A busy sales pipeline is a great thing. There are plenty of contacts in your CRM, opportunities at different stages and a long list of prospects to work through. On paper, it might look like business is moving in the right direction.
But a busy pipeline doesn’t necessarily mean you have a healthy one.
If opportunities aren’t progressing, conversations aren’t turning into meetings or deals keep getting pushed further down the line, your pipeline can create the appearance of activity without creating much movement.
Activity doesn’t always mean progress
One of the easiest traps to fall into is measuring how much is happening rather than what is moving forward.
Your team might be sending emails, making calls, connecting with prospects on LinkedIn and adding new contacts to the CRM every week.
And that’s great, consistent activity is an important part of keeping your pipeline moving.
But it’s also important to look beyond the activity itself. Are those conversations progressing? Are prospects moving through the pipeline? Are new opportunities being created?
For example, if you have 100 prospects in your pipeline but only 5 have had meaningful conversations with you, the number 100 doesn’t tell you very much.
Looking at what is happening at each stage of the pipeline can give you a much clearer picture. When it comes to building a pipeline over time, consistent lead generation is often more valuable than expecting immediate results, as discussed in our previous blog “Why Good Lead Generation Requires Patience, Not Pressure”.
Start by looking at how long your opportunities have been sitting in each stage. If the same prospect has been there for weeks or months without a clear next step, it could be a sign that something is holding them back.
This doesn’t necessarily point to the prospect not being interested. They may have other priorities, a longer buying process or simply just not be ready yet. As we discussed in our blog on prospect nurturing, having a process for staying in touch can help you continue the conversation without adding unnecessary pressure.
The important thing to pay attention to is which opportunities are genuinely active and which ones are just taking up space in your pipeline.
Reviewing your pipeline is a great way to separate the two and delve into what is really happening.
Once you’ve found the opportunities that are actively progressing, it’s worth looking at whether there is a clear next step for each one.
That could be another conversation, sending a proposal, arranging a meeting with another decision maker or simply agreeing when you’ll speak again.
Having a next step in place helps keep the conversations moving and gives your team a clear idea of what needs to happen next. HubSpot’s guide to sales pipelines, also highlights it is important to have a clear criteria for moving opportunities between pipeline stages.
It also makes it easier to keep track of opportunities, particularly when you’re managing a busy pipeline with lots of conversations happening at once.
Even if the next step is a few weeks away, having it agreed means the opportunity is less likely to get forgotten about.
Not every prospect in your pipeline deserves the same amount of attention.
Some may be actively looking for a solution. Others may have shown a little interest but aren’t ready to progress any further yet, and some may not be relevant at all.
Treating every opportunity the exact same way can mean your team spends too much time on prospects that are unlikely to go anywhere, while better opportunities don’t get enough attention.
HubSpot also highlights the importance of prioritising leads in its guide to sales lead prioritisation, looking at how businesses can decide which prospects deserve the most attention.
Having a clear way to prioritise your pipeline can help your team focus and use their time effectively.
Keep creating new opportunities
While it’s important to understand what is going on with the current opportunities in your pipeline, it’s just as crucial to continue work on creating new opportunities.
Even if your current ones are progressing well, you’ll want to maintain a steady flow of new prospects coming into the pipeline. This helps create momentum and gives your team more opportunities to build conversations and generate future business.
A healthy pipeline isn’t just about moving existing opportunities forward; it’s also about continuing to create new ones.
That’s where consistent business development activity can make a real difference. By regularly identifying new prospects and starting conversations, you can keep your pipeline active and give yourself opportunities to build on in the future.
There is often a temptation to think that having more prospects automatically means having more potential sales.
But a smaller pipeline of relevant, active opportunities can be far more useful than a huge list of contacts that haven’t been qualified or engaged.
It’s not about filling your CRM with as many prospects as possible, as that can just take up space. It is about having the right opportunities, understanding where each one stands and knowing what needs to happen next.
A healthy pipeline should give you a clearer picture of where your potential business is coming from, what opportunities are progressing and where you can focus your efforts.
Take a closer look at your pipeline
If your pipeline looks busy but your sales figures aren’t reflecting it, it could be worth taking a step back to review what is happening.
Look at things like:
The aim isn’t to have the biggest pipeline. It’s to have a pipeline that is easy to navigate and gives you a clear picture of where your potential business is coming from and what needs to happen to keep it moving.
A healthy pipeline isn’t about having the longest list of prospects, it’s about having the right opportunities, keeping conversations moving and consistently creating new ones.
If you’re not sure whether your pipeline is working as well as it could be, get in touch. We can help you look at where your opportunities are coming from and how you can create a more consistent flow of new business.