Predicting the direction and success of your sales is always a challenge. Sales funnel could significantly improve your ability to predict the direction and success of your entire sales activities.
Sales funnel categorically places each customer based on his perspective or chances of landing a purchase. As these are created based on direct customer interactions, they are typically precise and have a high probability of succession.
Limitations of a Sales Funnel or Why Use CRM with Sales Funnel?
Initially, all leads are received at the widest portion of your sales funnel. In these circumstances, all leads are relatively equal and needs further processing to convert them into valuable prospects.
Consider the typical sales funnel demonstrated below.
It’s not only that different prospects have varying degree of interest or intent in making a purchase. All these prospects also carry different mental perspective about completing their purchases.
All these purchases are consistently aware of having different intent and desirability for finishing sales. By understanding different customer mental state, you could start appealing to each prospect in a resourceful manner.
In the above model, the head of the funnel receives prospects showing vague interest among a set of competing businesses. In the second stage, the prospect is actively considering between different businesses and trying to focus on a single or couple of enterprises. In the third stage, the prospect is the thinking hard about whether to invest in a particular business.
All these involve considerably different thinking processes and require you to approach and appeal differently to each prospect.
By processing each prospect through a CRM funnel, you can ensure that all prospects are handled differently and prospect personalization is achieved. Well, then you may ask about CRM providing additional value that cannot be achieved through a sales funnel categorization or how it lets me precisely increase my revenue by 60%.
Generally, doubling your sales income means getting prospect interest better aligned with your business. Otherwise, you need to learn to make smarter choices that increase conversion.
CRM lets you script and possibly determine each part of your prospect journey, allowing you to increase chances of purchase.
Short-listing prospect List
Picking prospects is always a good idea to increase conversion.
By the Pareto principle, almost 80% of sales prospecting goes waste. According to this, focusing on the remaining 20% is most likely to maximum result. Even as you are filtering down your prospects, selective picking lets you spend more time on valuable customers.
CRM software helps you classify and manage different prospects based on a direct overview. All prospects are not equal, even when they are coming from a single section of the sales funnel or have similar interests. By understanding previous conversations and proceedings of previous pitches, you can recognize the prospects most likely to purchase your product.
This helps you manage each prospect according to individual level of progress, thus precisely categorize his position along the sales funnel.
It’s not only that different prospects have varying degree of interest in making purchases. All these prospects also have different mental perspective about finishing particular purchases.
Create prospect profiles for better Customer Management
Typically, sales executives need to take individual decision about each particular prospect or lead. This means that each prospect requires intense consideration before deciding to progress with each prospect handling. By using CRM, you can manage prospects through a single platform.
You can set categorize prospect profiles showing similar levels of interests or looking for similar products into a section, which could be easily retrievable. Further, this helps you run remarketing strategies that further expands your marketing reach and nourishes prospects for conversion.
In running an E-mail marketing campaign, you need to focus on the selling point for a single category of customers. By including the right message, you can increase the open rates and response rates. By segmenting all similar prospects into a single section, you can improve the conversion for particular businesses. Here, CRM ensures that all prospect data are available to be directly benefit nourishing sales funnel.
Setting Objectives and goals for each Meeting
As mentioned earlier, the chief objective of each funnel is bringing the element of predictability into each meeting. Having a sales funnel enabled means that you can expect customers at each funnel section to behave in a certain fashion.
By categorizing each prospect’s situation, you can easily set goals for each client meeting and interaction. It could be getting to know the prospect, providing more product information or receiving quotation approvals….
This enables you to further predict their future actions and provide the right environment to grow into real prospects.
When you are looking to maximize your turnover, having optimal sales cycle and increasing customer conversations gets important. While the sales funnel gives indication about prospect state of mind, the CRM provides essential tools and features to further improve that state of mind.