The sales lifecycle is an important part of any business. When it's structured, the process becomes less daunting and more manageable. This means you'll be able to close deals faster and with better accuracy.

There are many benefits that come from having a structured sales process; here are just some of them: increased revenue, performance, forecasting accuracy, etc. 

Structured sales processes can also help companies figure out what they need to do next in order to reach their goals!

A structured sales lifecycle: How It Can Help Drive Revenue No matter the product or service you sell, every organization uses the same basic steps, known as the sales cycle, to close deals.

Companies that implement a structured sales process increase revenue , performance and forecasting accuracy . 

Here , we explain why you need a sales lifecycle . Defining a clear and well-thought-out sales process goes well beyond simply knowing how to close a deal .

Your sales process is composed of a series of steps , which your sales team will encounter when escorting a prospect through the sales funnel .

A sales cycle is a series of events or phases that occur during the selling of a product or service. 

This article will cover the typical seven steps or stages in that process, but remember that not every sale or customer interaction will follow the same path.

1. Prospect for leads

You must first have a customer or prospective consumer before you can sell something. Identifying potential customers is the first step in any sales process, and it necessitates a thorough understanding of the service or product you're selling.

You should strive to answer several essential questions regarding your product during the prospecting stage:

What is it about your product that no one else does?

What issue or problem does your product address or solve?

You will identify who your potential customers as you consider how your service or product can benefit the lives or companies of your clients.

Customer prospecting can also take the form of lead generating.

 Perhaps your website contains a form where visitors can input their email addresses to receive more information. Once you've obtained their contact information, you have permission to reach out and connect.

2. Make contact with potential clients

The next step is to make contact with your prospects when you've discovered them. The communication medium you use will be determined by the sort of business or prospect. 

In certain cases, calling a prospect is the best way to get in touch with them, while in others, an email or a more traditional sales letter is the best way to get in touch with them. 

During this stage, you're not providing your full sales pitch; instead, you're making contact with potential clients in the hopes of setting up a more formal appointment.

In many cases, you may not need to make contact at all. 

For example, if a prospect reaches out to your company for more information or pricing before they're ready to buy anything immediate, this is great because it means that the sale has been initiated and there's nothing left but follow-up!

Despite whether or not you actually get to speak with a prospect, you should always send an email to introduce yourself and let the potential customer know that they can ask for more information later if needed.

This is important because it shows them your company cares enough about the relationship to ensure the messaging is clear and accurate (and professional). 

Sending an email also allows your future customers to take note of your name and email, which can come in handy later on.

The same is true of calling a prospect; even if the potential customer doesn't answer or responds to your call with hostility, you should leave them an informative voicemail that summarizes who you are and how they can get more information about what you're selling (just don't forget to ask them to call you back).

The prospecting and contact stages of a sales cycle are often the most difficult, but they can also be some of the most rewarding. 

You're just starting out with your potential customers—don't expect it to go perfectly right from the start! It will take time before any relationship begins in earnest.

3. Determine the customers' qualifications

During this stage of the sales cycle, you will thoroughly vet the client. Although this process can begin at any point in the sales cycle, the majority of qualifying takes place at the initial sales meeting or appointment.

Because you should only pitch qualifying leads at this stage, you will save time and resources. 

You should determine whether or not your contact person is a decision maker and, if so, whether or not they are interested in purchasing your product or service. 

If your prospect is unable to make a decision or purchase, gently request that the meeting be attended by a manager or superior.

You should also qualify your prospect during the initial sales meeting by asking questions about their company's size, location, industry and current inventory. This will help you determine whether or not this is a good fit for your business before time is wasted on an unqualified lead.

By determining if prospects are qualified at the beginning of the relationship rather than wasting time on unqualified leads, you can focus your attention and resources where they are most needed.

This will also positively affect the perception of your business because potential customers who do not meet any qualifications may feel like they were never truly considered by the company in question; 

this lack of consideration could cause them to take their money elsewhere.

A structured sales process is a must for any business that wants to increase profitability.

4. Showcase your product

To summarise, you've located a prospective new customer, made contact with them, and qualified the lead. It's now time to show off what you've got.

