How to Build a High-Converting Sales Funnel

Lead Generation

The e-commerce business is extremely profitable (just look at Amazon), but that doesn’t mean it’s easy. 


Online stores generate a lot of traffic yet conversion rates remain low. 


A sales funnel can change that.

1. What is a Sales Funnel?

Most of you have probably heard of a sales funnel. 


It’s a key component in digital marketing


It refers to a series of steps that lead prospects to the decision of purchasing your product


Sales funnels are normally broken down into 4 parts or stages

  • Awareness 
  • Interest 
  • Decision 
  • Action 

1.1. How does it work?

So how does it work? 


Well, picture a funnel- wide at the top and narrow at the bottom. 


In a sales funnel the wide top illustrates your target market while the bottom represents your customers


The purpose of creating a sales funnel is to convert the people at the top of the funnel into loyal customers.   


How do we do this? 


Okay, let’s go back to our funnel stages


In the awareness stage, you’ll need to familiarize people with your brand


They must know who you are and what you do. 


Become the authority in your niche. 


Think of Nike, the moment you hear their name you think of sneakers. 


The interest stage involves getting people interested in buying your product. 


You need to show them why they'd need it, perhaps it will fix a problem they’re facing


Decision refers to the moment prospects choose between buying your product or a competitor’s. 


They’re willing to spend money, you just have to make sure it’s on your merch. 


The action stage involves them checking out and paying for the product. 

2. Importance of Sales Funnels in E-commerce

Sales funnels are important for any type of business, but they’re vital for e-commerce

Importance of Sales Funnels

Stats show that less than 3% of people who visit online stores actually buy something. 


With a sales funnel, you can retarget them. 


This will increase your odds of making a sale and the best part is you can automate the process


Automation saves you time, which as an e-commerce business owner, you definitely need a lot of. 


So let’s go ahead and show you how to build that sales funnel

3. 6 Steps to Build an E-commerce Sales Funnel

We’ve optimized the typical sales funnel for the e-commerce market


Here are the 6 steps you need to follow. 

3.1. Awareness

You want people to know of your brand and what products or services they can obtain from you. 


Most companies overlook this stage but it’s important to leave an impression on your target market.  


Some ways you could create awareness include:

❖ Reviews

good quality

It’s a norm to check reviews and ratings before purchasing anything so you want to make sure your customer service and products are of good quality


Then you can post these five-star ratings on your website and social media pages.


You could also send free samples of your product to popular bloggers or YouTubers in your niche so they can review the items. 

❖ Blog posts

Creating a blog for your business is a perfect way to drive traffic to your site. 


You’ll want to post informative content that eventually leads people to your product. 


An example of this is creating content about health and fitness if you’re selling nutritional supplements. 

❖ Social media

Use Facebook groups to interact with potential customers


Here you can find out what problems they face and offer solutions. 


You can also use Twitter to drive conversations


Post content with trending hashtags in your niche. 


Once people are aware of your brand you can focus on the next stage.

3.2. Interest

Interest

Get people excited about your product/s and what they can do. 


Now is the time to bring in video content. 


Use the videos to explain features, or compare your product with competing brands’. 


Other ways to generate interest include:

  • Creating quizzes 
  • A special offers tab where offers change daily or weekly
  • Monthly giveaways where someone wins free shipping or a discount on their purchase

3.3. Marketing

People at this stage of the funnel are considering buying your product, so you have to sell it to them

3.3.1. Email marketing

Email marketing

You’ll need to send personalized content to prospects and the best way to do this is to get access to their inbox.  


Here’s how most marketers grow their mailing lists. 

  • Create a lead magnet (offer something in exchange for their contact details)
  • Place an opt-in pop up on your site that offers the lead magnet
  • Direct them to a landing page that asks them to subscribe to your mailing list

If you’re unsure how to do this, then we’ve got you covered. Systeme.io is an all-in-one digital marketing software


Using systeme.io you can create lead magnets, opt-in prompts, landing pages, and email campaigns as well as host your blog. 


After people have signed up for your email list, use tracking and analytics to send them personalized content


It’s important not to overwhelm prospects with too much information. 


You'll want to create an email campaign, this way you send scheduled emails at specific times or when a certain action is performed. 


The great thing about email campaigns is it can be automated and you can segment your leads into different categories so they receive content more suited to them. 


Check out this list of email marketing services that will provide you with the features you require to automate your campaigns. 

