Sebastián Barbosa O./August 02, 2022 /Dynamics 365/Sales/ 3 min read

Why is the Sales Pipeline essential in Dynamics 365?

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Following a customer’s journey to close a deal is not an easy task. A sales rep or manager must understand each phase of the selling process in order to enhance the collected data quality and sales growth. A precise sales pipeline management solution will allow the sales team to get an accurate view of the operations while driving business revenue. It will also facilitate quick monitoring of each stage and help increase sales in the process.

Let’s start with the basics first; what exactly is a sales pipeline in Dynamics 365?

Dynamics 365 Sales Pipeline

A Sales Pipeline (or sales funnel) in Dynamics 365 is a phase set that a potential customer moves through towards closing a deal. Microsoft divides the phase set into four stages where a prospect moves from one phase to the other, helping the seller increase the chances of closing a deal.

As pictured, the Sales Pipeline chart provides four pipeline stages such as:

  1. Qualify
  2. Develop
  3. Propose
  4. Close

This chart helps sellers or managers visualize each pipeline phase revenue of a current business process flow opportunity. It’s worth noting that employees are able to customize the business process flow definition and add, remove, or edit each displayed stage name as needed.

However, any changes they make to the display name will not affect the pipeline phase attribute since its value is based on the category of each stage.

Images taken from Microsoft

So, why is the Sales Pipeline essential?

Dynamics 365 Sales pipelines substantially strengthen the sales strategy. Fundamentally, they are a truly efficient way to accompany leads through every stage with essential data collection about the sales process. If you’re wondering what this data is used for, it’s to help sales reps or managers understand the effectiveness of their marketing and sales campaigns. Also, to visualize how widespread services and products are, and this way, they can modify and improve the sales performance constantly.

Here’s a list of some of the many advantages that the Dynamics 365 Sales Pipeline provides to any size company:

  • Stop wasting time

The Sales Pipeline provides a complete overview to let sales reps focus on actual leads to free up time from those who will not close a deal or have already decided not to buy a product or service from the company.

  • Relevant data

The collected data informs about essential factors. The pipeline allows access to conversion rates, individual date estimates for each deal closure, and, even better, estimated potential profit.

  • Pinpoint needs & expectations

Sales pipelines generate information on lost opportunities. They provide an overview of the performance indicators (if properly defined or not), reasons for losing leads, competitors that took your company’s leads, and more to help understand how to improve the customers’ needs and expectations.

That way, an efficient sales pipeline like Dynamics 365 offers will empower employees with essential customer data and easy-to-use charts for follow-up. Your sales reps and managers will be capable of making the right decisions on time while optimizing your business sales operations. Additionally, Dynamics 365 helps you predict potential revenue for a specific period to enhance your activities in advance.

With Dynamics 365 customizable reports, you’ll be able to model your data into valuable information not only to increase sales but improve the sales process. Your employees will follow your leads through each buying process effortlessly, allowing you to prioritize those who are potentially about to close a deal.

Thank you.

It's time to adopt a helpful sales pipeline that will let you focus on potential buyers and manage your time more proactively.

Sebastián Barbosa O.

Read more blog entries by Sebastián Barbosa O.

Read more: Dynamics 365 | Sales

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