A sales funnel is a visual representation of the journey potential customers go through from their initial awareness of a product or service to the final purchase decision. It typically includes several stages, such as:
- Awareness: The potential customer becomes aware of the product or service through various channels like advertisements, social media, or word of mouth.
- Interest: The customer shows interest by seeking more information or engaging with the content.
- Consideration: The customer evaluates the product or service, comparing it with alternatives.
- Intent: The customer expresses a clear intent to purchase, such as by adding items to a cart or requesting a quote.
- Purchase: The customer completes the transaction and makes the purchase.
- Post-Purchase: This stage focuses on customer retention, satisfaction, and fostering loyalty to encourage repeat business.
The funnel concept emphasizes that not all leads will progress through each stage, and businesses aim to optimize each stage to increase conversions and drive sales.