Lead volume increases while conversion rate to closed revenue declines, because the qualification signal counts form submissions rather than genuine purchase intent. The leads arriving in the pipeline look valid by volume metrics but are drawn from a broader audience than the ICP. The collapse is invisible in MQL counts and only becomes visible in close rate and sales cycle length.
Sales capacity is consumed by leads that were never going to close, increasing CAC and lengthening payback period without any signal in the top-of-funnel dashboard.
MQL count stops being a reliable predictor of pipeline conversion or closed revenue.
MQL volume is at or above target while SQL conversion rate and deal close rate are declining in the same period. The gap between MQL count and closed revenue is widening quarter over quarter — leads are entering the funnel at the top but not progressing through qualification stages at the expected rate.