Customer journey conversion funnel: Nurturing leads into customers
Learn to transform your customer journey conversion funnel into a profit-generating machine—no matter what you’re selling.
Updated August 22, 2024.
If you think you've got your customer journey all figured out, let me hit you with a reality check: Remember the GameStop stock frenzy of 2021? One day, GameStop was just another struggling retailer. The next, it was the hottest stock on the market, with people who'd never bought a share in their lives suddenly becoming day traders. This eye-opening experience showed us that customers don't always behave the way we expect.
So, today, we'll unpack how a customer journey conversion funnel strategy can help you catch these curveballs and gain qualified leads.
Key takeaways
- The customer journey conversion funnel encompasses a user's path from awareness to consideration, conversion, and loyalty.
- The marketing funnel concept may seem basic, but it's highly scalable and customizable for any context.
- Measure and analyze everything, but focus on what moves the needle for your business.
- Adapt these strategies to fit your unique business, not the other way around.
What is the customer journey conversion funnel?
A "customer journey" and a "conversion funnel" are actually two different beasts in marketing. But when you combine them, you've got a high-converting content strategy.
Here's what a customer journey conversion funnel can help you do:
- Streamline the customer experience
- Pinpoint where you're losing customers
- Craft better ads and content
- Level up your products or services
Differences between the customer journey and conversion funnel
A conversion funnel illustrates the various stages of the buyer's journey that customers go through before taking a desired action. It's called a "funnel" because it starts wide at the top with a bunch of potential customers and narrows down as people drop off.
Here are the basic sales funnel stages from a customer's perspective:
- Awareness: You see an ad for a cool new phone.
- Interest: You get interested and look up reviews for more info.
- Desire: You compare it with other phones and decide to buy it.
- Action: You go to the store and purchase the phone.
These are only a few stages; the number of steps and how you segment them will vary depending on your business's niche, service, and/or products.
The customer journey, usually represented by a customer journey map, is a bird's-eye view of how customers interact with your brand. It's messy, complex, and definitely not linear. Think of it as a game of Chutes and Ladders for your business.
Source
Treating these tools separately is the wrong approach. You need to overlay your conversion funnel strategy on every touchpoint in your customer journey map. This is your ticket to attracting qualified leads and finding conversion opportunities at every turn.
By using both tools, you're not just looking at the moment of purchase. You're considering the entire picture—from the first ad click to the loyal customer singing your praises on social media.
» Optimize different user journeys on your site with Entail's CRO software.
Example of a customer journey conversion funnel
You've probably heard plenty of marketing experts talk about how "old" the conversion funnel concept is—which is true, don't get me wrong—so we'll skip over that and show you an example of how to visualize it in 2024.
Just take a look at how Amazon approached its customer journey funnel with AI:
Source
I know it looks like a lot, but bear with me for a second. This is just to show you how far you can take this marketing concept when you manage content at scale.
Here's an example of how each stage of the journey might look from a customer's perspective:
- Passive: Sarah, a working mom, hasn't actively considered buying a new coffee maker.
- Need: Her old coffee maker breaks down. Amazon's AI notices she hasn't purchased coffee-related items recently.
- Want: She receives a personalized email showcasing top-rated coffee makers. The AI has analyzed her past purchases and browsing history to suggest models that match her preferences.
- Find: Sarah visits Amazon and uses the search function. The recommendation engine suggests coffee makers based on her search history and similar customers' choices.
- Buy: She compares a few models, reads reviews, and makes a purchase. Dynamic pricing ensures she gets a competitive offer.
- Get: Sarah tracks her package through the Amazon app and receives it within two days, thanks to Prime shipping.
- Retain: A week after her purchase, Amazon sends an email asking for a review. The AI also suggests complementary products like coffee beans and filters.
- Re-engage: Months later, when Sarah's browsing history indicates she might be looking for kitchen appliances again, she receives targeted ads for other kitchen gadgets, leveraging her positive experience with the coffee maker purchase.
Tip: Complexity in your funnel isn't the goal. The goal is to create a journey that feels seamless and personal to your customer.
How to analyze your customer journey conversion funnel (+examples)
By breaking down and analyzing your customer journey, you can spot opportunities and plug leaks you didn't even know existed. This process involves:
- Examining data at each stage of the funnel
- Identifying where customers drop off
- Understanding customer behavior and preferences
- Spotting trends or patterns
I'll use Slack as an example to show you what metrics you should look at throughout the customer journey conversion funnel.
