A quick overview of setting up a layered pipeline.

By Adam R. Miller with Insight from Kimberly D. Miller and Tim Supranowitz

Building a pipeline, or forecasting, should not be used to calculate your annual commission check instead it should be a guide to dictate activity. It’s is about being prepared, or proactive, and not reactive to unforeseen variables that could drastically change your sales performance. Have you ever seen a Navy Seal prepare for deployment? When they are packing, they are bringing items to cover them in any situation. Long range, short range and hand to hand weaponry along with explosives and masking agents like camouflage and smoke. Developing your pipeline, while way less intense or life-threatening, should take the same approach. Here are five things you should consider when reviewing your pipeline.

Short leads - High closing rate immediate sales and leads that are driven by baseline activity like cold calling.

Referral sources. Weekly activity should include touch on at least two of your best referral sources. If you have not identified what resources are useful for referrals that should be a top priority. (Kimberly) Knowing how to ask for referrals. Ask for specific referrals, a particular need or industry. Example, don't ask for a restaurant suggestion ask for the best Italian place in Chicago.

Make sure you are tracking your leads thoroughly. The noes and maybes of today are a future yes, but only if you know who to follow up with.

Kimberly D. Miller

Existing client base. Every industry is a little different, but all sales executives have a base of past clients. You should touch on them for repeat business (did they open a second location), upsell or a referral.

Industry partners. Developing a list of other vendors or professionals that operate within your same market is always advantageous. Maybe a supplier has the insight into a company expanding or hiring. A catch-up phone call or a cup of coffee will often time offer insight you were not expecting. (Kimberly) Within the industry don’t ask for referrals, ask for introductions. By researching your partners, think LinkedIn connections, you can make a list of potential people you would like to meet. Introductions are far more friendly than asking for leads.

Networking and long leads. Networking events and conferences are not for everyone. They tend to be very B2B heavy, but are about developing relationships and resources. I don't suggest relying on these types of events to drive immediate action but could provide good connections and insight in industry trends and future lead mining.

Bonus tip. Gifts and thank you cards. Do not underestimate sending out holiday cards or a quick gift just to say hello. Often we get so caught up in the next sale we forget to continue to build a brand and personal relationships with past clients. (Kimberly) I would send a scratch-off ticket… "thanks a million." Clients would end up following up to thank me!

Kimberly’s Tips

Make sure you are tracking your leads thoroughly. The noes and maybes of today are a future yes, but only if you know who to follow up with.

A customer's inconveniences of today become a catalyst for change tomorrow. Understanding what those catalysts will help you develop your voice and a list of targets. That might be a change in regulation, healthcare requirements, building code, etc. Know the outside influencers of your industry to be on the watch for the upcoming inconveniences. We saw this in a big way in Paychex with changes to overtime pay and tracking hours. It was a massive opportunity for us to reach out to our clients to make sure they knew the changes and verify they complied.

Tim’s Tips

One thing I tell every person on my team is once you know how to create robust pipeline you need to know how to manage it. What I mean by this is you need to have 100 people you can always call for an appointment. From there, maintaining it by prospective revenue associated with each prospect. And then adding or subtracting as needed but to still have 100 people to call. In your industry, maybe 100 names are too much but decide what’s a fair number of prospects to target.

Also, another area to add to your pipeline is people who looked at your service before but ended up saying no. They showed interest at one point; maybe they would be interested again. Half the time people say no because the timing isn’t right.