3 Stages of Your Website Sales Funnel that Are Leaking Money (Part II)


Sales Funnel Training: This is part II where we’re discussing the bottom stage of your sales funnel. Click here to get part III where I give you automated demand generation strategies that continuously send traffic down the top of your funnel.

We would all like a “silver bullet” to make more money from our businesses.

Trouble is, “silver bullet syndrome” will cause you to make poor, short-sighted marketing choices.

In the real world there are no silver bullet solutions, but there is something almost as good when it comes to increasing revenue with your sales funnel…

In part 1 of this three part series we talked about the middle stage of your sales funnel which, done properly, is all about “leveling up” your relationship with potential and existing customers over time. The strategy focuses on making higher priced, higher value offers in direct relationship to the amount of trust already built with a prospect.

When you take this approach, you’ll be light-years ahead of most marketers who are constantly trying to “marry” their customers on the “first date.”

The tactics I gave you for accomplishing this and causing an email optin so you can take those relationships to the next level were (1) give away something for free, (2) redirect lead gen forms to landing pages with a (small) paid or premium consultation offer, (3) sprinkle your lead collection forms through out your funnel, but especially on the homepage, and (4) write your sales copy with the “You Rule” meaning it should be focused on the customer and his / her needs.

Today we’re going to focus on the bottom stage of your sales funnel.

And that “almost as good as a silver bullet” strategy I mentioned above? It’s purchase rate optimization. This is the same thing as conversion rate optimization but focused exclusively on those pages and factors that result in more people buying from you, more often.

Let’s get into it…

The Purchase Stage

At the top of the funnel, the prospect is driving by your store, maybe peeking in the window. This is demand generation.

At the middle stage, they’re walking in the door. This is where engagement occurs.

At the bottom of your sales funnel, the purchase stage, they’re looking at prices, evaluating features and benefits, and pulling out their wallet to buy.

Optimizing at this stage is like a “silver bullet” because small improvements can have a significant and immediately positive impact on your cashflow.

Many marketers will run “split tests” (aka A/B tests) at this stage where different design and copy elements are tested against the original.

But I don’t want to talk to you about split testing here today because you need a substantial amount of traffic in order to get timely results and make it worth the effort.

Instead, I want to give you 3 actionable tips that rely on proven best practices and research data.

Tip #1 – Multiple Pricing Package Options & The Power Curve

Offering multiple pricing packages can not only increase your conversion rate, it will earn you more revenue.

According to research published in the Journal of Consumer Affairs, people have “single option aversion.”

This means that people are more likely choose to NOT make a purchase decision if there is only one pricing option. In that same study, people were over SIX TIMES MORE LIKELY to make a buying decision when presented with two purchase options instead of one.

The benefits to offering multiple pricing packages is further supported by the 80/20 Power Curve presented in Perry Marshall’s book, 80/20 Sales and Marketing. The curve, pictured below, shows us that as we lower the price of what’s offered, more people are willing and able to spend at that price point.


As the price approaches zero, an nearly “infinite” number of people are willing and able to buy.

Key takeaway here: you want to offer multiple price points because that way you will increase the total geometric area (revenue) that you are able to capture below the power curve line. Make sense?

The limits on the theory of the power curve that you need to keep in mind when applying it your business are that is assumes you have 100% efficient market distribution. In general, the wider and broader your reach, the more the power curve will take shape in a smooth arch exactly as pictured above.

Here’s one great example of this from a previous SaaS product I worked on:


Here’s another from BidSketch.com.

Quick Related Bonus Tip: In a post on his blog, the founder of BidSketch, Ruben Gamez explained how he was able to increase his prices while also increasing conversions. A key design change that made it happen? He changed the names of his pricing plan to represent the type of professional or organization whose needs best fit with that package.


Tip #2 – Retargeting & The Law of Exposure Frequency 


People are more likely to buy what they shown interest in–and are then reminded of.

This is the Law of Exposure Frequency. It says that the more often you are exposed to an idea that requires action (i.e. a purchase in this case) the more likely you are to take that action.

