Prospect

Definition

A prospect is a potential customer who has shown some level of interest in a company’s product or service but is not yet fully qualified as a lead. In sales and marketing, prospects represent individuals or organisations identified as likely to benefit from and purchase an offering. Spotting and nurturing prospects is a core step towards building stronger sales pipelines and boosting conversion rates.

Why Use

• Identifies individuals or companies likely to become customers
• Supports more effective targeting in marketing campaigns
• Improves accuracy of sales forecasting and pipeline management
• Enables tailored communication and nurturing strategies

Core Concepts

• Interest level in the product or service
• Qualification criteria such as budget and need
• Progression from prospect to qualified lead
• Segmentation based on demographics or behaviour

Examples

Scenario 1: A marketing manager downloads a white paper after attending a webinar and requests a product demo, becoming a prospect for the company’s solution.

Scenario 2: An IT director fills out a contact form on a software provider’s site and agrees to a follow-up call, making them a relevant prospect.

Common Pitfalls

• Assuming all prospects are ready to buy immediately
• Not distinguishing between prospects and qualified leads
• Failing to nurture or follow up consistently

See Also

To explore related terms, see lead, qualified lead, sales pipeline, and lead qualification for further insights.