Funnels in ecommerce

Today's post will be devoted to such important terms in the online sales, and in all sales in general, as «Funnel sales».

Online work on any site sell, whether or pager

an online store with thousands of titles can be divided into 2

components and to characterize the two words "number" and

"Quality", or rather the "quality conversion».

Let's start with the general, with the wording and

understanding of what this term and why it is needed, and then proceed to

Private, namely the use of the "funnel of sales" in the electronic

commerce.

«Funnel Sales» - economic term associated with the sales process. This term can express

ratio of the number of potential customers to the real.

«Funnel Sales» - this is the tool that

designed to evaluate the performance of the sales organization, namely

translated from the category of potential customers in the category, they get paid.

Anyone selling process can be divided into certain steps, stages,

stage or stages, as you prefer, and imagine. For each

step necessary to determine the appropriate indicators that will enable

judge the effectiveness of the work at each stage.

At each step, customers are less and less. "Funnel"

slightly incorrect term, is so named probably because of the shape. Why

The term does not quite fit, but because, as in a funnel is not lei

water, much of it in and out, and at the exit of water should be less.

More to come called "sieve", and the right is not so important.

Classic stages funnel sales »

1. Potential clients(unqualified leads / prospects).
2. Potential customers who had made first contact (opportunity size).
3. Interested potential customers (qualified leads) .
4. Customers in the process of discussing the price.
5. customers in the process of signing the contract.
6. Customers who paid the money.
   
   

   Stages "funnel of sales" in e-commerce

   
   

   
   

   

   1. Potential clients

   
   

   At this stage, should assess the estimated size of the target

   
   

   audience that will probably lead to your site or marketing

   
   

   online store. To assess this audience there are different

   
   

   services in the search engines and techniques used by

   
   

   professionals to promote the site.

   
   

   This step is very useful because you can learn about

   
   

   number of potential customers and to understand whether or not to expand a niche in

   
   

   which are going to work, or vice versa, and you can narrow down.

   
   

   2. Potential customers who had made first contact

   
   

   This is the percentage of potential customers who have switched to your site on

   
   

   page with a description of your products or services and the opportunity to add their

   
   

   in the basket through various channels: to issue the search engines

   
   

   contextual advertising, etc.

   
   

   At this point you can evaluate the quality of your advertising campaigns,

   
   

   work of professionals who promote your site in the

   
   

   general or specific proposals. Each channel to attract

   
   

   targeted traffic to their percentage of the transition to the second stage. Also, you

   
   

   can be concluded at some ways to attract visitors is

   
   

   spend time and money on what does not.

   
   

   3. Interested potential customers

   
   

   One of the most important stages. This is the percentage of visitors who

   
   

   add your item to your cart. This action indicates that the client

   
   

   interested in the proposed your particular product or service.

   
   

   At this stage, perhaps more accurately gauge how much to pay the potential buyer.

   
   

   Even if the person at the first visit could not be determined with the choice of

   
   

   product, you must create a mechanism for contact information

   
   

   visitor. This can be done by registering on the site. You

   
   

   say: A Novel, the visitor is not always immediately registered on the site! AND

   
   

   You are right. For it is necessary to provide any valuable

   
   

   information, or anything else (such as a discount on first purchase)

   
   

   in exchange for a visitor contact information.

   
   

   Now you have one of the most valuable assets, and two-step sales process starts, which will explain later.

   
   

   If the visitor just left from your site is meant to work in one of the following (or more) directions:

   
   

   • Invalid target audience
   • website design
   • convenience and usability
   • Providing information about products or services (price, selection, descriptions, photos, texts, etc.)
     
     
     4. Customers at the stage of ordering
     
     
     This step is rather technical. At this stage, the client receives
     
     
     information about the cost of delivery and payment options. However, the data
     
     
     factors also significantly affect the final amount of the order, as
     
     
     different delivery methods can differ by hundreds of rubles, as well as
     
     
     convenient payment methods.
     
     
     Therefore, at this stage you have to offer potential customers
     
     
     the most flexible and diverse forms of payment and delivery. Also, do not
     
     
     forget about the use of different marketing steps that would be an order
     
     
     still take place. It may be cumulative discounts, bonuses,
     
     
     gifts, time limit, price or quantity sold
     
     
     products.
     
     
     5. Customers paid money.
     
     
     Seller does not always receive the money after, formed the order.
     
     
     With cash on delivery, for example, there is a percentage of returns.
     
     
     Trite, the buyer does not come to the post office to get the goods.
     
     
     However, this stage may reveal weaknesses in the organization offline
     
     
     business processes (logistics, order processing, courier services and
     
     
     etc.), will calculate the approximate percentage of returns, and many other
     
     
     useful information.
     
     
     Typically, sales funnel shows:
     
     
     • number of clients at every stage at any given time;
     • quantity, structure, types of work;
     • bandwidth of each stage (what percentage of customers have successfully migrated from stage on the stage);
     • duration of phase;
     • average sales;
     • percentage of successful sales in total;
     • sales dynamics.
       
       
       Tips
       
       
       Usually, at which point a sharp narrowing of the funnel, there
       
       
       the problem is in the sales marketing site. Notice it
       
       
       very easy, the number of potential buyers in the next step
       
       
       drops sharply.
       
       
       If the restriction from the top - the problem with the quality of the target audience, if the restriction from below - the problem with the quality of work.
       
       
       If we divide the sales period for short or long, the longest
       
       
       period (from several months to a year) should be expanded funnel
       
       
       above. In a short period to work with clients to keep the bottom,
       
       
       climbing up through the levels, like pushing down on customers
       
       
       levels. Long period is intended to expand its customer base,
       
       
       short period of time - to perform faster sales.
       
       
       If we consider the optimization of sales through the Internet, the ultimate goals may be:
       
       
       1. increase in the percentage of potential buyers who are realistic (the last full cycle).
       2. Accelerate the sales process (reducing the time spent on each phase of work with clients).
       3. exception of a few stages, and as a consequence, the increase% in the first paragraph and accelerating in the second.
          
          
          Here we remember about the third stage. I wrote to you all
          
          
          must obtain a visitor contact information. Later work with
          
          
          this group of visitors with those who have already made at least one order
          
          
          will reflect a second, more efficient and cheaper "funnel sales».
          
          
          second funnel already excludes 1 and 2 stages discussed above, and
          
          
          clearly shows that retention of old customers, not only that more
          
          
          Budget, but also more effectively at equal cost.
          
          

          all success, selling more!