What is full-funnel marketing? Creating a funnel strategy

Upper-funnel marketing refers to strategies to build brand awareness. For example, many TV commercials are designed to build awareness among audiences who ... Whatisfull-funnelmarketing?CreatingafunnelstrategyNovember18,2020|By:NinaBrentlinger,Sr.ProductMarketingManagerFormanyshoppers,researchanddiscoveryhappenacrossmultiplechannelsatonce.Ifyou’veeverscannedproductreviewsonyourphonewhileshoppinginstore,ortoggledbetweenabrand’ssocialmediafeedandwebsitewhilewatchingaTVcommercial,you’renotalone.69%ofin-storeshoppersresearchreviewsontheirphonesastheybrowsetheaisles,1and71%ofAmericansuseasecondscreentolookupcontentrelatedtocontenttheyarewatchingonTV.2Theubiquityofmobiledevicesandsocialmediameansthatonlineandofflineshoppingjourneysarebecomingmorefragmented—makingitcriticaltoadoptafull-funnelstrategythatdrivesawarenessanddemandacrossmultiplechannelssimultaneously.Whyisfull-funnelmarketingimportant?Marketingfunnelsarelinear;customerjourneysarenotWhenwesay“funnel,”we’rereferringtothemarketingfunnel,whichoutlinesthemoststraightforwardjourneyyourcustomermighttakeinthepathtopurchase.Thetopofthemarketingfunnelrepresentsshoppersintheawarenessstage,andthebottomofthefunnelrepresentsshoppersinthepurchasingstage.Upper-funnelmarketingreferstostrategiestobuildbrandawareness.Forexample,manyTVcommercialsaredesignedtobuildawarenessamongaudienceswhomaynothaveaneedfortheproductyet.Mid-funnelmarketingstrategiestypicallyfocusonbuildingconsiderationandstandingoutinyourcategory.Forexample,blogcontentcanhelpdifferentiateaproductfromothersinitscategory.Lower-funnelmarketingdrivespurchaseamongshopperswhoshowpotentialtobuy.Forexample,remarketingadswithcalls-to-actionlike“Buynow”canbringshoppersclosertothepointofpurchase.Afull-funnelmarketingstrategybuildsawareness,consideration,andpurchasesimultaneously.Themarketingfunnelisahelpfulframeworkforengagingaudiences.Atthesametime,customerjourneysandfunnelsaren’tinterchangeableconcepts.Funnelsarelinear,butcustomerjourneysrarelymovedirectlyfromawarenesstoconsiderationtopurchase.NotwocustomerjourneysarethesameLet’sputthisincontext.ImagineahypotheticalsoapcompanycalledSudsandtwohypotheticalcustomerjourneys.ThefirstcustomeriswatchingFireTV,amediaplayerthatturnsanyTVintoasmartTV,whentheyseeacommercialforSuds'“SurfandSea”soapformen.Theyareoutofsoapandlovesurfing,sopauseFireTVandopentheAmazonmobileapp,typing“surfsoap”intothesearchbar.TheyclickonSuds’SponsoredProductsadandstartreadingreviews,butgetdistractedwhentheirfriendcallstoaskaboutsurfingthisweekend.TheypauseFireTVtotakethecall.Aftertheyhangup,theynoticecloudsoutsidethewindow,sotheychecktheirfavoriteweatherwebsiteandarerelievedtoseesunnyskiesforecastedfortheweekend.TheythennoticeaSponsoredDisplayadforSuds'“Surfandsea”soapontheweatherpageandrememberwhytheypulledouttheirphoneinthefirstplace.TheadbringsthembacktotheSuds“SurfandSea”productdetailpage.Theyareembarrassedabouthavingcomesoclosetorunningoutofsoapandwanttoensureitdoesn’thappenagain,sotheyclick“Subscribe&Save”andreturntowatchingFireTV.Thisshopper