Other names: 4-stage AIDA model, TOFU(top of funnel), MOFU(middle of funnel), BOFU(bottom of funnel)
Definition: In simple terms,AIDA Model a consumer journey. There are various stages in which a consumer lies and how a marketer makes the most out of it. In the initial phases, the marketer’s goal is to create awareness about the product and gradually get more conversions.
Use: Marketing funnel helps measure the effectiveness of a marketing campaign and build better communication. E.g. If you lose customers before they reach a particular stage, that means you need to create a better strategy for earlier stages.
Stages of Marketing Funnel / AIDA
Awareness: Companies try to reach as many people as possible to introduce the product and provide information or showcase the value of the product. At this stage, advertising & influencer marketing is used to create awareness.
Interest: At this stage, the buyer already knows about your product and is willing to consider it in its consideration set*. Marketers aim to provide more insights, benefits, values and features of the product at this stage. At this stage, content marketing, reviews, webinars and email marketing are used to generate interest.
Desire: People at this stage are high intent leads and they start liking the product and might want to buy them. At this stage, demo, trials, discounts & coupons are used to encourage buying.
Action: This is the final stage where the consumer buys the product.
Now, with changes in marketing and consumer behavior, it is believed that the marketing funnel doesn’t end with a purchase. Rather, the funnel expands into dimensions like consumer retention. This means greater brand loyalty and advocacy.
Awareness: Creating awareness of the product or service
Consideration: People liking the product. Maybe even willing to buy
Conversion: People making a purchase
Loyalty: Delighting consumers with quality service
Advocacy: Consumers who spread positive words for the company and its product. (Word of mouth marketing)
It is important to understand that a consumer interacts with a product 5-8 times before making a purchase. There are various touchpoints* at which a consumer interacts with a brand or product like a website, favicons*, advertisements, emails, posters etc…
Key Definitions used:
*Consideration set is the subset of brands that consumers evaluate when making a purchase decision.
*A touchpoint is any point of interaction with a customer or potential customer at any stage of the customer journey.
*Favicons are little icons that show up next to the URL when searching for a website. E.g The blue bird by Twitter.com
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