Don’t Confuse Your Funnel With Reality

Models are supposed to make it easier to see useful patterns, but if you devote enough time to using them you can forget you are looking at a simplified view of reality and not reality itself. The marketing funnel is a great example of how this can happen.

When you are trying get a holistic view of your marketing plan, it is often helpful to segment the audience according to where they are on the path from never having heard of your brand to the end state of buying your product. It can make things clearer. Let’s say you have done some analysis of the buying process for your product and you have found that people move through it like this:

  • unexposed -> aware -> researching -> buying
  • Let’s further say your numbers say that the conversion rates for a given month look like this:

  • 0.02% go from unaware -> aware (top 2 box on awareness survey)
  • 0.5% go from aware -> researching (landing on site)
  • 6.0% go from researching-> buying (completing a purchase)
  • The numbers indicate that once someone is researching your product you have a really good chance of making them a customer. Depending on your cost per acquisition and the value of your product, you’d probably want to step up your efforts to drive them to your site.

    Would that still be your conclusion if you knew that:

  • While you measured your conversion numbers, one affiliate was driving 50% of your sales, and their buyers were intermingled with the rest of your audience?
  • You measured your conversion numbers just after your CEO’s TED talk went viral?
  • Word of mouth was driving more people to your site than your marketing?
  • A photo of a major celebrity using your product was published on HuffPo last week?
  • The list of complicating factors could go on and on. The point is, you are looking at a model. Don’t forget there is a particularly complicated reality behind any marketing model: the mind of the buyer.

    Leave a Reply

    XHTML: You can use these tags: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>

    Get Adobe Flash player