Continuing the sales pipeline theme from yesterday, I wanted to take the pipeline concept once step further and talk about a weighted sales pipeline. A weighted sales pipeline is a much more detailed pipeline where each prospect opportunity is given a specific value based on where they are in the buying process. So, instead of saying that we have 20 prospects, you might say we have 20 opportunities at 50% or greater likelihood of closing with a weighted pipeline value of $100,000.
Here’s how the values of a weighted pipeline might look with the percentage being the chance of closing the deal:
- 10% Prospecting/Qualification
- 20% Needs Analysis/Value Proposition
- 30% Proposal Sent
- 50% Identifying Additional Decision Makers
- 60% Second Demo (Post Proposal)
- 70% Negotiation / Review
- 75% Acceptance Sent
- 90% Acceptance Reviewed
- 90% Proof of Concept
- 100% Closed Won
- 0% Closed Lost or Deal Dead
Developing a weighted pipeline gives you a much better proactive view into the future health of the business. I recommend weighted pipelines for all entrepreneurs.
What else? What are your thoughts on weighted sales pipelines?