The Lead Gen Lie: Why Your Agency's MQL Obsession Is Killing Your Sales
October 28th, 2025
5 min read
By Tom Wardman
Why are your sales teams drowning in unqualified leads when marketing says they're crushing targets?
You're staring at another marketing report showing record MQL numbers, yet your sales team is struggling to close deals. The leads feel cold. Conversion rates are dropping. Revenue targets are slipping away.
This disconnect isn't your fault; it's the result of an industry-wide obsession with the wrong metrics.
Over the past decade I've worked at every level of marketing, from managing client accounts to leading agency operations. I've seen businesses achieve remarkable results, but I've also seen how MQL obsession destroys real growth.
By the end, you'll see why MQL obsession kills sales, which metrics actually matter, and how to align your business around leads that close.
Why agencies obsess over MQLs (and why it's a problem)
Marketing Qualified Leads (MQLs) are prospects who have engaged with your marketing content enough to meet predetermined scoring criteria, making agencies prioritise quantity over quality in their lead generation efforts. This obsession stems from the apparent simplicity of tracking MQL volume as a success metric, but it creates a dangerous disconnect between marketing activity and actual revenue generation.
The problem starts with how MQLs are typically defined:
- Downloaded a whitepaper (5 points)
- Attended a webinar (10 points)
- Visited pricing page (15 points)
- Opened three emails (3 points each)
Hit 25 points? Congratulations; you're now a Marketing Qualified Lead.
But in reality, someone downloading your PDF might be a competitor researching your approach, a student writing a dissertation, or a prospect who won't be ready to buy for another 18 months.
Agencies love MQLs because they're easy to generate and report. Create more content, run more ads, capture more emails. The numbers keep growing, clients stay happy, and everyone feels productive.
This metric manipulation creates what I call "vanity lead syndrome": impressive-looking reports that don't translate to actual sales success.
How MQL-focused strategies create false success
Agencies celebrating high MQL numbers while sales teams struggle to convert leads reveals the fundamental flaw in treating all qualified leads as equal. This metric manipulation allows marketing teams to appear successful on paper while sales teams bear the burden of working with low-intent, poorly qualified prospects.
The typical scenario plays out like this:
- Week 1: Marketing reports 200 new MQLs
- Week 2: Sales team contacts leads, finds most aren't ready to buy
- Week 3: Marketing blames sales for poor follow-up
- Week 4: Sales blames marketing for poor lead quality
Meanwhile, actual revenue stagnates.
Research from SiriusDecisions shows that 80% of leads generated by marketing are lost, ignored, or discarded by sales teams. When your success metric doesn't align with revenue outcomes, you create organisational tension instead of growth.
The false success manifests in several ways:
- Inflated confidence: High MQL numbers make everyone feel busy and productive
- Resource misallocation: Teams focus on volume generation instead of quality improvement
- Strategic drift: Decision-making becomes based on activity metrics rather than revenue impact
- Customer experience degradation: Prospects receive aggressive follow-up when they're not ready to buy
This disconnect between marketing metrics and sales reality explains why 68% of B2B organisations struggle to measure ROI from their lead generation efforts.
Why sales teams can't close MQL-heavy pipelines
Sales representatives waste 67% of their time on leads that were never truly ready to buy, according to recent industry studies on MQL conversion rates. The disconnect between marketing's definition of 'qualified' and sales' reality of buyer readiness creates friction, longer sales cycles, and ultimately missed revenue targets.
The core issues plaguing MQL-heavy pipelines include:
Intent mismatching: A prospect downloading your guide on "industry trends" has different intent than someone requesting a demo. Yet both might score the same MQL points.
Timing disconnects: MQL scoring often ignores buying cycles. Someone researching solutions 12 months before budget approval gets the same treatment as someone evaluating vendors next week.
Context blindness: The scoring system can't distinguish between a CEO researching options and an intern gathering information for their boss.
Volume overwhelm: When sales teams receive 100+ MQLs per week, they can't properly qualify or nurture each prospect. Quality conversations become impossible.
Follow-up fatigue: Aggressive pursuit of unready prospects damages brand perception and reduces conversion rates for genuinely interested prospects.
The revenue metrics that actually matter for lead generation
Sales Qualified Leads (SQLs), pipeline velocity, and customer acquisition cost provide more accurate indicators of lead generation success than raw MQL volume. These metrics directly correlate with revenue outcomes and force marketing teams to focus on lead quality rather than just hitting arbitrary engagement thresholds.
Here are the metrics that actually predict revenue success:
Sales Qualified Leads (SQLs) SQLs are prospects that sales teams have validated as having genuine purchase intent, budget, authority, and timeline.
