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The Marketing Glossary

Sales Funnel

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What is the sales funnel?

The sales funnel is a visualization of the process that people go through to becoming a customer of your business. The sales funnel can be outlined in a simple process. Understanding your sales funnel and how a user’s needs change as they go through the sales funnel is extremely valuable. It allows you to tailor your message and deliver content that speaks directly to their needs at each stage. Each stage of the sales funnel can be defined slightly differently.

At the top of the sales funnel, consumers fit your target demographic or persona, but they don’t have an immediate need for your product or services. Therefore, they may just be browsing online for other information. At this level of the sales funnel, it’s important to understand what your target persona does when they aren’t shopping for your services. What else are they searching for? What are they reading? At this stage they may not be aware they have a need for your product or service so you want to look for ways to get in front of your customer and position yourself as an expert and then show them they have a need for what you offer.

In the middle of the funnel, consumers know they have a specific need and therefore are in the process of researching a solution. At this stage, they are more qualified to become customers because they are ready to commit to a purchase, but they aren’t sure if they are ready to commit to purchasing from you. At this stage you want to be able to deliver them information that positions your company as the right solution to solve their problem.

Finally, at the bottom of the funnel, leads are turned into paying customers through highly targeted and specific content approaches. Those at the bottom of the funnel know what they need and they are ready to commit to purchasing from your company. Therefore you need to make sure your sales process can walk them smoothly across the finish line. They need an excellent user experience and reassurance that they are making the right decision.