’spathtopurchaseisrepresentativeoftoday’spurchasingjourneyinthreeways.It’sfast.Whenthecommercialstarts,they’renotyetawareofSuds.Bytheendofthecommercial,they’rearepeatcustomer(assumingtheycontinuetheirsubscription).It’smultichannel.Whenthecustomergrabstheirphonewhilewatchingthecommercial,it’salmostasifthey’reintheawarenessandconsiderationstagessimultaneously.It’snotlinear.Theyskipcertainstagesofthemarketingfunnelwhentheyopttosubscribebeforeevenunboxingandtryingtheproduct.Ontheotherhand,adifferentcustomermighthaveatotallydifferentcustomerjourney.Let’ssaytheynoticethenear-emptysoapcontaineranddecidetotakemattersintotheirownhands.Theymighttype“men’ssoap”intothesearchbaronAmazonandstartbrowsingthecategoryforsoapthathasgoodcustomerreviewsandfastshipping.TheymightdiscoverSudsthroughanadonanothersoapbrand’sproductdetailpage,thenclickontheadtoreadreviewsaboutwhethercustomerslikethe“SurfandSea”scenttoo,andvisitSuds’Storetolearnmoreabouttheirenvironmentallysustainablepackaging.Inthiscase,thecustomerenterthefunnelintheconsiderationstage.Theyknowtheyneedsoap,andpreferproductsthatarebrandedformen.Theynarrowthecategory,andSudssuccessfullystandsoutamongpeerproducts.Inotherwords,whilethefunnelisahelpfulframeworkforensuringyou’rereachingcustomersacrosspotentialpathstopurchase,fewcustomerjourneyswillmirrorthefunnel—andnotwojourneyswillbeexactlythesame.Afull-funnelstrategycanhelpyoureachmoreshoppersacrossmoretouchpointsShopperscanenterthefunnelatanystage,orseeminglyskipstages.Nevertheless,ineachofthesetwoexamples,Sudscanattributetheconversionstoafull-funneladvertisingstrategythatencompassesawareness,consideration,andconversion.IfSudsfocusesexclusivelyondrivingconversionbyinvestinginSponsoredProductsadsandbiddingonbrandedshoppingqueries,thebrandmayfailtoreachshopperswhoseshoppingjourneysstartintheawarenessandconsiderationstages.IfSudsfocusesexclusivelyondrivingconsiderationbyinvestinginstrategieslikeSponsoredDisplayproducttargeting,thebrandmayreachshopperswhoarebrowsingthecategory,butmissshopperswhoarenotintheaisle.IfSudsfocusesexclusivelyonbuildingawarenessthroughstreamingTVadvertisingviaFireTV,thebrandmayreachaudienceswhoseetheirFireTVad,butmissanopportunitytoengageaudiencesenteringintheconsiderationstage.Andtheymayfailtosustaintheengagementwithshoppersunlesstheypairtheirupper-funnelcampaignwithlower-funneltacticsliketheremarketingadsthatbringthembacktotheproductdetailpage.Youmaynotbeabletopredictthestepsshopperstakebeforebuyingyourproduct,butafull-funnelapproachisagoodframeworkforanengagementstrategythathelpsyoumeetcustomerswheretheyare.5stepstobuildingafull-funnelmarketingstrategyonAmazonEachmonth,morethan215MshoppersvisitAmazon.com3todiscoverandpurchasenewproducts.WhileAmazonisaretailer,it’salsomuchmorethanthat.CustomerscountonAmazontobrowsereviews,watchmovies,listentopodcastsandmusic,streamvideogames,readtheirfavoritebooks,andkeepupwiththeirshows,athomeandonthego.TheylistentoAmazonMusicduringmorningruns,theycountonAlexatocreateshoppinglistsfordinner,andtheyunwindattheendofthedaybystreamingFireTV.Nomatterwhatjourneyshopperstake,theymayencounteranAmazontouchpointduringtheirpathtopurchase.Asaresult,AmazonAdsisuniquelypositionedtobuildfull-funnelmarketingstrategiesthatreachaudiencesthroughouttheirdailylives.Atthesametime,thisdepthandbreadthofreachcanmakeittoughtoknowwheretostartwhenbuildingafull-funnelstrategy—sowe’vebrokentheprocessdowninto5simplesteps.1.MakesureyourproductsarereadytobuyWealwaysrecommendstartingwiththebottomofthefunnelandworkingyourwayupwardswhenbuildingafull-funnelstrategy.Forexample,beforeyoupaytopromoteaproduct,checktoensureyourproduct’sdetailpageisfreeofspellingerrorsandcontentmistakes,hasenoughimages,reviews,andratingstostackupagainstotherproductsinyourcategory,andyou’representingtheFeaturedOffer.WecallthisA+contentwithinretailreadiness.Tip:Anotherfast(andfree)waytomakeyourproductsretailreadyisthroughthefreebrandedcontentthatAmazonAdsoffers,likePostsandStores.Storesisadestinationtoextendyourbrandandpromotediscovery.Postsisanopportunitytoeducatecustomersaboutyourproductsthroughcompellinglifestyleimagery.2.ReachshopperswhoaremostlikelytopurchaseOnceyou’veoptimizedyourproductdetailpagesforconversion,startexperimentingwithtacticstodrivepurchase.Forexample,werecommendSponsoredProductsadsthatreachshoppersusingbrandedsearchtermsindicatinghighintent(e.g.,“Sudssurfsoap”)orremarketingtoaudienceswhohaveviewedyourproductdetailpageusingSponsoredDisplay.Tip:RemarketingadsappearonandoffAmazon,makingthistacticagreatwaytostaytopofmind.Sinceyourtotalpotentialremarketingaudiencesdependsonthesizeoftheaudiencethathasviewedyourproductdetailpage,considerremarketingfollowingkeybuyingperiodslikePrimeDayandtheholidayseason,whenyourproductdetailpagesmayhaveseenincreasedpageviews.3.StandoutinyourcategoryOnceyourproductsareretailreadyandoptimizedforconversion,werecommendinvestinginadtypesthatwillhelpyoustandoutinyourcategoryanddifferentiateyourbrandfrompeerproducts.Wecallthisowningyouraisle.Forexample,asoapcompanymightuseSponsoredDisplayproducttargetingtoreachshoppersbrowsingrelevantcategories(e.g.,soap),similarproducts(e.g.,peersoapbands),orcomplementaryproducts(e.g.,shampoo).Tip:Ifyouhaveanewlylaunchedproduct,youmightevenwanttouseproducttargetingtorunplacementsonyourownproductpagestohelpmakeshoppersawareofyournewreleases.Runningproducttargetingplacementsonyourownproductdetailpagealsolimitsthelikelihoodofotherplacementsrunningonyourproductdetailpages.4.BuildyourbrandOnceyou’reconfidentyou’reowningyouraisle,werecommendincreasingconsiderationwithproductslikevideoanddisplayadsthroughtheAmazonDSPandSponsoredBrands.Atthisstage,considerbiddingonbroadershoppingqueries(e.g.,“soap”)andreachingin-marketaudiences.In-marketaudiencesareaudienceswhoseshoppingpatternssuggesttheymaybeinterestedinyourproduct.Tip:ConsiderusingSponsoredBrandstodrivetraffictoyourStorepagetoeducateshoppersintheconsiderationstageaboutyourbrand’sstoryandproducts.5.ExpandyourreachThefinalsteptoafull-funnelcampaignisbuildingawareness.AmazonDSPcanhelpyouscaleyourreachacrossmultiplechannels(includingdisplay,audio,andover-the-topvideo)withoutsacrificingrelevance.UsingAmazonAds'audiencebuilder,youcandefineaudiencesbasedonlifestyle(e.g.,Jeepenthusiasts),streamingpreferences(e.g.,recentlystreamedSoulSurferonPrimeVideo)andlookalikeaudiences(e.g.,AmazonFreshlookalikes).Tip:ConsidercombiningaudioandStreamingTVadstoreachaudiencesbeyondthescreenandathome.ReadmoreabouthowJimmyDeancombinedaudioadsonAmazonMusic’sfreetierandAmazonStreamingTVadsonFireTVtogeneratedouble-digitgrowthinpurchaseintentandaction.Remember:Full-funnelstrategiesdon’thavetobeelaboratetobeeffectiveByusingafull-funnelstrategywithAmazonAds,youcanuseshoppingsignalstomakeyourcampaignsworkharderandengagewhatwouldotherwisebehard-to-reachaudiences.WhetheryouwanttosurfaceyourcosmeticbrandamongaudienceswhohaverecentlystreamedLadyGagafilms,orlaunchanewairfiltrationproducttoaidallergysufferers,AmazonAds'full-funnelsolutionsarebuilttohelpyouconnectwithanyaudience,wherevertheymaybeintheirshoppingjourney.Youdon’tneedahugemarketingbudgetorabigagencyteamtomanageafull-funnelstrategythatdeliversresults.4benefitsoffull-funnelmarketingWerecommendafull-funnelapproachnotonlybecauseithelpsprepareyouforadiverserangeofcustomerjourneys,butbecauseadvertiserswhotakeafull-funnelapproachtoAmazonAdsseemoresuccessthanadvertiserswhohoneinonasinglestageofthefunnel(e.g,drivingpurchase)orgoal(e.g.,returnonadvertisingspend).Bestofall,yourfull-funnelstrategydoesn’thavetobeelaboratetobeeffective.Manyadvertisersstartbycombiningsponsoredadswithdisplay,andtheresultsspeakvolumes.Onceyou’rereadytobroadenawarenessbyaddingStreamingTVadsoraudioads,researchsuggestsyou’llseeevenstrongerresults.Forsimplicity,we’llcallthefollowingmediamixamodifiedfull-funnelstrategy:SponsoredProductsand/orSponsoredBrands,plusdisplayadvertisingwithSponsoredDisplayand/orAmazonDSP.We’llcallamodifiedfull-funnelapproachthatalsoincludesstreamingTVacomprehensivefull-funnelapproach.Herearefivegoalsamodifiedorcomprehensivefull-funnelstrategymayhelpyouaccomplish:1.Reachnewaudiences-upto21%morenew-to-brandsalesIfyouthinkhoninginsolelyonbrandingisthebestwaytogrownew-to-brandsales,thinkagain.Researchsuggestsupper-funnelcampaignsworkbestwhenpairedwithlower-funneltactics.Onaverage,advertiserswhotakeamodifiedfull-funnelapproachhaveseen11%morenew-to-brandsalesthanadvertiserswhouseonlySponsoredProductsand/orSponsoredBrands.Advertiserswhotakeacomprehensivefull-funnelapproachhaveseen21%morenew-to-brandsalescomparedtoadvertisersusingSponsoredProductsand/orSponsoredBrands.4Keytakeaway:Fewshoppersconverttopurchaseimmediately.Pairingupper-funnelandlower-funneltacticscanhelpyourbrandstaytopofmind.2.Increaseconsideration-upto2.5xmoread-attributeddetailpageviewsWhilewehaveavarietyofproducts–fromSponsoredBrandstoover-the-topvideoads-thataredesignedtoincreaseconsiderationandhelpbrandsdifferentiatetheirproductsfrompeerproductsinthecategory,researchsuggestsbrandbuildingtacticsworkbestaspartofabalancedmarketingstrategythatcombinesupperandlower-funnelmarketing.Inananalysisofbrandswhohaveusedafull-funnelstrategyintermittently(e.g,onandoff),wefoundthatadvertisersdrive2xmoread-attributeddetailpageviewsand1.7xmoread-attributedAddtoCartactionswhentheytakeamodifiedfull-funnelapproach,comparedtotimeswhentheyonlyuseSponsoredProductsand/orSponsoredBrands.Advertisersdrive2.5xmoread-attributeddetailpageviewsand2.1xmoread-attributedAddtoCartactionswhentheytakeacomprehensivefull-funnelapproachtoAmazonAds,comparedtotimeswhentheyonlyuseSponsoredProductsand/orSponsoredBrands.3.Drivesales-upto8%highersalesgrowthManyadvertisersbelieveperformancemarketingisthebestwaytodrivesales,butourresearchsuggestsafull-funnelapproachismoreeffective.Onaverage,brandswhotakeamodifiedapproachtofull-funnelmarketinghaveseen4%highermonth-over-monthsalesgrowththanbrandsthatrelyonlyonSponsoredProductsand/orSponsoredBrands.Brandswhotakeacomprehensiveapproachtofull-funnelmarketinghaveseen8%highermonth-over-monthsalesgrowththanbrandsthatrelyonlyonSponsoredProductsand/orSponsoredBrands.5Furthermore,inananalysisofbrandswhohaveusedafull-funnelstrategyintermittently(e.g,onandoff),wefoundthatadvertisersdrive1.8xmoread-attributedsaleswhentheytakeamodifiedfull-funnelapproachand2xmoread-attributedsaleswhentheytakeacomprehensivefull-funnelapproach,comparedtowhentheyonlyuseSponsoredProductsand/orSponsoredBrands.6Keytakeaway:Expandingyourstrategybeyondthepurchasingstageofthefunnelcanhelpyouproactivelyengagenewshoppersanddrivemoresalesinthelongterm.4.Buildloyalty-upto1.9xmoreSubscribe&SavecustomersSomemarketersviewloyaltyasaseparatestageofthefunnel,butresearchsuggestsinvestinginafull-funnelstrategy,ratherthanpursuingloyaltyasaseparatetactic,isthebestwaytosetyourbrandupforrepeatpurchases.Inananalysisofbrandswhohaveusedafull-funnelstrategyintermittently(e.g,onandoff),wefoundthatadvertisersdrive1.7xmoread-attributedSubscribe&Savecustomerswhentheytakeamodifiedfull-funnelapproachand1.9xmoread-attributedSubscribe&Savecustomerswhentheytakeacomprehensivefull-funnelapproach,comparedtowhentheyonlyuseSponsoredProductsand/orSponsoredBrands.5Keytakeaway:Afterseeingamessageacrossfourchannels,trustinthatmessageincreases106%overseeingitonechannel.7Ifyou’retryingtogrowcustomerlifetimevalue,afull-funnelapproachmayhelpyoubuildthetrustthatunderpinscustomerlongevity.Afull-funnelstrategycanhelpyoucreateefficienciesacrossthefunnelWhenyouadoptafull-funnelmarketingstrategy,you’lllikelyseecompoundingeffectsthatleadtostrongerresultsineverystageofthefunnel,fromincreasingROAStogrowingsalestobuildingawarenessandpurchaseintent.Iffull-funnelmarketingisnewtoyou,startwithamodifiedfull-funnelstrategyandworkyourwayuptoacomprehensivefull-funnelstrategy.Wanttolearnmoreaboutfull-funnelmarketing?Readourinteractiveguide.Sources1eMarketer,Retail&EcommerceSales,US,October20192Arstechnica,December20193ComScore,December20194Amazoninternal2019–resultsbasedonananalysisofmorethan600brandsacross5categories5AmazonInternal2019–resultsbasedonanalysisofmorethan4000brands6AmazonInternal2020–resultsbasedonanalysisofmorethan50brandsJune2018andJuly20207Edelman;InBrandsWeTrust;June2019FacebookTwitterLinkedInEmailJumpto:Whyisfull-funnelmarketingimportant?5stepstobuildingafull-funnelmarketingstrategyonAmazon4benefitsoffull-funnelmarketingInteractiveguidetofullfunnelmarketing