At Senko GTM, we talk about funnels constantly - not as a metaphor, but as a diagnostic tool. When outbound is underperforming, the answer is almost always in a specific stage of the funnel.

What is a Sales Funnel?

A sales funnel describes the stages a prospect moves through on the way to becoming a customer. Many prospects enter the top, fewer reach the bottom as paying customers. The job of a revenue team is to get enough people in, move them through efficiently, and convert a healthy percentage at the bottom.

TOFU, MOFU, BOFU

  • TOFU (Top of Funnel) - awareness and discovery
  • MOFU (Middle of Funnel) - consideration and evaluation
  • BOFU (Bottom of Funnel) - decision and purchase

The Five Core Funnel Stages

Stage 1 - Awareness

Prospect becomes aware your company exists via cold email, LinkedIn, ads, or referral. Key metric: Open rate and reply rate.

Stage 2 - Interest

Prospect has responded and is open to learning more. Key metric: Meeting booked rate.

Stage 3 - Consideration

Prospect is actively evaluating you alongside alternatives. Key metric: Opportunity-to-proposal rate.

Stage 4 - Decision

Prospect is ready to buy and choosing between options. Key metric: Close rate.

Stage 5 - Purchase and Beyond

Deal closed. Focus shifts to retention, expansion, and referral. Key metric: Net revenue retention.

How to Identify Where Your Funnel Leaks

Stage 1-2: [contacts] -> [replies] ([reply_rate]%) Stage 2-3: [replies] -> [meetings] ([meeting_rate]%) Stage 3-4: [meetings] -> [proposals] ([proposal_rate]%) Stage 4-5: [proposals] -> [closed] ([close_rate]%) Weakest stage: [stage] Hypothesis: [cause] Test: [one_change_to_measure]

The sales funnel is the lens through which Senko GTM diagnoses every underperforming outbound programme.