pro terms carefully before signing up, and look for any minimum contract length or automatic renewal.
Why do I get leads that never answer the phone?
Some homeowners send a request to several platforms or contractors at once, then go with whoever reaches them first. Others are early in their research. Responding within minutes, rather than hours, makes a big difference with shared leads. If a platform keeps sending contacts that never respond, check whether it offers credits or refunds for invalid leads, and factor the dead leads into your cost per won job.
Are lead sites better than Google Local Services Ads?
Neither is always better. Local Services Ads also charge per lead, but the lead comes through your own Google ad, and your Google reviews show in it. Lead sites may reach homeowners who prefer browsing a marketplace. The fair test is to run each for a similar period and compare cost per won job, not cost per lead.
Should I stop using lead sites once my own leads grow?
Many contractors gradually reduce their spend as referrals, reviews and Google visibility grow, keeping lead sites only for quiet months or specific job types. There’s no need to quit overnight. Let your numbers decide.
Can I ask lead site customers for a Google review?
Yes. Once the job is done, you can ask any genuine customer for an honest Google review, as long as you don’t offer anything in return. This is one of the best ways to turn platform customers into long-term visibility for your own business.
Summary
- Lead sites can be worth it, especially when starting out or filling gaps.
- Models vary: pay per lead, memberships, directories and credits.
- Shared leads mean competing on speed and price.
- Track cost per won job, not cost per lead.
- Use them as a bridge while you build lead sources you own.
The contractors who do best with lead sites treat them like any other investment: measured, selective and never the only source of work. To start building your own pipeline, begin with our guide to SEO for contractors.
Burhan Kapasi