What is sales funnel?
19 grudnia 2018 14:50
Sales funnel - the principle of customer distribution by stages of the sales process from the first contact to the conclusion of the transaction. The sales funnel is a graph resembling an inverted pyramid: the upper broad part shows how many customers are at the initial stage of the sales process (express interest, negotiate, etc.), and the lower part - how many customers have already concluded an agreement. Sales funnel allows you to draw conclusions about the quality of management and the need to intensify efforts at any of the stages of the sale. If the total number of buyers is not large enough, you need to take action to attract more potential buyers. If at one of the stages of the sale a significant, unjustified narrowing of the sales funnel occurs, this means that the previous stage of the sale. the quantity and quality of management are insufficient, the sales process is not optimal and it needs to be revised. The sales funnel is almost a universal sales management tool and allows you to solve a much wider range of tasks than mentioned above (for example, sales forecasting tasks, creating sales schedules, etc.), however, to build it, you need to implement technology in the company which will allow collecting statistics on the stages. If we talk about sales support marketing, then the sales funnel is a universal tool for planning the number of contacts at each of the sales stages, the necessary amount of advertising materials. There are several types of sales funnels that are designed for different business segments. The most relevant are the following types: Funnel "from attracting to closing the transaction." This sales funnel shows the stage of the first manifestation of interest in the product, and the stages of preliminary work (for example, sending out information sheets, preliminary telephone calls, etc.). Moreover, it is possible to attract interest both to certain products and to the whole product group represented by one manufacturer (company). Funnel "only sales". This type of funnel is designed for the sales cycle. To use this tool, preliminary data on the demand for a product or the direction of potential customer interest in a particular product must be known. Funnel "sales + sales". This type of funnel includes steps related to the sale of goods: delivery, assembly, connection, provision of guarantees, etc. This sales funnel is directly related to the motivation system, i.e. but also in the full implementation of the project. Funnels "cross-sales and pre-sales." These funnels can be considered classic. The exceptions are cases when using cross-selling methods that are different from the methods of the main implementation process. With the help of the funnel, we track how many people came to the site, how many left the application, how many completed the order. Next, we analyze the indicators and work to eliminate the shortcomings. We gain competitive advantages and take the lead. The goal of any entrepreneur is to make the sales funnel look like a pipe so that almost all potential consumers become real.