Managing your sales pipeline - the key to increasing sales revenue
An effective sales pipeline identifies at which stage, in your sales process, a prospect or opportunity sits at any given time. It then measures that prospect’s progress throughout the sales pipeline, from unqualified lead to repeat customer account.
Effective sales pipeline management allows a business to estimate incoming revenues, manage budgets and monitor cash flow. In other words, for sales leaders, a good sales pipeline makes sales forecasting easier.
However, you can further enhance the value of your sales pipeline, by adding some key metrics. The metrics you incorporate should help you to evaluate your strengths and weaknesses, throughout your sales process. With the results from these evaluations, you can make key changes in two key areas:
- Address your deficiencies through things like skills training, an enhanced value proposition, new products / services, better internal processes, new sales initiatives or just increased customer contact.
- Leverage your strengths and ensuring you make the most of all opportunities in which your business has a chance to demonstrate its capabilities.
The results of these changes should be a pretty dramatic increase in your sales conversation rates.
In fact it’s highly likely (particularly in high value, more complex sales cycles) that even small improvements in your sales conversion rates, will increase your sales revenues substantially.
In addition to these benefits, an effectively managed sales pipeline, producing more accurate forecasting, will also help your business smooth out the peaks and troughs in production/ service demand and make cash flow prediction more reliable.
A well managed, measured and up-to-date sales pipeline will also help you plan for new product / service launches and promotional campaigns in a more effective and successful way than ever before. Leading once more to increased sales revenues, less wasted costs and, ultimately, more profit!
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