How to Build a Lead-Generation Funnel

Various Social Media Icons falling into a funnel

Building an effective lead-generation funnel is an essential part of converting prospects into loyal customers. A well-structured funnel guides potential leads through the stages of awareness, consideration, and conversion, while making sure they receive the right information at the right time.

As Imprint Digital’s VP of Marketing, I work with lead-generation funnels on a daily basis. I put this guide together to give you a comprehensive, step-by-step approach to creating a lead-generation funnel that maximizes conversions and drives business growth. By following these strategies and utilizing the right tools, you can attract high-quality leads through paid ads and other marketing channels, while nurturing them into valuable customers.

The Short Answer: Building a Lead-Generation Funnel

A lead-generation funnel involves guiding prospects through stages from awareness to conversion. By mapping the customer journey, using targeted content and ads, and nurturing leads effectively, you can build a funnel that consistently generates high-quality leads and converts them into loyal customers.

Understanding the Lead-Generation Funnel

A lead-generation funnel is a systematic approach to attracting, nurturing, and converting potential customers into loyal clients. This funnel comprises three main stages: Awareness, Consideration, and Conversion.

At the top of the funnel (Awareness), the focus is on capturing the attention of a broad audience who may not yet be aware of their need for your product or service. The middle of the funnel (Consideration) involves educating and engaging these prospects, providing them with valuable information to help them to evaluate their options. Finally, at the bottom of the funnel (Conversion), the goal is to persuade the prospects to make a purchase decision or to reach out to the business in order to take the next step, turning them into paying customers.

Mapping Out the Customer Journey

Customer journey mapping is a vital process that helps you understand the steps your typical customer takes from the first interaction with your brand to the final purchase decision. By breaking down this journey into distinct stages—such as Consider, Explore, Compare, Test, and Negotiate—you can tailor your marketing efforts to meet your audience’s specific needs and expectations at each step.

Consider: At this stage, potential customers become aware of a problem or need. They might engage in activities like reading blog posts, watching informational videos, or discussing their issues on social media. Because of this, it can be handy to understand the various types of marketing that exist, such as social media vs. content marketing.
Explore: Here, they start exploring potential solutions. They might visit your website, sign up for newsletters, or download educational resources.
Compare: Prospects compare different solutions available in the market. They read reviews, compare features, and seek testimonials to weigh their options.
Test: They might sign up for free trials, attend webinars, or request demos to experience the product or service firsthand.
Negotiate: Finally, they may engage in negotiations or seek personalized offers before making the purchase decision.

Creating a detailed customer journey map involves gathering insights directly from your customers through surveys and interviews. Ask questions about their research process, decision-making criteria, and any obstacles they faced. You can use online forms, emails, or a more conversational approach via chat tools or phone conversations.

This information will help you identify key touchpoints and opportunities to engage with your audience effectively, ensuring a seamless and compelling journey through your lead-generation funnel.

Top of Funnel (Awareness)

The top of the funnel, or the awareness stage, focuses on attracting a broad audience and making them aware of your product or service. This stage is crucial because it sets the foundation for the rest of the funnel. The primary goal here is to capture the interest of potential leads who might not yet realize they have a need for what you offer.

Strategies for Attracting Attention:

SEO and Content Marketing: Create high-quality, informative content that addresses common questions or problems your target audience faces. Blog posts, infographics, and videos optimized for search engines can drive organic traffic to your site.
Social Media Marketing: Use platforms like Facebook, LinkedIn, Instagram, and YouTube to share your content and engage with your audience. Social media ads can also help broaden your reach and attract new leads.

At this stage, focus on providing educational content rather than promotional material. Your aim is to inform and engage, helping potential leads understand their problems and the possible solutions.

Middle of Funnel (Consideration)

In the consideration stage, leads have acknowledged their problem and are actively seeking solutions. This is where you need to nurture these leads by providing more detailed information that helps them evaluate their options and consider your product or service as a viable solution.

Effective Content Types:

Case Studies: Showcase real-life examples of how your product or service has helped other clients. Highlight specific results and benefits to build credibility and trust.
Comparison Guides: Create content that compares your product with competitors. Highlight the unique features and advantages of your offering, helping leads make informed decisions.
Webinars and Demos: Host live webinars or offer on-demand demos that provide in-depth insights into your product’s functionality and benefits. Interactive sessions can also address specific questions and concerns from potential leads.
PPC Campaigns: Pay-per-click advertising on Google and Bing allows advertisers to appear for specific search terms potential leads are actively using to solve their particular needs. These platforms also allow advertisers to target specific demographics or interests, thereby driving traffic comprised of your target-market to your landing pages.

