If you’re looking to generate more sales and drum up more revenue from your business, then you need a sales funnel. It’s simply a process –a series of steps– that attracts and compels customers or clients to purchase your product or hire your service. This is typically done using a framework called AIDA.
Benefits of a Sales Funnel
You need to have a sales funnel because of the following benefits:
- Increases sales and revenue
- Drives lead generation
- Makes it easy to measure your marketing efforts
- Shows you what actions prospects are taking at each stage of the buyer journey
Steps in the AIDA Sales Funnel
AIDA is short for Awareness, Interest, Desire and Action, and serves as a framework that drives lead generation and purchase actions. Awareness is the first time that prospective customers hear of or notice your product or service.
After repeated exposure, they may then become interested, particularly if that product or service is likely to solve their problem. If they like the product or service enough and are convinced about its merits, they’ll decide to buy.
The question at this point is “when will they buy?”. This is where you’ll have to “encourage” them to action and either buy the product or hire the service.
The ABM Sales Funnel
Over the years, AIDA has birthed many other types of sales funnels. One of these is the ABM sales funnel –short for Account-Based Marketing.
This flips the traditional AIDA framework on its head, and instead focuses on continuing to generate more revenues from people or organizations that have already bought from you.
Unlike AIDA that’s used before sales, ABM increases the average customer’s lifetime value and helps you make more money.