Sales Pipeline
A visual representation of where prospects are in the sales process, from initial contact to closed deal.
What is a Sales Pipeline?
A sales pipeline is a visual snapshot of where prospects are in the sales process. It shows every deal your sales team is working on, what stage each deal is in, and what actions need to happen next to move them toward closing.
Pipeline Stages
A typical B2B sales pipeline includes these stages:
1. Lead/Prospect
- Initial identification of potential customer
- Not yet qualified or engaged
2. Qualified
- Confirmed fit based on criteria
- Decision-maker identified
- Budget and timeline discussed
3. Meeting Scheduled
- Discovery call or demo booked
- Prospect showing active interest
4. Proposal/Quote Sent
- Pricing and terms presented
- Solution mapped to their needs
5. Negotiation
- Terms being discussed
- Stakeholder buy-in being secured
6. Closed Won/Lost
- Deal completed or lost
- Win/loss analysis recorded
Key Pipeline Metrics
| Metric | What It Measures |
|---|---|
| Pipeline Value | Total potential revenue in pipeline |
| Pipeline Velocity | Speed deals move through stages |
| Win Rate | Percentage of deals closed won |
| Average Deal Size | Mean value of closed deals |
| Sales Cycle Length | Average time from lead to close |
| Stage Conversion Rate | % moving between each stage |
Healthy Pipeline Indicators
- 3-4x coverage of quota in qualified pipeline
- Balanced distribution across stages
- Regular movement of deals between stages
- Accurate forecasting based on historical data
Pipeline Management Best Practices
- Define clear stage criteria - Know exactly what qualifies a deal for each stage
- Update regularly - Review and update pipeline weekly at minimum
- Focus on velocity - Don’t let deals stagnate
- Qualify early and often - Remove dead deals quickly
- Multi-thread deals - Build relationships with multiple stakeholders
Common Pipeline Problems
- Bloated pipeline - Too many unqualified or stale deals
- Top-heavy pipeline - Not enough leads entering
- Bottlenecks - Deals getting stuck at certain stages
- Poor data quality - Inaccurate or outdated information
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