Table of contents:
- What is a Sales Funnel?
- Why is the Sales Funnel Important?
- What are the Sales Funnel Stages?
- How to Create a Sales Funnel for Your Business
- Find the Cracks in Your Sales Funnel Stages
- How Sales Funnel Management Can Help
- How to Manage Your Sales Funnel Day to Day With Pipedrive
- How Automaly Experts Can Help You with Improving Your Sales Funnel in Pipedrive CRM
Sales funnels are an essential part of marketing and selling in the digital age. They break down the sales process into smaller chunks called sрtages. Each stage represents a particular step/checkpoint which your customer has to pass through as they edge closer and closer to buying from you.
You may not realize it, but your customers are participants in your sales funnel, whether you have one or not. For instance, when potential customer sees your ad, they are drawn to your landing page. Your sales and marketing teams spring into action and start engaging them with useful content, manuals, videos, and other resources.
Whether the customer buys or not narrows down to the effectiveness of your sales funnel. Thankfully, there are ways to influence that decision. In this article, we’ll go into the full sales funnel definition, explain how it works, and how it can benefit your business. Keep reading!
What is a Sales Funnel?
A sales funnel is a visual map of the sales process that marketers use to move potential customers through a series of conversion points. The widest part of the funnel opens up to everyone who visits your website or walks into your store. The narrowest section represents the people who become your customers.
Working with a well-structured sales marketing funnel brings many benefits to your company. For starters, it will help you identify where potential customers fall off. It also helps you understand what their problems are, and how you can best meet their needs.
Why is the Sales Funnel Important?
Many businesses have a hard time converting prospects into customers. Prospects won’t just buy something from you just because you give them a nice brochure or website with your company details. They need a reason why they should buy from you and not your competitors instead.
For instance, 63% of digital marketers struggle with delivering personalized services. Additionally, 46% of customers expect quick responses from companies within 4 hours. Yet more than half (62%) of businesses fail to respond to their customers.
Sales funnels enable marketers to:
- Create personalized marketing strategies for potential customers at each stage of the sales marketing funnel
- Keep in touch with target customers at every stage
- Closely monitor the campaign and engage with prospects whenever they move to a new stage.
While having a clearly defined sales funnel isn’t a guarantee that you’ll close every sale, it can help you improve your marketing strategy. You can find out where people are getting stuck in the funnel and then use that information to improve future marketing campaigns.
What are the Sales Funnel Stages?
A successful sales funnel has distinct stages, beginning with the initial contact with a potential customer and ending with a final sale and continuing relationships with that customer.
Sales funnels vary from business to business. Here are the four main sales funnel stages native to every sales funnel:
1. Awareness Stage
The awareness stage stands at the top of the funnel. Its goal is to make your potential customers aware of who you are and what you have to offer.
There are several ways to get people talking about your product or service:
- Through organic results on search engines
- Social media ads
- YouTube videos
- Content marketing
Customers at the awareness stage have little information about your business. That gives you the perfect opportunity to make a great first impression with great content and useful resources.
For instance, when a visitor first lands on your website, you can offer a free ebook or whitepaper in exchange for their email. A useful resource as an incentive keeps your business at the top of their minds.
Here, your potential customers begin to show interest in your product. You can spot this from the number of people who visit your website looking for answers or the people who sign up for your email list to receive daily updates.
At this stage, your potential customers know about your business and solutions. So, why not take it up a notch with your CRM tool? How, you might ask? You can use your sales CRM tool’s built-in features in these ways:
- Sales automation: Automatically assign a salesperson to engage with the potential customer with relevant content
- Use the built-in chatbot to answer questions
- Put your unqualified leads into the Leads Inbox and qualify them later
- Monitor the sales team’s performance
- Track and manage your leads as they progress from one stage to the next stage.