Jim JohnsonOwner + Head Coach at Contractor Coach PRO and author of The Contractor's Blueprint. Jim has coached over 1,500 contractors, helping them transform chaos into clarity and build businesses that serve their dreams. Former Director of Sales turned servant leader, he's passionate about empowering contractors to achieve control, growth, and freedom in both business and life.
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Do not index
You don't have a lead problem. You have a conversion problem.
This week in Contractor Training Room, I broke down why contractors waste thousands on leads that never convert-and it's not because the leads are "bad." It's because their marketing attracts price shoppers instead of value buyers, then wonders why the sales team can't close.
If you want the full framework with real examples and live Q&A, watch the replay here.
Here's what I'll unpack in this recap:
- Why your marketing attracts price shoppers by design
- The stage-specific marketing stack that actually converts
- The Pre-Sell Framework that does 70% of the selling before you arrive
- Which metrics actually matter (hint: not "number of leads")
Most contractors think being busy with leads means they're winning. They glance at the phone ringing, see appointments on the calendar, and assume marketing is working. Meanwhile, their closing rate is stuck at 20-30%, every prospect wants three quotes, and profit margins are razor-thin because they had to drop price to compete.
Once you understand how to attract buyers who value expertise over price, your sales process becomes a conversation instead of a battle. That's the difference between a contractor who scales profitably and one who stays stuck on the hamster wheel of more leads, same results.
Let's dig in.
Your marketing attracts price shoppers by design
Here's the brutal truth: if every lead asks "how much?" before they ask "how soon?" - your marketing created that.
Most contractor marketing makes the same fatal mistake. It leads with the service, not the outcome. "We install roofs" tells a homeowner nothing about why they should choose you over three other companies offering the same thing.
The result? Every lead shops on price because you've given them nothing else to compare.
Consider two roofing contractors in the same market:
Contractor A spends $8,000/month on Google Ads. Gets 40 leads. Closes 22% at an average of $8,500 per job. After all costs, nets maybe $12,000.
Contractor B spends $5,000/month. Gets 25 leads. Closes 52% at an average of $12,000 per job. Nets $32,000+.
Same market. Same services. Wildly different results.
The difference isn't luck or a better sales team. Contractor B's marketing positioned them as the expert before anyone picked up the phone. Contractor A's marketing just said "we do roofs"-so every lead treated them like a commodity.
Key idea: Your positioning determines your leads. Lead with process, expertise, and outcomes-not just your service category-and you'll attract buyers who value what you actually bring to the table.
Focus on YOUR stage, not what the $10M guy is doing
What works at $500K will bankrupt you at $2M. What works at $5M would destroy a $500K company trying to copy it.
Most contractors spread themselves thin across every marketing channel-Facebook, Google, yard signs, door hangers, referrals, partnerships-hoping something sticks. The result is mediocre performance everywhere and no clear understanding of what actually works.
Here's what to focus on at each stage:
- $0-$500K: Referrals, door knocking, yard signs, local partnerships. You're building reputation. Digital is supplementary.
- $500K-$1M: Add Google Local Service Ads, basic website, email follow-up systems. Start tracking ROI by source.
- $1M-$3M: Invest in SEO, Google Ads, social proof (reviews/video), and content marketing. Build systems that scale.
- $3M-$5M: Full digital stack, brand campaigns, strategic partnerships. Marketing becomes a predictable machine.
- $5M+: Multi-channel attribution, brand positioning, market domination strategy.
Referrals are great, but they won't scale you past $1M. Trying to run $5M marketing tactics at $500K will burn cash faster than you can make it.
Key takeaway: Identify your stage. Focus only on what YOUR stage needs. Kill the channels that aren't working at your stage-even if "everyone says they work."
The Pre-Sell Framework: Do 70% of the selling before you arrive
If your sales team spends 90 minutes explaining why you're different, your marketing has failed.
Your marketing should ensure leads understand three things before you ever show up:
- Why you're different (positioning)
- Why that difference matters to them (value)
- Why now is the time to act (urgency without pressure)
When marketing does this work, sales becomes a confirmation conversation, not a convincing battle.
Here's how to implement it:
Your website should answer "why you?" within 10 seconds. Not "we've been in business 30 years." That's about you. Answer what's in it for them.
Your content should demonstrate expertise before they call. Video walkthroughs, educational content, process explanations-show them how you think, not just what you do.
Your social proof should feature specific results, not generic testimonials. "They did a great job" tells prospects nothing. "They identified a problem our last three roofers missed and saved us $8,000" tells them everything.
Your follow-up should add value, not just ask if they're ready to schedule. Send them something useful. Educate them. Position yourself as the expert they can trust.
When leads arrive pre-sold, your close rate jumps 15-25% without changing a single thing about your sales process.
Track what actually matters
Most contractors track vanity metrics: website visits, social media likes, number of leads.
None of that matters if you're not tracking:
- Cost per lead by source (not just total cost per lead)
- Close rate by source (your Google leads might close at 40%, your Facebook leads at 15%)
- Cost per acquisition by source (the real cost to land a paying customer)
- Average job value by source (some channels attract bigger jobs)
Once you have this data, the decisions become obvious. Double down on what's profitable. Cut what's bleeding cash. Stop guessing.
In the episode, I walked through how one contractor discovered his "best" marketing channel-the one generating the most leads-was actually his worst when measured by cost per acquisition. He was paying $800 per closed deal on one channel and $340 on another that generated half as many leads.
He cut the first channel, moved that budget to the second, and increased revenue while decreasing marketing spend. That's what happens when you track what matters.
Thanks for digging into the marketing side of your business with me.
If you're tired of attracting price shoppers and want to implement this framework in your business, watch the full replay. We go deeper on each section with real examples and live Q&A from contractors implementing this right now.
Jim Johnson
P.S. If you want personalized guidance on your marketing strategy-what channels to focus on at your stage, how to position yourself against competitors, and how to track ROI properly, ContractorSage gives you 24/7 access to stage-specific coaching based on The Contractor's Blueprint. Ask it questions like "What should my marketing focus be at $1.5M?" or "How do I differentiate in a crowded market?" and get answers that actually apply to your situation.
Written by
Jim Johnson
Owner + Head Coach at Contractor Coach PRO and author of The Contractor's Blueprint. Jim has coached over 1,500 contractors, helping them transform chaos into clarity and build businesses that serve their dreams. Former Director of Sales turned servant leader, he's passionate about empowering contractors to achieve control, growth, and freedom in both business and life.