How to Make a Sales Funnel in Excel – Or Should You?

How to make a sales funnel in Excel

To successfully market your business and sell products, you need to analyze your results on a regular basis. Many businesses use sales funnels to accomplish just that.

A sales funnel is a type of graph that gives you an overview of how many prospects are currently on their way to becoming your customers, and how well they convert from one stage into the next. If you want to use this chart to analyze your marketing success, you may be wondering how to make a sales funnel in Excel. But should you actually do that? That’s an entirely different question.

how to make a sales funnel in excel

What is a Sales Funnel?

As explained above, a sales funnel showcases the entirety of your prospects in the various stages of becoming customers. Within a single chart, you can look at how many leads your sales team needs to contact, how effective your ecommerce email marketing efforts are, and how many sales can be expected in the near future.

The funnel part explains the shape of the chart, which funnels down your prospect from the early awareness stage all the way to sales-qualified leads and current customers. Between these two end points, there are a number of stages – typically including prospects and leads. Each stage includes less members than the prior stage, ultimately explaining how a large target audience can funnel down to your current customers.

How to Make a Sales Funnel in Excel

By default, Excel is not set up to create a sales funnel for you. Instead, if you want to know how to make a sales funnel in Excel, you need to start with an externally-created template. Typically, this does not include automatic calculation based on dynamic numbers plugged into charts, but the simple exercise of manually drawing out each stage and plugging in the numbers.

Drawbacks of Creating a Sales Funnel in Excel

Due to the manual process of creating each stage and plugging in numbers, producing a sales funnel in Excel may not be your best bet. Nothing is dynamic: relying instead on creating and adjusting both the graphic and the numbers whenever something changes.

Once you think of the benefits of a sales funnel, the drawbacks of this method become increasingly obvious. You want and need your sales funnel to determine how your marketing and sales efforts are advancing. In other words, it offers a snapshot into your current efforts, which allows you to make predictions on forthcoming sales as well as insight into which funnel stage needs additional support.

With a manual sales funnel like the one you can make in Excel, continuous analysis is impossible. The chart is nothing more than a graphic representation on past numbers, rather than a forward-facing analytics tool. That’s great if you need to include it in a presentation to stakeholders, but less effective as an actual, current estimation and measurement of your marketing and sales efforts.

Knowing Your Alternatives

To recap: sales funnels are great, but you should not attempt to make one in Excel if you want to maximize its effectiveness. That leaves one final question: how can you create a dynamic chart that can actually help you analyze and improve your business?

Luckily, your options vary wildly. Intercom, for example, allows you to communicate with current and potential customers while simultaneously allowing you to track their data and generate a sales funnel in real time. Similarly, Streak is a simplistic Customer Relationship Management system that connects to your Gmail inbox and allows you to analyze customer interactions and sales funnel stages.

Of course, you also have the option of going with Bizzy. Especially if you are in the ecommerce B2C industry and are looking to analyze your potential customer data in the form of a sales funnel. Our services go beyond ecommerce email marketing: helping you analyze your efforts and grow your business. Contact us to learn more about our methods to help you go beyond static data and maximize your success.

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