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Advanced Concepts

Product Qualified Lead (PQL)

A user who has experienced meaningful product value and shows buying signals through their usage behavior.

Definition

A Product Qualified Lead is a potential customer who has demonstrated purchase intent through their actions within your product, not just their marketing engagement. Unlike Marketing Qualified Leads (MQLs) based on content downloads or form fills, PQLs are identified by hitting specific usage thresholds, activating key features, or exhibiting behavior patterns that correlate with conversion.

Why It Matters

PQLs convert at dramatically higher rates than MQLs because they have already experienced your product's value. For SaaS companies with free trials or freemium models, PQL identification determines who gets sales attention and which automated emails to send. Sending upgrade emails to someone who has not activated is a waste. Sending them to a PQL at the right moment is highly effective.

How It Works

Define PQL criteria based on behaviors that historically predict conversion. This might be creating a certain number of projects, inviting team members, using a premium feature, or exceeding a usage threshold. Track these events in your product analytics, then sync that data to your email platform to trigger targeted sequences or alert sales.

Best Practices

  • 1Analyze past conversions to identify which behaviors predict purchase
  • 2Start simple with 2-3 PQL criteria before adding complexity
  • 3Use AND logic (multiple signals) for higher-quality PQL definitions
  • 4Sync PQL status to your email platform for automated sequences
  • 5Send upgrade-focused emails only to users who meet PQL criteria
  • 6Alert sales team in real-time when high-value PQLs emerge
  • 7Regularly validate that your PQL definition still predicts conversion

Behavioral Lead Scoring

Sequenzy tracks product events and lets you define PQL rules. When users qualify, trigger automated upgrade sequences or notify your team.

Learn More

Frequently Asked Questions

MQLs are based on marketing engagement like downloading ebooks or attending webinars. PQLs are based on product usage. A person might be an MQL without ever trying your product, but a PQL has used it in ways that signal readiness to buy. PQLs typically convert 5-10x better than MQLs.

Look at your converted customers and work backwards. What did they do in the product before upgrading? Look for patterns like inviting teammates, creating multiple projects, or using specific features. Test your hypothesis by tracking whether users who meet the criteria convert at higher rates.

No. Segment PQLs by their specific behaviors and value potential. A user who invited 5 teammates needs a different message than one who hit an API rate limit. The more contextual your emails, the higher your conversion rate.