Importance of a Sales Funnel

The notion of a “funnel” is an apt metaphor. Prospects go in the top of the funnel, the big part, and then we winnow away at the unqualified prospects, gradually cultivating them through a sales process, until an order comes out of the funnel. A simple enough concept

In order to have a effective ‘funnel’ prospects need to move through it This means that the funnel has to be saturated. The goal is not to have a funnel clickfunnels pricing chart.

To manage the ‘sales funnel’, you need multiple things …

1. A steady source of leads to put the funnel.

2. A multi-stage process to ‘move along’ leads by qualifying them and cultivating them in customers

3. A process to deal with leads that do not move quickly (i.e. take them out of the main funnel and put them into a long-term cultivation funnel).

4. Lastly, a means of measuring how fast leads are being turned into customers and where they are in the funnel.

The sales funnel IS important If any of these things do not happen, you can have problems Not enough leads means you have salespeople sitting on their hands Slow motion through the funnel means your selling costs are going up and that your conversion offers are not very efficient. Discarding prospects that do not respond too early means future customers are being trashed and your sales costs are also increasing. No measurement means no ability to manage the sales process – surprises will be inevitable (and usually not the good kind!)

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