Achievement of an effective marketing funnel conversion occurs when brands understand what influences a customer’s buying decision.
By understanding their customers’ buying journey and the factors that affect buying decisions, brands can increase their chances of making a sale. However, businesses should avoid making the mistakes that customers may find objectionable. This article will provide the opportunity to learn about ecommerce marketing funnels, conversion strategies, and the mistakes when building one.
What reasons are there for a customer’s decision to buy?
Cost and convenience have always been at the business forefront for most E-commerce brands for a decade. Low prices, efficiency and ease are top motivators for a consumer when choosing stores, products or services. However, these are not the only drivers. Encouraging customers to buy and become loyal to a brand depends on a range of drivers. It can further vary by demographic, age and a lot more.
Some businesses make the mistake of thinking that low price and a simple shopping process are what most customers look for. While this may be true, it can also change from one person to another. Failing to understand the dynamic nature of leads and customers may easily hurt a brand.
People purchase when a product or service fits who they are or how they see themselves (or both). Brands should take the time to know who their customers are, who they want to be, or how they perceive themselves to be.
Customers buy to experience something. Apple stores are the best example of the power of customer experience. They give buyers who visit Apple stores the chance to experience their beautifully designed products. Once customers enjoy this experience, the gadget is often hard to ignore. Through customer experience, Apple can beat a tight marketplace.
Value is a critical driver in persuading customers to buy. Amazon customers value the ease of buying and usually find a range of affordable products on the website. Whole Foods customers put a high value in buying from a store that sources products responsibly, not minding the higher price. Brands should always consider unique selling points for their customers.
Brands should identify common problems that their audiences are facing. Providing products or services that will solve daily issues should always be a priority for every business.
Linking a product or service to a part of a community is a massive motivation for customers to buy. For example, consumers who identify themselves as breastfeeding mothers or college students. Customers always look for ways to connect emotionally with a product or service before a purchase. The best way to prompt a connection is to target a specific niche.
Applying Jobs-to-be-done Theory
Many companies sell their products or services to their customers because their key strategy is to provide an irresistible solution. The Jobs-to-be-done theory simply asks, “What job is your product hired to do?”.
For example, consumers would say they purchased a driller to “create holes into fixtures or furniture”. However, if a drill company looked at the higher purpose of creating holes, they can say, “use a driller to try DIY decorations”, then it might forgo some efforts to make better drillers instead. They may consider developing an especially designed fixture and furniture that doesn’t need a driller. The JTBD concept is all about innovating the products and services so that customers see it in a completely different light.
How Common Marketing Funnel Model Mistakes are Made
A sales funnel is the core of any marketing plan. Understanding common mistakes is critical in helping brands achieve success. Even the biggest, most commercially successful brands are always working to improve their marketing funnel and conversion rate, and the tool can make some serious mistakes.
Not engaging the leads in the right way
Failing to keep the interests of recent visitors is a big mistake that brands should avoid at all costs. This can happen when the landing page does not automatically address the specific needs of the first-time visitors. When customers are not sure what their next steps should be, they will walk away and explore the website on their own.
Brands should have a series of dedicated landing pages which are structured in a way that puts the best foot forward in the business. According to data published by Hubspot, 92% of marketers consider landing pages to be highly effective in converting customers.
Not tracking enough data
Marketers should focus on smaller data like exit pages, return visitors and scroll patterns. Remember, while big-picture data like page views and bounce rates are important, small data also plays a huge role in providing actionable insights for the sales funnel.
Using weak Call To Action
The best way to convince customers to do something is to invite them. Using smart CTAs is a tremendous help to everything within your digital marketing funnel. It will inspire users to do something on a website when they are moved in the right way. Brands need to ensure that they create a sense of urgency and use unique action words to encourage customers to complete their purchase. CTAs are not only applicable to your website but also on all your channels, including email marketing efforts and social media.
Failing to nurture the leads
Brands should constantly ensure leads have brand awareness. Therefore, content marketing is always a crucial part of running an online store. Consider using marketing funnel automation tools like content segmentation to ensure that drip-feeding personalised content to leads is successful. It is important to use lead scoring to identify which contacts are ready for the sale and when to move them through the funnel. Some of the best software that helps nurture potential customers are Smartech, SendX.io and Omnisend.
Not testing multiple payment gateways
When building a purchasing funnel, brands need to consider the right type of payment gateways. Payment methods in the real estate industry may not work in the e-commerce sector. Another consideration is the number of allowed payment gateways. It may not accommodate too few options and specific types of customers. Too many options may scare some leads because of the sheer number of choices.
The best solution to boost growth is to test combinations of various types and numbers of payment gateways. Consider these popular payment options: Paypal, Stripe, Google Pay, Braintree, WePay and Authorize.net.
What examples of Marketing Funnel Conversion tactics are there?
Even the biggest brands use marketing funnel. Here are some of the best marketing funnel examples you can use for your own business.
With over 130 million subscribers in 2019, and still growing, Netflix makes the heart of its marketing strategy an excellent sales funnel. Netflix features 5 stages of the marketing funnel, which include:
- Lead page–Their lead page features a simple yet powerful offer, “See what’s next.” They also included a powerful sub-heading (Watch Anywhere. Cancel Anytime). Their call to action button also conveys a powerful message, which allows customers to enjoy a free trial.
- Choose your plan–The second page is also simple. It allows users to choose a plan and reminds them the trial will not charge them. Users will also receive a reminder email if the trial is about to expire.
- Choose a price–The premium page is visually different, so customers have a sense that they are signing up for the best value ever.
- Sign up page–Customers enter their email address and click on the continue button.
- Payment page–The last step is the payment stage, where Netflix will ask for the credit card or PayPal details.
They employ a straightforward marketing funnel conversion tactic where they talk to the customers every step of the way.
A popular email autoresponder tool, Convertkit uses a simple 4 step marketing funnel that targets creators both of digital content and physical products.
- Landing page–The landing page features an easy-to-understand headline and two calls to action buttons. “Get a free trial” and “Watch the Demo”. The color coordination between these two buttons encourages users to click on the green free trial button.
- Survey Questionnaire 1–Once users click on the free trial button, it will lead them to a page with a series of questions. The questions should help ConvertKit understand “who” wants the free trial. It also enables the brand to personalise its messages.
- Survey Question 2–Once leads can answer the first question, they will receive another page that asks, “If you have a website or not?”. Again, this is the brand’s way to help deliver unique messaging. Throughout the entire funnel, users will also see a progress bar, which shows how many steps left to complete the purchase.
- Sign up page–The last page is a sign-up page where users can drop their information. Customers who reached this page are most likely the ones who will buy the product or service.
ConvertKit’s marketing funnel is extremely effective because it collects very important data. These data help the brand understand why the customer is there and what the customers need.