Does your business have a strong flow of leads coming in, is it a trickle or just a few drops every now and again?
It is not uncommon for a lot of business owners to only prioritise their marketing when they are experiencing sales dropping off or drying up completely. They have no sales or jobs for their Team to fulfil so they run a marketing campaign. This brings in some business, they get busy, and their Team start to complete the orders until they run out of work again. Then they think to themselves – ‘our cash flow is short again, we better do some more marketing’ – and so the disjointed process begins again and repeats.
This type of behaviour is called ‘reactive marketing’ and is generally not an effective way of running your business for the following reasons:
- it is often too late: Reactive marketing is a response to a problem that has already occurred. By the time a business realises that it needs to focus on marketing, the damage may have already been done. This can lead to a loss of customers and cash flow that may be difficult to recover.
- it is not targeted: This form of marketing tends to be general, not customer specific and unfocused, as it is a quick response to a problem. This can result in marketing messages that do not resonate with the intended audience, leading to poor engagement and a lack of impact.
- it is not sustainable: It is a short-term fix that does not address the underlying issues that led to the decline in sales. Once the marketing campaign is over, the business may revert to its previous state, leading to a repeat of the problem.
Creating consistent cash flow requires a strategy that delivers a constant supply of ready-to-buy leads to your business that can easily be converted to sales.
The AIDA model is the basis of today’s marketing and advertising best practices known as the ‘lead funnel formula’ – the process of turning prospects that enter the top of your sales process (‘funnel’) into customers through a series of steps, or stages, which channel their feelings and emotions through a nurturing communication process as they go through, towards the outcome of a sale.
Using this model as your marketing strategy will take your potential customers all the way from awareness to purchase and should be used whenever you begin any form of a marketing campaign.
It outlines the four basic steps that can be used to persuade potential customers to buy from you. The first three steps involve creating attention (A), developing interest (I) and building desire (D) for the product or service you sell before the fourth step – the ‘call-to-action’ (A) – tells them exactly how and where to buy from you.
The formula typically includes the following stages:
Awareness: This is the first stage of the funnel where you create awareness of your brand, product, or service. This can be done through advertising, content marketing, social media, or any other form of marketing.
Interest: Once you have created awareness, you want to generate interest in your brand, product, or service. This can be done by providing valuable content, offering a free trial, or highlighting the benefits of your product or service in solving a problem.
Decision: At this stage, the prospect has shown interest in your product or service and is evaluating whether to purchase. You want to give them the information they need to make an informed decision and address any concerns they may have.
Action: This is the final stage of the funnel where the prospect becomes a customer by taking action and making a purchase. You want to make the process as easy and seamless as possible to encourage them to take this step.
The lead funnel formula guides prospects through the marketing process and increases the likelihood of converting them into customers, and if used consistently will deliver a constant supply of customers to your business, and of course a consistent cash flow as a consequence.
If you are the type of business that does reactive marketing, there is a better, more sustainable way to bring in a constant supply of leads to your business, contact our Team on 55612643 if you want to break the cycle.
Have a great day!
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