The sales funnel has become outdated. Harvard Business Review suggests adopting a sales flywheel to account for momentum and falling trust in traditional sources.
It may be time to officially retire the sales funnel. A recent article in Harvard Business Review suggests that this method doesn’t hold up in a world where consumers lack trust in traditional sources and also lacks the ability to capture momentum. The article suggests replacing the standard sales funnel with a new sales flywheel.
The flywheel captures, store and releases energy in a cycle. When applied to a business, this energy can be seen in conversions and the enthusiasm of a consumer base. A strength of this metaphor is that it also takes into account declining energy, which businesses see in falling sales or growth.
The two key elements of the flywheel are force and friction. Force can be seen in motivational tactics used within a department. The article explores the impact of negative and positive reinforcement in motivating workers. In terms of friction, businesses should be focused on reducing this stress to their system. This can be done through a focus on customer interaction, IT investments and employee skills.
Read the full article here.
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