The Sales Funnel

© iStockphoto
MayerKleinostheim

The sales funnel can prevent your sales pipeline from getting in a jam.

The Sales Funnel uses the simple metaphor of a funnel (wide at the top, narrow at the bottom) as a tool to monitor the sales process.

At the top of the funnel you have "unqualified prospects" – the very many people who you think might need your product or service, but to whom you've never spoken.

At the bottom of the funnel, many sales and delivery steps later, you have people who have received delivery of your product or service and have paid for it.

The metaphor of the funnel is used because people drop away at each stage of a long sales process: for example, many of your unqualified prospects may have existing suppliers with whom they're very satisfied. Others may have needs that other competitors are better placed to satisfy. Still others may love your products, but not have the budget to buy them.

Why Do I Need a Sales Funnel?

By using the sales funnel, and by ...