3.3.2. Google Shopping 

Google Shopping

You want your products to rank high in google searches


You can do this organically or through paid ads. 


If you’re going the organic route, you need to consider product groupings


Separating your items based on factors like pricing will ensure it’s shown to the right audience.    


Also, make sure to include negative keywords


This means your product won’t be shown to people whose searches contain that word. 

3.3.3. Paid ads

Paid ads are the best way an e-commerce store can promote its product


There are numerous places to insert these ads so they increase sales. 


These include:

  • Social media

➢ Facebook 

➢ Instagram

➢ LinkedIn 

➢ Twitter 

  • Mobile and desktop apps
  • Pinterest
  • Youtube
  • Google shopping
  • Websites  

3.3.4. Affiliate Marketing

Affiliates use their own strategies to market your product and you pay them a commission for successful referrals. 


This tactic provides you with a larger audience and doesn’t require any effort on your part. 

3.4. Decision 

At this stage, your target is considering purchasing your product but they’re also going to look at your competitors. 


To close the sale, your brand has to be better than the rest. Here are factors people consider before choosing between two brands.

  • Price
  • Ease of use
  • Quality 
  • Customer support 
  • Availability  

Present your shoppers with limited time offer deals or discounts so they choose your brand.


Exit-intent pop-ups that are triggered if the prospect hovers their mouse above the exit sign are also a great way to keep them on the site. 


It’s important to remember you're not just competing with other brands but with the fact that customers can choose not to buy from anyone


After putting in the work to get them to this stage you don’t want to lose them over technical issues. 


Make sure:

  • Your user interface is appealing and intuitive
  • There aren’t bugs or glitches on your site
  • There’s a help or support tab
  • Customers can easily contact you

3.5. Purchase 

Congratulations! Your leads have made the decision to purchase, but there’s more work to be done. 


How many times have we seen people place an item in their shopping cart but not proceed to checkout?


Reasons for customers abandoning their carts include:

  • Hidden shipping or delivery fees
  • Long and complicated checkout processes
  • Limited payment options

You can avoid losing sales due to technicalities by creating a seamless checkout process. 


Only ask for relevant information so forms are filled much quicker and make sure the total price is conveyed before the process starts. 

3.6. Loyalty

After completing the sale you want to ensure customers keep coming back


You can recommend products to them based on their purchase history and personalize the type of ads they see. 


The goal is to keep them in your funnel.

4. Tips for Higher Conversions 

Now that you know how to build an effective e-commerce sales funnel, let's show you how to optimize it for higher conversions

4.1. Use a sales funnel builder

Sales funnel software will help with your marketing efforts and provide you with tracking and analytical features.  


Systeme.io is a world-class funnel builder that can ‘build a sales funnel in 30 seconds with just 3 clicks’.  

Systeme.io logo

Systeme.io logo

Key features include:

  • Blog hosting
  • Landing pages and opt-in form templates 
  • Email marketing services
  • Create affiliate programs
  • Evergreen webinars  
  • Stripe and Paypal Integration for easy payment processing
  • Dropshipping
  • Upsells and order bumps
  • A/B tests

Although systeme.io  provides such a range of features their price plans don’t break the bank

  • Freemium Plan - $0/m
  • Startup Plan - $27/m
  • Webinar Plan - $47/m
  • Enterprise Plan - $97/m 

If you’re still unsure whether a sales funnel builder will benefit you, then try out systeme.io’s freemium plan!

4.2. Determine your target market

When it comes to online shopping, it's important to focus on the consumers your product is created for. 


There are 4 types of e-commerce models. 

  • Business-to-business - businesses sell products to other companies 
  • Business-to-consumer - consumers buy directly from online stores   
  • Consumer-to-consumer - consumers create products and sell to others using platforms like Amazon or eBay
  • Consumer-to-business - Entrepreneurs sell products or services to businesses

Determining which category you fall into will help you build a funnel better suited to your audience.  

4.3. Track your conversion rates

Track conversion rates at every stage of the funnel! 


How many people from your blog or social media account signed-up for your lead magnet? 


You could change your offers to see if more people sign up. 


Measure email opening rates and click rates to determine if you need to modify your content. 


Re-evaluating at every step will ensure the success of your sales funnel.

5. Conclusion

Building an e-commerce sales funnel requires hard work but can be simplified with the help of a digital marketing service


We hope these steps aid you in creating your e-commerce conversion funnel

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