The Essentials of B2B Sales Pipeline Management

Introduction to Business-to-Business Sales Pipelines

In this session, the speaker introduces the concept of sales pipelines in business-to-business (B2B) sales. The speaker emphasizes that while different companies may use different terminology, the concepts and stages of a sales pipeline are generally similar across organizations.

Understanding B2B Sales Pipelines

• B2B buyers typically go through several stages before making a purchase, including becoming aware of a business pain, researching possible solutions, and evaluating potential suppliers.

• Unlike in business-to-consumer (B2C) markets where purchases are often made online with little interaction with salespeople, B2B buyers will typically reach out to potential suppliers via contact forms or other means of communication.

• As a salesperson, it is important to understand where a buyer is in their decision-making process and what their primary pain points are in order to move them through the sales pipeline.

Sales Pipeline Tools

• Marketing automation software can provide valuable data on how buyers interact with your website and what pages they visit.

• Many marketing automation companies now offer integrated sales pipeline functionality within their software. Similarly, many customer relationship management (CRM) software providers have integrated marketing automation features into their platforms.

Conclusion

• The speaker emphasizes that while terminology may differ between organizations, understanding the concepts and stages of a B2B sales pipeline is crucial for success in this type of selling.

Marketing Funnel Overview

In this section, the speaker explains the marketing funnel and its importance in feeding the sales pipeline. The top of the funnel (TOFU) involves providing how-to guides, posts, and explainer videos. The middle of the funnel (MOFU) is where potential customers are educated through white papers, user examples, presentations, trials or demonstrations. At the bottom of the funnel (BOFU), customers select their final three companies to complete due diligence.

Top of Funnel (TOFU)

• Provides how-to guides, posts and explainer videos.

Middle of Funnel (MOFU)

• Educates potential customers through white papers, user examples, presentations, trials or demonstrations.

Bottom of Funnel (BOFU)

• Customers select their final three companies to complete due diligence.

• Testimonials reviews and case studies become more important at this stage.

Selecting Final Three Companies

In this section, the speaker explains that it's unlikely for a customer to go out to only one supplier when selecting a product or service. They typically select three different suppliers so they can get a sense check on pricing and terms as well as user experience and different solutions available.

• Customers typically select three different suppliers.

• Testimonials reviews and case studies become more important at this stage.

Example Pipeline - LinkedIn

In this section, the speaker uses LinkedIn as an example to explain a simple pipeline. LinkedIn drives traffic to its site by attracting graduates with solutions for finding their first jobs. They sign them up with a free account and then upsell them.

• LinkedIn drives traffic to its site by attracting graduates.

• LinkedIn signs them up with a free account and then upsells them.

Complex Pipeline

In this section, the speaker explains that nearly every business can have a different sales pipeline depending on the sales methodology used and business processes. The speaker uses an example of a complex pipeline in SAS where traffic is driven through some form of lead magnet, email campaigns are used to engage potential customers, and there is an assisted close involving salespeople.

• Nearly every business can have a different sales pipeline.

• Traffic is driven through some form of lead magnet.

• Email campaigns are used to engage potential customers.

• There is an assisted close involving salespeople.

Lead Generation and Weighted Sales Pipeline

In this section, the speaker discusses the importance of lead generation and developing a weighted sales pipeline to manage deals effectively.

Lead Generation

• Due to the disruption caused by COVID-19, businesses have gone online, making it difficult to contact buyers directly.

• Lead generation is crucial for filling the top pipeline.

Weighted Sales Pipeline

• Developing a weighted sales pipeline is essential for managing deals effectively and forecasting accurately.

• Questions to consider when developing a pipeline include what qualifies a prospect to move to the next stage, what questions need to be asked before moving a prospect forward, and what communication skills or soft skills are necessary for maintaining rapport with prospects.

• A CRM system is highly recommended for managing pipelines. It's not necessary to start with complex systems; simple ones can suffice initially.

• Management dashboards should show how many deals are at each stage and their average value. The stages could include sales qualifying leads, requirements gathering, genuine opportunities, development of proposals and negotiation.

Qualifying Deals

• The percentage chance of closing should increase as deals move through the pipeline. If it doesn't increase by the time you get to negotiating stage then there's something wrong in the system.

• Qualifying hard all the way through ensures that only qualified leads make it into an order.

Conclusion

The speaker emphasizes that these guidelines are just examples and should not be copied exactly. Instead, they should be tailored according to individual business needs.