You’ve heard of a sales funnel but you’re still not sure how to use it in your business?
In this video, Russell Brunson, founder ClickFunnels, will walk you through the fundamental concepts of marketing that are essential for your success with funnels.
What is a Sales Funnel?
Funnels are like websites but are specifically designed to generate more sales. They are the evolution of a business website. They allow you to systematize your customer acquisition process and make the best use out of your advertising budget.
With the rising cost of advertising, it is become increasingly difficult for businesses to make a profit. In many cases the cost to acquire the customer is more than the profit generated. Which means that a business can start losing money instead of making money.
To solve this issue, you’ll need to add an upsell product.
What is an Upsell?
If you have visited any fast food chain like McDonalds, then you might be familiar with this business model. When you order a burger, the cashier will usually ask you if you want fries and a coke with that. That’s called an upsell.
The upsell process is critical for McDonalds because their cost to get you in the door is higher than the price of the burger. If all you bought was the burger, they will be out of business. But now you have more options to choose from… like fries, salad, drinks, pie and ice cream. The more you buy, the more profit they make.
Now, they can afford to spend money on advertising and still make a profit.
This same model can apply to any business, even if you are selling your services. There is always an extra product or service that you can offer to increase your sales. That product does not even have to be yours. It can be a licensed or affiliate product.
Once you have a proven formula that allows you to generate a profit with your advertising you can start scaling it by spending more on advertising.
As top industry marketer Dan Kennedy put it “Whoever can spend the most money to acquire a customer wins.”
If you have a business and you are breaking even or losing money, a funnel is the secret that can take you from breaking even to becoming profitable. It allows you to make more money from each person that enters your business.
How to Build a Funnel
There are many tools and applications on the market that allow you to build a sales funnel.
Click funnels is one of the popular tools used by small business owners. With the click and drag interface, building a funnel is so much easier now. They have great templates and tutorials and a very active community that you network and consult with.
If you don’t have a funnel yet, Click Funnels is a great place to start.
P.S. Click Funnels has a 14 day free trial which is enough to allow you to test the platform and build your first funnel!