You can take advantage of this with email autoresponders, but a simpler, easier option is retargeting.

Those ads that follow you around the web after you visit a company’s website? Yup, that’s retargeting in action. It works to bring people back to your site who have indicated interest with their visit but didn’t convert.

If you want to learn more about retargeting, click here.

Tip #3 – At checkout, don’t stop selling.

This will be the final tip before we transition into part III, which is all about automated demand generation that sends traffic down the top of your funnel.

a customer is so close to buying from you at this point, she is STANDING at your virtual cash register, ready to buy.

But, alas, her wallet is across the room! She must walk to get it! “Is this product really worth it? Meh, maybe I’ll come back later.”

She defers her decision! NOOOOOOOOOOOO!…

It could have been avoided if you’d just done one thing differently on your checkout page. You should not have stopped selling until the purchase was officially made.

Ok so how do you do this? Simple:

  • Benefit and ease of use focused sales copy
  • Social proof, like 3rd party logos and customer testimonials

Benefits of product or service: what are the positive end results the customer wants that they are immediately on the path to getting when they buy your product?

Benefits in product description: review in positive language the immediate deliverables or features (e.g. see example below where it says “Get complete access…”).

Ease-of-use as a benefit: for instance, “Sign-up in 60 seconds.”

Social proof speaks for itself: who are you more likely to believe, a company selling you something or a customer who was once in the same position as you giving an honest, authentic quote? If you want to read more about how to get testimonials and social proof, click here.

Here’s a great example from Laura Roehder’s Social Brilliant video course on social media.


Here another good example that I helped build and design in the past for a separate product. Note how “Thank you for choosing Saber Blast” is a tactic recommended by many expert copywriters. It’s called, “assuming the sale.”



Sales Funnel Training: Enjoying this free training series? Click here to make sure you don’t miss part three where we discuss two, easy to implement strategies for generating more demand at the top of your funnel via SEO and social media.

  • Purchase rate optimization at the bottom of your funnel will give you the most immediate revenue-generating results compared to changes at other stages in your sales funnel.
  • Split testing is a common strategy to improving your purchase rate but if you’re traffic is low it’s better to focus on proven best practices
  • The Power Curve tells us with statistical certainty that different people will purchase at different price points so it makes sense to offer multiple pricing packages. Customers will self-segment based on value and their ability to afford it.
  • Use the principle of Exposure Frequency via retargeting ads to bring prospects back to those key sales pages in your funnel.
  • When it’s time for the customer to pay at checkout, don’t let up! Review the value they’re getting, add a risk reversal, and provide compelling social proof.

The tips in this free funnel training series are simple and easy to take action on, so I hope you’ll follow along and take action on the above points if you haven’t already.

In the next and final training lesson, I’m going to give you two strategies for driving more traffic into the top of your funnel (and both are fully automated so they don’t require any ongoing maintenance)

Which tip will you apply first to your sales funnel? What are some other strategies for improving the purchase rate on your sales pages?

4 thoughts on “3 Stages of Your Website Sales Funnel that Are Leaking Money (Part II)

  1. Matt, I am sure that I need a sales funnel to make some money in this crazy internet business. I have paid out thousands for programs but have made very little money. I understand the concepts you are giving on the sales funnel but I do not have the computer knowledge to build one. Do you know someone who can build a funnel for me? Thanks,

    1. Hi Larry, I recommend you use our contact form to schedule a time for us to chat. I’ll either be able to provide you a quote since custom sales funnel design is our specialty at Petovera OR recommend you to another provider.


  2. We have the technology and specific service in mind for our first test run of Automated Marketing. Being developers and not marketers we are having a difficult time getting a framework around content and offers. Ours is solely B2B.

    What would be your suggestion on small next step?

    1. Thanks for the comment Chris.

      The general framework we follow in our email autoresponder services is (1) value (2) authority (3) offer (“hard sell”)

      Hope that helps. Look forward to hearing more from you.

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