Rajat Negi

Understanding Customer Funnels

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When it comes to the subject of business, sales are an integral part of any business or startup. If we go deep into sales, then I have to also discuss the Lead and Customer Funnels. 

Don’t be scared if you’re not a marketing person. 

so, in this article, I will talk about customer funnels or the concept of funnels.

Sales Funnels and Marketing funnel is integrated to form a  customer funnel. as we are working in the digital world so you can also call this a “Digital Marketing Funnel”. 

After reading the whole series of funnels you will be able to go through the funnel-building process for your own business or startup. 

I believe that before knowing about the customer funnel, you need to know about the business canvas model. for that I have written a couple of articles on the business canvas model

Leads: Small Section of Customer Funnel

The contact information of a potential consumer who may become a paying customer of your company at some point in the future. Random people’s contact information isn’t a lead. Leads will be relevant to your company and its products or services in some way. 

Even if your items or services are intended for everyone, contact information alone cannot be considered a lead. Name, email address, and phone number are the most common contact details. Leads can have more information, and the more information a lead has, the easier it is to communicate with it, nurture it, and convert it into a paying client. 

Leads might also have only an email address or a phone number. Names are not required. Cold leads, warm leads, and hot leads are the three types of leads.

There are several methods for generating leads for your company. It might be through advertisements, recommendations, or even phone calls.

Customer Funnels

A funnel is a model for understanding how your client interacts with your brand and makes a purchasing decision. A funnel depicts your leads entering at the top, being nurtured through the body of the funnel, and being converted at the bottom.

  • You must comprehend how your target audience interacts with your brand.
  • The customer’s path with your brand is mapped out. You also need to think, about how your customer thinks about your brand. 
  • Determine how your client makes purchasing decisions. What are those factors which are responsible for the purchase decisions?
  • Recognize how your leads arrive at the top of the funnel.
  • Recognize how they are nurtured through the journey.

Integrate Sales and Marketing to get a Customer Funnel

Understanding Customer Funnels - Understanding Customer Funnels

Now Let’s just focus on the image above. the funnel is wide at the top. 

Why is it so?

It is because it can collect more and more leads, the more broad is, the more beneficial is from the business point of view.

As we come down, it gets thinner and thinner or we can say that it gets squeezed. 

Why is it so? 

As we progress downwards, we just filter out leads from the actual paying customer.

This shape of the funnel refers to the journey of your leads into an actual paying customer. At the top of the funnel, you will have a maximum number of leads or potential buyers, as you progress further down the funnel, you will filter some irrelevant leads and finally, at the bottom of your funnel, you have your customer, who is ready to take your services or products for a specific price. 

You can also use shortcodes for the top part and bottom part of the funnel.

Top of the Funnel:- ToFu

Bottom of the Funnel:- BoFu

ToFu of the customer funnel

As I have discussed earlier that it is the largest, widest, broadest part of the funnel so that maximum people or leads can enter it. these people or leads are the ones who have some interest in your product or service.

Activity at the ToFu of the customer funnel

In this phase, leads came to know about you or your brand, they know a little about you or your brand so there is no relationship or bond with the lead. You can’t expect loyalty or anything from the leads in this phase. 

Don’t worry, Every business became huge by going through this funnel only. 

Note:- Here is one thing you need to find that from where you are more leads. Let me tell you some of the sources. 

  • Paid Advertising
  • Referrals
  • Partnerships
  • Form
  • A Lead Magnet
  • A Video Ad
  • Sales call
  • and many more.

If you know from where you are generating most o the leads, then you are going to increase that source to attract more and more leads. 

Procedure going inside customer funnel

When leads enter into the funnel, then you need to warm the leads as they are cold leads only and move them down to the funnel. 

Now the ball is in your side, you need to start interacting with your leads. It can be done in many ways such as interaction with your brand, brand’s product or service, increase product knowledge. provide information about your brand. 

Value addition inside customer funnel

  • You may utilize the data to educate leads about your brand’s product or service so that they are comfortable with it.
  • You may also make the material fun and easy to grasp. Memes may also be used to raise brand awareness.
  • The greatest strategy to get leads is to use social proof and testimonials.

Every brand has its own way, technique, procedure, approach to delivering value to the leads some of them can be email marketing, webinar, sales calls, etc.

You need to realize the lead that you are providing great value to them and help them decide for themselves if your product or service can help them. 


Activity at the BoFu of the customer funnel

As I have discussed earlier that it is the smallest, narrowest, part of the funnel so that it contains filtered people or leads. these people or leads are the ones who have who know you or your brand and they are familiar with your product or service. They are nurtured and you have done many activities to nurture them. Now they are in a position to decide whether they need to transact with you or not. 

Always remember the main objective of this funnel is to convert a lead into an actual paying customer. Each and every customer funnel stage is important for the  

Let me tell you some of the traditional methods of conversion, which includes sales, stores, phone calls, personal meeting. 

Customer funnel conversion:- The act of turning a lead into a paying client is known as conversion. Converting a lead into a customer is a popular method.

I like to tweet whenever I learn something new. 

Final Words for customer funnel

If you are doing everything in the right direction but you are not doing this in the right direction then your whole efforts are wasted. 

At the end of the day, you need sales for your business. 

I hope, I gave you some insights about the customer funnel and how to use it. If you still have queries related to the Same you can leave a comment. I will surely respond to it. DO SHARE THIS ARTICLE with your friends or family who are engaged in any startup or business.  You can tweet out your thoughts by tagging me @rajatinr on Twitter.

To your Success

-Rajat Negi, Logging Out 1f917 - Understanding Customer Funnels

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Rajat Negi

Compound Investor (Who loves to talk to stock)
Digital Marketer (Who loves to make brands)

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