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What Is A Sales Funnel and How Does It Work?

Have you ever wanted to understand the buyer behaviour process? The full journey of your customer before they eventually make a purchase.

Well, look no further than the sales funnel.

According to a Marketing Sherpa survey, 79% of marketing leads are never converted into paying customers.

The same study shows that 68% of companies have not identified or attempted to measure a sales funnel.

These numbers are highly correlated. We do, however, have some good news. Losing potential customers can be avoided, but only if you understand the process the customer is going through before purchasing.

In his GrowTraffic blog, we’ll talk about how you can generate more sales through a proper understanding of a sales funnel.

What Is A Sales Funnel?

A sales funnel is a marketing concept that maps out the journey a customer goes through when making any kind of purchase. The model uses a funnel as an analogy because a large number of potential customers may begin at the top end of the sales process. Still, only a fraction of these people actually ends up making a purchase.

We can identify 4 basic Sales Funnel stages:

  • Awareness
  • Interest
  • Desire
  • Action

Those steps may vary depending on the company’s sales model.

Many businesses use the sales funnel as a guide for their B2C marketing efforts. Any marketing channel can be part of your sales funnel and your funnel might be spread across several channels.

Why Do We Need A Sales Funnel?

If you are a business owner, you have felt the pain of missing out on a sale. After putting out content, webinars, and so much more, prospects drop out of the funnel without reaching the purchasing (Action) stage.

It happens. But it happens less if you have created a proper sales funnel. A sales funnel helps you understand your potential customers and what they are thinking, doing, and looking for at each stage of their journey.

With these insights, you can invest in the right marketing activities and channels to create the most relevant and engaging content during each stage and turn more prospects into customers.

How Does A Sales Funnel Work?

There are stages of a sales funnel. The 4 stages describe the process a customer goes through during the buying process for a product or service. There is Awareness, Interest, Desire, and Action.

A sales funnel is a journey. A prospect discovers your business, learns more about it, decides which product they should buy, and finally makes a purchase. As a business owner, your job is to clearly define that journey and prepare a game plan to move people from one stage to another.

A visual representation of the Sales Funnel

Stage 1: Awareness

At the top of the funnel and the first stage a consumer goes through, is awareness. At this stage, the potential customer becomes aware of your product.

Early in their journey, your potential customers are going through a specific problem and are researching and learning about it, which is when they discover your business. Perhaps they stumbled across one of your ads, read your blogs, found your website through Google search, or heard a colleague talking about your product or service. 

Stage 2: Interest

The second stage of the buyer journey – interest. During this stage, it’s crucial to explain why they should choose your product and how it can help them achieve desired results.

 It’s time for you to attract them to your product or service with incredible content.

Be careful not to push your product or service to them. Their decision is not made yet and selling your products to them at this stage may chase them away.

In your content, give potential customers all the information they may need, make sure they can ensure your reliability and offer help in any way you can.

Stage 3: Desire

This is where your potential customers are ready to buy. They might be considering you as well as your competitors. Now your potential customers are at the bottom of the funnel knowing everything about their problem and potential solutions.

Most importantly, they’re ready to select the business to buy the solution. Their question at this stage is price and added value. This is when you should be making your best offers.

Small factors like free shipping, a bonus product, or a discount can set your offers apart from your competitors.

Whatever you offer, make it so attractive that your website visitors or audience will rush to become your customers.

Stage 4: Action/Purchase

The moment every business desires, the moment of purchase – Action.

The most important stage of the funnel. The prospect may or may not make a purchase. If they don’t buy from you now, that doesn’t mean the deal is lost forever. You can create nurture campaigns to make sure you stay on top of their mind for any future needs.

If they do purchase you have to focus on customer retention by expressing gratitude for the purchase, inviting him or her to share feedback, making your brand available for support, etc.

Make them feel special and a real part of your thought process moving forward.

GrowTraffic: Contact Us

If you feel the task at hand is too much for you or your company, please don’t hesitate to contact us here at GrowTraffic.

We are a multi-award-winning digital marketing agency in Lancashire and Yorkshire that offers a wide range of digital marketing services.

We specialise in SEO (Search Engine Optimisation) and content marketing! So, if you need help filtering your potential customers down the sale funnel, you can call us on 0161 706 0012 or send us an email at

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