Part 1: Identifying Product Qualified Leads (PQLs)

Got a free trial or freemium plan? You need a clear way to spot leads based on how they use your product. Meet the product qualified lead (PQL).

A PQL is someone who has:

engaged with your product

hit your activation criteria

found value in your key features

Lead qualification is not new

Qualifying leads has been around for ages. It helps teams focus on the prospects most likely to become paying customers. If a lead isn’t ready, you save time and money by not chasing them.

MQLs, SQLs and PQLs

Leads get labelled by how close they are to buying. MQLs (Marketing Qualified Leads) match your target profile and have shown some interest. SQLs (Sales Qualified Leads) are even more engaged—think pricing-page views or demo requests.

PQLs take the next step. Instead of just watching or reading, they use your product, hit first value and get hooked. It’s the clearest signal of buying intent in a trial or freemium world.

What makes PQLs special

PQLs tick three boxes:

They’ve used your product.

They’ve hit first value (your activation criteria).

They keep using the features that matter.

Why PQLs are actually qualified

They’ve used your product

Clicks and downloads hint at interest. Real use proves it.

They’ve hit first value

Define what “first value” means for you. For a productivity tool it might be adding a task and inviting a teammate. For analytics it could be connecting data and creating a report.

They’re engaged

A true PQL explores your core features repeatedly. That shows lasting interest.

They beat firmographics

A company that finds value in a trial is a better fit than one that just matches your ideal profile.

They focus on accounts

SaaS sales happen at the account level, not just individual users. Track and aggregate usage across teams.

They go beyond vanity metrics

Logins and page views don't cut it. PQLs are success-qualified leads based on real engagement.

PQLs are more likely to stick around

Early success in a trial is the best predictor of long-term customers. Accounts that set up quickly, invite teammates and stay active are your future upsell opportunities.

How to find Product Qualified Leads

Track the product events that matter.

Define your Activation criteria and monitor it.

Rank activated trials by engagement.

Do all of this at the account level.

Bonus: Have a gong on standby for every PQL you uncover.

Track your product data

You don’t need to track everything—just the events that lead to first value and core feature use. This data lets you spot who’s on track.

Define Activation criteria

Ask your team: What actions let a new user reach first value? Turn those actions into an activation checklist you can track.

Rank by engagement

Weight your key events, score each account over time and create a spectrum of PQLs. This helps your sales team know who to call first.

Focus on accounts

Trials may start with a single user, but purchases involve teams. Aggregate usage data at the account level for a clearer picture.

From data to revenue

Now that you can spot PQLs, share them with your sales team and let them focus on the hottest accounts.