Split graphic showing the difference between leads and closed business, with folder and person icons on one side and an online shopping cart with customer icon on the other.
5 Minute Read

 Lead Aggregators vs. Marketplaces: Why the Way We Acquire Customers Matters 

Pete Kreiser
Vice President, Marketing


For service providers in the records management and secure destruction industries, customer acquisition has traditionally been a high-effort, high-cost process. In today’s digital landscape, both B2B marketplaces like Annex.com and online lead aggregators offer new ways to connect with potential buyers. But these models are very different—and for providers looking to grow efficiently and predictably, a true marketplace offers a much stronger path. 

Marketplace vs. Lead Aggregator: What's the Difference? 

Marketplace: Buyers search, select, and complete their purchase within the platform. The order is closed and paid for, ready for the service provider to fulfill. 

Lead Aggregator: Buyers submit a request for quotes, and multiple providers receive the same lead. Providers then compete to win the customer, often through discounting or repeated follow-up. 

In short: 

In a marketplace, business is done

In a lead aggregator, business is maybe

 

The Value of Closed, Paid Orders 

1. Predictable Revenue and Operations 

Marketplaces like Annex.com deliver ready-to-serve customers. Once a buyer selects a provider and checks out: 

  • The provider gets a confirmed, paid order. 
  • Operational planning can begin immediately. 
  • Revenue predictability improves because the transaction is complete—not speculative. 

Amazon Business: 
Amazon Business is a classic example: companies order supplies from listed sellers and pay at checkout. The seller isn't competing against three quotes afterward—they're fulfilling an already-paid order. 

2. No Race to the Bottom on Price 

With lead aggregators, providers often feel forced to undercut each other to win deals. This constant discounting erodes profit margins and cheapens perceived value. 

By contrast, a marketplace: 

  • Shows the provider’s offerings transparently. 
  • Empowers the buyer to choose based on overall value—service level, trust, compliance—not just price​. 
  • Supports tiered service offerings (Professional and Enterprise) that reward providers for delivering superior capabilities​. 

 Thumbtack: 
Thumbtack acts as a lead aggregator for services like movers or cleaners. Providers must submit competitive quotes and often race to the bottom. By contrast, platforms like Etsy allow sellers to set pricing and buyers to directly complete purchases without negotiation. 

3. Less Time Wasted on Non-Converting Leads 

Every hour spent chasing unresponsive leads is time not spent serving paying customers. 
Annex.com’s model removes this inefficiency: 

  • Providers are only engaging with confirmed customers. 
  • Administrative burden shrinks: no more endless quoting and waiting. 

Upwork: 
Upwork used to function primarily as a lead aggregator: freelancers had to bid endlessly on projects. After shifting more toward a direct-purchase model ("Buy a Project"), freelancers started seeing higher success rates because customers committed upfront. 

4. Better Customer Relationships from Day One 

A transaction that starts with a clear agreement and payment sets a positive tone: 

  • Clear expectations. 
  • Faster onboarding. 
  • Higher trust from both sides. 

On a lead aggregator, the relationship can start on shaky ground if the buyer feels overwhelmed with bids or if the provider had to slash prices to win the job. 

Why the Annex.com Marketplace Model Matters 

Unlike traditional lead aggregation platforms, Annex.com is built to drive closed business, not just opportunities: 

  • Buyers shop for services using transparent, structured listings. 
  • Providers receive real-time, ready-to-fulfill orders. 
  • No hidden fees, no side deals, no race to the bottom​​. 

By prioritizing actual transactions rather than speculative leads, Annex.com empowers service providers to: 

  • Win more business with less selling. 
  • Focus on delivery excellence
  • Grow revenue more predictably and profitably. 

Closed Business > Chasing Leads 

In a crowded and competitive industry, the ability to consistently secure closed, paid orders without chasing every new inquiry is a game-changer. 
Choosing to participate in a true marketplace like Annex.com allows service providers to step off the lead-chasing treadmill and into a model where time, expertise, and value are properly rewarded. 

Tired of racing to the bottom for every lead? Discover how the Annex.com marketplace rewards expertise, not just pricing.