Don't Forget the Funnel

Sales funnel. Path to purchase. Consumer journey. It comes in many forms, but a sales funnel called by any other name is just as sweet. Nevertheless, this tool can be grossly misunderstood. Its incorrect application can lead to inefficiencies, missed opportunities, and ineffective marketing.

Let’s break it down. First, we have the large area of the funnel, commonly referred to as the awareness, acquisition, or discovery phase. This phase is where you’ll contact potential consumers for the first time, usually by letting them know that you exist and you’re equipped to solve their problem - whatever that might be. Signals of your competence and quality of service usually reside here.?Second down the line is the consideration or interest-building phase, where potential buyers start showing intent of purchase. Businesses will generally focus on highlighting key benefits of their product in this stage, convincing the consumers that the purchase will be worth their while. This phase is quickly (ideally) followed by the conversion or purchase phase, where the exchange of goods or services actually occurs.?

These three phases are the basic fundamentals of the all-important sales funnel, also known as the path to purchase or the consumer journey. That’s not to say that these three phases are all there is. Many times, different companies will add or subtract phases to the funnel to more accurately describe their business or their consumers. A common example is adding a loyalty or advocacy phase for companies to track their remarketing efforts or encourage consumers to make repeat purchases. Another common addition is separating the intent stage into multiple different stages, like lead-generation, interest-building, etc. All of these additions are great and only add to the functionality of the funnel, as it better describes your business and its functions.?

No matter what it looks like, this inverted pyramid is one of the most important fundamentals of marketing. This simple tool acknowledges the complexities of a consumer’s path, starting from the very first introduction to your brand to the closing of a sale. Most importantly, it recognizes that it takes more than just generating a lead to bring in and keep a client.?

The responsibility of marketing is to look at all phases of the pyramid, not just the bottom (aka the sale). As any marketer worth her salt knows, what you do at the top of the funnel affects the bottom. If a company has inconsistent messaging at the top一or worse, no messaging at all一the negative effects are felt in the sales portion of the funnel. The biggest mistake a company can make is to miss the top of the funnel because they are too focused on the bottom.?

How do we address these potential marketing quandaries? Well, a funnel is just a funnel, unless it’s used correctly and in the right application. Let’s talk about how to apply the sales funnel to work for your marketing. First, pinpoint the phases that need attention. What do you want to improve? Second, relate it back to your overall business objective. How do you see yourself improving, and how will you benchmark that success? Third, write it down, listing out the objectives that tie into your overall goal and what phase of the sales funnel you’re targeting. Hold yourself to these goals. With these three steps, you’ll start the process of integrating the sales funnel into your marketing strategy.?

The good news is that full-service marketing firms like ADV Marketing have the skills and the abilities to help you not only diagnose an unhealthy path to purchase, but also develop concrete marketing objectives that will address and correct any missteps. All marketing falls into at least one of the phases of the sales funnel, and full-service marketing firms can help businesses evaluate if their marketing is effective, and what can be improved to optimize the customer’s path through the funnel.?

If you have questions about how to improve your users’ experience, or how you can implement smart marketing decisions to start building a strong funnel, let us know. We’d love to share our marketing expertise with you.