Managing the Probability of Your Pipeline

Vetting your pipeline is a game of chance; it’s taking the time and energy to figure out which leads have a higher probability of turning into sales than others. So how do you calculate this probability, and thus confidently forecast your monthly, quarterly, and annual sales? Well, you have to start by understanding all of the variables that go into developing your pipeline. You have an existing customer base with the potential to place new orders, and you have an existing pipeline of customers in the current markets that you serve, but there are countless potential customers you might not even know about yet, and even if you do know of them, you might not have the necessary information to reach out to them in a meaningful way that will earn their trust and ultimately their business. Outside of the number of prospect customers, you also have to consider the size, variation, and time commitment of each potential order.

Now, although this may seem daunting at a high level, there are solutions.

Depending on the size of your company, the first step is to prioritize the time you spend on companies that either have the highest likelihood of closing a contract or have the largest contract size. By investing time into cold leads that can better impact your sales, you are essentially warming them up and taking the next step towards a worthwhile conversation with your prospective new customer. Some ways of doing this include investigating market trends or looking up company-specific stats, both of which can pave the way for a meaningful conversation without sacrificing lots of time or resources.

So why is this important? By researching potential customers and having meaningful conversations with your prospects, you’re building trust and placing confidence in the products and/or services you’re offering. Instead of receiving an impersonal cold call from someone who knows nothing about their business, the companies in question are having real discussions relevant to their specific needs or challenges. At the end of the day, talking with your customers (as opposed to talking at them) and nurturing the relationship increases the likelihood of closing a deal and thus generating new sales.

To jumpstart this process, companies often use the help of outside consultants and strategy advisors like MAGNET. By engaging with us, you receive full access to our commercialization center, comprising of a team of analysts that conduct high-value market research using your current customer base, historic customer base, and/or lists of brand-new prospects. We can help you compile intelligence needed to determine both your most valuable customers (MVCs) and your most valuable prospects (MVPs). These strategies will help you prioritize and target the appropriate clientele, thus capturing more sales and guiding you towards the necessary next steps for long-term growth.

Want to know more about how you can increase the probability of success with your pipeline? Contact Linda Barita at 216.391.7766, or get in touch with me directly at timothy.nevin@magnetwork.org.

Print
Posted by Tim Nevin in Commercialization, Sales

Most Recent

Top 10 Sited Safety and Health Violations

December 13, 2017 by Gwido Dlugopolsky

One remarkable thing about the list is that it rarely changes.  The order may change but the top cited standards typically don’t change. Top 10 Sited Safety and Health Violations: 501 - Fall Protection 1200 - Hazard Communication 451 - Scaffolding 134 - Respiratory Protection 147 - Lockout/Tagout 178 - Powered Industrial Trucks 1053 - Ladders 305 - Electrical, Wiring Methods 212 - Machine Guarding 303 - Electrical, General Requirements Three of the 10 sited standards are directed at the construction standard (1926) while other fall within the general industry (1910).  It should be noted however that the general industry standard also has fall protection guidelines. Year after year, inspectors see the same on-the-job hazards, any one of which could result in a fatality or severe injury. More than 4,500 workers are killed on the job every year, and approximately 3 million are injured. By understanding these regulations you can improve your safety program and prevent injuries. Give me a call if you have any compliance doubts, or want to review OHSA regulations. Gwido Dlugopolsky at 216-391-7766 or gwido.dlugopolsky@magnetwork.org

Complete ANY Changeover in 10 Minutes or LESS

December 11, 2017 by Gwido Dlugopolsky

Why does it take a NASCAR pit crew only 15 seconds to change four car tires when it takes people like you and me minutes? The answer is simple SMED. Single Minute Exchange of Dies, or SMED, is a process for reducing the time it takes to do equipment changeovers. Using the principles of SMED you should be able to perform any changeover in your facility in under 10 minutes! The SMED process is simple – convert as many changeover steps as possible to “external”, meaning they are done while your equipment is still RUNNING, while simplifying and streamlining the remaining steps. SMED is broken down into the following 3 Steps: Separate Convert Streamline We found this article to be very helping in explaining the SMED process in more detail: LEAN PRODUCTION - SMED           A good first step to achieve this level of SMED efficiency would be to run a kaizen event at your facility to standardize (5S) your tools and supplies. Doing this alone will help you achieve 40% to 50% greater efficiency. Once the “low hanging fruit” is gone, you can still reduce setup times another 20% by practicing more advanced SMED principles.

Coffee is STILL for Closers: 3 Things Needed to Close Any Sale

December 07, 2017 by Sam Wasylyshyn

The secret to closing any sale is to reduce uncertainty in the buyer and replace it with confidence in YOU, your PRODUCT/SERVICE, and your COMPANY. Step 1 – Confidence in YOU Someone buying from you wants to be able to fundamentally connect with you on a human level and feel confident that you’re an expert in what you’re selling If you’re selling paperclips, be an expert in paperclips If you’re selling design and engineering related services, be an expert in design and engineering related services Focus on addressing the problem, not the solution….MEANING you already know you have the solution, connect with the buyer by being an expert with the problem he/she is facing. Prove that you know the problem and all aspects of the problem like the back of your hand. Step 2- Confidence in the PRODUCT/SERVICE you are selling Someone buying from you needs to trust the product/service you are selling will solve their problem. It’s your responsibility to deliver a solution and the benefits associated with it. Basically you need to “Hit a Homerun” communicating this message. Tip – Use Success Stories: Share with the potential buyer examples of your product/service solving problems and delivering value for