LEAKS - How to prevent them and save $$$
DRIP DRIP DRIP 💧💧💧
Let’s first learn what exactly are leaks. Imagine this is your ideal sales funnel:
This is close to how it looks for only 22% of businesses that are satisfied with their conversion rates, and, are happy and growing gradually according to Econsultancy:
All the people (at the bottom with sad faces) exiting the funnel without entering the next phase are called Leaks.
The following diagram is close to how this funnel looks like for the rest of 78% of businesses that are not satisfied with their conversion rates:
If you’re a well-known brand like Nike, users automatically trust your brand and the leaks are low in the first phase. If you’re a new or less known architect firm who is going to build a dream house out of all the savings of an individual, then it is hard to generate trust and there might be only 1 person going from first to the second phase out of hundreds. It needs some effort to make users go from the first phase of the funnel to second by generating trust.
There are few ways with which you can not only (1) reduce the leaks but (2) bring the users who already exited funnel back into it with a fraction of cost.
1. REDUCE LEAKS
3 things that would marginally reduce the leaks:
a) Develop the trust of users
b) Develop trust of users
c) Develop trust of the user
Generating trust can be the only single element which can marginally reduce the leaks in both phases of the funnel. I have written a blog where I have described the various strategies in details on how to develop the trust of users in your company. Check it out here→
2. BRING LEAKS BACK IN THE FUNNEL
2 things that would definitely bring back the leaked users back to the funnel:
b) Email Marketing
Let’s discuss them in detail.
Retargeting ads gives you the opportunity to recapture some of those already warmed users in your niche audience. You already know that they’re interested because they clicked on your ad, so capitalize them.
What is retargeting?
Retargeting, also known as remarketing, is a form of online advertising that can help you keep your brand in front of bounced traffic after they leave your website.
How it can be done?
Third party websites using Google Ads and on social media. Google will display your ad to the users who visited your website to refresh your brand in their mind.
Why do you need it?
For example, I want to hire an architect. I would check websites multiple architect firms looking to gain some knowledge and find out which one would suit me the best. I visit your website. It seems pretty and has some useful blogs on it. Then I visit the next one and another one and again one more. By the time I end up gaining knowledge and learning about how it all works, I have completely forgotten about the first 3 websites I visited. After 2 weeks when I am ready to set up a consultation with an architect, an ad of your company appear in front of me while I am reading a news or scrolling Facebook. Now, I again scan your website briefly and send you an email regarding my enquiry.
2.2) EMAIL MARKETING
Email marketing includes sending emails periodically to users after they leave the website. Unlike retargeting ads, emails bring value to users by providing them knowledge. Moreover, it helps you to stand out as a thought leader in the industry for them.
The email marketing needs to grab the email addresses of the users to work and it requires effort.
You need to put your thoughts in and create at least one guide to be used for grabbing their email address in exchange for the valuable knowledge provided in it.
Here is a great example of a pop-up for an architect website:
Another place to offer your guide would be under your blogs. Once they finish reading a blog and where your guide can provide them further information regarding it, placing it at the bottom of that blog can be very useful to grab the email addresses of users in your niche audience.
Why to fix leaks instead of increasing the budget
Now you must be wondering;
“Why can’t I simply increase the budget of my initial ad and get more leads at the end of the funnel?”
How much will I be spending on all of these email marketing and retargeting?”
Well, there can be 2 scenarios why you can not simply increase the budget of your ad. The first one is that if you are targeting a niche market, you’d be already targeting 100% of the search terms. For eg, if you’re an architect based in Sydney, you would be already targeting all the 2000 searches per month happening in Sydney. Therefore, you can not just simply increase the budget.
The second scenario would be that you are selling online courses to people who want to reduce weight. There are hundreds of thousands of searches happening in Australia regarding that. If you would think of simply increasing the budget of the ad, you would be scaling it vertically which would eventually drop your ROI.
Email marketing can be handled easily using free or paid tools like MailChimp or Active Campaign costing from $0 to $50 per month. Retargeting only cost a fraction of amount as compared to initial Google Ads click payment.
To put it visually, here is what it would look like:
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