Marketing funnels – everything you need to know

Marketing funnels – everything you need to know!

The marketing funnel consists of several stages that illustrate the different phases of customer engagement. Following the pattern of an ordinary funnel, its marketing counterpart, it is wide at the top, where it attracts a large number of potential customers, and narrows at the bottom, where it focuses on those who have made a purchase.

The marketing funnel is a funnel that is not only about the customer but also about the customer.

Building brand awareness and brand recognition (awareness)

The first point of contact with customers is awareness. At this stage, potential customers may first learn of the existence of a brand, product or service. The main goal of activities at the awareness stage is to attract the attention of as many people as possible and familiarize them with the company’s offer. We can do this by using appropriate formats that work best at the early stage of reaching customers:

• advertising campaigns – in the process of building awareness, banners, display ads, social media ads, DemandGen on Google or video ads on YouTube, Instagram, and TikTok will work best. At this stage, we are concerned with attracting the attention of a potential customer, so we use creatives that are easy on the eyes and memorable. Videos should last a few seconds and communicate the most important features of the product or service.

• Content marketing is content that the recipient may come across while surfing the Internet or doing research on a topic related to the brand. This can be blog articles or entire blogs on a particular topic, infographics, webinars, or e-books.

• SEO – (search engine optimization), i.e. increasing organic reach by creating search-engine-optimized content.

Metrics to evaluate the effectiveness of activities at this stage are:

Reach, which is the number of unique users who saw the ad or content.

Impressions, which is the total number of times an ad was viewed.

Interest (Interest) 

This is the stage at which potential customers show interest in a product or service. They may seek additional information and consider the benefits of buying it.

The goal of marketing activities at this stage is to sustain this interest, provide the audience with valuable information and reinforce the message that can lead the user to a purchase decision. 

We can do this with:

• Educating customers – by holding webinars that provide valuable product knowledge or problems that our product or service solves.

• Ebooks – and other, more detailed downloadable materials that offer deeper knowledge and analysis.

• Lead generation – by getting contact information to potential customers. You can do this with campaigns geared toward this goal, or for example, lead magnet.

• Newsletters – regularly send recipients information with news, tips, special offers and updates.

• Interactions on social media – creating posts encouraging interaction, such as questions, polls, quizzes or contests. In addition, creating a community with your audience and interacting with them is also key. Actively participating in conversations, answering questions and building relationships.

Metrics suitable for this stage in the funnel are, for example: 

An engagement indicator that shows the number of interactions (comments, likes, shares) with social media content.

Number of content downloads–e.g., e-books, brochures, etc.

E-mail opens and clicks – open and click rates for email campaigns.

Marketing Funnels – Consideration (Consideration)

In this stage, customers seriously consider buying a product or service. They compare different options, read reviews, browse reviews and look for additional information.

At this stage, customers are actively seeking information, comparing different options and evaluating which one will best meet their needs. The goal of marketing activities at this stage is to provide potential customers with enough information and support to help them make a purchasing decision. This is also the stage at which the possibility of convincing a user of your solution is noticeably higher than at previous stages.

The media solutions for this stage are:

• Deliver detailed information about the product. You can do this by presenting technical specifications or a detailed description of the product and its functions. In addition to texts, videos will also work great here.

• Comparisons and statements: Compare products or services with competitors to highlight the unique features and benefits the customer will have.

• Reviews and ratings – publish user reviews, expert reviews and product ratings that can help potential customers decide.

• Case studies – describe the history of implementation and how to solve the problems that your customers faced.

• Free samples and demos – these can be free product samples that allow customers to test before buying. In the case of software, these are trial versions. They can include designated features, or all of the software for a designated period of time. 

Metrics that will allow you to assess the effectiveness of the activities at this stage are:

Time spent on product pages – analysis of how long potential customers stay on pages containing detailed product information.

Number of downloads of materials – number of e-books, whitepapers, or product brochures downloaded.

Sample/trial version conversion rate – the percentage of people who decide to make a purchase after using the free sample or trial.

Marketing Funnels – Intent (Intent)

The intent stage in a marketing funnel is the point at which potential customers clearly desire to purchase a product or service. This is the key stage where marketing and sales efforts focus on convincing customers to take the final step and complete the transaction. At this stage, customers need final confirmation that they are making the right choice. You can help them do this with:

• Reminders and calls to action (CTAs): These can be reminder emails sent to people who have added products to their shopping cart but have not made a purchase (abandoned shopping carts).
• Free shipping – offer free shipping on purchases above a certain amount  can increase the value of the shopping cart.
• Customer reviews – display positive reviews and testimonials from satisfied customers directly on product pages.
• Customer service and live support: Put live chat on your website so potential customers can get their questions answered quickly.
• Search and product campaigns – ensure search engine visibility to display your offerings to customers who are looking for your product or service. 

Most important metrics: 

CTR (Click-Through Rate) – an ad click-through rate that shows how effectively campaigns attract attention.

Average Order Value (AOV) – an analysis of the average value of orders placed by customers showing purchase intent.

Time to Purchase – tracking how much time passes between a customer’s first interaction with a product and making a purchase.

Marketing funnels – Purchase (Purchase)

This is the moment when a potential customer is transformed into an actual customer by making a purchase. This is a key point in the sales process because it directly affects the company’s revenue. At this stage, marketing and sales efforts ensure a smooth and positive buying experience. To make it run smoothly and seamlessly, take care of the following aspects:

• Optimize the buying process – simplify the buying process as much as possible. Minimize the number of steps needed to complete the transaction. This will make it easier for users to complete their purchases.

• Optimize the site for mobile shopping – almost 90% of Internet traffic is now carried out via smartphones. Therefore, it is worth keeping in mind that the website should be responsive to the needs of mobile users.

• Order tracking – providing an order tracking link so customers can monitor the status of their shipment in real-time.

• Personalized offers – sending personalized offers and recommendations based on previous purchases.

Key metrics for the sales stage are:

Conversion rate – the percentage of website visitors who made a purchase.

Average order value (AOV) – the average value of customer purchases.

Ordered Cart Indicator – the percentage of customers who added products to the cart but did not complete the transaction.

Post-purchase feedback – level of customer satisfaction as expressed in post-purchase feedback and reviews.

Marketing funnels – Loyalty (Loyalty)

This is when a customer who has made a purchase becomes a regular, repeat customer and even a brand ambassador. Customer loyalty is extremely valuable to companies because it leads to repeat purchases, positive recommendations and greater engagement. Customer loyalty to a brand can be achieved in various ways:

• Loyalty points – offering points for every purchase, which can be exchanged for discounts, free products or other rewards.

• Customer interactions – responding regularly to customer comments, messages and reviews on social media.

• Community creation – building a community around the brand by organizing online events, contests and engaging posts.

• Surveys and feedback – regularly collect customer feedback through surveys, feedback forms or reviews to better understand their needs and expectations.

• Rewards for referrals: Offer rewards, such as discounts or free products, for recommending the brand to new customers.

Marketing funnels – everything you need to know!

Designing funnels is a difficult task. Their effectiveness depends on various factors, which should be taken into account while still at the stage of planning marketing activities. If you want to be sure that your activities will bring the expected results, use the services of Digital Agency The agency mainly deals with planning and implementation of online marketing activities. You can take a look at ranking of digital agencies in Poland. These may consist of brand building, search engine advertising, public relations, creating marketing communications, optimizing online campaigns or data analytics. The agency’s marketing department will evaluate the budget allocation, recommend solutions in PPC advertising and make possible changes to the website.