Why do only 10 out of 100 people interested in your product buy? It's all about the sales funnel — and now I'll tell you how it actually works.
One of the most important concepts to understand when running any business is the sales funnel. The reason is that every business in the world, no matter how small or large, has some kind of sales funnel.
Interesting fact: some businesses don't even realize they have a sales funnel.
How a sales funnel works in business
It all starts with marketing. With marketing, you tell your audience about your product or service — it creates awareness and interest in your product. As a result, some people start to pay attention to what you do. They contact you and become leads.
The sales team then works with these leads and tries to convince some of them to make a purchase. The leads that start to move closer to making a purchase become prospects. And eventually, some of these prospects actually buy — they start spending money.
By the way… You can try out how a sales funnel works right now! Just follow the link in the description of this video with free access to the CRM system
The main reason why it looks like a funnel is because not all people who initially showed interest will become customers, i.e. purchase the product.
In fact, at every stage, some people are eliminated. It is very rare that out of 100 interested people, all 100 will buy from you.
Unfortunately... it doesn't work that way.
The importance of optimizing your sales funnel and increasing conversions
Therefore, your task is to optimize the sales funnel in such a way that the conversion from people who showed interest to those who made a purchase is as high as possible.
And this is a whole science that businesses are constantly trying to improve: they test, analyze, and track absolutely everything that happens in this sales funnel.
This is a fundamental thing that you simply need to understand in your business.
You must clearly formulate for yourself:
- How do you generate leads?
- How do you convert leads into customers?
And it's also very important to realize that when you treat your customers well and they're happy, they become your ambassadors. They actually start marketing for you.
If customers are happy, they recommend you through word of mouth or share your content on social media. This creates new awareness and interest.
After that, some people come to your website, fill out a contact form, and at that point they become leads. Your sales team then takes that lead, actively works with it, and contacts that person. Those who show more interest move further down the sales funnel, and eventually some of them become buyers.
Now that you see that a sales funnel is not that difficult, it's time to start implementing it in your business. Follow the link with free access to the CRM system in the description of this video and try everything yourself in practice.
