How To Design a Business Funnel That Works For You

Design a Business Funnel

Do you ever wonder how come certain things go out of fashion, and then come back years later?

I’m not talking about bellbottom jeans or patterned dresses, today, though.

I’m talking about the “business funnel”.

It’s really interesting for me to put on my observer glasses, and take a look back at my years in the online business space. When I first started my business, I read a lot of blogs (still do, but they’re slightly different blogs now!) and I kept hearing about this concept of the funnel.

With lots of diagrams of inverted pyramids, naturally.

The concept of the funnel is this: you want something that’s available for the masses at the top (something that doesn’t cost much or anything at all), and then progressively more expensive products as people move down toward your big ticket item.

A few years later: the funnel was dead.

The theory was that people don’t need to follow one step at a time, and that with online marketing someone might discover you from a random blog post, podcast episode, or video… and BAM sign up for your most expensive package!

In fact, I know several people who eschew funnels entirely in their teachings, and tell you to just create one big higher priced package and launch that.

But you might have also heard more people talking about “Facebook funnels” or other types of business funnels recently…

So what’s the current “right now” situation? Are funnels in or out and should you build one?

How To Design a Business Funnel Organically

You might have heard the term “funnel” before, and brushed it off because you don’t need one of those in your business.

But the reality is that whether you like it or not, you already have a business funnel in place. It just might not be working as well as you’d like, if you haven’t designed it intentionally.

So today we’re going to look at how to design an organic business funnel to help you sell more, naturally.

One thing to be aware of when it comes to business funnels is that you probably won’t just sit down and draw a bunch of boxes and come up with the perfect funnel that converts all your visitors to buyers.

Business is more iterative than that, and you need real world feedback to create something that works.

So my advice is about how you can let an organic funnel develop into your business over time.

The main components of a funnel:

  1. A page on your website asking someone to join your email list
  2. An immediate offer for a product or service
  3. An email sequence that offers value, and other products or services for sale

From there, you can add more products or services, more emails, or build different email starting points and follow up series.

Exercise: Design Your Funnel Now

So here’s what I want you to do right now: get a set of index cards and write down one product or service that you currently have available.

One offer per card, and include the price point on the card, too.

Next, order the cards by lowest price to highest priced. Do you see any sudden jumps or big gaps?

Refer to my post about pricing and the 80/20 principle to see if you might be missing an offer at an advantageous price point.

For example, you don’t want to have an ebook that sells for $10 followed by a 1-1 coaching service that costs $3000. I’m not saying that no one will take you up on your coaching, but some people will want something in between to get to know you better before they hire you.

Think about what programs and products you might want to add to fill in any price gaps. The same goes for if you only have low priced offerings, consider what you could offer on the higher end.

Now, take out a new index card for each of your free opt-in offers. Do these line up with your lower priced offerings? If not, consider how you might create a new opt-in offer that does.

At this point, you’ve designed most of your business funnel. It’s just a matter of filling in the marketing materials to guide people from one point to the next.

You can do that by writing an email autoresponder series, having a sales page or sales video that’s shown after someone buys your lower end offerings, or by following up with your customers personally to invite them to your other offers.

Now it’s time to put your funnel together and start testing! Take your time with this process, and allow yourself to be nimble. You’re essentially creating an evergreen launch campaign that takes people from one product or service to the next.

I’d love to know where you stand

Do you have mostly lower end products, higher end programs, and do they all fit together organically?

Comment below and let me know!

 

18 Responses to How To Design a Business Funnel That Works For You

  1. Hello Natalie,

    Thanks for this valuable piece. I reside in and have my audience in a third world country. So the prices of my courses are low.

    I like your point about autoresponders. Like Sonia Simone called it, it’s really the lazy (no, smart) marketer’s best friend.

  2. I realize I have multiple funnels/channels in my business, with missing steps and an unclear marketing strategy for bringing people from one step to another. This video is so simple and clear, and I had index cards handy and am going to rework my strategy right now based on this guidance. Thanks Nathalie! Great video/great additional resources in the links below.

    • Woohoo Meredith, so happy you’re implementing and playing with the index cards to get your funnels whipped into shape. Even if you don’t create the programs immediately, at least you know what’s next. :)

      • Definitely agree. Half the battle is knowing you have something missing and/or worth improving. I don’t implement a lot of things immediately, but I let the thoughts cogitate and somehow, subconsciously, I think of a better solution than the initial one I was considering.

  3. Nathalie,

    Love this video today! I sat right down and index carded my offerings and I found that I have a bit of a funnel “clog” – I have a $5 digital book that I offer, $10 recordings, $275 Readings, $297 Course Offering (coming soon) and $1000 coaching package.

    Where I see the “clog” is with the readings and course. I want to make the readings more exclusive in pricing but am afraid I might totally price myself out if I move them to $375 or more. I know pricing between 300 – 800 can be a dead zone so I also don’t want to double whammy moving the pricing up for my readings.

    So as you can see my pricing funnel is clogged and I’m curious what you would suggest. I want to keep the course price affordable for most which is why I chose the $297 ($197 for early birds) but I also want people to still access readings I just want it to feel more tiered than it does. I’ve noticed people will always choose the reading over the course if they’re the same price (one on one being more enticing).

    Any thoughts you have would be amazing! Thanks, Nathalie! xoxo

    • Hey Licia! What about packaging a reading with the course? Not sure if your course is going to be evergreen or run only every so often… but then your readings could come in at $600, and for repeat readings it could be lower, like your individual price from right now? Then it makes the 1-1 offering more special, but you also get additional value from the course.

      Just an idea! :)

  4. Awesome article Nathalie! A lot of people do not understand the funnel concept and how to implement it.

    Your insight will be very help full in redesigning my own.

    Thanks again.
    Sincerely,
    Richard Weberg

  5. Oh this gave me a little shot of confidence that I’m on the right track in building my offerings!

    Thanks for the great article!

  6. Hey Nathalie,

    On my end, I have not yet monetized my blog, but I found your post helpful, in that I am planning on developing some products and your post gives me pause as to how I want to do that an how I wish to position them. So, thank you for taking the time and putting in the effort. It IS effort. I think non-bloggers don’t really understand how much time and MENTAL energy goes into these posts.

    I also wanted to thank you for the opening blurb that you have when you first check out your website about the ‘quiet ones” – I am one of those people, and this is the FIRST time I have had anyone acknowledge that not all people are hard-driving, go-getter extroverts!

    It made me feel welcome and safe.

    Miriam

  7. Good stuff – Nathalie :)

    About low pricing vs high pricing: I think the vast majority of “buyers” not “lurkers” are willing to pay $20 to $100 for the same quality product. I have a blogging course that I’ve selling for $197 / month. I reduced the price to $97 and the CTR went down 18% (ONLY).

  8. Great insights, Nathalie! Especially the application of the 80/20 rule and understanding your target audience, their socioeconomic profile, and catering your products/services and their respective pricing to them. It’s also interesting to note how people perceive price as an indicator of quality, often times opting to pay more because it has the perception of being more valuable. Like you discuss, psychology plays a major role in the business funnel.

  9. Great article Nathalie – what are your thoughts on offering a lower priced product with fewer features if someone doesn’t buy your higher ticket upsell item? it’s something I see people like Ryan Deiss speak about quite a lot.