If you’re in charge of a small business or startup, maybe you’ve seen other similar businesses follow what seems to be a formula for growing sales. If it seems a bit formulaic, it might be because it is. The tactics these other small businesses and startups are following are called “sales funnels,” so named because they are designed to take your prospective client from the beginning of the sales process to the point of purchase. While you won’t see a closed sale on every interaction, sales funnels are designed to automate and anticipate your customer’s needs at every stage of the process for your small business or startup.

To understand what sales funnels are and why they work, it’s important to understand the main parts of the sales funnel. Starting at the top, your small business’s customer first experiences awareness, then interest, followed by evaluation, then decision, and finally purchase. Each of these steps is an important part of the sales process, and the reason it’s called a sales funnel is because the process is somewhat designed with the idea that not every customer that starts the process is going to end up purchasing your startup or small business’s product. The process begins with your customer becoming aware of your product, progresses to a point of piqued interest from your customer, gives them the information they need to make a decision, and leads them into the purchase. When you use a sales funnel effectively, you can remove all the guesswork from the sales process, both for your team and from your customer.

In order to build a successful sales funnel for your startup or small business, one of the things to keep in mind is that your business is going to have an ideal customer. When you use your sales funnel to target this specific customer base, it’s going to be more successful than when it remains untargeted. That said, if your small business or startup offers multiple products and services, you can also use multiple sales funnels to achieve your goals. Keep this in mind and your sales funnels can be more successful. 

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