Difference Between Sales Opportunity and Lead

Lead  is  a qualified prospect who proactively wants to learn more. When I say “qualified”, I mean they’re an ideal individual and/or company to sell to (i.e. they are the type of prospect who typically has a problem that you can solve). When I say “learn more”, I mean that they’ve come to you asking for something. It can be a demo, a question, a white paper, something that proactively engages them in a conversation.

There is a big difference between a lead and a list. Handing your sales team a set of companies and contact information to cold-call isn’t a lead. That’s a list. Coming back from a trade show with a couple hundred names of badges you scanned is a list too. Unless they’ve somehow engaged you proactively, and have asked for a response, it’s not a lead.

Opportunities : In general terms, when a lead progresses to the point where they’re talking to you about a near-term purchase possibility, the lead can become an opportunity. Most organizations I’ve worked with have slightly different definitions of what qualifies as a new opportunity, but most often they have these characteristics in common:

• There’s an agreed-upon timeline to purchase
• A decision-maker is directly involved or is aware of the solution & timeline
• Budget is available or has been identified
• The buyer has agreed to and is working on next steps on their end
• There’s a catalyzing event or urgency driver internally that makes the purchase a priority

If you’ve converted a lead into an opportunity, it means you have an expected close date. It means you’re beyond wishful thinking and prospecting, and have a mutually agreed-upon plan with the prospect to get the thing done, to make a decision one way or another.