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Digital Marketing Funnel Explained: Key Stages & How It Works

Attracting customers to your business is one thing, and driving them to the sales point is another. Achieving the former is possible by having a well SEO optimized business website and content that match user intent. However, accomplishing the latter is possible with a proper digital marketing funnel. Creating a marketing funnel isn’t a one-size-fits-all strategy, as it is uniquely tailored to how your customers buy. Let’s learn more about this concept and the various marketing funnel stages involved in this process.

Marketing funnel stages

Discovering What Is a Marketing Funnel

A digital marketing funnel is a series of stages that guide users from the initial interest to the final stage of conversion or the sales point. The marketing funnel concept has existed for 100+ years, and its primary objective is to complete major stages of the journey, such as awareness, interest, consideration, and action, all of which will be explained later on. Having a marketing funnel strategy helps marketing agencies and businesses attract users, engage them with content, and convert them into loyal customers.

So what makes a marketing funnel important?

With customers having a plethora of options to shop from, creating a well-crafted marketing funnel helps get those customers to do business with your brand. Other than that, what they offer is highly crucial for activities such as lead generation and lead nurturing. With marketing funnels, you can create better marketing strategies, understand where your leads are in the buying journey and at which point they drop off, and so on.

3 Types of Marketing Funnels

Digital marketing funnels vary by industry and the type of target audience. Most brands focus on crafting distinct marketing funnel stages tailor-made to their customer purchase behaviour. Let’s learn the three types of such utilized by businesses globally.

Basic Marketing Funnel

This is a pretty simple digital marketing funnel that consists of three digital marketing funnel stages, as described below: 

  • Top of the funnel (ToFu)
  • Middle of the funnel (MoFu)
  • Bottom of the funnel (BoFu)

ToFu is the stage where people become aware of your brand and the solution you offer. This is the stage where newer customers come. The second stage, MoFu, is where the initial customers who are further interested in considering your brand come and can be categorized as casual fans. The final stage, BoFu, is the users who have chosen your brand and become loyal customers.

The biggest highlight of the basic marketing funnel is its simplicity and ease of use. This makes it a great choice for beginner marketers and brands wanting to keep things simple.

AIDA Marketing Funnel

AIDA is another popular marketing funnel model utilized by brands. Short for Awareness, Interest, Desire, and Action, this classic model clearly describes how to get user attention and lead them to the desired action in a structured, straightforward way.

Granular Marketing Funnel

Like the previous AIDA digital marketing funnel stages, this one also offers a similar level of advantages. However, the customer buyer journey can be broken down into more stages, which are as follows:

  • Awareness: People discover and learn about your brand
  • Consideration: Your brand products are compared to alternatives
  • Conversion: Customers make the purchase choice
  • Loyalty: They become loyal customers and repeat purchases
  • Advocacy: Your brand is recommended by them to others

Compared to the AIDA model, this particular model offers finer control over customers in each stage, making it ideal for complex customer journeys.

The 4 Stages of Digital Marketing Funnel

Have you learned what is a marketing funnel? Good. 

Now, let’s move on to the most important part of the blog, the marketing funnel stages. One thing you should know is that there isn’t one single, universally fixed number of stages. You can find articles on the web having three, four, five or more stages involved in the journey. However, we outline a four-stage marketing funnel that covers all aspects.

The 4 Stages Of A Digital Marketing Funnel, Source: SEMRUSH

Awareness

Brand awareness is something that all businesses want to achieve. A higher awareness means that more users are familiar with your brand. The first stage of the customer journey in digital marketing begins with consumer research and attracts them by launching compelling digital marketing campaigns. The primary objective of the awareness phase is to make your brand stay on top of mind for customers so that when the time comes for them to make a purchase, they think of you first.

Consideration

The consideration stage is all about increasing the chances of customers choosing you over others. This is often the stage where users start looking for similar solutions or services offered by various brands, including yours, and thinking which of them does meet their needs. If you want customers to consider you, your marketing messages should address their pain points by offering something they cannot refuse. You should educate and inform customers on how your solution differentiates from the competitors.

Conversion

The goal of awareness and consideration is to bring in customers and make them decide to choose your brand in favor of others. However, once they choose, the conversion phase is about encouraging them to purchase as they have believed that your solution is better than others. To make the process a lot easier, you must instill confidence in your buyers by providing an exceptional website user experience, a well-detailed product page, etc. One thing that you should remember is that the interactions customers made in the previous two sections will influence whether customers ultimately convert.

Loyalty

This is one of the final stages of the digital marketing funnel. Once your customers get converted, the story doesn’t end there. After all, you want them to stay with you longer. This is where your brand should foster loyalty by offering a seamless, intuitive shopping experience or delivering a quality product. Following up and building connections with users after making a purchase increases the chances of them staying loyal to your brand. It’s important to continue engaging with your customers, and invest in your brand to build loyalty. Personalized email marketing campaigns, loyalty programmes, social media channel memberships, etc, are some of such strategies to start with.

Marketing Funnel Stages Vs Sales Funnel: Are They Different?

Once you formulate a perfect marketing funnel strategy, there is a huge possibility that some people might associate it with a sales funnel. Are both the same concepts? They are actually two parts of a whole having different goals to achieve. Marketing is all about promoting and managing a brand by creating awareness, bringing in valuable leads, etc. In contrast, the primary objective of sales is to help increase the sale of products or services of a brand repeatedly. 

You might also come across the term leaky sales funnel, which is a stage when your target customers leave the sales process before or without making a purchase decision. Instead of treating these two terms differently, leveraging one for the other and vice-versa helps build an optimal customer experience.

Winding Up

Marketing funnel stages are an important set of frameworks that, when executed properly, help engage with customers and turn them into loyal conversions. However, getting customers to the sales point isn’t an easy job, as only a few of the many just reach the final stage. Most of them just won’t go beyond the awareness stage. This is why brands need to learn how to optimize a marketing funnel. This involves entering the funnel and analysing what’s working well, which stages need improvement or skipping the activities that aren’t generating results, etc.
Getting in touch with a globally recognized digital marketing agency in Dubai, with GTECH being the #1 option, is considered a valid option if you are not getting the expected results. We have crafted several highly successful marketing campaigns for business clients and can do the same for you, too. Connect with our professional team today and understand what is a marketing funnel and its limitless possibilities.

Omkar Khatale Jangam

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