Sales Funnel Glossary
July 22, 2024
Sales Funnel Glossary
| Active Journeys | Current journeys that are aggregated by date |
| Ad Spend | Ad spend is the amount of money you’re spending on advertising. |
| Automatically Qualified Account (AQA) | Automatically Qualified Account |
| Average Order Value (AOV) | Your AOV is the average amount of money each customer spends when they make a purchase from you. |
| Bottom of the Funnel | The bottom of the funnel is where you want leads to be, and you’ve spent a fair amount of effort to get them there. This is when leads are making the final decision to buy from you or a competitor. Long story short, the bottom of the funnel is where you convert leads into customers. |
| Buyer Personas | A buyer persona A buyer persona is a semi-fictional representation of your ideal customer based on market research and real data about your existing customers. |
| Churn Rate | The annual percentage rate at which customers stop subscribing to a service or leave a supplier |
| Cohort | A statistical analysis in which groups or ‘cohorts’ of users are tracked through time to observe specific outcomes or behaviors. |
| Conversion Rate | Conversion rate is the percentage of people who take a desired action, like buying a product or filling out a form. |
| Customer Acquisition Cost (CAC) | CAC stands for customer acquisition costs. This is the amount of money you’re spending to acquire new customers, and it includes things like advertising, marketing, and sales expenses. |
| Customer Relationship Management (CRM) | CRMs help marketers and salespeople track sales from the very first touchpoint with a prospect, all the way to the final sale. |
| Entrances | Your entrances can be defined as the number of leads that enter your sales funnel during a specific period of time. To find your entry point, it’s important to know where your sales funnel starts. |
| Exits Rates | The exit rate is the percentage of visitors leaving a specific journey within the funnel |
| Ideal Customer Profile (ICP) | An ICP is a categorical description of a potential buyer that would benefit significantly from an offering. |
| Journeys | All Journeys identified in the system |
| Late Stage Opportunity (LSO) | Late Stage Opportunity |
| Leads | Leads are people who have shown some interest in your product or service. |
| Lifetime Value | LTV is the average amount of money a customer will spend with you over the course of their lifetime. |
| Marketing Qualified Lead (MQL) | Marketing Qualified Leads are leads that marketing deems are qualified and ready to be contacted by a sales rep, based a response or multiple responses to campaigns. |
| Middle of the Funnel | Leads at this stage are in the consideration phase of their customer journey, contemplating solutions to their problem and viewing your product or service as a potential fit. |
| Return On Ad Spend (ROAS) | ROAS is a metric that helps you determine how profitable your ad campaigns are. |
| Sales Accept Lead (SAL) | Sales Accepted Leads (SALs) are MQLs that have been passed on to sales reps, who should contact them as high-priority leads and convert to a business opportunity. |
| Sales Funnel | Series of steps potential customers go through to help them complete a purchase. |
| SAO | Sales Accepted Opportunity are prospects that have been contacted by a sales rep to explore their interest and actual capability to purchase. – Pipeline |
| SQL | Sales Qualified Lead Sales Accepted Leads (SALs) are MQLs that have been passed on to sales reps, who should contact them as high-priority leads and convert to a business opportunity. |
| Top of Funnel | Top of the funnel refers to the marketing activities carried out to create awareness about a brand or product. It is part of the theoretical customer journey also called a “purchase journey.” |
| Total Addressable Market (TAM) | The entire spectrum of prospective buyers who could potentially use a product — even the outliers. |
| Trend Analysis | Reports that map the flow of cohorts through a period of time |
| True Start | A true start if the first “REAL EVENT” in a funnel journey. In reality sometimes the event that kicks off a funnel journey is the stage 2/3/4 ect…Journeys that don’t start in stage 1 can make the visualizations look really odd.So as a result our system creates “synthetic events” that backfill the previous stages for these journeys. Thus a True Start is really the first real (not synthetic) event in a funnel journey |
| Upsells | An upsell is a part of the sales funnel where you offer someone an additional product or service to add to their order |