Every stage of the sales funnel has an impact on how customers behave. Understanding each level allows you to put strategies in place to increase the number of people who move from one step to the next. Creating a well-defined and managed sales funnel can have tremendous impacts on your business.
What Is a Sales Funnel?
‘Every step that a potential customer has to take on their journey to make a purchase from you.’ This statement is the easiest way of understanding what a sales funnel is.
Why do you need to be clear on how your sales funnel works?
The funnel acts as a map of your customer’s journey. If you can define your sales funnel clearly, you can understand how to improve the funnel and optimize it using the right funnel optimization tactics. A perfect sales funnel would mean that everyone who comes across your brand makes a purchase from you.
Stages of the sales funnel
There are various terms to describe the stages of the sales funnel. The most common ones are:
Awareness: You’ve built a funnel on social media to get people to know about you and direct them to your website.
Interest: Once they know about the brand, you exchange information about offers of great products and services and, in turn, capture a lead (their contact information).
Decision: You educate your prospects on what you have to offer and why they should buy from you and get ready to commit to a purchase.
Action: Then you’ve got to land them a sale by giving them something they can’t refuse, like a major discount or a bunch of freebies. To boost retention, you keep sending out coupons or offers and content, educating them on what else you have.
How to build a sales funnel:
Analyze how prospects interact with your content:
Using data analytics and the host of smart tools available is the best way to understand how your prospective customers are interacting with your content.
Did they watch the entire video that you posted? What did they do after watching the video?
Did they want to find out more about your brand?
With this information, you can design content and target it to specific demographics and improve how content works for you.
Grab their attention and don’t let go:
Bright colors and smashing graphics got your prospect to stop scrolling. Now they look at the post and decide if they like it or not. This is where you give them a reason to want to find out more.
If you advertise an offer that just wouldn’t make sense to refuse, the higher the chances are that they will take the next step.
Create a good landing page:
This is a vital step. While many businesses create a landing page, and it kind of does the job, this has to be a lot more than that. This is the first step in the customer actually committing something to your brand.
Make sure your potential customer feels like they are getting more than their time’s worth. After all, this is where you start showing them exactly how you will deliver on promises.
Start an email campaign:
Now that you’ve got the email address, what do you do with it? You could send out a bunch of pictures about the latest goods you have and spam their inboxes. Bide your time. Instead of asking them to buy from you right away, ask them to learn about you. It is a smart plan to have automated emails sent out. If you do your marketing right, you may end up with hundreds and thousands of email addresses.
Give them useful content, gradually educate them on why making the purchase is in their best interest. Show them that you aren’t just about the sale, that you value relationships.
Always stay in touch:
This might be the most important part. Take the customer’s hand and make them a part of your journey and your company’s growth story. If you are a new business and your first fifty customers are still on your mailing list, let them know how much you appreciate their support and how you couldn’t have done it without them.
This is a great way to create opportunities for repeat purchases and a smart way to exploit an existing database. If you are about to launch a new product, go ahead and ask your customers what they think about it before you launch it.
Getting customer feedback is a smart way to increase your chance of success. If you can figure out a smart strategy to create some user-generated content, your chance of success jumps significantly.
A few things to keep an eye on to make sure your sales funnel is working at its optimum:
- Are you getting enough likes and engaging with potential customers?
- Are enough of them subscribing to your email campaign because of your post?
- Have you managed to build their confidence in your brand?
- How many emails were converted to sales?
- Do they keep coming back?
Being able to analyze the data from these answers is key to understanding if your sales funnel is working and being able to make the right changes to make it better. An even better idea is to automate as much of the process as is possible to make sure you leverage AI and the latest tech to get the most out of your business. It is worth every penny to invest in a smart tool that helps generate the data and, ultimately, the business you need.