Find the leak first

How to find where your pipeline actually leaks before spending more on ads

3 minute read

The instinct to spend more

When the order book looks thin, the instinct is to pour more in at the top. More advertising, more outreach, a lead list, another directory. It feels like action.

Any engineer would recognise the mistake. If a hydraulic circuit is losing pressure, you do not fit a bigger pump. You find the leak. A sales process is the same kind of system: enquiries go in at one end, orders come out at the other, and if the ratio is bad, somewhere in between there is a specific stage quietly losing most of what you pay for.

More spend into a leaking process does not fix the process. It funds the leak at a larger size.

Walk the line in order

The diagnostic is sequential, and the sequence matters. Write down the numbers for one recent month: enquiries received, enquiries answered while still warm, conversations booked, conversations that actually happened, quotes sent, quotes won.

Then walk the chain from the top and stop at the first stage that is broken. That stage is the constraint. Everything downstream of it is noise until it is fixed, and everything upstream of it is already working well enough to leave alone.

The pattern tells you where to look. Plenty of enquiries but few conversations: a response and booking problem, not an advertising problem. Conversations happening but quotes vanishing: a follow-up problem, and more enquiries would only produce more unchased quotes. Most firms that run this exercise for the first time find the leak is nowhere near where they assumed, and is almost never at the top.

Symptoms appear downstream of the cause

One trap remains: problems rarely surface at the stage that caused them. No-shows look like a sales problem, but usually trace back to what happened, or did not happen, between booking and call. A salesperson complaining the leads are rubbish is often describing leads that were rung four hours after they enquired. A poor close rate often means buyers are arriving at calls knowing nothing, because nothing was sent to them beforehand.

So when a stage looks broken, look one step upstream before blaming the people standing at it. Fix the cause and the symptom tends to disappear on its own.

Only once the chain holds from enquiry to order does more spending at the top make sense. At that point it is the best money in the business, because every extra enquiry travels the whole line instead of draining out halfway down.

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