Post by afifatabassum on Mar 11, 2024 4:10:34 GMT
By operating with Conversion Rate Optimization methods, it is possible to measure the efficiency of the process of acquiring new leads and prospects thanks to metrics that allow you to measure the rate of dispersion of contacts between one phase of the process and another. But what is the right point of view to adopt? ” What is the difference between customer lifecycle and sales funnel? An in-depth analysis of the customer lifecycle helps your company understand the customer's experience with the product offered from their point of view. By defining this framework you will be able to answer three main questions regarding the customer's relationship with your product : Why do you buy it? Where do you buy it? How does he use it? The sales funnel , on the other hand, represents the company's point of view and contains the activities to be carried out to encourage the conversion of new contacts . In reality, the sales funnel represents only a part of the customer lifecycle, so it is very important to constantly monitor both these flows through a final tool represented by nothing other than the customer journey map . customer-lifecycle.
The Customer Acquisition Framework Sales-centric approach Brazil Phone Number vs. customer-centric approach By thinking of the sales funnel as the only acquisition framework, the company runs the risk of neglecting the point of view of the customer who perceives the product differently based on their experiences and needs and, consequently, follows different purchasing paths. The sales funnel is used by companies to analyze the effectiveness of actions taken along the sales pipeline . Each stage of the funnel corresponds to a stage of the purchasing process. The closer a contact is to the final stage of the funnel, the greater the chance of conversion. For example, based on past experiences, a company may determine that it has a 30% chance of closing a deal when a contact reaches the “opportunity” stage, which is very useful information in the planning and forecasting phase.
In the planning phase it is very important to take into account the conversion times and the length of the funnel to have an exact idea of the company's prospects. The customer lifecycle, on the other hand, puts the customer at the center of the process and observes his movements along the purchasing path. In this way it is possible to analyze the user's purchasing behavior in depth and identify areas in which to act to speed up the conversion process. For software companies that offer the basic product for free, customer lifecycle analysis is much more important than sales funnel analysis. An example of this is Slack, which offers the possibility of exchanging conversations for free, but offers additional paid services that serve to transition the user from the "free-user" phase to that of paid user.
The Customer Acquisition Framework Sales-centric approach Brazil Phone Number vs. customer-centric approach By thinking of the sales funnel as the only acquisition framework, the company runs the risk of neglecting the point of view of the customer who perceives the product differently based on their experiences and needs and, consequently, follows different purchasing paths. The sales funnel is used by companies to analyze the effectiveness of actions taken along the sales pipeline . Each stage of the funnel corresponds to a stage of the purchasing process. The closer a contact is to the final stage of the funnel, the greater the chance of conversion. For example, based on past experiences, a company may determine that it has a 30% chance of closing a deal when a contact reaches the “opportunity” stage, which is very useful information in the planning and forecasting phase.
In the planning phase it is very important to take into account the conversion times and the length of the funnel to have an exact idea of the company's prospects. The customer lifecycle, on the other hand, puts the customer at the center of the process and observes his movements along the purchasing path. In this way it is possible to analyze the user's purchasing behavior in depth and identify areas in which to act to speed up the conversion process. For software companies that offer the basic product for free, customer lifecycle analysis is much more important than sales funnel analysis. An example of this is Slack, which offers the possibility of exchanging conversations for free, but offers additional paid services that serve to transition the user from the "free-user" phase to that of paid user.