What is “Sales Pipeline” meaning?

A sales pipeline is a visual framework that outlines the steps or stages that prospects go through before they become paying customers. It helps sales teams track leads, manage workflows, and forecast future sales. Typically, the pipeline includes stages such as prospecting, qualification, proposal, negotiation, and closing.

Example

“Our sales pipeline showed that 20 prospects were in the negotiation stage, and we expect to close 5 deals by the end of the month.”

How is “Sales Pipeline” used in business?

Businesses use a sales pipeline to manage and optimize the sales process. It helps sales teams track which stage each prospect is in and identify bottlenecks or opportunities for improvement. The pipeline enables better forecasting, allowing businesses to predict revenue and allocate resources efficiently.

Pro Tip

Regularly review and update your pipeline to identify any stage where prospects drop off, so you can refine your approach and improve conversion rates.