Working in the sales industry might be one of the most demanding jobs in the world. It needs specific marketing skills and expertise to turn prospective leads into a close deal. In fact, many sales representatives fail to manage their sales cycle stages and may decrease revenues. This could affect the whole sales performance of the team or organization that they are working with. Today, we will guide you through the sales process to help you improve your sales strategy and get a close deal with your target customers.
What is a Sales Cycle?
A sales cycle is a sequence of occurrences or stages that take place while selling a good or service. With that being said, sales representatives employ a sales cycle to guide prospective clients through the various phases of acquiring qualified leads. The specific steps of a sales cycle can vary from business to business and based on the sale strategy of a company. Anyway, having a structured process can help to establish good team management and formulate a good strategy for the betterment of sales performance.
In addition to the information mentioned above, understanding the sales cycle can be beneficial in identifying the strong and weak stages of the process. Also, it can help to specify things that can be improved such as customer relationship management and satisfaction. Further, it will be convenient to predict future sales with the data that can be gathered. Well, to give you a brief view of the stages of sales process, see the flowchart below.
The 7 Sales Cycle Stages
- Prospect or Lead Generation
- Qualify Compatibility
- Connect with Prospects/Present Your Offer
- Handle Customer Objections
- Close the Deal
- Nurture/Follow-up Customers
- Make Room for Referrals
Prospect or Lead Generation
Prospecting is the first and most crucial step in the sales cycle wherein you are in search of the target customers or potential clients in your business. In this stage, you need to research thoroughly your ideal clients and what products or services they prefer to purchase. Moreover, you can also assess if the potential customers can afford your offer. There are many ways to make it possible including using social media to find contacts and search for target customers.
Qualify Compatibility
Once you have found your target customers, it is now time for you to proceed to the second step of the salesforce opportunity stages. You may now qualify for leads and conduct more investigation. In this case, you can see if the target customer meets the minimal requirements for a product or service that is offered. It is also important that you verify that your potential customers or clients are compatible with your business. For example, if you are selling cosmetics, you must qualify people who are using or wants to try beauty products.
Connect with Prospects/ Present Offer
Once you have a qualified lead, it’s time to make your sales pitch, which may be a quick presentation or a demonstration of the product or service. A sales pitch’s goal is to persuade a potential client that your interests are compatible with theirs. There are a few ways you might get in touch with your clients for the first time: by email, phone call, or face-to-face meeting. The most successful sales presentations are customized to a specific prospect by using the details learned during prospecting and qualification. Be as relevant as you can for your potential customers should recognize the value you can offer. During this critical stage, clients must be persuaded that the offered product is a solution for their issues or meets their needs.
Handle Customer Objections
Handling objections is part of the sales cycle stages wherein you can determine what is the reason your prospect holds back from buying. Honesty and enthusiasm are key when responding to their issues. Remember, good salespeople can be distinguished from bad ones and great ones from good ones by managing objections and resolving customer concerns. So, keep track of common complaints or problems among prospects as well so you may address them in your presentation for future clients.
Close the Deal
The closing of the deal, in which the prospect makes a purchase and becomes a customer. Indeed, it is the most exciting stage of the selling cycle although not all sales representatives reach this stage. This is the part wherein you let your customer accept the offer and sign the contract. Nevertheless, deal closing requires time, and rushing a prospect could cause your relationship to fall apart. So, make sure that you have all the patience while waiting for the response of your prospects, and do not forget to keep in touch with them.
Nurture/Follow-up Customers
After the presentation, your prospect might avail of your offer and close the deal. However, other clients might request time to think about the offer or consult it with their teams. This might be one of the most challenging steps of the salesforce sales stages, it is when the sales rep needs to nurture the prospects. Nurturing is when following up after presentations and addressing any new queries from the prospect. Other sales representatives may neglect to follow up with potential consumers during a sales conversation or email. With this, it may ruin an entire sale on its own for follow-ups can maintain a buyer’s interest. It is also a way to let them know that you don’t forget about them.
Make Room for Referrals
Following a close deal is when you should start asking for referrals. Usually, sales representatives set a good impression so that they can ask their new clients to recommend them to further prospects in this step. If the client is satisfied with the service or product, they will promote it to their friends, family, or colleagues. Later, if your business relationship develops, you can inquire about references and begin the cycle again with other prospects.
Conclusion
Most efficient sales representatives follow what’s called a “sales cycle,” a step-by-step process that may lead to a successful sale a vital asset for a company. Above, we have discussed the seven sales cycle stages that you can follow to boost your sales performance today. For more helpful charts, check out the GitMind official site and explore professional templates that you can use based on your needs.
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