So you as a company are developing marketing strategies to figure out how to lead people to be aware of your product or service and then lead them to a final purchase and then even to stay loyal customers with you. Most the time this doesn’t just happen by chance, so a strategy needs to be put in place. There are many ways to go about this situation by studying past company statistics, using marketing software or trying to come up with ideas on the spot. The best way is to use business templates. For this specific situation, it would be smart to implement the sales funnel. The sales funnel is a perfect way when you already have a product or service created and are wanting to get it out there and have it lead to sales. The sales funnel has five main phases: Awareness, Interest, Consideration, Engagement and Closing. Why a funnel you may ask? The reason this analogy is used it at the beginning of the process there are a lot of people that join in but as the steps progress slowly people drop out so it begins to narrow. Starting out with 100% of people in the awareness stage can lead to only 5% sticking it out for the closing stage. Before diving into the sales funnel phases you need to figure out your marketing segment and gather data on your potential customers. This can lead to adjusting your insights to focus on relevant problems and key selling points.
Here are three key reasons why you need to use a sales funnel:
• Nail your Selling System –
• Identifying the steps you take to close a sale is a prerequisite to selling better.
• Once you have your system in place you can then take steps to improve the process.
• A visual representation of your Sales Funnel will ensure that you can apply it to your business, test it, and develop it.
• Manage your day-to-day – Once you create a sales funnel within a CRM, you can view the progress of all your deals at a single glance, including the number of deals in each stage of the funnel. This allows you to answer questions like
• Are there high value deals at the closing stage today?
• Do we have enough leads to keep us occupied for a while?
• How long does it take for customers to get through the my sales funnel?
• Forecast earnings – When you apply a probability to each sales stage (i.e., leads in the first stage have a 10% chance of closing, 20% in the second stage, etc.) you can multiply this by the value of each deal and thus find out how much revenue to expect overall.
• For example- Out of 1000 people who see my ad, 10% will visit my page. (100 leads)
• Out of these 100 leads, 20% will move through to the next stage (20 leads)
• Through this process you will be able to predict how many customers will get to the closing stage and convert. In this case, mostly like 5 leads will convert (as stages progress, likelihood of conversion increases)
Instructions/Guides/etc for using the tool
In order to use this tool effectively, you must being with the end in mind. What does sale mean in your business or industry. Once you have that set, you will be able to think through the process of your customer and how they will get to that ultimate conversion.
1. Awareness- To start off you need to let your audience know your product or service exists. You can also make someone aware that they have a problem and you can solve it for them. Think of your personal brand and create buzz around it to give it credibility and make people start thinking about your brand. Social media and websites are good tools to create awareness.
2. Interest- There are a lot of options out there so how are you going to draw them to your company? You need to hook them right off the bat with creative content and a solving to their problem or show good quality and a good deal. This is a hard but very important step.
3. Consideration- You have caught their attention and now they are considering your company in their options of what to choose. This is the middle of the funnel where customers can get comfortable with you so keep them invested. Interact and give them any feedback or answer any questions that they have.
4. Engagement- The prospect is looking more and more into deciding, possibly with you. They have looked at what you have to offer and maybe have compared it to other companies. Depending on the price and intensity of the product or service, they might have been thinking for a while if they need it or can afford it or want to follow through with it.
5. Closing- The deal is official. They have either made the final purchase or signed a contract. You want them to stay as loyal customers and tell their friends that they like your company and recommend you.