- What Is a Conversion Funnel
- How Do You Create a Conversion Funnel?
- Why Is It Better to Reverse Engineer a Digital Marketing Sales Funnel
- The Stages of Conversion Funnels
- What Is an Average Conversion Rate of a Conversion Funnel?
- How Do You Know That a Sales Pipeline Is Built Right?
- The Process of Reverse Engineering Your High Ticket Funnels
If you are looking to build a conversion funnel for your service based business, chances are that you are going about it the wrong way. In fact, most people do. They simply plug in a template and expect the money to roll in. Reverse engineering the process will give you more clarity and traction, and you can budget your campaigns better, too. This post will cover what a conversion funnel is, how to design and implement it, and the mistakes to avoid.
What Is a Conversion Funnel
A conversion funnel is simply a term people use to describe a funnel that is built around getting you conversions. Its main focus is to get you more clients, engage with your target audience, and convince them that what you offer is exactly what they are looking for, and it is a valuable service.
While the AIDA model is often used to describe the conversion funnel, there are other methods to work it. The key is not the model, but reverse engineering the process.
In the Aida Model, you will need to first generate awareness, then you will need to get people interested in what you are saying, get them to consider your solution, and finally take action (conversion).
But what if you started with the end in mind? Would it make a difference in your conversions? Of course, it would. So, let’s explore the way you properly engineer a funnel for conversions.
How Do You Create a Conversion Funnel?
We have created a 7-pillars model of marketing ©. It is different from the AIDA model, but it does use some of the elements of AIDA. However, it does go beyond conversions, and provides a more actionable model than the previous ones. It is trademarked to LMNts Marketing, and we will be creating more content around it in the future.
Here are the seven pillars you need to build a successful marketing strategy:
- Lead Magnet + Qualification
- Irresistible Offer
- Follow-up (relationship building)
- Reciprocity (make them feel grateful)
- Like-Me Moment ©
- Fear of Missing Out (Sense of Urgency) and Action
- Raving Fan Stage
As you can see, this is a much longer process than most marketing experts recommend. And it involves at least 15 different interactions with your ideal clients, to make sure that they are educated enough to make the right decision, and they have a positive sentiment about your business. If you don’t tick these boxes, you will not get conversions.
I mentioned before that you will need to reverse-engineer this process. That means that you have to create a plan with the end of mind
- How much revenue you would like to generate
- How many clients do you need to get there
- How many brand ambassadors you want
- How many percent of your clients you will have to wow to get there
Once you have the numbers written down, you can start the reverse engineering process.
Why Is It Better to Reverse Engineer a Digital Marketing Sales Funnel
It is easier to reverse engineer a conversion funnel than building it up from the ground. Every step you go back, you will be focussed on the previous one, so you will be able to create the right messages, the right offers, and the right lead magnets.
Let’s say that you are a life coach and would like to make £50,000 by enrolling 20 people to your high-ticket group coaching programme. You also would like to get 5 raving fans who will shout about you from the rooftop. Where do you start?
It’s simple. You will first create the offer for the coaching programme and the offer for referring people to you. Once you have that offer, you will have to think about how many people you need to reach the “Like me Moment © to get 20 new customers. Then, you go ahead and create the content and freebies that will create reciprocity. You go on to designing the follow up and irresistible offer (often a low ticket offer) and the lead magnet based on your ideal client persona.
Along the way, you can map out the stages and work out how many people you need to reach that stage to get your ideal outcome. Remember that marketing is a numbers’ game. So, you have to work with numbers.
The Stages of Conversion Funnels
The main stages of conversion funnels, according to our analysis is: awareness, interest, reciprocity, like me moment ©, conversion (action) and raving fan stage.
We have added the “raving fan stage” because it is very important to build your reputation and keep on growing your business for free. The more raving fans you have the more free referrals and leads you get without having to pump more money in your marketing. This way, you can leverage other people’s network and time. It’s a win-win situation, too.
The stage of the funnel that will take the longest time to build will be the middle-of-the-funnel.
You will have to focus on creating value. Not just any value, but content and information that your audience finds valuable, And that’s something completely different.
That’s why you always need to make sure that you have your ideal client avatar developed as clearly as possible. You should never start building a funnel without knowing the exact problems your audience is facing. If you need help with your ideal client avatar, we have an amazing breakthrough session to help you, Check it out here.
What Is an Average Conversion Rate of a Conversion Funnel?
It is a tricky question. On average, the average closing rate of a funnel is between 3 and 7 percent. But it will depend on many factors, such as your message, your marketing plan, and your market.
This means that you will need to get 100 people to enter your funnel to get 3-7 clients. And that’s not going to happen overnight, either. As I mentioned, you will need quite a few interactions with your audience until they feel like they trust you and they are ready to buy. So, let’s say that you want to get 20 new high ticket clients, you will need at least 500 people on your list. Is it hard? Not if you know your ideal clients and pick the right marketing channels. And that’s where our custom funnel marketing strategy service can help.
