I received an email from a reader who needed some advice regarding the diagnosis of sales funnel. I’m going to keep this short as I’m busy with launching some more campaigns right now, but I hope that I leave some value here.
There’s no rocket science here. The first thing for you to do is to be aware of all the steps that your potential customer is going to take in order to purchase something. Starting off from seeing your ad on Facebook or other platforms, watching/engaging with it, clicking on it to reach your landing page, reading the product description, adding the product to cart, initiating checkout, adding shipping/payment info, and eventually committing a purchase. These are the steps that the customer goes through in most of my advertising. It can be different for everyone.
The second thing for you to do is to find where the breakage is. If you’re failing to see results, you need to identify the point where something is going wrong. If you’re doing video ads and have good watch time, your creative and your targeting should be okay. So you’ve diagnosed this step of the funnel and should move forward. If you have a good CTR (1%+ for Facebook), it means your ad copy was convincing and the customer is interested in knowing more about your product.
If your bounce rate is low and your time on site high, it means your landing page was engaging and informative. If over 10% of the people on your LP add the product to their cart, it means your ATC button placement, color etc is good. If over half of those who added the product to cart then initiate check-out, it means your cart page is not broken and created as it should. If over half of those who initiated check-out, purchase the product, congratulations you’ve made it.
Key metrics that I really like to focus on: average video views in seconds: 10 seconds or more. Average video views in percentage 25% or more. CTR minimum 1%, ideally 2%+. ATC rate, I like it over 10%. Initiate check out rate, I prefer having over 5% and conversion rate should ideally be 2.5% or more. Below are the today’s stats for one of my stores
I hope you find this useful.