While SQL numbers are typically lower than MQLs, they convert at 5-10x higher rates.
Pipeline velocity This measures how quickly prospects move through your sales funnel.
Fast-moving prospects indicate strong product-market fit and effective qualification processes.
Customer Acquisition Cost (CAC) CAC reveals the true cost of acquiring customers, not just generating activity.
It forces accountability for the entire conversion funnel.
Lead-to-opportunity conversion rate This shows what percentage of leads become genuine sales opportunities.
A 15% rate with 100 leads outperforms a 3% rate with 500 leads.
Time-to-close Revenue-focused metrics track how long it takes qualified prospects to become customers.
Shorter cycles indicate better qualification and sales processes.
Customer Lifetime Value (CLV) This reveals whether your lead generation attracts valuable long-term customers or price-sensitive prospects who churn quickly.
I'm a firm believer that quality beats quantity every time when you're measuring what matters for revenue growth.
How to align marketing and sales around quality over quantity
Successful lead generation requires marketing and sales teams to collaboratively define what constitutes a truly sales-ready prospect based on intent signals and buying behaviour. This alignment process involves creating shared definitions, implementing lead scoring that reflects actual purchase likelihood, and establishing feedback loops between teams.
Start with a joint workshop to define your Ideal Customer Profile (ICP):
- Demographics: Company size, industry, location, revenue range
- Psychographics: Growth stage, pain points, priorities, decision-making processes
- Behavioural indicators: Content consumption patterns, website interactions, engagement timing
Next, redesign your lead scoring system around revenue predictors:
- Replace: Downloaded whitepaper (5 points)
- With: Viewed pricing page + requested demo + has decision authority (50 points)
- Replace: Opened email sequence (2 points each)
- With: Responded to sales email + scheduled discovery call (40 points)
Create a Service Level Agreement (SLA) between teams:
Marketing commitments:
- Deliver X SQLs monthly (not MQLs)
- Provide detailed context for each qualified lead
- Maintain minimum lead score thresholds
Sales commitments:
- Contact SQLs within 24 hours
- Provide feedback on lead quality within 48 hours
- Update CRM with outcome data
Implement weekly alignment meetings focused on:
- Lead quality feedback from sales to marketing
- Conversion rate analysis by lead source and campaign
- Pipeline progression reviews
- Customer feedback integration
This collaborative approach transforms lead generation from a marketing activity into a revenue-generating system.
What to do if your agency traps you in MQL reporting
Breaking free from MQL obsession starts with pivoting to revenue-focused metrics and gradually shifting reporting emphasis toward conversion rates and pipeline quality. This transition requires honest conversations about current performance gaps and a commitment to measuring marketing success by its ultimate impact on closed deals and revenue growth.
While MQLs can still play a role in early-stage funnel analysis, overreliance on them as a primary success metric kills revenue growth.
Step 1: Audit your current performance
Calculate your MQL-to-customer conversion rate. If it's below 5%, you have a quality problem that quantity won't solve.
Step 2: Start the conversation
Present clients with this comparison:
- Current approach: 500 MQLs → 25 customers (5% conversion)
- Proposed approach: 200 SQLs → 50 customers (25% conversion)
Show how fewer, better leads drive more revenue with less sales effort.

Step 3: Implement hybrid reporting
Don't abandon MQLs immediately. Instead, add SQL tracking and conversion rate analysis.
Show both metrics while emphasising revenue correlation.
Step 4: Redesign campaigns for intent
Shift budget from awareness content to bottom-funnel campaigns. Target prospects showing buying signals rather than general interest.
Step 5: Train your sales team
Help them recognise and prioritise high-intent prospects. Provide talk tracks for different qualification scenarios.
Step 6: Create feedback systems
Implement closed-loop reporting that tracks leads from first touch to customer acquisition. This reveals which campaigns actually drive revenue.
The transition period typically takes 3-6 months. During this time, you'll likely see MQL numbers drop while SQL conversion rates and revenue increase.
Your next step to revenue-focused lead generation
You now know MQL obsession hurts real growth. The problem you've faced is chasing vanity metrics while sales misses targets.
Your next step is to audit your MQL-to-customer conversion rate and start shifting focus to SQLs. Calculate this simple equation: (Number of customers acquired ÷ Number of MQLs generated) × 100. If it's below 5%, you're trapped in vanity lead syndrome.
Remember: businesses often hire agencies to grow their business, not generate reports. When you see better revenue results with fewer but higher-quality leads, your agency of choice might now be just a vendor chasing vanity metrics.
Your sales team will thank you. Your clients will see real growth. And you'll finally have marketing that brings endless customers instead of endless reports.