If you know about how weather predictions work, then you must have an idea about the potential revenue in the sales pipeline. But to better understand the concept; let’s see what a sale pipeline is.
A sale pipeline is basically the visual representation of a buyer’s trip – from the beginning to the final purchase, with the stages you have set for the sales process.
A little complicated, but in order to get a result for this, you will need to calculate the potential revenue from the sales pipeline. Let’s see below how it’s done.
Potential Revenue in the Sales Pipeline
By multiplying the average revenue from paying customers with the total number of potential customers in the sales pipeline, you will get the potential revenue from the sales pipeline. So, when doing the math, everything should look like this: Average revenue from paying customers X Total number of potential customers in the sales pipeline = Potential revenue in the sales pipeline.
The result shows the revenue that the potential customers could bring to your company. The road from a potential customer to a paying customer is a long one – so below we have some insights on how to build your pipeline and maintain it.
Maintaining the Sales Pipeline
First of all, maintain your leads. Leads are the number one priority when dealing with increasing the sales pipeline. If the leads number drops, then you will slip some money through the cracks and this is not a thing to happen. Ensure that the lead database is up to date and try to increase it as much as possible.
Building your pipeline is simple but maintaining it is the tricky bit. Always ensure that the sales process is up to date and there are no flaws whatsoever. When you’re building your pipeline, try to get the process to flow backward in your head. Basically, imagining yourself as the buyer will do the trick. The product that you’re trying to build the pipeline must be established. Try not to build your pipeline on several products at a time and focus on the most expensive ones.
Always keep a close eye on the pipeline and clean it once in a while. This will give you the safety that all numbers are exact – which is why you should check the leads every once in a while. The sales pipeline is strongly related to the leads you are generating. There are many ways that you can increase your leads as well, thus populating the pipeline. Also, keeping a close relationship with your sales department – but with your client as well, since it will give you the proper numbers you need.
To conclude the above information, the potential revenue in the sales pipeline is a strong asset that the sales managers have. Forecasting potential customers for your business is the right way to do so, after which you will have all the numbers figured out for you. Also, checking the leads database and increasing it by any means will ensure that your sales pipeline is safe and flowing constantly.