The Pep Talk We All Need (Part 2)

In my last post I shared the story of my client who found herself in the Sales Cavern of Sadness, that awful place where everything sucks and you think about throwing in the towel. I gave her a pep talk where I shared two antidotes.

The first is called Relax & Reframe, and you can learn all about that here.

The second antidote to the Sales Cavern of Sadness is something you already have in your business right now.

It’s your Pipeline.

 

Your Sales Pipeline

Your sales pipeline represents the potential clients and revenue you’re pursuing at any time. It’s an important part of the health and growth of your company, because it measures your potential revenue.

Your pipeline can be represented as a series of stages where each active sales opportunity falls under a particular stage. The sum total of the opportunities, and the revenue associated with each, makes up your pipeline.

It’s important to both track your pipeline, and keep it updated, because it provides three useful antidotes to the Sales Cavern of Sadness.

 

Antidote #1: A Full Pipeline

Have a full pipeline. Most entrepreneurs I talk to are pursuing a few active opportunities, but nowhere near as much as they need, in order to make the money they want to make.

A good rule of thumb is that you should always have at least 2-3 times as much revenue in your pipeline, as you want to make in any given time period (say, a quarter or a year). Unfortunately not every potential client says Yes, and you account for that while still making sure you can make as much money as you want to make.

 

Antidote #2: You’ve Got Better Things To Do

This may be an unpopular opinion, but Fuck the people who said no. Seriously. Forget ‘em. Ain’t nobody got time for that.

Turn your attention to the other opportunities you’re pursuing. Which ones are closest to closing? Which could use some more attention? Which have stalled? Your time and attention are valuable. Spend it on the opportunities that are

 

Antidote #3: Run The Numbers

If you’re still not feeling better, run the numbers and you’ll see that your situation isn’t as bad as you think.

For example, let’s say two clients say "No", and you find yourself in the Cavern.

Look back at your last several potential client opportunities to calculate your win percentage. You can even look back at the last year, or two years.

Example: Let’s say that in the last 10 potential client opportunities, you won 7, lost 2, and 1 went silent (so it could still be a potential win). That’s a 70-80% win rate! All of a sudden, those two "No’s" don’t seem so huge.

 

Making It Work For You

Use these four steps to help your pipeline get you out of your Sales Cavern of Sadness:

1. Know how much you need in your pipeline - conventional sales wisdom says you should have 2-3x as much revenue in your pipeline, as you want to make.
2. Keep your pipeline full - Make sure you're generating potential opportunities... before you need them.
3. If you get a No, which inevitably you will at some point, look elsewhere in the pipeline and focus your attention there. Ain’t no one got time to cry over spilt milk.
4. If you’re still in the Sales Cavern of Sadness, calculate your win percentage over the past 1 year, 2 years, or 3 years. You’ll see that you’re really not doing so bad.

 

One More Thing...

Want to learn how to increase your win rate (and avoid the Sales Cavern of Sadness entirely)?? Check out my new FREE guide: 3 Steps To Consistently Close More Clients This Year.

You’ll learn the three most important steps I tell all my clients, to help them sign new clients for their expertise-based businesses. See you over there!