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Marketing Funnel

Also called Funnel and Conversion Funnel

The path a person takes from first hearing about you to becoming a customer, drawn as a funnel because people drop off at each stage. Each step converts a fraction of the last.

Why it matters

Thinking in funnels shows you exactly where you lose people and which stage, if fixed, would move the most growth. It turns a vague sense of not enough customers into a specific, fixable bottleneck.

For example

Of 10,000 visitors, 1,000 sign up, 300 activate, and 60 pay, a funnel that shows the biggest leak is between signup and activation.

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Related terms

Also in Starting Up

See how founders actually handle this on Growing and marketing, part of the Starting Up hub.

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