|
Hello Reader, What’s the difference between a Sales Funnel and a Marketing Funnel? People can get easily confused about these two terms, and that confusion is at least partly my fault. See, I’ve been writing about digital marketing for more than a decade online. I even wrote a book about Marketing Yourself. Despite being an 'expert,' I have been very sloppy about how I use those two phrases. During a recent workshop I was teaching, somebody asked me the question that had me shook: What’s the difference between a Sales Funnel and a Marketing Funnel? She wanted to know what I thought made them different from one another. For the first time, I put some intentional thought into the distinctions between a Sales Funnel and a Marketing Funnel, and I realized I have been using these terms wrong, all along. TL;DR: Marketing Funnels are for pulling, and Sales Funnels are for pushing. There are 3 phases a person goes through, on their journey from stranger to customer: Marketing, Sales, and Service. Marketing is the first phase: they go from being a stranger to a prospect. They read your work, they learn about you, they compare you to others, and finally they volunteer their willingness to enter into a commercial conversation with you. Sales is the second phase: they articulate their problem, listen to your solution, discuss the terms, and finally pay you some money. Service is the third phase: only customers who have paid you money enter this final stage. Because a lot of my work is digital, and asynchronous, I have been muddying the two terms Marketing Funnel and Sales Funnel, as if they are interchangeable. But they are not. A Marketing Funnel looks like this:
For some time now, I’ve been calling this sequence a Sales Funnel. My Sales Funnel Workbook has guided people through these steps, and helped people identify the gaps in their own systems. But that is not a sales funnel. A Sales Funnel looks like this:
When I host training workshops that educate entrepreneurs on how to make a sales pipeline, I give them this Trello board. Adding Leads to the first list, and moving them to the subsequent lists in order, is all you need to do to turn Leads into Customers. This is what most people call a Sales Funnel. Here’s a short video describing the progression: Getting The Names Mixed UpWhile I’m an expert in digital marketing, I’m also well aware that experts make the most mistakes in their field. (Experts often make the BIGGEST mistakes, after all.) This mix-up was one of my biggest mistakes of my career. When I published my Sales Funnel Workbook in 2016, what I was really describing was a Marketing Funnel. I have noticed other people using the term Sales Funnel to describe what I would call a Sales Pipeline, and it always bothered me. I didn’t take the time to examine why…until recently. It didn’t bother me that they were doing it wrong, it bothered me that I was doing it wrong. Now that I know this, it would be hypocritical of me to lean into my past mistakes, like many experts often do. So eight years later, I am rebranding my Sales Funnel Workbook into a Marketing Funnel Workbook. It's old, nearly a decade, but the concepts are still solid. My branding is a bit...dated, so you can use this opportunity to peek into how I used to present myself online. You can use this PDF to fix the gaps in your own Marketing Funnel, or you can use this Trello Board to manage your own Sales Funnel. If my misuse of this nomenclature has added to your confusion over the years, my apologies. I know that experts are often the last ones to change their minds, but I know from experience it’s not always from stubbornness; sometimes it’s just from oversight. I hope this clarification helps you think about your business, and the systems that support it, more clearly. |
Weekly newsletter highlighting the latest Ai news, with 2-minute video tutorials and copy/paste prompts you can use to improve your skills as an Ai operator. Ai is changing all jobs this decade. You are either getting ready to change how you work, or getting ready to retire. As artificial intelligence moves from optional to operational, technical specialists no longer have the advantage. It is those who can supervise and coach Ai to improve that will thrive in an Ai-augmented future.
⚖️ “With a leveraged worker, judgment is far more important than how much time they put in or how hard they work.” - Naval Hello Reader, AI is better at evaluating content than generating content.This makes sense, when you stop to think about it. For a large language model to interpret your instructions, and create output, all in the same step, it dilutes the same token budget over two requests.But if you have ask AI to evaluate its own outputs, it can focus all its attention on identifying...
🌱 "A coach is just a placebo – it's a commitment to make yourself a better person." Barrett Brooks Hello Reader, Most people treat AI like a search engine. They ask simple questions and accept whatever it replies. But if you want truly great results, you need to stop being a consumer of AI and start being a coach to AI. In my next interactive workshop, you’ll learn how to train AI to think better, iterate on its responses, and refine its output—just like a great coach helps an athlete or...
👨🎓 “In times of change, learners inherit the earth, while the learned find themselves beautifully equipped to deal with a world that no longer exists.” - Eric Hoffer Hello Reader, Giving your team Copilot licenses will not magically create AI transformation. That mindset is treating AI as a technology problem, when it is actually an operator problem.Most leaders I meet don't have a clear idea about what AI could do for their organization, or how to embed change at this scale. So they give new...