Sales funnel

Sales funnel (also: buying funnel or revenue funnel) – refers to the buying process through which companies take their leads. It is usually divided into stages and steps that differ from each other depending on the chosen sales model. The name of the term is a visual representation of the customer’s journey – from drawing attention to the existence of a brand to making a purchase. This also highlights that the stages of advertising initially reach a large audience, ending with a narrow group that is ready to make a purchase. The sales funnel can be divided into several stages, consisting of: the awareness stage (the potential customer is aware that the brand/service/product exists), the interest stage (the potential customer performs research, shows interest in the brand/service/product), the evaluation stage (the potential customer considers proposals from competitors, wanting to make a purchase decision), the decision stage (the customer makes a purchase), and the repeat purchase stage (the customer renews the purchase). In B2B sales, a post-appraisal stage can also be distinguished for offers tied to contracts that can be renewed. In the context of the sales funnel, we can also distinguish specific nomenclature of potential customers determined by their level of interest. Suspects are potential customers who may or may not be interested in the brand/service/product. Prospects are those who may be interested. Leads are defined as those who are definitely interested and customers, i.e., the group who has already made a purchase.