A sales pipeline is a visual representation or a structured process that outlines the stages a potential customer goes through during the sales process. It typically starts with the initial contact or lead generation and progresses through various stages until the deal is closed.
The stages of a sales pipeline can vary depending on the organization and its sales process, but common stages may include lead generation, qualification, needs analysis, proposal or quote, negotiation, and finally, closing the deal. Each stage represents a step closer to converting a prospect into a paying customer.
Sales pipelines help sales teams track and manage their prospects effectively, allowing them to prioritize their efforts, identify potential bottlenecks, and forecast future sales. By visualizing the sales process in a pipeline format, sales managers and representatives can better understand where each prospect stands and take appropriate actions to move them through the pipeline towards a successful sale.