What is a funnel?
In marketing and sales, the term ‘funnel’ refers to the series of steps a person who is unaware of a brand takes to ultimately become its paying customer.
If you want a more in-depth understanding of this topic, check out the FAQ section below:
Question #1: What is a marketing funnel?
A marketing funnel is a type of funnel that is specifically geared towards capturing leads and turning them into prospective buyers. It can be divided into two basic components: lead generation and lead nurturing.
Let us take a closer look at each one in more detail:
Lead generation, as the name suggests, is geared towards acquiring leads using a variety of channels and techniques that build brand awareness and encourage engagement, including:
- Digital advertising – running Google, YouTube, and social media ads
- Trade shows – events that let businesses showcase their products and services
- Lead magnets – getting people to submit their contact information in exchange for a freebie
- Promos and contests – getting people to submit their contact information—and in some cases, make a purchase—for a chance to win a prize or get access to exclusive deals
The next step is to convert as many of the leads this component generates as possible into prospective customers—which is where the second component, lead nurturing, comes in. At this stage, the goal is to build a relationship with each lead and get them more interested in what you have to sell.
One of the most popular and cost-effective ways to do so is by using email marketing. The goal is to regularly send the leads in your email list relevant content that they might find helpful. Examples would be how-to guides and tips and tricks. The idea is to continuously provide each lead with valuable content that seamlessly positions your products and/or services as the solution to whatever problem they may have.
For example, if you run a fitness supplement store, you could send your email list content about post-workout recovery and mention your protein powders as a great way to speed the process up.
This is a much better approach than simply sending them a list of the protein powders that you sell. Keep in mind that the goal at this stage is to simply get your leads interested to buy, not close the sale.
Question #2: What is a sales funnel and how does it work?
A sales funnel, as you may have already guessed, is a type of funnel that is geared towards getting prospective buyers to actually buy something. For it to work, the prospect must already be considering making a purchase.
At this stage, all you have to do is give each prospect a little nudge using things such as:
- Tripwires
- Free consultations
- Sales content
Let us take a closer look at each one:
Tripwires are low-cost, no-brainer offers that a prospective buyer would have a difficult time resisting. Once they make the small purchase, you try to sell them something more expensive, positioning it as an exclusive one-time offer or something to make their initial purchase even better.
Free consultations are a great way to remove any obstacles in the prospects mind. You get a chance to find out exactly what is keeping them from making a purchase and address them, earning the prospect’s trust in the process and making them significantly more likely to buy.
Sales content is any piece of content that is specifically designed to encourage and help prospects make a purchase. Examples include:
- Buying guides
- Special offers
- Product/service FAQs
Question #3: What is the difference between a marketing funnel and a sales funnel?
The main difference between a marketing funnel and a sales funnel is that the former is geared towards capturing leads and getting them interested to buy while the latter is geared towards getting these prospective buyers to actually make a purchase.
Neither one can exist without the other. Without the marketing funnel, a sales funnel would have no prospective buyers to close. Without the sales funnel, the marketing funnel would have no way to close all the prospective buyers it creates.