This is the most important step of the sales cycle, and it necessitates the most planning. 

You should try to present your products or services in such a way that they solve a problem for the buyer. 

Prepare to show how using your product will improve your customer's day-to-day operations, and how your organisation achieves this better than anybody else.

Keep in mind that you're selling yourself during your presentation, so variables like body language, mannerisms, and even your appearance can affect whether or not you make a sale.

Be as confident in your product or service as possible, and remember that you are selling an opportunity to solve a problem.

Consultants who have years of experience will find it easy to talk about their products thoroughly because they are experts on the topic; by contrast, inexperienced salespersons might struggle to get this part of the sale right because they are still learning about their product or service.

Although it might be tempting to read the body language of your prospect, this can have a negative effect on your sales process if you focus too much attention on them and less on yourself. 

Avoid being distracted by other factors during a presentation because they should not affect whether or not somebody buys from you—it is your responsibility to show how you can solve the problem at hand.

If you are selling a product or service, it should be easy for customers to understand during this phase of the sale; however, if they still do not quite grasp what exactly it is that you're offering after your presentation—don't give up just yet! 

This might be a sign that your product or service is not the right fit for them, but it could also indicate that you did not do enough to effectively communicate what makes your company special.

5. Overcome objections from customers

At this point in the sales cycle, your role is to manage and overcome any objections that may arise. 

Even the most enthusiastic prospects will have reservations or objections—the price is too high, the contract is too restrictive, or the conditions aren't appropriate.

Consider reframing the facts in a per-day breakdown if the price is causing you anxiety. For instance, if your software solution costs around $200 per month, reframe it as "slightly over $6 per day." That's less than the price of a luxury nonfat extra-shot vanilla latte.

Don't be scared to inquire about their objections' context. Is their apprehension the result of a previous incident or interaction? 

Are there any lingering doubts from a previous business agreement that didn't work out? Listen intently to the client's worries and assure them that you are aware of them. Then, in order to address and overcome those worries, rethink your proposal.

If, after some thought and consideration of your prospect's concerns, you still believe that your product or service is the best option for them. If it truly stands out among other offers on the market, then there should be no reason why they shouldn't buy from you!

When selling a complex product or service offering, people will often have lots of questions. The more you can cover in your presentation, the easier it will be to overcome any concerns that they may have about what you are offering.

The best way to ensure a sale is by being prepared for all possibilities—if somebody has an objection regarding something small, then ask them if there's anything else keeping them from taking out a contract with you. 

Don't be afraid to ask if they have any questions about the pricing or agreement, and don't think twice before adding anything else to your proposal that might make it more appealing.

6. Complete the transaction

The time has come for the truth to be told. It's time to complete the transaction, which is far more difficult stated than done. There are a few distinct ways to close a sale, and each one is dependent on how the previous stages went.

As a salesperson, it's your job to read the prospect's mode or attitude and adjust your closing strategy accordingly. 

"OK, so let me just get the paperwork typed up, and we'll set a delivery date," you can say if the prospect has avidly listened to every word you've had to say and you feel like you've built a nice connection. "Does that make sense?"

A softer, more subtle approach is required for a less enthusiastic or uncertain prospect.

 Remember, you've already established why this company or client requires your product in prior phases of the sales cycle, so circle around to your major points and remind the prospect why they agreed to meet with you in the first place.

It's vital to keep in mind that just because a transaction isn't closed at the first meeting doesn't imply it's over. Large machines or intricate software, for example, can take weeks or months to market. 

The sales cycle continues until either a transaction is achieved or a prospect declines to move forward.

7. Obtain referrals

After a transaction, it's a good idea to ask for referrals. Your new customer is (ideally) enthusiastic about their purchase and willing to refer others. 

Ask your client if they have any friends or colleagues who might benefit from the product or service you sell to save time and energy. As your business relationship develops, you can also ask for referrals.

It's crucial to keep in mind that every sales process is different, and no two sales cycles are alike. 

The stages of the sales cycle might take as little as a few minutes or as long as a few months, but in general, each sales cycle follows one of the seven stages listed above.