Everything You Need To Know About Conversion Funnel, Optimizing It For Customer Journey
Any business which sells products or services on the online platform has a conversion funnel. If you don’t know what are conversation funnels, and how you can improvise them to sell more online then you have arrived at the right place. Today, in this blog we are going to discuss everything which you need to know about conversion funnels.
To begin with, we would start with the basics, of what conversation funnels are and why are they important.
What Is A Conversion Funnel?
The conversation funnel is a marketing process that takes potential customers on a journey toward buying the products or services. In simple terms of e-commerce, a conversion funnel is a journey taken by the customer through an Internet advertising or search system, by navigating an e-commerce website and then finally making a purchase. In this entire process, a customer is seen converting from a visitor to the site to a buyer. You need to build a proper conversion funnel for providing a proper customer service, as you need to have a proper conversion funnel for establishing a successful business.
A marketing funnel is a vital thing for every business, especially in today’s world since so much shopping and research are done on the online platform only. Conversation funnels are the cornerstone of all e-commerce business models, which guide potential customers from the moment they first become aware of your brand to the moment they make a purchase and beyond.
Why Are Conversion Funnels Important?
Conversation funnels are essential thing in the process of marketing because they help to make a marketing team an effective one. Conversion funnels are also used in the illustration of the customer’s journey. This illustration of the customer journey is important as it helps to understand how the visitors are navigating your site or store. They can also break down at which stage of a buyer’s journey has high failures. Conversation funnels also give a better customer experience, and with this, you can also get a clear idea of who is your target audience.
What Is Conversion Funnel Optimization?
The best and an easy way in which your conversion funnel optimization takes place is when the funnel is broken down into three major parts- upper, middle, and lower. Doing this helps in increasing sales and marketing for the site or store. In order to increase the amount of target audience your goal is to get your conversion funnel optimized.
You should optimize your conversion funnel, for an increasing amount of traffic for your site. Good communication skills helps in driving traffic and this increases a company’s sales. Hence for these reasons, you should learn how to optimize the conversion funnel, so that the customer takes a delightful visit to your site. There are three different stages in which the conversion funnels work. Once these three stages are included your conversion funnel is ready to optimize.
Optimizing your funnel also helps to optimize your marketing efforts too. As mentioned in the above paragraph the conversion funnel is divided into three important parts. The prior function of the upper part of the funnel is to attract new visitors. Whereas the middle stage of the conversion funnel is responsible for turning new visitors into qualified leads and the third stage and bottom of the funnel is where the macro conversions, or purchases, take place. Each part of the conversion funnel should be approached differently, therefore, different marketing techniques are employed. Optimizing the funnel helps your customer to get engage with your brand.
#1. Upper funnel optimization:
The traffic you send to your online store would help in the high determination of the effectiveness of your conversion path. If there is a high amount of junk traffic and bringing visitors who do not have any interest in your products then the steady effect of the sales funnel will not matter in the slightest as people would drop off instantly.
Furthermore, there are several ways in which you can optimize the top of your funnel. You need to optimize your keywords for paid search and display ads, you need to recalibrate the target of your social media ads, creation of unique keyword-optimized content, and capitalize on the power of social media with the help of social media marketing.
#2. Middle funnel optimization:
Now that you have crossed the first stage as you have created a successful way through which you have acquired customer attention and you see a lot of customers enter your funnel and reach the site. Now the real work begins, for your website funnel. The middle funnel is all about building trust with your prospects and demonstrating the benefits of your products. Depending on how long your conversion path is, you might require a number of different interactions with your customers in order to earn their loyalty which would help them to move down to the next step of the funnel.
An array of different tools and techniques are at your service here: testimonials, product reviews, case studies, community forums, price comparisons, various merchandising techniques, automated marketing campaigns, engaging content, and so on. Understanding your customer’s state of mind and expectations will play a major part in how successful your tactics are, so running continuous A/B tests and collecting feedback as well as tracking key metrics is a must in order to get more website visitors and customers.
