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beginnerApplication30 minutes
Design a Lead-to-Close Funnel
Create a complete funnel with stages, definitions, and conversion targets for a B2B SaaS company.
Learning Objectives
- Define clear funnel stages
- Set stage entry/exit criteria
- Establish conversion benchmarks
Scenario
TechFlow is a Series A B2B SaaS company selling workflow automation to mid-market companies (100-1000 employees).
Average deal size: $24,000 ARR
Sales cycle: 45-60 days
Sales team: 4 AEs, 2 SDRs
Marketing generates ~200 leads/month
Current close rate: Unknown (no defined funnel)
The CEO wants to implement a proper funnel to track conversion and identify bottlenecks.Instructions
- 1Read the company scenario below
- 2Design 5-7 funnel stages from lead to closed-won
- 3Define clear entry criteria for each stage
- 4Define exit criteria (what moves to next stage)
- 5Set target conversion rates between stages
- 6Identify which team owns each stage
Deliverables
- Funnel diagram with 5-7 stages
- Entry/exit criteria document for each stage
- Target conversion rates with rationale
- Stage ownership matrix (Marketing, SDR, AE, etc.)
Evaluation Criteria
- Stages are mutually exclusive and collectively exhaustive
- Criteria are objective and measurable
- Conversion targets are realistic for B2B mid-market
- Handoffs between teams are clearly defined
Hints
- Consider stages like: Lead, MQL, SAL, SQL, Opportunity, Proposal, Negotiation, Closed
- Mid-market B2B typically sees 20-30% MQL-to-SQL conversion
- Average SQL-to-Close is 15-25% for this segment