Visualisation for Business Leaders

  • Visualisation for Business Leaders

HOW TO VISUALISE YOUR BUSINESS STRATEGY IN EACH STAGE OF THE CONVERSION FUNNEL

Conversion funnels are visual representations of a client’s journey in every Growth Hacking process. It is a journey every user has to take from the first they know about your product until they decide to do the particular action you want them to take. By looking at the conversion funnels, business owners can analyze the data to influence decision-making process for each customer.

The big circle at the top is an entry point when a user starts noticing about your product, the middle point is a road for the user to walk through the process, and the narrow end at the bottom is a point when the users are successfully doing a particular action within your business. 

The action you want your customers to take can be in the different form such email subscription, registering a profile, purchasing sales and more.

 

“What you want to achieve here is to simplify the complicated process that often makes customers leave before they reach the end level as much as possible.”

 

Let’s think the example of an eCommerce site funnel. The entry is the product page, the middle point is the payment process, and the end point is the sales page. We can start analyzing how visitors began to aware of our product, how a call to action button performed, how checkout page worked, and how many payments completed.

Users who left at any point will drop the sales result. You can start simplifying your ideas to make it easier for users. All the processes above represented how you can understand your user experience and try your best to fulfill their needs. Even if it requires a significant number of pivoting, it will be worth your time if you can improve your user experience.

Let’s imagine your business potential in the conversion funnel process: getting visitors, converting visitors into customers, generating customers’ loyalty, and spreading your network.

The prioritization will start when you distribute your visitors into each funnel point. If you only have a few numbers of visitors at the beginning of your funnel only has a few numbers of visitors, you need to work more on building brand awareness. If visitors are leaving in the middle, you need to work more on product specification. If customers are abandoning the payment process, you need to simplify your payment process.

When the funnel is getting bigger and bigger, it shows that you are successfully implementing the right priorities into your conversion funnel.

Start by drawing your funnel shape on a whiteboard and sign up for free Google Analytics to collect data. Write numbers for each process such as 2000 visitors – 34% conversion, 3000 visitors – 20% conversion, and so on to start understanding which level do you want to focus on a period. 

 The most important lesson isn’t only about the number you wrote, but to reach every potential customer at each point and to learn their experience for possible growth.

Get Familiar with Growth Hacking Funnel

There are five steps of Growth Hacking optimization funnel to ensure the smooth transition for your customer journey:

ACQUISITION

The first stage of the funnel is the stage to get new users on board. Many companies have difficulties to gain organic users by themselves so they spend a lot of advertising cost they can afford. This stage is a stage where as a growth hacker you need to validate your product, research something people want, and find ways to gather interest for people to become aware of your product. You also have to gain feedback to improve your product to keep the business going.

ACTIVATION

The next stage is the stage to turn visitors into customers. The trigger stage goal is to guide visitors to do a particular task, such as giving their email address, signing up for membership, or purchasing a product. A visitor who is successfully doing the task will be converted into a customer. You can optimize your user experience (UX) to develop remarkable journey. Many businesses also create an image of how bigger they are by showing how many users they have, where they have been featured, why people used their product and much more.

RETENTION

In this stage, you need to give your customers a reason to keep using your product or service. It is easier because you already know what they like or need from your business. The retaining customers’ cost is five to eight times cheaper than acquiring new customers. Therefore, you need to utilize this opportunity to grow your clients into continuous users.

REFERRAL

When you have a great product, you want your customers to share it with their friends to generate massive promotion for your business. The referral program can work extremely well when there are incentives, promotions, or benefits shared with your customers. Dropbox, https://www.dropbox.com/, a home for your files in the cloud, is using plan very well by giving extra space once customers share it with their friends. A supportive referral, when a client is willing to become an influencer, can drive multiple growths as your business evolves.