During this stage, it’s essential to position your product as the best solution without overtly selling it. Focus on educating your audience and addressing their concerns. For instance, a detailed case study on how a client improved their lead conversion rates by using your CRM software can demonstrate the tangible benefits of your solution.

Bottom of Funnel (Conversion)

The conversion stage is where potential leads become confirmed leads or customers. These individuals Have made their final decision and have become paying customers, filled out a form, or called your business. At this point, they have thoroughly researched their options and are ready to choose a solution. The goal is to tip the scales in your favor by making a compelling case for your product or service andaking the process to become a lead/customer, easy.

Strategies for Converting Leads:

Testimonials and Case Studies: Share stories from satisfied customers to build trust and provide social proof. Highlight specific outcomes and improvements your product has delivered.
Free Trials and Demos: Let potential customers experience your product firsthand. Offering a trial period or a live demo can significantly reduce perceived risk and help leads feel more confident in their decision. I call these low-risk options “micro-commitments”.
Personalized Follow-Ups: Tailor your follow-up communications based on the lead’s specific needs and interactions with your brand. Use personalized emails, phone calls, or meetings to address any remaining concerns and emphasize the benefits of your solution.

At this stage, making the decision-making process as smooth and straightforward as possible is crucial. Ensure that your calls-to-action are clear and compelling and provide easy access to purchase options or sign-up forms. Offering special promotions, discounts, or incentives can encourage hesitant leads to take the final step.

Tools and Techniques for Lead-Generation

Implementing the right tools and techniques is essential for creating an efficient and effective lead-generation funnel. These tools help streamline processes, track performance, and optimize your efforts to attract and convert leads.

Essential Tools:

CRM Systems: A robust CRM (Customer Relationship Management) system is crucial for managing your leads and tracking their progress through the funnel. Tools like Pipedrive, HubSpot, and Salesforce allow you to organize lead information, automate follow-ups, and gain insights into lead behavior.
Lead Scoring Software: Lead scoring helps prioritize leads based on their conversion likelihood. You can focus your efforts on the most promising prospects by assigning scores based on various criteria, such as engagement levels, demographic information, and behavior, you can focus your efforts on the most promising prospects.
Marketing Automation Platforms: Tools like Mailchimp, Marketo, and ActiveCampaign enable you to automate email campaigns, social media posts, and other marketing activities.

Effective Techniques:

A/B Testing: Regularly test different versions of your landing pages, emails, and ads to determine what resonates best with your audience. Use the insights gained to refine your strategies and improve conversion rates.
Retargeting Ads: Use retargeting to re-engage visitors who have interacted with your site but haven’t converted yet. Displaying targeted ads to these individuals with specific information as they browse other sites can remind them of your offering and encourage them to return.
Lead Magnets: Offer valuable resources such as eBooks, whitepapers, or exclusive webinars in exchange for contact information. This not only helps in building your email list but also positions you as an authority in your field.

Measuring and Optimizing Your Funnel

Measuring and optimizing your lead-generation funnel is critical to ensure its effectiveness and efficiency. By tracking key metrics and making data-driven adjustments, you can continuously improve your funnel’s performance and conversion rates.

Key Metrics to Track:

Click-Through Rate (CTR): Measure the percentage of people who click on your ads, emails, or call-to-action buttons. A high CTR indicates that your messaging and targeting are effective.
Conversion Rate: Track the percentage of leads who take the desired action, such as filling out a form, signing up for a webinar, or making a purchase. This metric helps you understand how well your funnel converts leads at each stage.
Lead Quality Score: Assign scores to leads based on their engagement, behavior, and fit with your ideal customer profile. This helps prioritize high-quality leads and allocate resources effectively.
Customer Acquisition Cost (CAC): Calculate the total cost of acquiring a new customer, including marketing and sales expenses. Lowering CAC while maintaining or improving conversion rates is a key optimization goal.

Methods to Optimize:

Continuous Testing: Implement A/B testing for landing pages, emails, and ads to identify what resonates best with your audience. Regularly test different headlines, images, CTAs, and offers to find the most effective combinations.
Feedback Loops: Gather feedback from customers and leads to understand their needs, preferences, and pain points. Use surveys, interviews, and usability tests to gain insights and make informed improvements.
Data-Driven Insights: Leverage analytics tools to track user behavior and identify drop-off points in your funnel. Use this data to refine your strategies, optimize your content, and enhance the user experience.

Final Thoughts on Building a Lead-Generation Funnel

With everything I’ve laid out above, you should be in a good position to set up your first lead-generation funnel. Still, if you don’t have the time or just feel like you need some help, feel free to get in touch. Imprint Digital is more than ready to help you set up a high-quality funnel, improve your SEO, expand your reach on social media, and more.