What is Marketing Funnel? Guide From Stage, Strategy To Sales

Marketing Funnel: A debatable topic for marketers. It’s an old process, but it still works today as well. Here we are explaining to you all stages of the marketing funnel, its strategies, and the benefits you get from it. 


What is a marketing funnel?

A marketing funnel is a step-by-step guide for businesses that helps them to design the customer journey. It helps to market team to make a plan for customer attraction, and engagements, and track the conversion results on the particular tasks.

The marketing funnel ‌includes the “AIDA” model which means Awareness, Interest, Desire, and Action.

You can understand this “AIDA” model in 3 stages of the digital marketing funnel.


  1. TOFU:- Top of the Funnel
  2. MOFU:- Middle of the Funnel
  3. BOFU:- Bottom of the Funnel

These stages are for Awareness, Consideration, and Conversion purposes. Later we will discuss the models‌. 


Importance Of Marketing Funnel

A marketing funnel can be a game changer for your business. If you have no marketing experience, the marketing funnel will help you to create an effective marketing strategy. In the following ways, a marketing funnel may help you:

  1. It provides you the information on when and why potential customers stop engaging with your brand before making a buy.
  2. It gives information about what tools and techniques you may employ to keep your customers.
  3. You can easily attract and keep clients if you have a marketing funnel in place. Make a strategy of marketing efforts for each level of the sales funnel and engage with leads to influence them to buy.
  4. You can get more leads with a great funnel marketing strategy.
  5. Your salespeople will have more information on how to complete deals because of the detailed insights marketing funnels provide them about the behavior of leads.
  6. You may automate your marketing operations if you understand your customers’ journey and have a plan of action for each stage gives you better outcomes and saves you a ton of time.
  7. You may better analyze the outcomes of your marketing efforts with the use of marketing funnels.


3 Stages of the Marketing Funnel

Stages of the marketing funnel


The traditional funnel is mostly linear, but the marketing funnel is nonlinear. The problem is that real-world marketing funnels rarely operate straight. People don’t always enter a funnel from the top and move down it one step at a time until they emerge at the bottom as new clients.


1. Top of the funnel

Goal: Awareness

In the TOFU, users know about your brand and engage with it. This stage concentrates on content and marketing materials that boost brand recognition as they may not be very familiar with your product or service yet.

Take advantage of this stage to draw attention. Create a landing page or infographic, do social media posts, and use paid ads that introduce your brand, service, or product to new visitors.


2. Middle of the funnel 

Goal: Consideration

In the MOFU, you gain customers’ trust and built a relationship with them. You can find out how actual people use your website to purchase and behave by surveying potential consumers. Your users can be received if they joined your email list, followed you on social media, or registered for a webinar.


3. Bottom of the funnel 

Goal: Conversion

In the BOFU, customers believe in your products and services. And make a purchase. You can offer a free trial for your product or service, share articles to buy your items, and share social media reviews or testimonials to build trust. 



Every customer has a unique experience with your marketing funnel. Even while you might design content for users at the top of the funnel mind, that doesn’t imply they can only access it at that point. For instance, if someone is ready to buy, they may move right to the middle or bottom of the funnel because they are already aware of your solution.



How To Measure Success?

Instead of simply counting on figures on a chart and making assumptions, it’s important to observe and interact with your consumers in order to understand them. Both quantitative and qualitative data are required to assess the effectiveness of your marketing funnel.

However, while analyzing the efficacy and success of your marketing funnel, there are still a few crucial quantitative criteria to keep in mind.


Key Terms To Know About Marketing Funnel


1. Cost Per Acquisition (CPA)

CPA calculates how much money you spend on marketing to bring potential customers. It is typically used by teams to evaluate the effectiveness of their paid social media, email, and other marketing activities.


2. Customer Lifetime Value (LTV)

LTV measures the ongoing value that a client provides to your business. This measure is all about retention, which has special significance for SaaS (software as a service) businesses since customers make consistent payments. If you can expect the possibility that a consumer will make another purchase, LTV may also provide information for sectors like e-commerce and conventional sales.


3. Conversion Rates

It calculates conversion frequency. Some marketers just pay attention to the last conversion, which is the sale. But, ‌you have to measure the success of all the stages. For example;

  • TOFU conversion: leads
  • MOFU conversion: sign-ups or subscribers
  • BOFU conversion: customer conversion


Measuring the goal conversion rate helps your team to make better-educated decisions regarding each level of the funnel rather than simply the ultimate result.

You can also find conversions on different channels. For analyzing the success track the result coming from organic search, paid ads, referrals, influencers, and email marketing. 


Differences Between B2C and B2B Marketing Funnels


1. B2C consumers share the funnel only in small groups, mostly with friends and family only. 

But B2B consumers share the funnel with the larger groups. They share the funnel with an average of 5-6 people.


2. B2C consumers have to connect with a company representative directly.

B2B consumers have to interact with the sales representative in the BOFU.


The Benefits of Marketing Funnels

Whether you need sales, organic or paid traffic, or more clicks, for each process you need a marketing funnel. It simplifies the customer journey and gives you the roadmap for each stage. The funnel brings great visibility for connecting the customers. 

The best thing about the marketing funnel is, that it gives you tracking access to the stages. It shows you which is the best strategy and how you can engage more with the customers.


Tools to Increase Conversions Throughout the Funnel

How to track the conversion rate? If you are measuring the quantitative data without qualitative data, you will miss an important part of the picture. Here are 7 tools that can provide you with qualitative data that will assist you in increasing conversions along the marketing funnel:


Tools to Increase Conversions


  1. Heatmaps: To understand user behavior.
  2. Plerdy: To check overall sales funnel analytics.
  3. Visitor Analytics: Includes full web analytics.
  4. Session Recordings: To understand individual journeys.
  5. Google Analytics: FREE analytics tool for goal tracking.
  6. Clicky: Best web analytics tool for goal tracking.
  7. Surveys: To get user feedback



The journey of your consumer with you is described by a marketing funnel. It describes the paths for conversion from the first phases when someone learns about your organization through the purchase stage.

When you carefully analyzed the marketing funnel, you will find what your organization must do to influence customers at various phases. You may ‌increase sales, loyalty, and brand exposure by reviewing your funnels. There are several approaches to the traditional marketing funnel, but understanding your clients is the key to an efficient funnel that you get from the marketing funnel easily.

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