Understanding Lead Classification
Lead classification refers to the process of ranking your contacts based on their readiness to buy your product. This way, you can distinguish between high potential and low potential contacts. There are three default classifications of contacts in Zoho Marketing Automation: Hot Contacts: These contacts have the highest potential and are on the verge of conversion.
Warm Contacts: These contacts know about you, but need more nurturing to convince them of your worth. With the right marketing approach, they can be turned into hot contacts.
Cold Contacts: These contacts have just started to look around and are not interested in your products yet.

Here are a few examples:
Contacts who actively engage in reading blogs or request a demo for certain products could score higher and become hot contacts.
Contacts who only download your newsletters could be assigned comparatively lower scores and could be classified as warm contacts.
Contacts who just subscribe to your e-books but do not have any interaction could be considered cold contacts.
To define lead classification
Select Contacts from the Navigation Toolbar to the left and click on Lead Qualification.
Click the Edit icon at the top-right of the contact Classification section, a slide-in will appear.

Enter the score limit for hot and warm contacts.
Click Save.
