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Note: Anna Kucirkova provides today’s guest blog, “How A Sales Funnel Will Build Your E-Commerce Business.”
Anna is a copywriter, speaks three languages, and has a passion for writing. While she has visited many places in Europe and SE Asia, she still wants to explore the rest of the world.
You’ve probably heard of sales funnels, but how do they work? And how can they improve your e-Commerce business? Here’s what you need to know.
A Sales Funnel Will Build Your E-commerce Business
Here’s How E-commerce, when taken as a whole, is incredibly broad. And the reality is that you can buy almost anything online.
Physical products, consulting services, even trips to faraway places are ready for purchase. If you can sell it, you can buy it from your smartphone, tablet, or laptop.
For a seller, and in particular, a first-timer who’s trying to get a business up and running, this massive amount of competing goods and services can be daunting lto navigate.
It doesn’t need to be though.
When you take a step back and see through the noisy and crowded aspects of the billion-dollar behemoth that online sales have become, you can narrow down your path to potential success with three simple steps.
- Acquire traffic.
- Get customers.
- Close the sale.
Easy enough, right?
Unfortunately, many e-commerce start-ups struggle to get their business moving because they are unable to find the right buyer or enough of them.
There is, however, a straightforward method of achieving e-commerce success.
The Sales Funnel ~ Your Traffic, Your Customers, Your Terms
Everyone knows how a kitchen funnel works. Splash in a large volume of liquid at the wide open top and from the narrower end comes a steady and more manageable stream.
A sales funnel works the same way, through four basic steps:
- Target Your Advertising
- Connect With Potential Customers
- Build Relationships
- Close the Sale
Draw in an ideal group of potential customers or traffic and qualify them down to a more functional group of would-be buyers.
The trouble is, in a rush to get our e-commerce businesses going, a lot of us undervalue a cohesive, multi-layered plan like the sales funnel. We instead opt for a quick hit volume approach.
For example, let’s say you create a generic add that aims to appeal to as many people as possible. You throw it up in a few spots online where you think you’ll capture the most eyeballs and sit back and wait.
You’re excited to see people click on your ad, go to your E-Commerce store, and then immediately purchase.
Good idea, right?
Not so much.
You’ll undoubtedly connect with a large group of people with that method. But, there’s going to be a lot of people in there who aren’t that interested in what you have to offer.
To find success, you’ll have to weed through all of the uninterested parties to locate the people who are genuinely interested.
By taking the volume approach with your traffic, you end up wasting valuable time and effort trying to sell to people who have no intention of buying.
The tire kickers, if you will.
Further, by spending all of your time at the front end of the sales cycle, trying to warm up cold traffic, you have very little time or resources remaining to sell to the people who care.
Sure, this approach might pay off in getting a handful of sales, but the effort exerted for those sales is anything but efficient.
So how do you start from a more advantageous position?
Let’s jump into what makes the sales funnel the ideal approach. Target Your Advertising
The first step in your sales funnel is to build awareness and attract the right customers. However, you’re not seeking out just anybody, you’re seeking those more likely to do business with you.
In this stage, you need to make a compelling initial argument as to what you can offer the prospect to pull them into your funnel. Inform the potential customer why your product or service is a better solution to their problem than that of a competitor.
In some cases, the customer may not even know they have a problem. It’s your job to present them with the solution in your highly specific ad, blog post, or social media post.
Regardless of the initial spark, you need to gear your ads and content to those who stand to benefit the most. Next, ensure the content drives the customer to a landing page. Then engage your interested audience directly and start the funnel process.
Ensure that your ad makes a compelling argument for prospects not just wanting to find out more but believing they need to find out more.
Let’s first review what is arguably the most vital step in the funnel process.
Qualifying Your Customer
The secondary level of your funnel is customer qualification. It’s where you separate the pretenders from the contenders.
The landing page we mentioned is where it comes into focus.
You utilize that landing page to expand your message, offering the prospect a more detailed look at your product or service. The process draws them into your funnel.
A good landing page is vital to the process. It is the spot where you can offer a small freebie in return for their contact info. It could be any of the following:
- A free-download such as an e-book, guide, or report
- A free trial of a service or product
- A webinar that is set up to provide a more direct explanation of your offer
- A video similar to the e-book or report or the webinar
Websites, as a general rule, should not be used as your landing page. They serve a broader purpose and can easily distract a prospect from the information you want them to consume.
