Conversion and Loyalty: The Final Steps of the Marketing Funnel

You've brought a potential customer from awareness to curiosity-the two most important steps now lie in turning it into a paying customer (conversion) and then turning it into a loyal, repeat customer (loyalty). In this post, we explain the last two steps of the marketing funnel and practical strategies for each.

This post awareness and consideration milestones a continuation of its guide.

What is Conversion?

Conversion — potensial müştərini istənilən bir hərəkətə keçirmə prosesidir. Bu, konsultasiyaya yazılmaq, mağazaya gəlmək və ya (bu yazının fokusu) onlayn alış ola bilər. Elə düşünə bilərsən ki, bu asandır: insan sayta gəlir və alır. Amma həmişə belə olmur. Bəs müştəri ödəniş prosesində çətinlik çəkirsə, diqqəti yayınıb əməliyyatı tamamlamırsa, ya da məhsulun ona uyğun olub-olmadığına hələ qərar verə bilmirsə? Rəqəmsal marketoloq və ya e-commerce analitiki kimi sənin işin ödəniş prosesini hamar etmək, alış ehtimalını artırmaq və ya alışın həcmini/dəyərini böyütmək ola bilər. Bu işlərin hamısının bir əsas məqsədi var: konversiya dərəcəsini artırmaq.

Conversion rate (conversion rate) is the percentage of user or site visitors who make any actions. Typical conversion in e-commerce is about 1-2%. For example, if 2 out of 100 people view a product page and make a purchase, it's a 2% conversion. Imagine increasing it by just one person and bringing it up to 3% - with a simple site change, you can increase business revenue by 33%. This is a big impact.

Conversion isn't just e-commerce

Bu yazıda onlayn alışa fokuslanırıq, amma konversiya anlayışı bundan genişdir. Konversiya istənilən istənilən hədəf hərəkətdir: konsultasiyaya yazılmaq, email siyahısına abunə olmaq, formanı doldurmaq, tətbiqi yükləmək və ya mağazaya gəlmək. Xidmət biznesi üçün konversiya «pulsuz konsultasiya sifariş etmək», B2B şirkəti üçün «demo tələb etmək», qeyri-kommersiya təşkilatı üçün isə «ianə vermək» ola bilər. Ona görə bu yazıdakı strategiyalar — checkout sadələşdirmə, güclü copy, live chat, A/B test — demək olar ki, hər biznesə aiddir. Sən sadəcə «istənilən hərəkəti» öz biznesinə uyğun müəyyən etməlisən.

Regardless of what action you aim for, the logic is the same: make the process as easy as possible and convince a person to take that action. Conversion optimization is actually the art of removing every obstacle in the customer's path one by one.

Strategies that increase conversion

Here are tried-and-tested strategies to increase your conversion rate:

• Optimize the checkout process — each additional field (field) or page can reduce conversion. Remove unnecessary fields (remove phone number if not needed). Change the “Add to cart” button to “Buy now”; add additional payment options like Google Pay or Shopify Shop Pay.
• Add better product photos — photo quality and number severely affect conversion. Put high quality photos from different angles. Add a lifestyle photo - not just a product photo — that shows the real use of the product. Encourage customers to add a lifestyle photo to their reviews.
• Enhance Copy () — the product text the customer reads must be convincing. Copy is written material that encourages the customer to make a purchase. Insufficiency only by explaining the product — also make an emotional call to buy.
• Add live chat — not every company can do it, but if they can, they can increase conversion. Customer may ask a question about checkout or product; it's better for them to leave the page. If a small business can't dedicate an employee to live chat, they can add a chatbot — a program that answers simple questions.
• Keep track of abandoned carts (abandoned carts) — the customer starts the checkout and enters their email, but doesn't complete the purchase. This happens more than one might think. Many e-commerce programs are able to send reminders to customers, some of which come back and complete the purchase. This is also a great opportunity to send a remarketed ad.
• Increase site speed — According to a State of Online Retail Performance study, every 1 second delay in page loading can reduce conversion by up to 20%. You can speed up a slow site with simple ways, like reducing the size of your photos.
• Offer a trial or money-back guarantee (money-back guarantee) — although not available for every product, it may direct the customer to the purchase. They usually show up for more expensive purchases — like matresses, sunglasses, clothing.
• Experiment with A/B tests — this is a more advanced strategy because it requires analytics. A/B is to compare two versions of the test page to determine which one gives higher conversions. When you change an item on a page, compare its conversion to the previous version; change one item at a time for the most accurate result. For example, test a cover photo of a product: a white background, an outdoor background, or a lifestyle structure — which gives you the most conversions?

