Question

. Explain what the image of the Sales Funnel demonstrates.

Answer 1

A sales funnel is the marketing term for the journey potential customers go through on the way to purchase. There are several steps to a sales funnel, usually known as the top, middle, and bottom of the funnel, although these steps may vary depending on a company's sales model.

You start with a lot of potential customers who may have heard of your product or service. A smaller part of that group may want to learn more, and a smaller part of that group may actually contact you.

As the process goes on, you're talking to fewer people who are more interested, until you end up with the people who become customers. Chart it out, and it looks like a funnel given in picture:

Stages of a sales funnel:

1. Top of the sales funnel: awareness and discovery

The first of the sales funnel stages is called the “awareness” level, because it's where people first become aware of your product or service. Early in their journey, your potential customers are going through a specific problem and are researching and learning about it.

2. Middle of the sales funnel: researching solutions and showing interest:

In this stage, you’re no longer dealing with nameless and faceless contacts. They have now named and defined their problem, and they are looking into all available solutions such as products and services.

Questions in the middle of the funnel are no longer generic. Instead of asking ‘why’ questions, your leads are diving into a range of opportunities to remedy their struggles.

3. Bottom of the sales funnel: making an educated purchase decision:

Finally, the bottom of your funnel is when your leads now know everything about their problem, the best type of solution for them, and are ready to select the provider to purchase this solution from.