SQL (Sales Qualified Lead)
A lead that sales has vetted and confirmed as a genuine sales opportunity.
What is SQL (Sales Qualified Lead)?
A Sales Qualified Lead (SQL) is a prospective customer who has been researched and vetted by the sales team and deemed ready for direct sales engagement.
SQLs have moved beyond marketing qualification (MQL) and have been validated through sales interaction - typically a discovery call, needs assessment, or qualification conversation.
The SQL stage indicates genuine purchase intent and fit. The prospect has a real problem, budget capability, decision-making authority, and reasonable timeline.
SQL criteria often align with frameworks like BANT or MEDDIC. Converting MQLs to SQLs efficiently is crucial - not every MQL becomes an SQL, and that's okay.
SQLs in the New Zealand Market
NZ businesses with limited sales capacity should have clear SQL criteria to avoid wasting time on low-probability opportunities.
In NZ's smaller market, maintaining good relationships with non-SQL leads is important - today's unqualified lead might be next year's customer or a referral source.
SQL conversion timeframes in NZ vary by industry: trade services (days), professional services (weeks), enterprise software (months). Set SQL criteria appropriate to your sales cycle.
NZ Business Examples
-
An Auckland consultancy defines SQLs as: MQL who completed discovery call, confirmed $5k+ budget, has decision-making authority, wants to start within 90 days -
A Wellington software company marks SQLs as: completed product demo, has technical requirements documented, involves at least 2 stakeholders, has budget allocated -
A Christchurch contractor qualifies SQLs as: completed site visit, budget aligns with scope, has necessary permits/approvals, start date confirmed
Real-World Industry Examples
Enterprise Software
A CRM vendor has 200 MQLs but sales capacity for 50 deep engagements
Sales qualifies top 60 as SQLs after discovery calls reveal genuine need, budget, and 6-month buying timeline
Commercial Services
A commercial cleaning company gets 80 enquiries monthly
Qualifies 25 as SQLs after confirming: commercial property, 100+ employees, current contract ending, budget $2k+/month
Financial Services
A wealth management firm receives 40 consultation requests
Identifies 12 SQLs with $500k+ investable assets, age 45-65, seeking active portfolio management
Related Terms
MQL (Marketing Qualified Lead)
A lead that marketing has identified as more likely to become a customer.
Lead Qualification
The process of determining if a lead is a good fit for your product or service.
BANT (Budget, Authority, Need, Timeline)
A framework for qualifying leads based on four key criteria.
Frequently Asked Questions
When should a lead become an SQL?
When sales has verified: genuine need for your solution, appropriate budget, decision-making authority, reasonable timeline, and good fit with your ideal customer profile. This usually happens after a qualification call.
What percentage of MQLs become SQLs?
It varies widely (10-50%) based on industry and MQL criteria quality. Good alignment between marketing and sales improves this ratio. Track your MQL-to-SQL conversion rate to optimize the process.
What happens to MQLs that don't become SQLs?
Return them to marketing for further nurturing, disqualify them if they're genuinely not a fit, or mark them for future follow-up if timing is the only issue. Don't let them fall through the cracks.
Need Help With Your Lead Generation Strategy?
Our team specializes in delivering 30 qualified leads in 30 days for NZ service businesses. We handle the strategy, execution, and optimization - you handle the sales.