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The PLG Glossary

The PLG Glossary

Sales

Sales-qualified leads (SQLs)

Definition of

Sales-qualified leads (SQLs)

Sales-qualified leads (SQLs)

Sales-qualified leads (SQLs)

Sales-qualified leads (SQLs) are potential customers who have been identified as being ready for sales outreach based on their marketing engagement and fit with the company's ideal customer profile (ICP). SQLs have already been evaluated by the marketing team and have demonstrated a high level of interest in the product or service, and may be more receptive to sales outreach than other leads.

As an example for B2B SaaS, consider a cloud-based customer relationship management (CRM) software that offers a free trial to new users. The marketing team may use various strategies, such as targeted advertising, email marketing, or social media campaigns, to attract potential customers to the software and encourage them to sign up for the free trial. Once a user signs up for the trial and begins to engage with the software, the marketing team may use lead scoring or other analytics tools to evaluate their level of engagement and interest in the software. If a user shows a high level of engagement and fit with the company's ideal customer profile, they may be identified as an SQL and passed on to the sales team for direct outreach.

The sales team may then use various sales tactics, such as phone or email outreach, product demonstrations, or targeted offers, to convert the SQL into a paying customer. SQLs are highly valuable for B2B SaaS companies, as they represent potential customers that have already demonstrated a high level of interest in the product or service, and may be more likely to convert to paying customers.