SAL (The Council of Knights)
Phase Description: having proven their worth, the knights present themselves before the council of Camelot. In this stage, the marketing team passes the qualified lead to the sales team, which accepts it for further engagement.
Relation to MOFU/BOFU: this stage is at the Bottom of the Funnel (BOFU), as the lead is transitioning from marketing to sales.
Entry Point: prospects enter this phase after being reviewed and accepted by the sales team.
Exit Point: prospects move to the Sales Qualified Lead (SQL) phase after initial sales contact and further qualification. At this point the pre-sales team will usually want to have a conversation with the lead in order to understand the Need, the Timing, if the lead is ahs the Authority to move thing s forward, and if a Budget is already there (the BANT).
Marketing and Sales Actions:
- Marketing: support sales with relevant content and background information if needed
- Sales: begin direct engagement, understanding the lead’s needs and preparing a pitch. If succesful, the last action of the pre-sales team is to “convert” the lead into a more structured set of information in the CRM (usually Contact – Account – Opportunity) and assign a Sales on it.
Content Types:
- Sales scripts
- Personalized emails
- Meeting invitations
Key KPIs:
- Lead acceptance rate
- Time to first contact
- Engagement rates
SQL (The Knight’s Challenge)
Phase Description: now prepared for the final trials, the knights face a series of rigorous challenges. A lead becomes an SQL after the sales team has engaged and determined that they have a genuine interest and potential to convert.
Relation to BOFU: this stage is firmly at the Bottom of the Funnel (BOFU), focusing on closing the deal.
Entry Point: prospects enter this phase after a successful initial contact by the pre-sales team and needs further assessment by the sales team. The Sales team will book an appointment with the prospect and decide to move them to the next phase if they show enough interest.
Exit Point: prospects move to the Opportunity phase if they show a strong likelihood of purchasing.
Marketing and Sales Actions:
- Marketing: provide detailed product information and case studies to support the sales effort.
- Sales: conduct deep-dive conversations, address objections, and work towards conversion.
Content Types:
- Detailed product brochures
- Case studies
- ROI calculators
Key KPIs:
- SQL conversion rate
- Proposal acceptance rate
- Sales cycle length
Opportunity (The Final Trial)
Phase Description: standing on the cusp of victory, the knights face their final trial. In this stage, the lead is considered a potential customer, and efforts are focused on finalizing the deal.
Relation to BOFU: this stage is also at the Bottom of the Funnel (BOFU), emphasizing closing the deal and turning leads into customers.
Entry Point: prospects enter this phase when they are ready to make a purchasing decision. This phase is more detailed in the Sales CRMs with sub-phases which we will not detail in this article.
Exit Point: prospects move to the Won stage upon successful conversion.
Marketing and Sales Actions:
- Marketing: continue providing support with relevant content and collateral.
- Sales: negotiate terms, provide detailed proposals, and close the deal.
Content Types:
- Proposals
- Pricing guides
- Contract templates
Key KPIs:
- Opportunity win rate
- Average deal size
- Sales cycle length
Won (The Grail is Found)
Phase Description: the quest reaches its triumphant conclusion as the knights find the Holy Grail. The final stage where the lead has made a purchase, converting into a customer.
Relation to Post-Funnel: this stage goes beyond the traditional funnel into customer retention and advocacy.
Entry Point: prospects enter this phase after agreeing to purchase and completing the transaction.
Exit Point: customers ideally remain in this phase, becoming repeat buyers and brand advocates. Or we can push them into a dedicated Customer LifeCycle that will better suited to measure the Churn, the repeat purchases.
Marketing and Sales Actions:
- Marketing: engage with follow-up emails, loyalty programs, and exclusive content.
- Sales: maintain relationships, offer support, and identify opportunities for upselling or cross-selling.
Content Types:
- Follow-up emails
- Loyalty programs
- Exclusive content
- Customer surveys
Key KPIs:
- Customer retention rate
- Customer lifetime value
- Net promoter score (NPS)
Additional Steps Outside of the Marketing and Sales Funnel
While the core stages of the marketing and sales funnel are essential for managing leads, there are additional steps that need to be considered to ensure a comprehensive lead management strategy. These steps address various situations where leads may not progress through the funnel as expected and require different handling:
- Disqualified: Leads that do not fit the Ideal Customer Profile (ICP) and have no potential for business. These leads should be discarded from further campaigns to avoid wasting resources.
- Rejected by Sales: These are MQLs analyzed by the pre-sales team and found to be false “hot” leads. They are not mature enough for sales engagement and should be recycled and nurtured further.
- Recycling: This step allows resetting the behavioral scoring for leads that are lost or rejected by sales before they re-enter the funnel at the beginning. This ensures that they are properly nurtured and requalified.
- Fan: These are leads well known by the marketing or sales team who frequently engage with all marketing solicitations, potentially skewing scoring systems. Such leads should be parked in a “fan” status to manage their impact on metrics.
- Lost: Opportunities that did not convert into sales should be recycled and nurtured again after some time to attempt to win them back.
- Sleeping: Leads in the pre-MQL phase that have not shown activity for a long time. These leads need special nurturing strategies to re-engage them.
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Marketing and Sales Funnel after the first purchase : Loyalty Life Cycle
For more mature enterprises, designing a “Lead Life Cycle” that unfolds after the first purchase can be beneficial. This cycle focuses on customer retention and churn prevention. It includes steps to monitor customer activity, identify at-risk customers, and implement strategies for upselling, cross-selling, and re-engaging inactive customers. This approach ensures that the relationship with the customer continues to grow and evolve, enhancing long-term loyalty and value.
The attached schema illustrates these steps and emphasizes the importance of continued engagement and personalized marketing efforts to maintain and expand customer relationships. By understanding and addressing these additional steps, businesses can create a more robust and effective lead management strategy that covers the entire customer journey.
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Conclusion
By adopting a granular view of the marketing and sales funnel, organizations can effectively manage leads through each stage, ensuring they receive the appropriate attention and resources. This approach helps in aligning marketing and sales efforts, nurturing leads efficiently, and maximizing conversion rates. Understanding each phase’s specific actions and content needs is essential for driving growth and achieving long-term success.
In your quest for the Holy Grail of customer acquisition, each stage of the funnel represents a crucial step towards achieving your ultimate goal. With the right strategies and KPIs in place, you can ensure that every lead is nurtured and guided along their journey, transforming into loyal and satisfied customers.
