Do you wish to maximize your sales revenues? How can you convert leads into dollar-giving customers in an effective, cost-efficient manner? What does it take to ensure highly efficacious, hassle-free communication with prospects and convince them to buy your products? You need to have a robust strategy to handle the sales funnel. Today, let's see what a sales funnel is and why you need one for your business.
But before we dive into a sales funnel, let me ask you a question -- You know what a funnel is, right? A cone-shaped thing that has a big opening at the top and a small opening at the bottom, allowing large quantities of liquid to be let down to reach a specific destination. Funnels are often used in kitchens to handle milk chambers.
Now you must be wondering what does that have to do with sales funnels? Well, a sales funnel is a system that turns strangers into paying customers. And it's called a funnel because the process resembles a funnel. No matter which industry you're in, you need prospects, and you need to convert them into paying customers.
Let us now see why you should create a sales funnel in the first place. Why should you invest the time it takes? And to be honest, it does take some time in the beginning until it's up and running. So, let me tell you why building such a sales funnel is worth your time.
A sales funnel isn't just a funnel. It's your ticket to running a business with consistent profits on autopilot. Let's see what a sales funnel can do for your business.
We are all entrepreneurs. And even if you're in a passion business, we entrepreneurs want to make money. That's the ultimate goal of your sales funnel. It can help you in three major areas.
A sales funnel generates leads.
It opens a channel of communication with your potential customers.
And most importantly, it helps to identify actual buyers and convert them into revenue-generating customers.
Different Stages of a Sales Funnel
Depending on whom you ask, a sales funnel consists of three to seven stages. However, in this blog, we will look at a simple four-stage funnel comprising of the following
Awareness stage
Interest stage
Action stage
Decision stage
1. Awareness Stage
As its name suggests, this is the stage when a prospective customer becomes aware of your company. Your business may have caught the eye of the prospect thanks to a tweet, a YouTube video, a post on Facebook, a search on Google or even something offline like a billboard.
2. Interest Stage
Next up is the interest stage. It's about people considering different solutions and evincing interest in your product. They collect information about various products (including yours) to make an informed decision. You need to remember not all people who become aware of your product will show an interest in it.
3. Desire Stage
In this stage, the prospect will thoroughly evaluate your product based on the information collected by him. He develops a favorable dispensation toward your offering. Again, you should bear in mind not everyone who shows interest in your product may desire it.
4. Action Stage
This is the final stage of the sales funnel when the prospective customer intends to buy your product. He approaches you to negotiate a purchase. You must understand only some of the people who desire your product will actually buy it.
As you can see, the sales funnel gets narrower with each passing stage. And this is a good thing. You want only those customers who are right for business, don’t you?
Here is an example structure of a sales funnel to know what it means for you. First, you need to attract people through ads on Facebook, YouTube or Google or any other channel; it’s advisable you come up with an enticing value offer, also called a lead magnet, to compel members of your audience to share their email addresses and phone numbers.
You can use the contact information to nurture your leads with useful content. For example, you can send e-mails containing updates about products they are interested in or relay information about a special discount. You need to lead them in the right direction. At some point, people may consider your offerings. Most people won't buy after the first interaction with you. Various studies show in most cases companies need to connect with prospects at least seven times before the latter take a decision to purchase. So, make sure you provide all necessary information and convey your value proposition in an effective manner during your interactions with potential customers.
It’s now time to create a favorable impression about your product. People are well educated about the different options and decide on one solution. And, of course, if you want them to go with yours, this is an excellent time to offer some more value to nudge them in the right direction.
Finally, the prospects have the stage, where they will act to buy. They are your identified buyers, and they will approach you to talk about purchasing your product. You may offer additional value that will prompt the prospects to buy. For instance, you may give an attractive rebate if the user purchases your product before a certain date.
And, once the prospect becomes a customer, he should be moved to the next sales sequence and further nurtured and prepared for your next sale. And the cycle starts again. We call this process the cycle of selling within a sales funnel.
Once trust has been built and a solid relationship has been established, your customers will become raving fans of your brand.
At SunYello, we help you develop a highly efficient sales funnel that will empower your business to engage your audiences effectively. Our strong focus on understanding your unique business needs allows you to craft the ideal strategy that helps you generate leads with minimal effort and expenditure.
I hope you liked the post. How do you develop a sales funnel strategy for lead generation? We'd love to know.
