in this video we look at what a sales funnel is and how to create one in five simple stages if
you're interested in learning how to measure its success and how to increase your conversion rate
be sure to check out our other video linked above on your screen now and in the description below
although you can't guarantee that visitors purchase from your store on their first visit
you'll increase the chance of converting them if you devise an effective ecommerce sales funnel
that reflects your customers buying journey an e-commerce sales funnel illustrates your customers
journey from the moment they become aware of your product to when they purchase a product the sales
funnel may also increase customer retention cross-selling and subscription-based sales
depending on the products you offer and how users navigate through your e-commerce store
your conversion funnel might change in specifics you might have a shorter funnel
and a faster conversion rate if your prices are low because consumers have one less thing to
worry about when deciding whether to purchase your product but some basic steps to creating
an effective funnel apply regardless of your target audience or type of business
your ecommerce store needs a reliable sales funnel to analyze which areas of your ecommerce business
drive sales and which areas need to be optimized your conversion funnel might show for instance
that your audience uses social media to follow your store's promotions or discounts
armed with this information you would boost your presence on social media platforms like facebook
or increase your followers to best understand how a sales funnel work smart insight's visual diagram
comes in handy by illustrating what the average conversion rate for an e-commerce sales funnel is
as this example shows nearly fifty percent view a product page but only
fifteen percent add a product and only three point three percent make a purchase
such a difference in conversion rates shows how important it is to improve your landing pages with
compelling call to actions that encourage users to buy your product simplifying the checkout process
and boosting the speed of transactions will also help optimize your conversion rates for maximizing
sales you can create a sales funnel through five key steps your consumer moves through each
starting from the moment they learn about your product to the moment they make a purchase
number one the awareness stage the awareness stage is at the top of the funnel and represents
your initial exchange with potential customers they become aware of your e-commerce business
your products and services and the benefits and solution you offer to their problems
the information and content you deliver to potential users are especially important at
this stage because it may highlight a problem consumers are unaware of convincing content
identifies your target audience introduces your brand identity and offers solutions to potential
problems for your customers the best strategy is not to try too hard but to deliver valuable
information focused on educating your audience on the benefits and using your products and services
the goal at this stage is to inform not sell whether your user is searching for a specific
product or searching for a service you offer they will learn about your company through a
web search seo becomes a crucial strategy if you want to end up on top of google search results
you can use several tactics to improve your search rankings and increase traffic to your
site one of the best ways is to write long form copy that educates your users with blog posts
but you can also use downloadable material like videos white papers and pdfs using short videos
or visual content through facebook ads can also be a good way to introduce your brand
ultimately you want engaging content that not only forms but also builds trust with new customers
since google largely ranks its results based on engagement or click-through rates your
best bet is to have interesting material that encourages clicking links or call to actions
number two the interest stage at the second stage you have a compelling copy that draws
your customers attention but not everyone who learns about your ecommerce business is interested
in learning more about it each customer journey is different and users have equally different motives
when they navigate your site if customers are interested they will initiate contact
they may subscribe to your newsletter download an article or become a follower on social media
you can facilitate your customers move through this stage by using different strategies
fast navigation is key if navigating between pages becomes a hassle they may abandon the site before
moving further in the funnel make your inventory searchable and use filters so it's even easier
for your visitors to explore your products and services another strategy is to include links
to your social media like facebook instagram or twitter it's a perfect place for potential
customers to chat and connect with your team to engage your audience even further you may
include a clear call to action however this isn't the time to pitch your actual product
instead offer something like a discount just for visiting a landing page or use
a pop-up offer that gathers email addresses in exchange for something your customer would value
for example this could be a helpful ebook number three the decision stage once consumers have
looked for the different products or services you offer they'll decide whether to buy from
your store here your goal is to convince them of the value and benefit of your product and prove
your initial claim to convince consumers you are a genuine brand you can use strategies that
highlight user reviews or word of mouth social media content expert reviews or case studies
sometimes reviews from recognized experts or authorities are necessary citing reliable research
and testimonials is a great way to support your claim because many look to scientific facts for
purchasing items clear product descriptions with high resolution images can also help
consumers decide especially with products that have a heavy visual appeal like clothing
artifacts jewelry and the like to give an extra nudge you can also offer things like discounts
free shipping gift cards and easy returns not only are these enticing promotions but they also
encourage further engagement from consumers to buy from you again number four the action stage
the action stage is the final push button in a customer's buying journey this is when your
customer follows through with their transaction by making a purchase facilitating the checkout
process is key since a smooth buying process gets them to the next step in the funnel to
buy again to improve your online checkout process you can focus on several tactics creating a sign
up process can be one of the easiest ways you can make the checkout experience more convenient by
having an account your customers can automatically fill payment and shipping information
have access to previous orders or reorder items faster it saves time and eliminates the hassle of
filing forms every time they make a purchase that said for other stores requiring guests to sign in
before purchasing may not be the best idea so do some testing here to see which method works best
yet another frequently used tactic especially for multiple step checkout processes is to have status
indicators that inform your customers where in the process they are when you have a multi-page
checkout it's important to have the checkout basket on every page so your customers don't
abandon the transaction to look for information about their purchase if you ensure your customers
that their personal and payment information are secure they are more likely to continue with the
checkout process having a constant reminder of secure purchases by placing security certificates
and messages in the footer of each page on your site will bring peace of mind to your buyers
lastly you can accept multiple methods of payment to meet your customers preferences this works
with card types as well as digital ways of payment like amazon pay apple pay or paypal
number five the repeat business stage the last stage in the sales funnel happens
after your customers make a purchase and is the ideal goal for any e-commerce business
to have returning customers who enjoyed the buying experience customer retention is crucial because
this group of customers can advocate for your brand refer a friend share their experiences
on social media and ultimately grow your business with referral sales or brand advocacy
this is why rewarding your loyal customers is an effective way to establish a strong customer base
you want the best possible experience for repeat customers with features like loyalty programs
gift cards or bonuses for repeating purchases discounts or prizes for best customers on social
media or vip invitations to exclusive events a good example is sephora's beauty insider program
which provides a private hotline and invitation to exclusive events for their most loyal buyers
those who buy a thousand dollars per year from the site they also offer other tiered levels with even
greater rewards further encouraging customers to shop with them again and again setting up a
loyalty program is super easy shopify woocommerce bigcommerce and magento all have plugins for such
programs you can improve these by tailoring them to your target audience like offering customer
surveys promoting the program on your site or social media or giving freebies or reward points
to get your loyal base going creating a sales funnel might seem like a complicated process but
it should be at the very top of your to-do list if you want to improve user experience generate
sales and increase conversions to learn how to measure the success of your sales funnel or how
to increase your conversion rate be sure to check out our other video in the description below or if
you need any help creating and implementing these types of powerful strategies feel free to contact
us to speak with one of our experienced e-commerce experts thanks for checking in with us today don't
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