To succeed, an online business must turn virtual window shoppers into customers. One of the best ways to raise conversion rates is to create a sales funnel. In the funnel, consumers are guided through each stage of a purchase, starting with brand awareness and ending with a transaction. There are four parts to a high-converting sales funnel, and we will describe them in the sections below.
The Top of the Sales Funnel
A sales funnel is like any other—at one end, there’s a wide mouth and, at the other, a narrow spout. In our analogy, the top of the funnel is the mouth. In the beginning, e-commerce retailers tend to target wide market segments to build brand awareness. With Unlock Scale, you’ll get the tips and tricks needed to do just that.
The top of the sales funnel should be inviting enough to pique customers’ interest and encourage them to move to the next phase. Here, there’s a heavy emphasis on networking, advertising, and marketing. Businesses often use content such as blog posts, social media profiles, and conventional advertising to move customers through the funnel.
The Middle of the Sales Funnel
Once the audience knows about your brand, they can move into the middle of the sales funnel. During this phase, generating interest in the company’s products should be your top priority. When a customer has reached this stage in their journey, you will need to offer them something valuable to keep them around. Again, blog posts are useful, and they can be supplemented with email marketing for even better results.
The Bottom of the Sales Funnel
If a potential buyer has moved from the top to the middle of the funnel, they’ve finally reached the bottom, which is sometimes referred to as the action or decision phase. At this point, the customer will decide whether to buy the product, and it’s your job to help them make a favorable decision. Calls to action, photos, videos, and consumer reviews will give buyers an idea of the quality of a product so they can make a purchase with confidence.
Part 4: Retention
A seller’s work isn’t over once they’ve guided a potential buyer through the sales funnel. In fact, it’s just beginning. Now, you’ll have to find ways to retain them. It costs about five times more to recruit a new buyer than it does to keep an existing one so, once you’ve made a sale, do everything possible to keep them coming back. Start a loyalty program, send a thank you note, take a survey, and let them know you value their business.
Why Are Sales Funnels Important?
A sales funnel allows a company to visualize every step on the path to a successful conversion. Each one of these steps can be considered a micro-conversion that, on its own, can be optimized. If any step in the buyer’s journey shows an abnormally high drop-off rate, it can be tested and evaluated to see where things went wrong and how they can be improved.
Build a Stronger Funnel and Watch Sales Grow
Understanding the various parts of a sales funnel is a fantastic way to develop a company’s sales process and increase conversion rates. By building a stronger sales funnel, you’ll learn what customers are looking for, and you’ll find better ways to give them what they want.