In the business world, the best case scenario is a client who wants what you can provide. Having a highly engaged, informed, and active consumer means having a partner who can help make your product and market performance that much better. The gold standard in this category is a PQL, or a Product Qualified Lead.
What exactly is a PQL? And why is it so beneficial to target? In this piece, we’ll dive into PQLs, what they mean for the business use case, and how Moesif can unlock this huge benefit for your organization.
What is a PQL?
Product Qualified Leads (PQLs) represent a paradigm shift in how companies approach sales and customer engagement. Unlike traditional leads, which are often gauged based on generalized or demographic-driven data, PQLs are assessed based on their interactions with a product and their proximity to completion in the engagement flywheel.
These interactions could be in the form of feature usage, engagement metrics, or other behavioral data that signify a high likelihood of purchasing or upgrading beyond the free or freemium tiers. In the era of SaaS and cloud services, PQLs have become increasingly relevant, offering a more nuanced and actionable lead qualification criterion compared to standard marketing qualified leads (MQLs).
Let’s imagine you are running an expensing service that utilizes an API to collect receipts and forward them to relevant partners. If you were to simply target all users – ranging from mega-corporation utilizing a free trial to test the solution to single users sending a single receipt to their friends – you may have a significant cost to securing even a single new customer. This would be highly inefficient, and would be akin to shouting in a storm – after all, without knowing how likely a consumer is to buy into the ecosystem, acting upon every consumer is taking a massive risk.
PQLs, however, are potential consumers who have hit a threshold or committed an action that signifies a strong likelihood of becoming a paying customer. In our example, this threshold could be how many receipts are sent, whether the email in question is a corporate address or not, or any number of usage-based tripwires. When one of these triggers are hit, this signals to your sales team that there is a client who obviously wants to use this product that could be engaged with in a meaningful way.
The best part about PQLs is that the triggers can be varied for a variety of different PQL categories. Single consumers, corporate consumers, even seasonal consumers can be effectively separated into different buckets, with their own sales processes and funnels.
How Can PQLs Benefit Organizations?
The adoption of PQLs as a key metric can significantly impact an organization’s sales and marketing strategies. PQLs can improve sales efficiency by allowing sales teams to focus specifically on those most engaged with the product, and thus most likely to convert. This increased efficiency and higher conversion rate likelihood can convert an organization into a product-led one, allowing the product to guide sales rather than the inverse.
On the customer side, PQL-driven organizations can improve the Customer Experience. By ensuring that the sales team is driven by the number of convertible users, you can put the product experience front and center, creating a flywheel in which only those elements which improve the user experience are prioritized at the top. The consumers can rest assured that they will only be contacted when it is relevant, eliminating a lot of the anxiety that cold-calling or high-pressure sales tactics can deliver.
Finally, PQLs can make your sales funnel more data-driven, resulting a healthier customer lifecycle. By basing PQLs on concrete data points derived from actual product usage, the sales process is made more transparent and grounded in measurable customer behavior. Additionally, tracking PQLs helps in understanding how customers interact with a product throughout their lifecycle, enabling more targeted and relevant marketing strategies.
How Moesif Helps Track PQLs
Moesif can help you leverage and understand your PQLs at scale:
- API Usage Monitoring – one of Moesif’s core value propositions is API usage monitoring. This monitoring delivers incredible visibility into the consumer use of the product, allowing developers to identify usage patterns that signify (or suggest) a high potential for conversion.
- Segmentation and Analytics – Moesif allows segmentation of users based on their interactions, enabling businesses to identify those who are most engaged with the product. By leveraging Moesif’s detailed analytics, companies can gain insights into which features or aspects of their product are driving the most value for users.
- Integration with Billing Systems – integration with business billing systems allows developers to have the lowest possible friction when acting upon PQL opportunities. The higher a process friction is, the more likely it will fail, meaning that Moesif allows you to act upon high value potential and deliver results.
- Scalable and Secure Architecture – Moesif’s scalable infrastructure ensures that it can handle vast amounts of data without impacting the performance or reliability of the application. This allows for a wider range of introspection, allowing you to dig into a wider variety of use cases, user types, and potential PQL action points.
- Real-World Applications – companies using Moesif have successfully monetized their API usage at scale, and Moesif remains a trusted partner for companies across the web. This means that developers can trust Moesif and its systems for all of its PQL operations.
Simply put, PQLs has incredible potential upside for most developers. The idea of having a lead who is engaged is amazing, and being able to automatically track this and act upon it at scale is a dream come true for many organizations.
Moesif offers a comprehensive solution for businesses looking to leverage the concept of PQLs. By providing in-depth insights into how users interact with a product, Moesif enables organizations to make more informed decisions about their sales and marketing strategies, ultimately driving growth and enhancing customer satisfaction. As companies continue to evolve in the digital landscape, tools like Moesif will become indispensable in harnessing the full potential of data-driven sales and marketing approaches, and those who leverage PQLs now will see compounding success.