Every Online Business Needs A Sales Funnel

Kim Barrett Sales & Marketing Automation 3400 Comments


Wherever there’s monetisation in progress, a sales funnel of some sort is needed. If you’re new to business – whether it’s an online or bricks and mortar business – you might wonder what a sales funnel is and why it’s necessary.

Here’s the deal…

If you have a business where a product or service is purchased by a customer, you need a way to put your product or service in front of a crowd of people; to interest some of them; and to convince at least a few of those who show interest that they need to buy. During this process, you are drawing people through a ‘sales funnel’.


It’s not so different if you have a blog and monetise it. You attract a crowd of people who like what you offer them as information, so that they visit your blog, click on the advertising, and BOOM! The advertiser pays you for every click. You’ve created a ‘sales funnel’, where the click is the ‘purchase’ – even if someone other than the clicker pays you for it. Or you can monetise by selling space to an advertiser and getting your money up front. And of course, you also have the opportunity to sell products or services directly to the people who come to your blog.

So what does a sales funnel look like? Essentially, it looks like a funnel. Or an ice-cream cone. It’s filled with people with an interest in what you’re selling or promoting. Check out the diagram below… see how pointy it is at the bottom? It’s smaller at the bottom, where your customers or ‘conversions’ are, because out of that
big crowd you showed your goods and/or services to, only a few will actually buy. It’s bigger at the top, because that’s your undifferentiated ‘crowd’, though hopefully you’ve sent out a message that will attract a targeted or interested crowd, so that you have a good number of ‘prospects’ in the middle section. It’s from this middle section that your few buyers will emerge.

Here’s a list of the people who are populating your sales funnel. Remember that they are people, just like you, so treat them respectfully and look after them – you got them into this situation!!

  • Leads – anyone who’s aware of your business or who you are chasing for a sale. The big crowd.
  • Prospects – someone who is in some sort of contact with your business. They might have signed up for a newsletter or shown interest in some other way… sometimes they’re referred to as ‘qualified leads’.
  • Customers – this group of people have purchased from you, at least once, and perhaps more than once. They deserve all the care and attention you can give them!

There’s a glimpse of the sales process and the sales funnel. Of course, there’s much more to say and much more to learn about it all and I’m looking forward to sharing more information with you as we go. Always feel free to comment, ask questions, or drop me an email with suggestions. I do check emails and I do always respond.

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