I meet with many business owners each week and the one thing I dig deep into is their sales funnel. Now you probably have heard the word “funnel” thrown around quite a bit in the marketing world. You may have also seen many pictures of different types of funnels, some simple, some complicated.
Well, today I wanted to take it back to basics and explain exactly what a sales funnel is and how you can have a well-oiled funnel generating sales for your business.
There are 3 types of people you’ll come into contact with in regards to your sales funnel.
A lead is someone who becomes aware of your business. There are multiple ways you can generate a lead including online marketing, strategic partners, affiliates, speaking engagements…the list goes on. For example: you set up a Facebook advertising campaign to promote your I.F.G. (Irresistible Free Gift). Once they opt in (capture their details) they become a lead. Basically, it’s getting someone to take action that allows you to gain their contact details so you can drop them into an email marketing sequence or something similar.
A prospect or qualified lead is someone who has had contact with your company or interacted with you in some way. This definition can alter depending on the business. Let’s say you have a lead who is receiving your email marketing (newsletter, videos, etc.) and they might email you for more details about your product or service. That is when you would consider the lead a prospect.
Our favourite! A customer is someone who makes a purchase from your business. Plain and simple, right? If you want, you can dig even deeper here and look at people who have made just one purchase versus multiple purchases or short term clients versus long term clients.
The top of your sales funnel starts with a lead. This is where the funnel is quite large and as you go down the funnel it gets smaller and smaller. Your objective with a sales funnel is to be generating a large number of the right TYPE of leads and increasing your conversation rates as you go down the funnel. Of course, this means that you’ll be generating more sales in your business.
So…how is your sales funnel looking at the moment? I love this stuff and could talk and write about it for hours. I’m ready to spend the time chatting about it if you are…so if you’re ready, the time to reach out to me is today! I look forward to hearing from you!