It was years ago working with residential real estate agents that I learned first-hand about the sales pipeline roller coaster. The gist is this:
You’re new to real estate so you start prospecting. The prospecting starts generating business, which makes you busy – so you stop prospecting. You work through that business, close a couple deals, but then have no pipeline of future business. So you start prospecting again, during which time you have little to no converted business to pay the bills.
Eventually that new prospecting generates new opportunities, which makes you busy, which causes you to stop prospecting….
You get the idea.
Unfortunately I see the same behavior from sales reps in a wide variety of industries, as well as with demand generation teams and their managers.
When business is strong, when deals are closing, companies assume it’s safe to pull back on demand generation budgets to save some money and preserve some margin.
But the most important time to build new pipeline is when your existing pipeline is flush.
Counterintuitive maybe, but talk to any veteran sales rep who consistently hits their number and you’ll hear the same advice.