What is a Sales Pipeline?
In sales terminology, a pipeline is a tool that helps you visualize the progress of your opportunities. It’s a visual representation of the stages a potential customer goes through before becoming a client.
A basic sales pipeline consists of the following stages:
- Prospecting: the initial stage where you identify and contact potential customers interested in what you offer.
- Qualification: determining whether a potential customer is a good candidate or not.
- Demonstration: presenting your product or service to the potential customer.
- Negotiation: negotiating the terms of the sale.
- Closure: finalizing the process.
Having a pipeline helps you:
- Track the progress of your opportunities: easily see each opportunity’s stage, prioritizing tasks and focusing efforts on the most promising ones.
- Identify improvement opportunities: by analyzing the overall picture, spot areas where you can enhance your sales process. For example, if many opportunities stall at the qualification stage, improve your qualification processes to identify better potential clients.
- Predict your revenue: effectively managing your pipeline enables more accurate revenue predictions, aiding informed decision-making about your operations.
How to Create a Sales Pipeline?
Begin by defining the stages your potential customers will go through, which may vary based on your business type. Once defined, track progress using a spreadsheet, CRM software, or a specialized sales pipeline tool. Keybe is recommended, offering an intelligent pipeline updated through customer chat.
Assign a value to each pipeline stage, whether it’s the monetary value of the sale, the number of potential clients converting, or another metric crucial to your business. Start tracking opportunities to assess your sales process and identify areas for improvement.
H2: How to Improve Your Sales Pipeline if You Already Have One?
- Define your objectives: Determine what you want to achieve with your pipeline, whether it’s increasing sales, improving productivity, or other goals.
- Simplify: Keep it straightforward. A simple pipeline is easier to use and maintain.
- Automate: Save time and enhance efficiency through automation.
- Involve your team: Ensure effective use of the pipeline by engaging all team members.
If you’re unsure where to start, using a spreadsheet to recognize your company’s sales process is recommended. Google offers useful templates as a starting point. Use this resource to track your processes and make informed decisions based on real sales information.
