What is a prospect?

There are quite a few terms used in sales and marketing. You may have heard the terms leads, MQLs, SQLs, prospects and potential customers. When exactly are you talking about a prospect?

Every business aims to generate more leads and prospects. After all, these eventually become new customers. A prospect is someone who has interacted with your company in some way (for example, by answering an email or filling out a form). He/she indicates with the interaction that has taken place, that there is an intention to buy. 

When someone shows interest in purchasing a product or service, we speak of a prospect. This person has not only become acquainted with the product or service through marketing channels, but indicates that she/he may find this offer interesting. To qualify someone as a prospect, three conditions must ultimately be met. These conditions include:

  1. Belongs to a target group that the company appeals to. In other words, falls within your buyer persona.
  2. There is a sufficient budget available.
  3. The person has decision-making power.

When someone does not meet all three points, we speak of a lead.