#3. Lower funnel optimization:
As mentioned earlier conversion funnel models are divided into three stages, and the third stage of your conversion funnel is where you need to start pulling the visitors and customers into new conversion funnels. Well, you have worked hard to guide them from the awareness stage toward the final purchase and hence if they go away then it would be a great loss.
eCommerce businesses that can turn their one-time buyer into repeat customers then they have grabbed the right track to success. Everything you need to know about grabbing a lot of customers is to optimize the conversion funnel properly so that it can leave your website to get more and more customers. The more customer data you have, the more personalized and targeted experiences you can craft to keep them interested and wanting more.
Five Different Elements Of Conversion Funnel Stages To Analyze Your Conversion Funnel
Conversion funnels consist of five main elements in it. However, it depends on which organization you work for your organization’s conversion funnel might consist of a few more stages. As it is mentioned earlier conversion funnels help to get a larger amount of visitors and customers to the site, and hence every conversion funnel needs to be optimized. Every conversion funnel should be designed by accumulating the five main elements mentioned below.
The five main elements of every conversion funnel are:
Awareness is all about attracting customers for your brand and also making your targeted audience members aware of your company. During this first stage, your company gets customers via marketing efforts, reputational improvements, or other means of boosting brand awareness.
The second stage is an essential one, the interest or consideration phase is where you try to build trust and desire with your leads. Interest is an important stage of the customer journey map, and thus it’s a good idea to optimize your conversion funnel so that the visitors get more interest in reaching your site. It’s not enough for prospective customers to know that your brand makes products that they could use. They need to select your brand from all the competing companies or brands in the industry and then only it would be proved that your site is ranking well.
The interest stage is significantly affected by things like the type of content you make on your social media channels and website, and your brand reputation, which may make it more likely that a potential customer will get engaged with your company, and your social media marketing. Interest plays a major role in funnel strategies.
If your marketing is positive and does a good job of connecting with potential buyers, more visitors from the awareness stage will make it to the interest stage without thinking a lot. If you want that your customer should find your site interesting then you need to create a strong inbound marketing strategy and this is done with email marketing campaigns and a good conversion funnel.
In the third stage, your brand needs to drive potential buyers, and show them why the customer should purchase your product instead of other brands that are available for them. During this phase of the conversion funnel, you need to display your products in such a way that the customer should end up adding the product to their shopping cart.
You need to present a detailed product description of every item that is available on your online store, you need to add eye-catching images along with the videos of products or services which are applicable, a good product website copy, a good social media marketer who would handle the social media accounts.
The ecommerce funnel is based on online marketing, and thus if yourbrand already has some sales, then in that case your company should leverage positive reviews in order to encourage new customers to buy your products and this would increase sales.
During the fourth stage of the funnel, it begins to narrow significantly. Now the time has come to convert the leads into customers. Though some conversion funnel graphics or descriptions might mark this stage as the last one.
Also sometimes called the action stage, the conversion stage is met when a customer makes a purchase or subscribes to your brand. Overall conversion is essentially required in order to create a good funnel report.
Technically this is the last stage of any successful conversion funnel, and it is also known as the loyal stage this final stage comes after a lead becomes a customer or subscriber. You need to keep a thing in your mind that it is better to retain your current customers than constantly attract new ones. You want your current customers to re-engage and buy more products or stay subscribed for and buy the products from your site. This in turn also helps in the improvement of the customer lifetime value for each customer for your brand.
What Are The Types Of Conversation Funnel To Increase Conversion Rate?
The three different type of conversion funnels are:
#1. Basic Three-Step Funnel:
The basic three-step funnel is mostly used by beginners. The basic thing is to attract new website visitors, giving the visitors something valuable that sparks the interest among customers for your product among the customers. Then you need to wait for the conversation to take place. This basic three-step funnel is an important stage in your conversion funnel as this is mostly used by many business owners. The overall conversion rate would depend on the conversion process.
#2. Standard Five-Step Funnel:
The standard five-step funnel comprises five basic stages which are related to the buyer’s journey. This type of funnel is also a foundation for the ideal omnichannel funnels. The stand five-step funnel comprises five different elements.
This first step of your funnel is all about attracting leads to your website, and doing this helps to make them aware of your business.
Now that the customers have landed on your website, it’s time to pique their interest and form a relationship with them. This is your chance to offer them something valuable, before asking for value in return.
