The sales funnel is the one process that every business owner everywhere needs to define and manage in order to convert and guarantee revenue. You’ve probably heard of this concept, so let’s dig a little deeper and find out exactly what it is and why you need it.
What is a sales funnel?
The sales funnel describes the individual stages that lead to someone, who was previously completely unaware of your brand, discovering you and eventually converting into your paying customer. Below we have listed the four stages in the funnel:
Awareness: This is when you first capture the attention of your prospect, whether that be through an advertisement or a Google search, and you’re trying to get your prospect to return to your website and engage with your brand.
Interest: At this point in the stage funnel, your prospect is doing research on other similar brands. This is the perfect time to provide your prospect with content that reassures them you are an expert in your field and helps them reach the next stage in the sales funnel. Be careful not to over-sell to your prospect at this stage, as it can be an incredible deterrent.
Decision: Your prospect is ready to make a purchase at this stage, however it may not necessarily be from you. This is where you need to really make your product or service the most desirable by offering a fantastic discount or a free gift with a purchase (or something along those lines).
Action: This is where your prospect turns into your customer. They’ve acted and purchased from your site. Now, this is where you focus on customer retention. Make sure you look after your customer and keep providing them with value – don’t overlook the power of customer retention, this really is key to having a successful business!
What’s the importance of having a sales funnel process in place?
Okay, so we know a sales funnel is essential… but why exactly is it? Refining your sales funnel process is critical in the decision of whether your business survives and thrives, or comes crashing down (ultimately). Understanding your potential customer’s thought processes and reactions to your marketing efforts helps you make improvements for the future and know what is working well to convert. You can find out where you might be losing interest from those potential customers and work out a way to avoid this in future marketing campaigns.
We’ve picked three companies that we think demonstrate a high quality sales funnel. So, let’s take a look…
Paula’s Choice Skincare
Paula’s Choice doesn’t let their potential customers get away. Within a few moments of being on the site, a message pops up on the screen encouraging those to input their email address. This is a fantastic way to gather potential customer data and begin nurturing a relationship through email marketing. The emails that this brand sends across offer extremely valuable information about skincare, appealing to their ideal customer, and provides them with a chance to promote their products that are perfect for the particular skin issues that they address in their emails. Additionally, by listing the benefits that come with signing up to their newsletter, such as a £5 discount, they are making their brand seem more desirable over others that may not be offering such benefits, directly impacting a potential customer’s decision.
Monday.com is great at making people aware of their brand; if you’re an avid YouTube user, you’ve probably seen their YouTube advertisements and, whether you’re interested in their service or not, their ads are memorable. When you visit their site, on the homepage you will find that the Call to Action is the action-driven phrase, “Get Started.” Once clicked on, it provides you with “three simple steps” to get started – if it’s easy to set up, naturally it becomes more desirable to a potential customer. Speaking of being easy to set up, it also offers 3 convenient ways to sign up. Furthermore, by listing the logos of well known brands that also use Monday.com, the potential customer is reassured that they will be using a trusted service if they proceed to purchase.
Graze provides a tempting freebie that appears on the homepage, so as soon as you visit the site, you are greeted with this offer. Taking advantage of this freebie requires signing up to a subscription, encouraging a conversion. If you scroll down the homepage, you will find 3 5-star Trustpilot reviews. These customer testimonials help to influence a potential customer to make the decision to buy.