Caution: consider the rate of return (return rate) when applying any strategy that increases conversion. If the number of products returned increases, the benefit for the company decreases. Also, A/B tests aren't just for e-commerce — they're useful for all kinds of businesses who want to make any action easier on the customer.

When applying these strategies, don't try to prefer one over the other-they 're strongest when they work together. When you combine a fast site, clear photos, convincing copy, a simple checkout, and a live chat, all the obstacles in a customer's way are removed. The best approach is to make one change at a time, measure the result with A/B testing, and keep it working and change how it works. This is how the site becomes more and more of a conversion machine over time.

Why small changes make a big difference

The most important lesson of the conversion phase is that small improvements can yield huge results. Let's go back to the example above — increasing conversion from 2% to 3% increases revenue by 33%. This means removing one unnecessary area from checkout or adding one good lifestyle photo can add thousands of pounds. In traditional marketing, this exact effect is difficult to measure, but in the digital environment, the outcome of every change can be seen.

That's why conversion optimization is one of digital marketing's most valuable skills. As a marketer or e-commerce analyst, work is often not about creating a big innovation — it's about finding and removing small friction points on an existing page. Each eliminated obstacle brings a little more customers closer to the purchase.

The psychology of conversion

Konversiya strategiyalarının arxasında sadə bir psixologiya dayanır: insanları alışdan iki şey saxlayır — sürtünmə (çətinlik) və şübhə. Checkout optimizasiyası, sayt sürəti və live chat sürtünməni azaldır — yəni alışı fiziki olaraq asanlaşdırır. Yaxşı fotolar, güclü copy, testimonial və money-back guarantee isə şübhəni azaldır — yəni müştərini «düzgün qərar verirəm» hissi ilə təmin edir. Uğurlu konversiya strategiyası hər ikisinə eyni anda toxunur: prosesi asanlaşdırır və müştərini əmin edir.

A/B testing turns this psychology into science. Instead of guessing, you try two versions with real customers and see which one works best. Here's how to change one item at a time-you can only know exactly what kind of change caused the outcome.

Loyalty phase

You brought a potential customer from Awareness to Consideration, then from Conversion to Conversion. Congrats — he's already a customer. Have you finished marketing? No! The final step is loyalty, during which customers become repeat customers and brand advocates — ideally, they become the voice of the brand. Maybe she talks to friends and family about how great the product is; maybe she shares her experience with hundreds of friends through a social media post; maybe she switches from being reminded to actively looking for service.

You have already earned the paying customer at this stage, so none of the following strategies are mandatory. But applying them brings repeat customers, increased conversion value, and, as a bonus, free brand advertising (advocacy). Post-purchase strategies:

• Reward programs — encourage customers to come back. We see it in apps like Starbucks, Chipotle, and McDonald's. Many POS (point-of-sale) systems now incorporate reward software into their software. A POS system is a system that accepts payments from customers and manages their data.
• Email marketing — keeping your brand consistent in front of the customer. They'll always make or unsubscribe from valuable emails. Teach customers about loyalty or tell a brand's story.
• Social shares — customers share the product to their followers. First, encourage customers to follow the business' social accounts, then give them content they'll want to share.
• Remarketing to existing customers — we've mentioned remarketing at an earlier stage, but use it here to reinvigorate customers. When you know the product they bought, you can recommend other products or supplements (add-on).
• Promote positive feedback — if a customer had a positive experience, encourage them to write their experience (online, by social media or email). These positive reviews can be shared as content on the site, social media, and email marketing.
• Birthday/anniversary discount — so many people love being recognized on their birthday. Offer customers a discount for their birthday; it's also possible to give a discount on the turn of the first day of being a customer.
• Freebies (free gifts) — remind the customer of the brand over and over again. Stickers, magnets, t-shirts, or anything business-related. For example, buying a pillow can make a great impression on a free branded sleep mask.
• Fun confirmation messages — the customer usually receives a standard, transactional confirmation email or SMS when they make a purchase. If it fits the brand, why not keep them interested? Add personality to a confirmation message-with descriptive language, tell the customer how they'll feel when they buy the product.

