What is Sales Lifecycle?
A sales cycle is the period of time from when a prospect first becomes aware of your product to the point that they purchase it.
It usually spans 7 phases, including discovering, evaluating, comparing , selecting options/alternatives, transacting (acquiring), integrating (post-purchase support), and renewing. The length may vary depending on industry type;
For instance in some industries such as food production it can be several hours long while other cycles might last weeks or months due to an extended sales process - like buying a car.
7 Stages of Sales Cycle
The purpose of each step is different :
1. Discovering: Discovering is all about finding new prospects for your product.In this phase, salespeople will find and identify potential customers who may want to buy the company's products or services.
2. Evaluating: Now, the prospect has been identified. The sales team will then proceed to get more information about their prospects by researching and assessing a company's needs.
3. Comparing: This phase involves comparing the company's offer to that of their competitors. After the comparison is done, the salesperson will advise their prospect and try to convince them that they have the better offer.
4. Selecting Options: This phase demands choosing the best option to present to the prospect.It can be a single product or bundle of products, for example a car with different colors and packages).This phase also includes negotiating prices, terms and conditions.
5. Acquiring: At this stage, the salesperson is trying to get commitment or proof that their prospect has agreed on a purchase. To finalize their offer, they will need either an order form where all relevant information of both parties can be found, or some other kind of document confirming the agreement and signature by both parties.
6. Integrating(Post Purchase Support): This stage is about providing the post-purchase support to the customer and achieving full satisfaction. Salespeople make sure that at this stage all the expectations of their customers are fulfilled. Salespeople make sure that at this stage all the post purchase activities such as installation, training and problem solving are done to ensure the customer is satisfied.
7. Renewing: This is the last step in the sales cycle process. It involves the salesperson making sure that the customer has no intention of cancelling their contract with the company. This phase also involves providing the customer with new offers or incentives to renew their contract.