Remember, the idea here isn't to copy Slack's exact methods. It's to look at your own business through these lenses. What's your equivalent of Slack's "Google Workspace integration"? Maybe it's the gift-wrapping option on your e-commerce site or the loyalty program at your coffee shop.
1. Customer journey mapping
You can't analyze anything if you don't yet have a customer journey map. We already have a full customer journey mapping guide, so to stay within the scope of this article, I'll just summarize the key steps here:
- Set goals for the map.
- Highlight your target customer personas.
- Understand your customers and their goals.
- List all touchpoints according to stages and sequences.
- Determine the resources you have and the ones you'll need.
- Test and take the customer journey yourself.
- Analyze your results.
- Update your map over time.
2. Funnel stage analysis
You need to examine how customers move through each stage of your sales process, from first hearing about you to becoming loyal.
Think of it like your marketing GPS, showing where your customers are getting lost on their journey to buying your products. Are they bouncing off your website? Ignoring your emails? Use this to figure out where you need to patch the holes in your funnel.
How it works:
- Define stages relevant to your business.
- Identify key metrics and KPIs for each stage of the SEO funnel.
- Track how many people move from one stage to the next.
Here's how Slack might approach this:
| Stage | Key touchpoint metrics | Analysis methods |
|---|---|---|
| Awareness | • Website visits • Social media engagement • Content downloads | • Traffic source analysis • Content performance tracking • Ad campaign effectiveness |
| Interest | • Demo requests • Webinar attendance • Email open/click rates | • Lead qualification analysis • Content engagement metrics • Email campaign performance |
| Consideration | • Free trial signups • Trial engagement metrics • Feature usage during trial | • Trial conversion rate • User behavior analysis • Feature adoption rates |
| Purchase | • Conversion to paid plans • Average deal size • Sales cycle length | • Conversion rate analysis • Pricing plan popularity • Sales pipeline analysis |
| Retention | • Daily active users • Customer churn rate • Support ticket volume | • User engagement trends • Churn analysis • Customer satisfaction scores |
| Expansion | • Upsell/cross-sell rates • User growth within accounts • Feature adoption rates | • Account expansion analysis • Usage pattern analysis • Feature popularity tracking |
3. Drop-off analysis
Think of this as your customer detective work. It helps you understand why people are leaving the funnel at different stages.
How it works:
- Identify points where you lose a significant number of potential customers.
- Investigate possible reasons for these drop-offs.
- Analyze user behavior and feedback at these points.
Here's how Slack might approach this (using hypothetical drop-off rates for illustrative purposes):
| Funnel stage | Drop-off rate | Potential customer issues | Analysis methods |
|---|---|---|---|
| Awareness to interest | 90% | • Irrelevant content • Poor ad targeting | • Content engagement analysis • Ad performance review |
| Interest to consideration | 75% | • Lack of perceived value • Complicated signup process | • Landing page optimization • User feedback analysis |
| Consideration to purchase | 60% | • Pricing concerns • Feature gaps | • Competitor price comparison • Trial usage analysis |
| Purchase to retention | 20% | • Onboarding difficulties • Integration challenges | • User onboarding analysis • Integration success rates |
4. Segment analysis
This analysis helps you identify your most valuable customers. Are small businesses your bread and butter, or should you be chasing those big fish?
How it works:
- Identify relevant ways to group your customers (e.g., age, location, purchase history).
- Analyze how different groups interact with your business.
- Compare performance metrics across segments.
How Slack might visualize this (using hypothetical data for conversion rates and lifetime value):
| Segment | Conversion rate | Lifetime value | Key characteristics |
|---|---|---|---|
| Small business | 2% | $10,000 | • Price sensitive • Quick decision making |
| Mid-market | 1% | $100,000 | • Need more customization • Longer sales cycle |
| Enterprise | 0.5% | $1,000,000 | • Complex needs • High expansion potential |
» Chat with an expert to learn more about segmenting your audience.
5. Channel performance
This is like a report card for your marketing channels. It shows you which channels are more profitable and which are just eating up your budget. Maybe your Instagram ads are killing it, but your Google Ads are a money pit. This analysis helps you double down on what's working.
How it works:
- Track where your customers come from (e.g., social media, search engines).
- Calculate the customer acquisition cost (CAC) for each channel.
- Measure the return on investment (ROI) for each channel.
How Slack might visualize this (using hypothetical values for illustrative purposes):
| Channel | CAC | Conversion rate | ROI |
|---|---|---|---|
| Organic search | $150 | 2% | 200% |
| Paid search | $350 | 2.5% | 150% |
| Referral | $50 | 3% | 400% |
| Direct | $75 | 1.5% | 100% |
» SEO vs. paid search: Find out which is better for your conversion funnel.