How Do You Know That a Sales Pipeline Is Built Right?
Of course, you will have to test and tweak your conversion funnel along the way. That’s why we offer a monthly funnel marketing package for businesses. There are many things you can adjust to achieve even higher conversion rates. For example, you will be able to adjust the headline, the buttons, or even the targeting.
So what are the signs that your marketing funnel is built well?
High Engagement Rates
You will see high engagement rates throughout the funnel; from website visits to email open and click rates. Testing and tweaking really works. Some of the campaigns we send out have up to 40 percent click rate,because we have managed to zone in on the messages that really resonate with the audience. If your landing page has a low engagement rate and a high bounce rate, you will probably have to go back to the drawing board.
Connects with Your Buyers’ Journey
A good conversion funnel will be built around the habits and behaviours of your ideal clients. It will be following them on their own journey, slightly adjusting their path, driving them towards taking action. So, to really build a high conversion marketing funnel, you will need to know where your audience hangs out, what their most urgent needs are, and what their preferred communication channels are. Get any of these wrong and you will kill your conversions.
You Get The Right Type of Clients
A surefire sign of having a great sales pipeline is getting the right clients. It’s easier said than done. It is important that you qualify your leads within the funnel, or you will be wasting your time on people you cannot help anyway. We definitely had our share of nightmare clients before we figured this out, so don’t be afraid of missing out; make sure you only work with people who are serious enough and who will be a pleasure to work with.
Your Clients Become Raving Fans
If you are delivering exactly what you promise and what your prospects want, chances are that you will have a few raving fans. They will like, share, and comment on all your posts, recommend you to their connections, and even write testimonials or recommendations. We have had a couple of clients ask if they could do a testimonial or testimonial video. I’ll tell you why. Because we offered exactly what they wanted and delivered exactly what they needed, and more. The more you over deliver and under promise the better chances you will have to get raving fans.
You Constantly Wow Your Clients
It’s obvious; once someone bought into you, they will be constantly on the lookout for what else you have to offer. Once you have created the trust and your clients have reached the “Like Me Moment” ©, you will get repeat business from them. We have had clients who did an ideal client exercise with us, and 6 months down the road when they were ready came back for a Marketing SWOT. And they still booked coaching sessions after.
The same applies to the marketing agency side of the business. We have worked with clients, who saw what we could do with their SEO, and came back to get a funnel designed by us.
Never stop pleasing your clients. After all, you know what happens to your relationship when you start forgetting about the anniversaries and stop doing the dishes…
The Process of Reverse Engineering Your High Ticket Funnels
It’s time to summarise the above concept and give you a full roadmap to reverse engineer your conversion funnel. We will go through the process so you can get started. And remember that if you need any guidance you can always contact us.
Set End Goals and Conversion Targets
The first step is to set end goals and conversion targets. So, you want 100 clients at an average spend of £1,000? Great, now you will need to figure out your end conversion rate; it can be 5 percent, for example.You will have to figure out how many people you need to reach to get to 100 conversions.
The action stage is the final step of the funnel before the “raving fan stage”. You have to determine how many people you want to convert into clients. Take into consideration the dropout rates and the cancellations. If you have historical figures to work with, make sure you adjust your numbers.
So, to get 5 percent of people wanting your services to buy, you will need 20 times more people on the Demand stage than on the Action stage. That’s 2,000 people. In simple language; 2,000 qualified leads who are considering your solution.
Only about 40 percent of people who show interest in your offer will actually reach the Demand stage, so you will have to have people to be interested in your offer, so you will need 5,000 people showing interest (maybe sign up for the lead magnet or watch the gated content)
The landing page conversion rate averages between 15 and 20 percent for good funnels. So, you will need to reach a minimum of 25,000 people through advertising channels or social media,
If you are selling the programme for £1,500 each, and you get 100 clients, you will make £150,000. As long as you can get the traffic and the funnel built for less than that, you will be making a profit. And a funnel will not cost that much compared to how much value it adds to your business. Want to know how much is not that much? Check out our funnel cost calculator.
Now you know all about creating a high conversion funnel. Get started brainstorming by downloading our ideal client exercise.
A word of warning though; not everyone is ready for a funnel yet. Thankfully, we have created a great resource that will tell you whether it is a good idea to invest in a funnel or not. Take the Big Sales funnel Quiz to find out where you are.
In case you are confused about what you should include in your conversion funnel and product infrastructure, it might be a good idea to start with a Marketing SWOT. After that, we can go ahead and design an evergreen funnel for your business that will carry on working 24 hours a day, 7 days a week.