What is a Sales Funnel?
A sales funnel is essentially a multi-step process that moves prospects into buyers. They are key to understanding your sales and marketing activity.
Most of the examples I found online are geared to multi-level, corporation companies; I decided to create my own for small eCommerce businesses. A lot occurs between the time that a potential customer enters your funnel, to completion of a purchase. Depending on your niche and sales model, they are typically 4-7 stages. My sales funnel is broken down into five levels:
This is when the visitor’s arrive at your shop or website. They typically arrive from ads, an enticing offer, or social media- anything that makes the visitor aware of your product. This is where strong branding and offers create leads. Now, your goal is to move them through the stages that will take them from visitor to buyer.
Now that they are aware, you need to build their interest- At this stage, customers have looked through your website and favorited or bookmarked your shop, signed up for your mailing list, or followed your social media page.
This is the “fence-sitting” stage where prospects debate following through. They will research your reviews and testimonials. This is also the stage where customers will discard options based on a considerations like price point, competition, shipping and quality – so, what makes your product stand out?
This is also a great stage to follow-up and implement an automated email sequence – you can include FAQ, testimonials, benefits of your products, or your current deals or promotions.
At this stage, customer prospects decreases further, but the chances of closing a sale rise. This is the final choice to purchase or walk away.
With that being said, this is a great time for tactical moves – flash sales, bonus offers, free shipping, and promotions. The offers may entice the prospects to make the purchase
The final stage- the sale is completed. Although, you should always follow-up and practice customer retention tactics to create a return path.
My Sales Funnel Flow Chart:
Now, time for a sales conversion. This can quickly give you valuable information on areas that need improvement versus areas that are succeeding. Across eCommerce industries, the average landing page conversion rate is 2.35%, yet the top 25% are converting at 5.31% or higher. As of January 31st I had 6 sales and a total of 199 views on my Etsy- that is a 3% conversion rate.
Feel free to use my funnel tactics to create your own; just keep in mind that its an evolving process, always modify and repeat!