Sales

    Sales Funnel Conversion Model

    Maps conversion rates at each stage of the sales funnel from initial lead to closed deal. Identifies where prospects drop off, quantifies stage-by-stage attrition, and predicts revenue from the current pipeline.

    Sales - Sales Funnel Conversion Model.xlsx

    Excel (.xlsx) — No macros — Works in Excel, Google Sheets, LibreOffice

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    What This Spreadsheet Solves

    • No visibility into where prospects drop off in the sales process
    • Inability to predict revenue from the current pipeline with any accuracy
    • Difficulty identifying which funnel stage needs improvement most urgently
    • No way to model how improving a single stage conversion rate affects total revenue
    • Sales forecasts disconnected from actual funnel performance data

    Who This Is For

    • Sales managers monitoring pipeline health
    • Revenue operations teams building forecast models
    • VP of Sales reporting to executive leadership
    • Sales enablement teams targeting training investments

    Inputs

    • textStage Name
    • #Leads Entering Stage
    • %Conversion Rate to Next Stage
    • #Average Days in Stage
    • $Average Deal Size

    Outputs

    • Leads at Each Stage
    • Drop-Off Count per Stage
    • Overall Funnel Conversion Rate
    • Predicted Closed Deals
    • Predicted Revenue
    • Biggest Drop-Off Stage

    How Calculations Work

    Starting from the top of the funnel, the model multiplies the number of leads entering each stage by the stage conversion rate to calculate how many advance. Drop-off is the difference. This cascades through all stages. Predicted closed deals equal the leads surviving all stages, multiplied by average deal size for predicted revenue. The stage with the largest absolute drop-off is flagged as the priority improvement area.

    Example Use Case

    Scenario: Four-stage funnel: 1,000 leads, 40% to qualified, 50% to proposal, 30% to negotiation, 60% to closed. Average deal size: $10K.

    Result: Qualified: 400. Proposal: 200. Negotiation: 60. Closed: 36. Overall conversion: 3.6%. Predicted revenue: $360K. Biggest drop-off: Lead to Qualified (600 lost). Improving that stage by 10 points would add $90K in predicted revenue.

    What You Get — 5 Sheets

    READMEDescribes the funnel model, how stages should be defined, and how to interpret drop-off metrics.
    INPUTEnter funnel stages, lead counts, conversion rates, average time in stage, and deal size.
    LOGICCascades leads through each stage, calculates drop-offs, overall conversion, and predicted revenue. Runs sensitivity analysis on stage improvements.
    OUTPUTDisplays a funnel visualization, stage-by-stage metrics table, predicted revenue, and improvement impact analysis.
    CONFIGDefine the number of stages (3-8), set deal size by stage if it varies, and configure the sensitivity increment for improvement analysis.

    Technical Details

    File Format:.xlsx (Open XML)
    Macros:None — pure formulas
    Compatibility:Excel 2016+, Google Sheets, LibreOffice
    Input Cells:Clearly marked with blue background
    Formulas:All outputs are live Excel formulas
    Protection:LOGIC sheet formulas protected, INPUT cells editable

    Frequently Asked Questions

    How many funnel stages should I model?

    Use your actual sales process stages. Typically 4-6 stages. Too few obscures where problems occur. Too many creates noise. Map it to your CRM pipeline stages.

    Should I use historical or current conversion rates?

    Use the trailing 3-6 month average for stability. Current month data alone is too volatile for reliable modeling.

    How do I calculate the predicted revenue figure?

    It multiplies the predicted number of closed deals (leads surviving all stages) by the average deal size. It is a probability-weighted forecast, not a guarantee.

    What does the improvement impact analysis show?

    It models what happens if you improve each stage's conversion rate by a set increment (default 5 percentage points) and shows the resulting change in closed deals and revenue.

    Can I model different funnels for different products?

    Yes. Create separate entries in INPUT for each product funnel or duplicate the template for each product line.

    Download Sales Funnel Conversion Model

    Ready to use immediately. Enter your data in the INPUT sheet, see results in OUTPUT.