Simply put sales funnels are a multi-step process that moves prospective browsers into buyers.

You could also say that it’s something that the marketers use in order to track their potential customers. Tracing potential customers and onboarding them as revenue generating customers is one of the biggest responsibilities that the marketing teams have to do. The sales funnels are in a position to provide excellent assistance to them with that.

Missing a sale is a massive pain for any kind of a business. The businesses spend a considerable amount of time and effort on the demos and pitchers, charm and chatter. If the prospects drop out after all those efforts, the company will be putting all their efforts in vain. This is completely a natural phenomenon, which takes place in the world that we live in. However, a sales funnel has got the ability to reduce the chances of that taking place.

So what exactly is a sales funnel anyway?

With the background information that you have as of now, it will be possible for you to understand what a sales funnel is. Hence, let’s take a quick look at the definition of a sales funnel.

A sales funnel can be considered as a marketing term, which is being used to define the journey, which all the potential customers of your business will go through. All the customers will go through this process before a sale is initiated. Usually, the marketing teams start the sales funnel with a lot of potential customers, who are familiar with the product or service offered.

You are beginning to pitch your products or services to a large audience. When you go down in the sales funnel, you will notice that you are speaking only to a few selected people, who are more interested in the services that you offer. This will eventually end up with the people, who will actually become customers of your business.

What are the stages of a sales funnel?

sales funnels explained

There are few stages in a sales funnel. To get a clear picture of what a sales funnel is, you need to have a solid understanding about these stages.

  • Awareness level can be considered as the very first stage of a sales funnel. This is the phase where people get to know about the services and products that you offer. You can reach out to the customers through social media, advertising and even through word of mouth.
  • Leads will get hold of the second phase of your sales funnel. The leads are the people who show an interest in the products or services that you offer. This entirely depends on the marketing abilities that you have. If your marketing campaigns are not that good, you will struggle hard to get the leads that you want. When you have leads with the marketing efforts, you need to try your best in order to push them down in the sales funnel and then convert them into sales. It is one of the key objectives of a sales funnel as well.
  • Sales are at the bottom level of the sales funnel. When you transform the lead to a paying customer, you will be able to convert the lead. With that, you are pushing that customer into the last stage of the sales funnel. If you had 100 people in the first stage, you will notice that you only have a handful number of individuals in the last stage. That’s completely natural. The sales funnel concept will make sure that you are not missing out the sales generating customers, just because you are distracted by the others.

What are the benefits of sales funnels?

Sales funnels is a concept that marketing teams all around the world have adopted. With that in mind, you should also have a clear understanding about the benefits that sales funnels can deliver to you. Here is a list of some of the most prominent benefits that a sales funnel can deliver to you. If you are convinced, you can also think about integrating a sales funnel with your marketing efforts.

  1. You can reject the low quality leads quickly

The low quality leads are not in a position to create a major impact on your business revenue. Hence, it would be worthless to spend your time and effort on them. It is always recommended for you to get rid of them as soon as possible. That’s where a sales funnel can assist you with. You can properly analyze the customers with the help of sales funnel and then check whom you are going to move to the next stage. This will help you to get the most out of your marketing efforts as well.

  1. You can improve the follow-up process

You must be sending a lot of emails on a daily basis to follow up your prospects. However, it is not enough to get the best possible results out of your leads. You should focus even more attention towards the follow ups. A sales funnel can provide an excellent assistance to you with that.

According to recent statistics, it has been identified that around 50% of the sales representatives are not following up with the prospects in an effective manner. You will be able to eliminate all sorts of failures that can take place in the follow up stage with the assistance of a sales funnel. Therefore, you will be able to end up with the best possible results at the end of the day.

  1. You can accelerate customer onboarding process

When there is a lead, you just have 5 minutes to transform that into a sale. If you fail to do it, you will be missing out the excellent opportunity that you have. This is another prominent reason why you need to make sure that you are backed up with a sales funnel. This can help you to accelerate the customer onboarding process in an effective manner as well.


Now you have a solid understanding about what a sales funnel is. With that understanding, you can go ahead and start using sales funnels for the future development of your business.