Funnels

A funnel is a sequence of steps. Funnel analysis measures conversion between each step, revealing bottlenecks.

Example

Visit → Signup → Activate → Paid = drop-off at each step.

Funnel insights

• Which step loses most users?
• Do different segments have different conversion?
• How has it changed over time?

Optimize the worst step first

Biggest loss = biggest opportunity.

Multi-step paths

Real user journeys aren't linear. Supplement funnels with path analysis.

What to do with this

• Build the funnel once and review it weekly, the biggest drop-off is usually where the product or flow is broken
• Complement funnels with path analysis, real users rarely go through linear funnels, path analysis shows actual behavior
• Fix the highest-drop step first, shoring up small leaks while the main one is broken produces no measurable lift
• Segment the funnel by source + user type, different cohorts drop at different steps and need different fixes
• Track conversion rate step-by-step, not just start-to-finish, end-to-end alone hides where you're losing people