Funnel Analysis can be used to map and analyze a series of events that lead to a particular goal. In this section, we will discuss what a funnel analysis is and how you can use it to achieve better business results

Let’s start with a short definition. Funnel analysis is:

• It is a tool that can be used to map and analyze a series of events that lead to a particular goal

• The goal may be Sales, Gross Margin, number of customers acquired, number of projects done

• Funnel analysis can help you manage the process of achieving the goal and find ways to improve the situation

The Funnel Analysis consists of 5 main stages

• Define the goal

• Define the stages that lead you to achieve the goal

• Measure current performance & Find potential improvements

• Test & Analyze results

• Implement

There are many ways to present the funnel analysis. In this lecture, we will discuss the most often used methods.

Funnel analyses are used successfully in sales & marketing. In this section, we will show you how to analyze sales funnels in Excel.

By direct sales we mean reaching out and selling directly to end-customers, skipping any middlemen

Direct sales are mainly done through sales representatives who recommend products or services and encourage potential customers to buy

Imagine that you work for a consulting firm and you would like to analyze and define which area of ​​the sales process should be changed to improve company results.

In this lecture, we will solve the previously introduced case study.

In this lecture, we will solve the previously introduced case study.

Now let’s have a look at the general sales funnel for e-commerce. We will look at some examples of how you can approach it.

Imagine that are working for a furniture producer that wants to improve its sales funnel for its e-commerce store. Check which option makes more sense.

In this lecture, we will solve the previously introduced case study.

In this lecture, we will solve the previously introduced case study.

Let’s look at the funnel for SaaS companies with a free trial

We will look at different case studies of SaaS firms using different selling tactics.

Let’s have a look at a sales funnel for a marketplace with multiple categories.

Below we present a funnel for a mobile app.

• AARRR is a framework that shows you the sales funnel in a specific way

• It is widely used by online startups to define their strategy, tactics but also KPIs for every stage

• AARRR is sometimes called Pirate Metrics

Quite often you want to go deeper and analyze how the sales funnel looks like for different segments, cohorts. This is when cohort analysis comes in handy. In this section, we will see what cohorts are and how to combine them with funnel analyses.

Cohorts:

• It is a group of people, events that share the same defining characteristics

• In many cases, it will be a segment of customers, however, it may also be simply a group of customers who were acquired in the same month or through the same channel

• Cohorts usually have common characteristics, and in the case of customers common experiences, that occur within the given period

• Cohorts help you disaggregate the results, find outliers and improve the business

There are 3 main ways you can use cohort analysis when it comes to sales funnels

• Map KPI behavior in time by cohorts

• Map KPI by sales funnel stages & cohorts

• Compare the KPI for a cohort with the average

Imagine that you work for a consulting firm and you were asked to analyze the sales funnels by industries. Let’s see how the consulting firm performs in different industries.

In this lecture, we will solve the previously introduced case study.

In this lecture, we will solve the previously introduced case study.

Funnel analyses can also be used for testing business ideas, and small and big improvements. In this section, we will discuss how to do it in practice.

Funnel Analyses in Testing:

• A tool that can be used to map, manage and analyze various ideas aimed at improving or completely changing a given area of the business

• Funnel Testing helps you find fast potential improvements as well as minimize the risk of causing problems

• To use the full potential of the Funnel Analysis in Testing we should divide more complicated concepts/ideas into a series of smaller tests

• In Funnel Testing you will impose limits on most stages to manage the process smoothly

The Funnels in Testing usually consist of 5 main stages

• Define your goal

• Generate potential ideas for improvements

• Create a ranking of the ideas

• Test and analyze the results

• Implement the changes

Every funnel is a hungry beast. Let’s have a look at how you can generate ideas for your testing funnel.

Imagine that you are working for a Fashion Retailer. You have gathered a list of potential ideas to be tested. Before you move to test, rank them.

In this lecture, we will solve the previously introduced case study.

In this lecture, we will solve the previously introduced case study.

In this lecture, we will solve the previously introduced case study.

After testing the ideas you will get results that you have to try to interpret. Let’s analyze one of the ideas that we have selected for testing.

In this lecture, we will solve the previously introduced case study.

In this lecture, we will solve the previously introduced case study.

The Funnel Approach is also a great tool to manage projects or track the status of many projects in a visual way. We will discuss this in this section.

To-do list – highly popularized by David Allen in Getting things done is a great tool to make sure that you do the right things at a fast pace. In this lecture, we will talk briefly about applying them in practice. I will show you the principles of using it, types of a to-do list as well as a practical example, including the one I am using.

Here I will show you an example of managing a team in practice. I will use a team of project managers for this example

The concept is pretty simple. You first name the stages and map all the tasks that have to be accomplished as a part of the project

There are 2 main ways to control the progress of the project. You can use for this purpose a presentation template or a Kanban to show the status of all activities/analyses that are supposed to be delivered as a part of the project. We will look at the kanban in this lecture.

Gradual delegation helps you control the situation and make sure that the work will be done according to your standards. Let’s discuss when and how it can be used.

Let’s imagine that a small company that creates online courses would like to increase the number of created courses. Let’s have a look at how they can do it by gradually delegating work.

In this lecture, I will show you the solution to the previously introduced case study.

In this lecture, I will show you the solution to the previously introduced case study.

In this lecture, I will show you the solution to the previously introduced case study.