To better understand the concept of a sales funnel and just how you can implement it in your own business, let's look at the following image from Shutterstock. On the left side of the image, you see a magnet. That magnet is attracting customers, which happens a number of ways. From blogging to social media to paid ads and everything in between, how the visitors arrive to your website has some impact on the success of your funnel. 

Let’s be clear—leads won’t automatically move down the funnel. Sales reps have to continue to do their part of selling and allow the CRM to update the lead’s stage in the funnel by completing certain actions. You can setup workflow automations in the CRM to change lead stages. For example, after you’ve contacted a lead, the CRM will automatically update the lead’s stage based on the last activity.
Prospecting and marketing are all the things you do to get people into the first of your sales funnel stages. Note that stages are broken into two or more steps wherever possible. A demo could be called a single stage, but in real life it involves a lot of things: contacting the customer, sending reminders, doing the demo, and then following up. Whatever your own sales stages look like, the support you need in managing them will be the same.
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Clickfunnels: Review, Demo, Pricing and Features: