A sales funnel is a vital part of your marketing and selling process. With a funnel, you can identify and address issues and bottlenecks that can prevent your business from reaching its targets. As far as marketing techniques for leads go, a sales funnel is a way for your business to monitor people as they move through your website or interact with your business.
After all, even if you’re spending thousands of dollars on SEO getting traffic to your site, it’s unlikely that all your visitors will be ready to buy immediately. You’ll need to nurture your customers through your sales funnel and ensure that you have compelling content and information available at every stage of their journey.
What is a Sales Funnel?
If this all sounds like a bunch of words you’ve never heard before, here’s a quick breakdown of the sales funnel process:
The attraction stage is where you invest resources in marketing and advertising that brings people to your webpage. The conversion stage is where you give someone an offer that inspires a visitor to provide their contact information for a follow-up. A close is where you contact customers or provide touchpoints which leads to them deciding to buy, and the delight stage is the quality service you give your customers which leads to them becoming raving fans of your business.
An Example of the Sales Funnel in Action
To show this in action, let’s say you’re looking for a meal delivery service in Brisbane.
Attract: You go to Google and type the words ‘meal delivery Brisbane’. The search results show you YouFoodz, so you click on it.
Convert: On the home screen, a popup appears which prompts you to enter your contact details for the first 7 meals for $50 on your first order. You think this sounds like a good deal, so you enter your details.
Close: You’re pretty excited about getting your discounted meals you’ve signed up for, so you get started with your order. Before you know it, your meals have arrived.
Delight: You enjoy the convenience of getting your meals delivered, and you find out that YouFoodz offers you the chance to win free meals if you post on Instagram – so you do! This effectively turns you into a raving fan.
The Importance of Data
Now that you have a firm understanding of how a sales funnel works, we can move on to where you need data to improve critical parts of the sales process. Why?
Without data, you can’t possibly know what is going on, so you can’t improve it.
Remember: you can’t improve what you don’t track.
Traffic Sourcing and Engagement from Content
To build momentum at the top of your funnel, you’ll need to attract enough visitors to your website. Over time, the quality of your content – whether it’s video content, written content or otherwise – will help improve the quality of your leads. The traffic you need to be drawing on includes:
Blog views – You want to know that your top performing content is being duplicated in the form of additional blogs or video content that engages people in the same way.
Blog call-to-action (CTA) clicks – The position of your blog’s CTA might be affecting the number of clicks you’re getting, or it could be the quality of the content itself. Make sure you measure the number of clicks on your blog CTAs. You should also consider implementing a shuffle on the position or strength of your CTA.
Average session duration – This is important because it indicates how much your users are interacting with your website. Long session durations are good signs that they’re reading multiple pages and spending time on your webpage reading and engaging with your content.
Bounce rate – Helpful because it means that the initial impression of your content is good. A low bounce rate is best!
Pages/session – This statistic will show you how captivating and engaging your content is and its ability to compel people to read further.
Call to Action (CTA) Effectiveness
It is important to measure the effectiveness of your CTA – especially if you have good traffic going to your site. Remember that people might be visiting your site but not engaging any further. Split testing and playing around with the colour and style of the button on your CTA can be a way to improve your CTA clicks.
Landing Page Submissions
Make sure your landing page is giving the information you want. Any discrepancy between the data on your CTA click-through and your landing page goal completion (i.e. when your site visitor fills in their details) means that there might be an issue with something on your landing page. You’ll need this data to continue split testing and to improve your landing page layout and content.
This data is vital. Nurturing your leads through email is an important part of your marketing efforts. Your key metrics here revolve around making sure that your emails are compelling, engaging and interesting.
Measure your open rates, click rates and click to open rates.
Open rate: If your open rate is over 30%, this is pretty good. It means your headline and relevance of the subject line was enough to get someone’s attention.
Click rate: Click rate measures when someone clicked on a link within your email. This means that your emails have interesting content, good deals, compelling information and/or a clear call to action.
Click to open rate: This is some pro-data right here – you can find out how engaged the people who clicked on your email were. Even if you have poor open rates and poor click rates, you can see that the people who did open and click were very engaged.
From this data, you can re-segment your lists to create some super marketing efforts and double down on your nurturing. Using a mail delivery service like MailChimp, you can create new lists and nurture your leads based on what kind of engagement they had with the previous emails you sent them.
Importance of Data Follow Up
All these points make it clear that having data around every step of the sales process is vital to your business’s success.
You might have a good amount of traffic that is converting highly on your site, and you might send these potential leads information or a quote but then not hear anything beyond that stage.
If you’re getting a lot of enquiries but are closing very little business, then tracking each step in your sales funnel, from lead to the client, will help identify issues and resolve problems. And that’s where Kaibizzen comes in. They are a Brisbane business coach who can help you improve your marketing processes at each stage and help you grow your business.
By analysing these key metrics and working together to find the best solutions for present issues, you can start getting better results for you from your business.
The Kaibizzen Brisbane Business Coach Process
Here are a few words from Kaibizzen explaining their business coach process and how it can work for your business:
When Kaibizzen takes on a new client, the first thing they do is help them clarify what their bigger-picture goals are for themselves and their business. Then they reverse-engineer those goals to where the business is at now, in order to determine the fastest path to achieve what they want.
Typically, a bigger vision for the business involves increasing turnover and improving profitability, which often involves improving the effectiveness of the sales team.
To do this, Kaibizzen instructs the client to track every step in their sales process, from lead acquisition to client conversion. Kaibizzen then converts the raw data into baseline percentages, so that they know what part, or parts, of the sales process to work on first. By doing this, Kaibizzen knows what the business is currently achieving and what needs to be improved in order to achieve what the business owner wants.
Typically Kaibizzen initially has clients track the following processes:
- Number of leads per month (eg: 50)
- Percentage of leads which convert to an initial meeting (eg: 45 Meetings = 90% conversion)
- Percentage of meetings which covert to a quote (eg: 42 Quotes = 93% conversion)
- Percentage of quotes which convert to closed business (eg: 8 Sales = 19% conversion)
- Overall Lead to client Percentage (8 Sales/50 Leads = 16% Lead to Client)
Most businesses will tell you that they just ‘need more leads’. In this example, if the business doubled their leads (100), yes, they’d also double their clients. BUT – they’d have haemorrhaged 84 leads! This kind of leaky pipeline is very costly for businesses.
With a lead to client conversion rate of only 16%, this business needs to be strategic in their efforts. With the right strategy, they’ll increase their turnover and improve profitability without any additional marketing spend.
The biggest drop in conversion occurs between the quote and the sale. This is where the client will get the most return for their efforts, so this is the process Kaibizzen would prioritise its analysis of.
What sales process is being followed after the quote is delivered?
Is the delivery of the quote in alignment with the dollar value of the purchase?
How are quotes followed up and is the process documented?
How are the prospects being qualified and is it sufficient?
Who is accountable for each step of the sales process and how is it monitored?
Once the root cause of the issue is identified, a process can be implemented to rectify the situation. Once the whole sales process is water-tight from lead to sale, then the business owner can confidently increase the number of leads, knowing they are getting the best return for their marketing efforts.
Interested in trying out Kaibizzen’s unique business coaching process? Call them on 1300 524 296 to find out more about how you can keep more of your leads on track to become closed sales and raving fans!