Recently, I received a note on LinkedIn asking me to explain the difference between a lead and a prospect. I answered with my version of the difference and added "opportunity" to round out the definition.
What is a lead? A lead is the name of a company or a person. They might be on a list your company has purchased. Perhaps they're on a list of people who attended your webinar or downloaded your white paper. They haven't yet risen to the level of being a prospect, because you can't tell from their activity whether they qualify. To find that out, you have to pick up the phone and call them.
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