Updated on September 4, 2020
You’ve probably heard of marketing funnels but if you have not, it is basically a system designed to attract and convert customers (or clients) to your business. The concept is that, like a funnel, marketers cast a wide net to capture as many leads as possible, and then slowly nurture those who become prospects through the purchasing decision, thus narrowing down these “candidates” in each stage of the funnel until they’ve been converted.
What does a marketing funnel do?
At large, a marketing funnel visualises the stages of a customer’s relationship with your business. From the first stage where he/she learns about your business, to the purchasing stage, marketing funnels help map out the customer’s journey with you. But beyond mapping out, ultimately, marketing funnels are used to simplify the customer’s journey.
Each respective stage of the funnel represents a customer’s decision process and savvy marketers take this opportunity to plan the steps they want to take in each stage. The biggest perk of marketing funnels is their measurability. Your funnel is able to show you where you’re losing your potential customers and to help you pivot your strategy. For example, if you lose your leads before stage 2, it indicates that you need a better brand awareness campaign.
Wondering how to apply marketing funnels to your business? The answer is simple—anywhere with customer interaction. Whether you’re looking for more sales or generating more traffic to your website, you need a marketing funnel. Let’s look at this simple 4-stage funnel illustration for a better understanding:
STAGE 1: Awareness
At this stage, your prospects have entered into your funnel through an enticing offer such as email newsletter signups for special discounts, free ebook downloads, online quizzes and more. The goal of your entire funnel and platform is to solve your customer’s problem. After learning about the problem, you can build personalised content to draw them in, then offer them a product/service to solve their problem—this is when the real magic happens! But 99% of the time, these prospects are unlikely to become customers or clients right away unless the problem frustrates them long enough. Regardless, your next action is to create a strong bond with your prospect, and this happens by being relatable, honest, and transparent in your email warming sequence (which is also what we do best at LOOP *wink).
STAGE 2: Interest
Now, you’ve hooked your prospects’ interest through an email sequence. The reality is that people are smart and they don’t simply buy anything from anyone unless they feel there’s an immense amount of value to be had there. In a nutshell, you carry on being the expert your prospects have chosen to follow in the first place. Keep educating your prospects about your solution to their problem but don’t give it all away too.
STAGE 3: Decision
Getting prospects to make a decision is no easy feat. Besides creating a strong bond with them, you also need to have a substantial number of customer reviews and testimonials to build their trust in you even further. This is one of the most powerful ways to get them to take action. Additionally, you need to help your potential customers discover why they should choose you because you’re probably not the only product or service that can offer them value.
STAGE 4: Action
This is the final stage of the marketing funnel and in most cases, the intended action is to purchase. At this point, your prospects are almost convinced that you’re the right solution for their problem and all they need is a final ‘nudge’—a compelling reason to click ‘buy’ right away. Normally, this is when the Sales team steps in and takes charge of closing the sale.
Want to know more about implementing funnels to your business or start crafting a personalised email sequence? Get in touch with us now!