What is a sales funnel?
A sales-funnel approach is a marketing strategy whereby a business attracts new clients, and leads them along a particular pre-destined route towards a sale or becoming a customer.
The sales-funnel approach is mostly used to get fresh clients by offering services or products for free rather than attempting to convert them into paying consumers.
In different cases, the sales funnel comprises getting buyers to buy more valuable items with time.
Social media is a good way of proving customers with ‘free’ services like content, Q&As, and fresh engagement.
How does a sales funnel work?
Here are the steps that a sales funnel uses to generate new customers:
- You offer an entry-level product (for cheap or free) and allow a customer to try you out.
- After having a trial with you, customers will feel more comfortable purchasing something from you, or visiting you again.
- The more someone can obtain from you, the more likely they are to buy from you.
- A sales funnel is a good way of encouraging long-term profit rather than short-term one-time purchases from customers. Is profitability or growth more important for a business?
- It is all about developing loyalty from your customers.
Consider business coaching
If you are a medical or healthcare business, you can still use a sales funnel to promote your services, whether they are free or not.
For those in health, science or dental marketing, there are many companies that are specifically designed to help you. Want to know more about business coaching? Click here.
Benefits of a sales funnel
- Improve sales revenue
- You will increase your conversion rate
- Easily helps you to predict sales volumes. More.
- You can identify the products that are less popular, or remain unsold
- More accountability for your sales
Marketing your products becomes simpler
When you have a sales funnel in place within your business, you will gain an accurate view of how many leads go into the top of your sales funnel, and the number of those it finally converts to active sales.
This will enable you to invest your money and time in the right products and sales strategies that work for your business.
Business strategies tend to vary, but the sales funnel is a proven way of expanding your business horizons and sales.