What is a sales funnel?
A sales funnel is a conceptual framework used in marketing and sales to illustrate the customer’s journey from the initial awareness of a product or service to making a purchase. It visualizes the various stages a potential customer goes through before becoming a paying customer. The term “funnel” is used because, just like a funnel’s shape, the number of potential customers decreases as they move through the stages of the sales process.
Here are the typical stages of a sales funnel:
1) Awareness/Top of Funnel (TOFU):
At this stage, potential customers become aware of your product or service, usually through marketing efforts such as advertising, content marketing, or social media.
2) Interest (TOFU/Middle of Funnel – MOFU):
Potential customers express interest in your product or service by engaging with your content, signing up for newsletters, or following your social media accounts.
3) Consideration (MOFU):
In this stage, potential customers are evaluating your offerings and comparing them with alternatives. They might be researching and comparing features, prices, and reviews.
Intent (MOFU/Bottom of Funnel – BOFU):
Prospective customers indicate a strong intention to purchase. This could be demonstrated through actions like adding items to a shopping cart, requesting a demo, or signing up for a trial.
Evaluation (BOFU):
Potential customers closely evaluate the options available to them and may seek additional information or clarification before making a final decision.
Purchase (BOFU):
The potential customer becomes a paying customer by completing the purchase or signing a contract.
Retention and Advocacy:
After the purchase, efforts are made to retain the customer, provide excellent service, and encourage them to become advocates for the product or service, potentially referring others.
The main goal of a sales funnel is to guide potential customers through each stage, addressing their needs and concerns at each step, ultimately converting them into paying customers and fostering a long-term relationship. The funnel helps businesses understand where potential customers are in the buying process and tailor their marketing and sales strategies accordingly.
How can a non profit use a sales funnel?
Nonprofits can apply the concept of a sales funnel to guide their potential supporters through a journey that leads to meaningful engagement, donations, and long-term advocacy. Here’s how a nonprofit organization can utilize a sales funnel:
Awareness Stage:
Objective: Introduce your nonprofit and create awareness about your cause and mission.
Strategies: Social media campaigns, content marketing, community events, and partnerships with other organizations.
Actions: Sharing informative content, subscribing to newsletters, following social media pages, attending events, or signing petitions.
Interest Stage:
Objective: Engage and nurture interest in your cause and the work your organization is doing.
Strategies: Educational webinars, workshops, compelling stories, and targeted email campaigns.
Actions: Participating in events, engaging with content, joining webinars, or interacting with social media posts.
Consideration Stage:
Objective: Encourage deeper involvement and showcase the impact of contributions.
Strategies: Case studies, success stories, personalized emails, and testimonials.
Actions: Donating, volunteering, attending fundraising events, or joining membership programs.
Intent Stage:
Objective: Prompt a commitment to support your cause.
Strategies: Personalized thank-you messages, targeted follow-up emails, and appeals for specific campaigns.
Actions: Expressing interest in regular giving, committing to recurring donations, or pledging support for specific projects.
Conversion Stage:
Objective: Secure donations or other forms of tangible support.
Strategies: Donation appeals, personalized calls, and targeted fundraising campaigns.
Actions: Making a donation, signing up for recurring giving, or becoming a sponsor.
Retention and Advocacy Stage:
Objective: Cultivate long-term relationships and turn supporters into advocates.
Strategies: Regular updates on how contributions are making a difference, volunteer recognition, and engagement programs.
Actions: Sharing success stories, referring others to the cause, volunteering regularly, or becoming a brand ambassador.
By structuring their engagement efforts in this way, nonprofits can effectively nurture relationships with potential donors and supporters, leading to increased awareness, engagement, and sustained commitment to their cause. The ultimate aim is to build a community of dedicated advocates who continue to support the organization over the long term.
How Can Nonprofits Support Storytelling with Video Marketing?
A well-crafted video marketing strategy can significantly enhance a nonprofit’s efforts in each stage of the sales funnel, helping to create awareness, engage, nurture interest, and convert potential supporters. Here’s how video marketing can support a nonprofit’s sales funnel:
Awareness Stage:
Video Content: Create compelling and informative videos that introduce your nonprofit’s mission, values, and the issue you are addressing.
Distribution: Share these videos on social media, your website, and other relevant platforms to reach a broader audience.
Impact: Videos can grab attention and evoke emotions, effectively spreading awareness about your cause and encouraging people to learn more.
Interest Stage:
Video Content: Develop educational videos that provide in-depth insights into your cause, showcasing the impact of your programs and projects.
Distribution: Share these videos through email campaigns, webinars, and educational platforms to engage potential supporters.
Impact: Videos can help potential supporters understand the importance of your cause, further nurturing their interest and encouraging them to get involved.
Consideration Stage:
Video Content: Craft testimonial videos featuring stories of individuals or communities positively impacted by your organization.
Distribution: Share these videos on your website, social media, and during events to build credibility and trust.
Impact: Testimonials can instill confidence in potential supporters, influencing them to consider contributing to your cause.
Intent Stage:
Video Content: Develop impactful campaign videos that clearly articulate the purpose and urgency of your fundraising efforts.
Distribution: Share these videos via targeted email campaigns, social media ads, and fundraising events.
Impact: Campaign videos can motivate potential supporters to commit and donate, expressing their intent to contribute.
Conversion Stage:
Video Content: Design compelling donation appeal videos that showcase the difference a contribution can make.
Distribution: Share these videos through dedicated donation landing pages, email appeals, and social media campaigns.
Impact: Persuasive donation appeal videos can lead to increased conversions, encouraging individuals to make a financial contribution.
Retention and Advocacy Stage:
Video Content: Create regular update videos that showcase the impact of contributions and express gratitude to your supporters.
Distribution: Share these videos via email newsletters, social media, and personalized messages to supporters.
Impact: Appreciation and impact videos can foster a sense of belonging and encourage continued engagement, turning supporters into long-term advocates.
Incorporating engaging and informative videos into your nonprofit’s marketing strategy at various stages of the sales funnel can significantly enhance your ability to attract, engage, and retain supporters, ultimately advancing your organization’s mission and impact.