But if you do place your website in your funnel. ensure you have compelling materials set up to engage the prospect.
Remember, the ultimate goal is to get your prospect to commit to exploring the product or service further and moving on to the next level of the sales funnel.
Build a Relationship
This phase of the funnel uses many names to describe the process – education, evaluation, decision. We are fans of the first description. Your ability to educate the prospect will prove vital to building a relationship with them and acquiring a sale.
Your approach will vary greatly, as you can structure this section of the funnel based on your product, service, or industry.
Although we mentioned webinars in the customer qualification section, they would work well here too. Webinars are a more personalized layer of educating the prospect. They are also more likely to lead them into direct engagement with you or your team.
You could also implement a case study or show how your customers use your products. Even blog posts that are related to your product can be helpful. The goal is merely to help potential customers envision how they can benefit from what you’re selling.
Also at this point, have your prospect complete any application or paperwork that might be part of your sales process. Documentation is another layer of qualification, but it will also tell you who is closest to making a purchase and who might need some additional attention.
Close the Sale
Up to this point, you:
- Identified a quality pool of traffic
- Further qualified those customers into high-value prospects
- Provided those prospects with reasons why your e-commerce solution is the better choice for them.
The part of the funnel you’ve been waiting for – the sale – is where the hard work of setting up and refining your sales funnel pays off.
Similar to the relationship phase, you should build this portion of the funnel around what works for your company. In some cases, combining these two steps could be worthwhile if your relationship building merges well with concluding the sale.
Regardless of how you set it up, you want to have a clear call-to-action at this portion of your funnel. You’ve developed a relationship with your customers at this point. They should trust you and have a sense of knowing who you are.
Because you’ve built this trust, you’re in a place to make the “ask.” You can call them to purchase something from you.
You don’t want to be wishy-washy at this point. You’re trying to get the customer to purchase. So whether you’re communicating via email or phone, clearly communicate restate briefly the reasons why a purchase is a good idea. And then ask if they are ready to commit.
There’s no doubt the sales funnel would seem daunting if you had to do it all manually.
Setting up all the emails and landing pages and personal connections would take forever. Thankfully, you don’t.
The sales funnel shows its true advantages when it’s automated.
The automated sales funnel brings the customer to your doorstep. These are customers you want. They are prospects that have a higher chance of success for finalizing the sale.
Recapping Sales Steps:
- A targeted ad
- Qualification through the landing page
- Relationship Building via a variety of means
In automating three of the four levels of your sales funnel you and your team have more time to work on the essentials. Dedicate more time to sales via the funnel and provide customer services to those who already made a purchase.
The Facebook Factor
So how can you get the sales funnel to work for you? That goldmine is Facebook.
Aside from being the go-to social site to keep up with everyone, Facebook is an incredibly powerful marketing tool for your e-commerce business.
It’s also one of the best places to start putting your automated sales funnel in action. It’s the initial place where you make contact with possible customers.
Facebook has data that you can utilize to bring your ideal prospect into your sales funnel. Using the Facebook ad platform, you can access a wealth of information to target your perfect client. Using the platform goes way beyond your basic demographics.
With a Facebook ad, not only can you pinpoint a prospect’s age, income, and education level, but also their behaviors, interests and of course, their likes and dislikes. The site allows you to build your marketing campaign around those that will most likely want to engage with you or your company.
Just think what your conversion ratio would be if your prospects have been pre-qualified long before they see an ad.
Will your automated sales funnel instantly double your conversions and send your revenues skyrocketing to the moon? Probably not.
We can tell you, that once you launch your sales funnel, you’ll see improved efficiencies and a lot more quality customers.
As you continue to refine that funnel, you will be witness to:
- More compelling and direct ads Improved landing pages
- Increased personalization of your pitch
- The ability to more easily earn the sale
You will come to realize the most lucrative aspect of having one.
Revenue. Lots and lots of income. Article originally published here.
For More Insights: Visit Elinor’s Amazon Author Page
“Communicate to Attract Interest”
As the CEO of Smooth Sale, after her near-death experience, Stutz adapted the motto, “Believe, Become, Empower.”Nice Girls DO Get the Sale is an International Best-Selling and is Evergreen – among the classics; HIRED! Helped many to secure the job they desired.
Today’s insights are provided to help you achieve the Smooth Sale!
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