Sales Funnel
Pipeline To Prosperity

A well managed sales funnel is a car sales professional's pipeline to prosperity. The hopper is much more than a bucket of names. Teamed with an effective marketing campaign, it represents an auto salesperson's and the dealership's sales strength. The more contacts entering the funnel translates into more opportunities, more inked deals coming out of the spout.

Keeping the sales pipeline full is key to achieving sales targets. Thomas J Watson, founder of IBM, said "Would you like me to give you a formula for success? Double your rate of failure." Regardless of what you sell, the number and quality of prospects you have is the foundation for meeting sales targets.

Properly managed, your sales hopper has several key purposes. Leading the list is the visual representation of the sales stage each contact is at. Auto sales champions recognize that the names in their sales pipeline represent their inventory. Regardless of the manufacturer you represent, you are in the 'people business'. Automotive sales is all about providing solutions for people. It is people, your prospects, who decide who they will purchase from.

Absolutely not! That's the significance of the pipeline.

The top of the hopper is the filtering station; the beginning of the journey from prospect to customer. Many will have neither a current or future need for your product. Similar to weeding a garden, these names must be removed quickly so as not to strangle the good growth, the nurturing of the qualified leads. This pruning process reflects what Watson said - double your rate of failure. In other words, the more cultivating at the top, the more wins coming out the bottom.

The stage or layer a contact is in dictates the next follow up or communication step. A success secret of sales professionals is maintaining a balance of contacts throughout the sales stages. The pipeline is all about qualifying. Whether sourced through a marketing campaign, a sales blitz, or simply a fish bowl collecting business cards at a restaurant, names in the hopper are just that - names in the hopper. Each needs to be qualified.

In fact, some writers stress the first step must focus on quickly disqualifying those who are not potential buyers. Failing to do so causes congestion at the top. This tragedy results in qualified leads being overlooked. Worst would be having so many names in the funnel that by the time contact is made, the opportunity is stale or the prospect has already purchased. Ouch!

Auto sales people who understand their closing ratios recognize the importance of their sales funnel for forecasting. As an in the trenches sales person I know that my follow-up actions today will impact my closing ratio sixty days from now. In other words, when I slack off on prospecting to keep my funnel full, two months down the road I'll hit a dry spell.

In review, the sales funnel begins by attracting the interest of people. Names in the top are just that names. They need to be mined. A success secret is to ensure no layer or sales stage goes empty. As leads move down the funnel they become more qualified. A well managed sales funnel provides a visual snap shot for forecasting. Sales pros know their conversion rate of names in the hopper to inked deals. Failing to continuously add names will result in dry spells. The significance of a thriving sales funnel is new sales, more wins, higher closing ratios. Without new prospects, there can be no new business. Your sales funnel is your pathway to prosperity.

Remember: Nothing happens until someone sells something.

Sales Champions Make It Happen!