6. Integration analysis
If you're offering a product that can integrate with other tools (like Slack does), this analysis is gold. It shows you which integrations are making your customers stick around and spend more. Even if you're not in tech, consider how your product or service connects with others in your industry.
How it works:
- Identify key features or integrations in your product.
- Measure how many customers use each feature.
- Analyze how feature usage correlates with customer retention and growth.
For instance, Slack might evaluate metrics like adoption rate and user retention rate for each integration. This means looking at how many customers use specific integrations (Google Workspace, Salesforce, Jira, etc.) and how these integrations impact user retention and overall growth. This analysis helps in understanding which integrations keep customers engaged and encourage them to invest more in the product.
» Talk to an expert to start tailoring your conversion funnel to the customer journey.
How to optimize your customer journey conversion funnel
1. Start with a plan
Just like Slack knows they're targeting IT managers, you need to know exactly who you're trying to reach. Are you after busy moms or fitness enthusiasts? Once you know that, you can create content that speaks directly to them.
How it works:
- Know your audience and develop detailed buyer personas.
- Create a content strategy aligned with each funnel stage.
- Set clear, measurable goals for each stage.
- Establish key performance indicators (KPIs).
» Explore expert strategies to optimize your conversion funnel.
| Strategy | Description | Example (Slack) | Example (Amazon) |
|---|---|---|---|
| Know your audience and define your ideal customer(s) | • Conduct market research and build customer personas based on demographics, behaviors, needs, and pain points. | • Tech-savvy professionals • Large teams needing collaboration tools • Companies with remote workers | • First-time buyers • Prime members • Business customers • Tech enthusiasts • Bargain hunters |
| Create a content strategy and map out the funnel | • Develop content tailored to each funnel stage. • Determine which formats (e.g., blog posts, infographics, whitepapers) resonate best with your audience. | Introductory blog posts about team productivity | Product reviews and comparison guides |
| Set KPIs, goals, and metrics for each stage of the funnel | For example: • Lead generation • Engagement rates • Conversion rates | Track metrics like the number of signups for a free trial | Monitor metrics like the percentage of users completing purchases |
» Learn how to create content for every stage of the user journey.
2. Attract an audience with valuable content across channels
You can't just build a product and hope customers come. Look at how Amazon uses a mix of strategies—from SEO to email marketing. For your business, this might mean creating how-to videos for social media, writing blog posts about topics your customers care about, or running Instagram ads. The key is to be where your customers are and give them something valuable.
How it works:
- Develop a mix of inbound and outbound marketing strategies
- Create engaging content that converts for various platforms.
- Engage with social media audiences.
- Implement targeted email campaigns.
- Optimize your website and blogs for SEO.
| Marketing channel | Strategy | Examples |
|---|---|---|
| Inbound marketing | • Create valuable content that attracts prospects organically. • Use SEO to improve your site's search engine ranking. | Slack might use SEO to attract users searching for team communication solutions. |
| Outbound marketing | • Use targeted ads and direct outreach to reach potential customers. | Amazon uses targeted display ads to reach consumers interested in specific products. |
| Website content marketing | • Ensure your website has engaging, informative content. •Optimize landing pages with compelling headlines and clear calls-to-action (CTAs). | Slack may write blog posts that appeal to their target audience and convert them into customers. |
| SEO blogs | • Regularly publish blog posts optimized for search engines to drive organic traffic. • Focus on keywords relevant to your audience. | Slack might post case studies and user testimonials on their blog. |
| Social media marketing | • Share content that resonates with your audience and engages them. • Use platforms like TikTok, LinkedIn, and Facebook effectively. | Amazon creates marketing campaigns on new promotions and sales on Instagram or TikTok ads. |
| Video marketing | • Create informative and engaging videos that address user pain points or showcase product features. | Amazon could share product tutorials and customer reviews on their YouTube channel. |
| Email campaigns | • Tailor email content based on user interests and behavior. • Use automated email sequences to nurture leads. | Slack could send targeted emails offering tips on using their platform effectively, while Amazon might send personalized product recommendations based on browsing history. |
3. Nurture your leads/prospects
Slack doesn't jump straight to asking for a sale—they offer free trials and send helpful tips. For your business, this could mean sending a series of helpful emails after someone signs up for your newsletter or offering a free consultation. The goal is to build trust and show your value before asking for the sale.
How it works:
- Optimize user journeys for each persona.
- Address customer pain points with targeted content.
- Leverage social proof through case studies and testimonials.
- Implement lead scoring and segmentation.