If you have done the second step right, they will come back for more. They would want to know more about what you have to offer and what it can do for them along with the kinds of services.
Now the prospect finally completes the desired action. You might have thought that you have reached your end goal but true success lies one step further. There are several marketing channels that help to enhance website conversion.
Lifecycle marketing is one of the biggest trends right now and there lies a good reason behind it. Just because the customers have completed the desired action it doesn’t mean that your relationship with them should come to an end. You need to find a way to nourish the connection so that they keep on coming back for more. Eventually, they’ll become your unofficial brand ambassadors and do your marketing for you. Keep in mind that users do not often trust information coming directly from brands nowadays.
#3. Advanced Omnichannel Funnel:
Details allow you to customize your sales funnel and this makes it more natural for the user. If you can personalize your funnel enough, your lead won’t feel like you’ve trapped them in some cycle. The process will feel much more natural and your prospects are more likely to trust you.
With an omnichannel funnel, you reach leads across multiple channels and touchpoints, this creates a holistic and trustworthy message. It often requires more steps than the basic or standard funnels mentioned above but also offers high rewards.
Improving the user experience is, of course, a great reason on its own, but there are still more advantages to using an omnichannel conversion funnel. They include:
#a. Enhancing your ability to find lookalike customers that are more likely to convert.
#b. Easier optimization of smaller parts of the funnel, rather than overhauling an entire system.
#c. Scaling your business more efficiently and effectively.
Conversion Funnel Analysis, Optimize Your Funnel For Better Google Analytics
With the help of analytics, you can know where should you work. A conversion funnel analytics shows in which area of the funnel you need to work. Through google analytics, you can know where you should work. Analytics would give you an idea that whether the users make it from one step to the next so that you can find and improve the non-converting stages through conversion funnel optimization. You need to optimize the funnel at any stage and see how the sales funnel works in order to drive more traffic.
You need to dig deeper and figure out where you need to optimize your site to reduce drop-offs between stages in the funnel and increase conversions. There are many factors that could be affecting conversions. Some are simple, while others could be more complicated. The funnel metaphor illustrates the gradual decline of the number of potential customers as they are guided through the conversion path.
How To Create An Effective Conversion Funnel For A Smooth Customer Journey?
Always consider your conversion funnel as a process that will evolve over time. The needs and wants of your customers will vary over time. Hence, adapting your funnel strategy and goals accordingly is required. In the end, remember, a sure-shot way of standing out and creating a loyal client base is by providing your customers with the user experience they want. For that, you need to do the below-mentioned things:
#1. Determine the Journey of Your Ideal Buyer.
#2. Set Goals for Every Stage in the Funnel.
#3. Create a Content Plan for the Funnel’s Stages.
#4. Generate Content to Create Awareness.
#5. Build Interest and Desire.
#6. Encourage Leads to Take Action.
#7. Focus On Retaining Your Customers.
#8. Grow Customers.
How Do Conversion Funnels Work In Ecommerce?
Simple conversion funnel example includes:
#1. Visitors landing on the homepage:
#2. Visitors going to website shop.
#3. Visitors reaching a product or service page.
#4. Visitors adding products to the cart.
#5. Visitors going to checkout.
What Is The Difference Between a Marketing Funnel And a Sales Funnel?
The marketing funnel is a critical piece of the marketing process. It outlines the most straightforward journey customers might take on their path to purchase. Ultimately, the marketing funnel is a helpful framework for connecting and engaging with customers along their journey. Whereas, a sales funnel is the marketing term for the journey potential customers go through on the way to purchase. There are several steps to a sales funnel, usually known as the top, middle, and bottom of the funnel, although these steps may vary depending on a company’s sales model.
Improving The Funnel Conversion Rate
The funnel conversion rate is one of the simplest metrics for the sales funnel. The metrics and KPIs represent a percentage of leads who have converted over a given period. Divide the number of conversions by the number of leads and multiply by 100 to get the funnel conversion rate.
In order to improve your funnel conversion rate, you should check each part of your funnel individually, not as a whole. Gather data from each part of your funnel (Top to Bottom) and each channel. Find which channels are not performing well and start optimizing them.
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