Synonyms: Sales Funnel, Path to Purchase, Revenue Funnel, Sales Process
From a definition standpoint, we are talking specifically about a sales funnel which is the process that companies lead their prospects/customers through when purchasing products/services. Funnels are representations of the journey that prospects go through from first contact with you until a completed purchase.
Why do we care about the funnel?
We care about funnels because they are how we manage the sales process and customer touchpoints towards a purchase. While every organization has a unique funnel, the idea that there are distinct stages in the funnel help guide the business in what content to deliver and how to engage with your audience to move people through the funnel and to go from an untouched prospect to a qualified lead.
How do we create a funnel/understand our funnel?
Hate to break it to you – but you have a sales funnel whether you know it or not. Users are naturally moving through and engaging with your business, but when you better understand your funnel the more influence you will have over it. First, start by figuring out what the distinct stages of the funnel are. Once you have the those stages identified, it is important to focus on your audience’s needs at each stage in the funnel as that will define how you market to your audiences. It will also help determine the content that you put on your site (and where) and it will also inform what data you capture on your audiences and how it will be used.
Lastly, your funnel will most likely need tweaks over time and one of the best ways to understand how users are moving through the funnel is to look at the conversion rates at each stage and that will give insight into where tweaks can be made, more targeted content needs to be delivered, leads need more hand holding, etc.
Stay thirsty, friends!