← Glossary Marketing

Funnel

The step-by-step path a visitor takes from first contact to purchase.

Explained simply.

The funnel is the sequence of stages a prospect moves through: awareness → interest → consideration → purchase → retention. Each stage has more people at the top than at the next stage, which is why it looks like a funnel. The gap between each stage is a conversion rate. Understanding your funnel is the foundation of most marketing work.

An example.

SaaS funnel: 10,000 visit the site. 500 sign up for the free trial. 100 become paying customers. 80 stay after 3 months. Stage conversions: 5%, 20%, 80%. The biggest leak is visit-to-trial (only 5%)-that's where to spend your CRO effort.

Why it matters.

Every marketing decision happens inside a funnel. Knowing where your funnel leaks tells you what to fix next. Most teams don't map their funnel carefully, so they optimize the wrong steps. Start by mapping yours end-to-end before touching anything.