What is a Sales Funnel?
A sales funnel is a marketing concept that maps the journey of a customer through a purchase process. The model of the funnel is used to depict the large number of potential customers (prospects) at the beginning of the purchase process, but only a few reach the narrow end of the funnel to complete the purchase. The sales funnel model is divided into sections or stages, representing levels of increasing commitment to purchase completion. The four basic sales funnel stages are:
Awareness. The awareness stage of the sales funnel model depicts the point when a prospect has become aware of your product or service. This awareness may have resulted from advertising, social media exposure, Google search, website visit, or from feedback from existing customers. In this stage they may also become aware of problems that they need to solve, and the possible methods for dealing with those problems.
Interest. In the interest stage, the prospect has learned about your organization, brand, and product or service, and has decided to evaluate it. The potential customer is actively searching for solutions to problems by thinking them over and conducting research.
Decision. The decision stage is where the prospect decides that they will buy your product or service and may be evaluating several options before completing the purchase, such as considering pricing, packages, and features.
Action. In this final stage, the action stage, the prospect becomes a customer by completing the purchase of your product or service.
The following steps will help you to create a sales funnel:
Landing page. The landing page that a prospect reaches when they click on your ad, sign up for your event, or download your information is often the first opportunity for them to learn about your organization, brand, and product or service. The landing page should communicate clearly about your organization and the unique benefits of your product or service. The landing page should include a bold call to action (CTA) and a form to capture their email address.
Capture attention. Lure prospects into your sales funnel by attracting organic traffic through SEO, social media, referral traffic, and direct traffic. Forms, popups, and ads can also be used to capture the attention of your audience.
Nurture prospects. Once your prospect has provided their email address you have an opportunity to engage with them though high-quality emails that you send out regularly, but not so frequently that the recipients get bored or irritated. Begin by sending educational emails and then, later, start to offer special deals such as product demonstrations, free trials, or discount codes.
Continue communicating. Whether the prospect has become a customer or did not complete the purchase, continue building on the relationship by sending regular updates, promotions, and opportunities to be involved on social media.