Definition:
The conversion funnel or funnel is a concept used in e-commerce to describe the journey a consumer takes through an internet advertising or search system, browsing an e-commerce website, and eventually converting to a sale.
The metaphor of a funnel is used to describe the decrease in numbers that occurs at each step of the process.
Why are funnels used?
A funnel equals planning, strategy, and subsequent conversions.
Here are some of the reasons to create and analyze a conversion funnel:
- You can reduce the number of steps a user takes to become a lead or customer, so you get better results quickly.
- It makes the web business have a lot of performance,since the whole strategy is oriented to make recruitment and sale online.
- Communication is only done with qualified users, so mass marketing loses strength.
- Exclusive offers and discounts can be offered for users who are interested in the product or service.
- With funnels you can better analyze the needs of customers and make the relationship with them more effective and personalized.
The different phases of a funnel
5 phases can be distinguished in the conversion funnel:
Acquisition
This phase consists of publicizing the brand or service through online marketing strategies such as content generation, SEO optimization or participation in social networks. The aim is to attract as many users as possible.
Activation
In this phase we try to gain, little by little, the trust and interest of users.
Retention
The goal is for users to spend as much time as possible on the web to be able to retain them. In this phase it is very important that users become registers or leads. The purpose is to keep track of these contacts by using these data.
Sale
It is the end of the funnel or conversion funnel. It’s about transforming users into real customers.
Reference
Once the sale has been made, you must have a good after-sales service. This ensures that the customer is satisfied, so he will make a purchase again in the future and recommend the service to his contacts.