- Use marketing automation for personalized communication.
| Strategy | Description | Examples |
|---|---|---|
| Improve navigation | Make it easy for users to find relevant information and progress through the funnel. | Slack ensures its website offers clear navigation to product details, case studies, and free trial signups. |
| Improve relationship with the ideal customer | Use data to personalize interactions and content. | Amazon personalizes product recommendations based on past purchase behavior. |
| Target customer pain points | Provide solutions to common problems faced by your audience. | Slack could create content around common team collaboration challenges and how their tool solves them. |
| Social proof | Showcase customer testimonials and case studies to build trust. | Slack features success stories from well-known companies, while Amazon prominently displays customer reviews and ratings on product pages. |
| SEO and SEM | Use SEO best practices to ensure your content is discoverable and invest in search engine marketing (SEM) for targeted traffic. | Slack invests in SEO for keywords related to team productivity, while Amazon uses SEM to drive traffic to product listings. |
| Segmentation | Segment leads based on their behavior and interests to deliver more relevant content. | Slack might segment leads based on company size or industry to tailor messaging, while Amazon segments based on purchase history and browsing behavior. |
4. Convert leads into customers
This is where you seal the deal. Your goal should be to make it as painless as possible for customers to buy from you. This might mean offering multiple payment options, simplifying your checkout process, or providing a money-back guarantee to reduce risk.
How it works:
- Leverage conversion rate optimization (CRO) software and techniques.
- Use clear, compelling CTAs.
- Personalize the user experience.
- Reduce friction in the purchase process.
- Conduct SEO A/B tests on key pages and elements.
- Focus on end-to-end user experience.
| CRO methods | Description | Examples |
|---|---|---|
| Optimize landing pages | Test and refine landing pages to improve conversion rates. | Slack might test different versions of its free trial landing page to see which design yields more signups. |
| Clear and compelling CTAs | Use strong, action-oriented CTAs that guide users toward conversion. | Slack's CTAs include "Get started" and "Talk to sales," while Amazon uses "Add to cart" and "Buy now." |
| Personalization | Use data to personalize the user experience and make compelling offers. | Amazon shows personalized product recommendations based on browsing and purchase history. |
| Reduce friction | Make the checkout or signup process as seamless as possible. | Amazon's one-click purchasing feature reduces friction in the buying process. |
| Retargeting | Use retargeting ads to re-engage users who have interacted with your site but haven't converted. | Slack might retarget users who visited the pricing page but didn't sign up, while Amazon retargets users who viewed products without making a purchase. |
| SEO A/B testing | Experiment with different on-page elements and content formats to determine what works best. | Slack could test different CTAs to see which gets more clicks, while Amazon tests various product descriptions for SEO effectiveness. |
| Prioritize end-to-end user experience | Ensure the entire customer journey is smooth and intuitive. | Slack focuses on providing a user-friendly onboarding experience, while Amazon ensures a streamlined purchase and delivery process. |
» Book a free demo to start tracking and optimizing user journeys across your site.
5. Turn customers into brand advocates
When your customers start raving about your product, they're doing your marketing for you, which boosts brand visibility and trust. This word-of-mouth promotion can lead to higher conversion rates and lower customer acquisition costs. Plus, these advocates provide valuable feedback to help you refine and improve your offerings.
How it works:
- Develop a customer loyalty program.
- Create a brand ambassador or affiliate program.
- Encourage and incentivize customer referrals.
- Engage with customers through social media and community building.
Both Slack and Amazon focus on keeping customers happy and encouraging them to spread the word. For your business, this could mean starting a referral program, creating a VIP club for repeat customers, or simply providing such amazing service that people can't help but tell their friends.
| Strategy | Description | Examples |
|---|---|---|
| Create referral programs | Implement programs that reward customers for referring others. | Slack could offer incentives for users who refer their colleagues, while Amazon's affiliate program rewards affiliates for driving sales. |
| Connect with loyal customers | Build strong relationships with loyal customers through exclusive offers and engagement initiatives. | Amazon offers Prime members exclusive deals and early access to sales. |
| Start brand ambassador and/or affiliate programs | Develop programs to encourage satisfied customers to become brand ambassadors or affiliates. | Slack might establish a program for users to earn rewards for promoting the tool, while Amazon's affiliate program allows influencers to earn commissions on sales. |
Turn strangers into loyal customers through CRO
Remember, you don't need to be a tech giant to use these strategies. The key is to understand the principles behind them and apply them in a way that makes sense for your business. Start small, test what works, and keep improving. That's how you build a customer journey that turns browsers into buyers and buyers into advocates.