Think of a sales funnel as a device you can use to create customers. While it seems that many businesses find customers, a closer look will show you the process involved in generating sales. Simply put, a sales funnel conceptualizes the process of turning prospective leads into loyal customers.
Paying attention to your sales funnel can improve marketing performance because it provides an ideal process for a customer’s life cycle. It guides the marketing team on the steps needed to improve a prospect’s experience—from considering the product to maintaining loyalty to the brand.
A consistent flow of leads into the sales funnel’s pipeline keeps the sales cycle steady and reliable. In a nutshell, understanding the sales funnel can help businesses improve their relationship with customers and develop an efficient strategy to nurture prospects right through to the end of the buyer’s journey. This is where inbound and some outbound marketing techniques come into play.
Stages of a Sales Funnel
Sales Funnels Optimize Marketing and Sales Teams
In a 2014 study by Regalix Research, 87 percent of marketing professionals prioritized improving their knowledge of a customer’s purchase journey.
Indeed, analyzing what motivates prospects at every stage of the sales funnel is vital to a marketer’s or sales person’s success. Furthermore, a well-utilized sales funnel will ensure that every stage’s initiatives are well thought out and directly stimulating a specific action.
It’s not enough to simply throw generic sales promotions at potential customers. In today’s highly saturated market, rising above the noise is not sufficient to ensure a purchase. Nurture your leads at every stage in the buying process by providing exactly what they need, when they need it most. Using the sales funnel as a foundation for your target marketing strategy ensures that you’re doing everything you can to maximize your conversion rates.