REVENUE

The final step is considered a significant step for new businesses because this is the stage where the money comes in. Who do you want to focus on? Where to improve your development process? How you develop brand monetization behavior? There is a lot of revenue model on the market such as monthly subscription, premium featured product, rewards purchase program, and so on to monetize the business. Once you understand which one suits your business, you can start sustaining and accelerating your business revenue system. You will learn more about how to optimize your Growth Hacking funnel in the later chapter in this book. Understanding how your business expands its ecosystem will provide you with a lot of valuable insight to evolve in the market successfully.

“It does not matter how slowly you go as long as you do not stop.” — Confucius

ROADMAP TO RANK ORGANICALLY INSIDE YOUR CUSTOMER’S MIND

Social Proof

Social proof happens when our action is tightly determined with other people impression towards us. When we receive kind words, we become proud of ourselves and think this is the right way to do something. On the other hand, when we receive criticism or disapproval, we tend to become upset and show negative emotion. In a new environment, we also tend to judge based on the first impression whether it is a product, people, events and so on.

People such as celebrities, philosophers, authorities, politician, your parents and an even total stranger can affect how we behave in the community based on how their influence is changing our lives. For example, when you see all your colleagues always wearing a tie, you tend to imitate them for social proof. Another example, when you see a long queue in front of an ice cream bar, you tend to want to try the ice cream too.

It is additional credence to action. Familiarity breeds reassurance because when you hear a lot reviews from different sources; you tend to believe the product more even when you never try it before.

From recommendations, testimonials, and case studies, every action
that brings credibility to persuasion will work. Some companies are selling “sold out” product in the market to just build their social proof, how many others are using it or wanting it.

Make sure your social proof is validated for your market. If you are targeting ladies, bring the same user personas for testimonials repeated in different ways so that people would not notice the same product is repeated over time.

Other social proof outside of your own business can bring greater impact to gain credibility. For example, third party review in the social media, or press release on the third party site. People tend to share their experience if they feel something special about the product. The more you address their problem, the more social proof of credibility you will have.

Reciprocation

Reciprocation is an art of giving back in return for what one has usually received in the form of a mutual exchange between parties involved. Reciprocity gives the present first before getting something in return.

Many businesses make visitors register first before they get the gift such as eBook, report, etc. to is not reciprocity because there is an obligation up front. What you want to do is to give value first so that your users remember about your generosity and favorably doing something in return for you. For example, tweet about your product, or give testimonial about their experience to share with others.

Another reciprocation technique is the Ben Franklin Effect. It is the idea of asking the request from someone and thanking others to do a favor for you. In Ben Franklin’s biography, he showed how he borrowed a rare book with someone who spoke against him at a public event, returned it with a thank you note. This idea showed by asking a favor to the other person; it shows the same similarities between them, similarity breeds familiarity.

You can apply this effect side to your business, by asking a favor from someone to make him or her like you. But don’t return the favor immediately once the support is completed; give them some time to feel obligated to return the favor by themselves. To make them like you more, let others do something for you if they feel happy you ask for their help.

Authority

Authority figures give us justified reason of to do something such as excuses, permissions, or rejections. For example, seeing a dermatologist on a skin care website will show us an agreement effect of using the product.

This authority can be anyone from the celebrity to industry experts in the market. When you don’t have any authority figure, you can create the authority for your brand by using power language in the correct tone to persuade others. Just make sure, your ability should become a set of goals to gain trust that benefits others, not too threatening for your business to succeed.

Connecting what you’ve learned.

Brands have been creating a strong correlation to build a particular connection with their customers. Whether, whether it is words or pictures or color that remind your special event or product. For example, when you are going to get a coke, you remember Coca -Cola. Helping convince people by giving information that reminds them of your product will breed familiarity that will help you to demonstrate your authority in the field.

Social proof helps businesses to find opportunities. It helps the brand to set preferred outcome and to persuade people to believe in their brand.

Logical persuasion delivers beneficial result when it is used for good, instead of for evil. To attract and retain customers, you need to make them feel valued and getting good results from your product or service. The good persuasive technique will make a lot of brands deliver better business sense.

“Without continual growth and progress, such words as improvement, achievement, and success have no meaning. ” — Benjamin Franklin

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Date: March 6, 2019

Category: Business Innovation