Frequently asked questions (FAQs)

What's the conversion rate?

The percentage of visitors who take any action (e.g. purchase). Typical in e-commerce is 1-2%. If 2 out of 100 people buy, the conversion is 2%.

What is A/B testing?

Compare the two versions of the page to determine which one has higher conversions. Change one item at a time for the most accurate result.

What is an abandoned cart and what to do?

Failure of the customer to start checkout (insert email) and complete the purchase. Reminder email and remarketing advertising can take them back.

Why is the loyalty phase important?

This is because a loyal customer recycles, increases conversion value, and creates free marketing (advocacy) by recommending the brand to others.

How does site speed affect conversion?

According to a study, every 1 second delay in page loading can reduce conversion by up to 20%. Reducing image size increases speed.

Why is the return rate important?

Because when conversion increases, the number of products returned also increases, the real benefit for the company decreases. Consider return when evaluating conversion strategy.

What is the relationship of POS to Reward?

POS (point-of-sale) is the system that accepts payments and manages customer information. Many POS systems offer rewards programs as a built-in function.

What is a Lifestyle photo?

It's a photo that shows the real use of the product — someone's running it. It can increase conversion to a regular product photo.

How to choose loyalty strategies

Yuxarıda çoxlu loyallıq strategiyası gördük, amma hamısını eyni anda tətbiq etmək lazım deyil. Hansını seçəcəyin biznesinin növündən və müştərilərindən asılıdır. Tez-tez alınan, aşağı qiymətli məhsullar (kofe, fast food) üçün reward proqramları əladır — çünki müştəri onsuz da tez-tez gəlir və xalları toplamaqdan zövq alır. Bahalı, seyrək alınan məhsullar (mebel, elektronika) üçün isə email marketinq və remarketing daha uyğundur — çünki məqsəd müştərini gələcək alış üçün brendin yadında saxlamaqdır.

Small details make a big difference, too. Freebies (freebies) and fun confirmation messages are expensive, but they make an unexpected positive impression on a customer-and unexpected experiences are the experiences people tell their friends about. When buying a pillow, a small gesture like a free sleep mask can make the customer think “this brand is different”. A birthday discount makes the customer feel like they're a person of value, not just a number.

Why is loyalty so valuable?

While the loyalty phase may not be mandatory, it is perhaps most valuable for the long-term success of the business. The reason is simple: keeping an existing customer is more expensive than earning a new customer. You spend a lot of money and effort on awareness and consideration milestones to gain a new customer; an existing loyal customer already knows and trusts their brand-it recycles at minimal cost. Plus, a loyal customer isn't just a repeat buyer-it becomes a brand advocate.

Advocacy (advocacy) is the most valuable product of loyalty. When a loyal customer recommends their brand to friends and family, shares positive feedback on social media — it's free and extremely reliable marketing. People trust the recommendation of someone they know more than advertising. So a loyal customer comes back to the top of their funnel — the awareness stage — but this time as a source of awareness for new people. See how this transforms the funnel from a straight line to a continuous cycle.

Bu dövrənin dəyərini rəqəmlərlə düşün: bir loyal müştəri həyatı boyu təkcə dəfələrlə alış etmir, həm də orta hesabla bir neçə yeni müştəri gətirir. Ona görə loyallığa investisiya əslində gələcək agahlıq və konversiyaya investisiyadır. Bir çox uğurlu brend marketinq büdcəsinin əhəmiyyətli hissəsini mövcud müştəriləri saxlamağa yönəldir — çünki bilir ki, sadiq müştəri bazası bütün biznesin ən dayanıqlı təməlidir. Yeni müştəri qazanmaq vacibdir, amma köhnəni saxlamaq daha sərfəli və daha güclüdür.

Total: four stages one whole

With this, you have fully seen the four phases of the marketing funnel — awareness, consideration, conversion, and loyalty. Remember: each stage feeds the next, and a loyal customer completes the cycle, again becoming a source of awareness. If you can apply these strategies and turn customers into loyal fans, they're more likely to buy and, ideally, talk about the business to their friends and family.

Practical advice: choose at least one strategy for each stage and measure it. Start by simplifying checkout in conversion; setting up a loyalty reward program or email series. Start with small, measurable steps, view the outcome, and expand. Remember that the foundation of all this work is to get to know your audience — so if you haven't already, the first step is to create a customer persona.

👉 The main guide is: what is customer persona