Rethinking the funnel: Is the classic marketing model a dying relic?

tIn an age where the attention span of the average consumer is less than that of a goldfish, traditional marketing models are beginning to look a bit, well, old-efashioned. The classic marketing funnel, once a guiding light for businesses seeking to convert prospects into loyal customers, is now under scrutiny. The question on everyone's mind is: Is the marketing funnel dead?

To answer this pressing question, let's start with a few startling data points: In the vast digital ocean, consumers are exposed to 4,000 to 10,000 ads and brand messages every single day. Yet, a very minimal number of them believe they're targeted effectively. It's a battlefield of brands vaying for a spot in your precious attention span, and only a few emerge victorious.

The marketing funnel, that trusty road map that guided consumers from awareness to conversion, was designed for simpler times when choices were limited, and attention was ample. Today, the average consumer switches between devices up to 21 times every hour, juggling smartphones, tablets, laptops, and smart speakers. It's an orchestra of screens and devices, playing in perfect disharmony, and the marketing funnel doesn't seem to have sheet music for this tune.

But don't write its obituary just yet.

The marketing funnel isn't dead, per se; it's just undergoing a radical transformation, experts suggest.

The Iconic Evolution

Neha Kulwal, Managing Director, APAC & India, Mitgo says that there has been an emergence of so many smart shopping activities, say having an influencer on board who creates the content, then talks about the product, then the product comes under consideration and then the intent is built, and finally after that, the transaction happens.

“It is no longer a traditional top, middle and bottom of the funnel situation anymore. There are more than these three stages that have emerged, especially in the digital era,” Kulwal said.

She also highlighted that the journey with the consumer doesn’t end at the conversion or sale. Feedback is also of utmost importance in today’s era, which wasn’t originally a part of the traditional marketing funnel.

Srikanth Bureddy, Co-founder, Whistle Martech echoes a similar stance, and says that the user behaviour has undergone a world of change. “It’s no more like the older generations where a purchase decision involved a lot of time and filters. Now you can review it within fractions of seconds. The filters are getting removed and the funnel is getting decreased, which in one way is good,” he said.

However, Bureddy adds that this change in the funnel has come majorly only in the digital space. “There is not much of a difference in user buying behaviour offline. The funnel there is more or less intact, but it has evolved more from a digital aspect,” he pointed out.

When speaking of digital, the keyword data cannot be ignored. It turns out that data-driven insights have played a key role in the funnel’s evolution.

“New data-driven insights, non-linear customer journey and omnichannel marketing are giving rise to a more agile and dynamic model,” believes Praveen Sridhar, VP of Growth and Special Projects, Netcore Cloud.

Sridhar stressed on the aspect that the funnel’s linearity remains one of the core challenges. In the digital age, the consumer journey is anything but linear. It's an intricate web of touchpoints, where consumers interact with brands across multiple devices and platforms. McKinsey & Company coined the term "consumer decision journey" to describe this complex, non-linear path.

As a result, marketers have had to rethink their approach.

Thus entered the flywheel, a concept popularised by HubSpot. “The flywheel acknowledges that customer engagement is an ongoing, circular process, rather than a linear one-way street. It emphasises delighting existing customers, turning them into promoters, and using their word-of-mouth referrals to attract new customers,” Sridhar explained.

While new models like flywheel have come into play in a lot of sectors, the percentage of how much different sectors are relying on the new models differs.

For instance, Sridhar shared that for sectors like BFSI, Healthcare and B2B sales, the traditional marketing funnel still holds a significant place. “In these sectors, the funnel brings you more results. It also depends on how much of the contemporary elements are used along with it, but the traditional funnel still stands for sectors like BFSI and healthcare,” he said.

The Marriage of Content & Commerce

Experts also feel that content marketing has blurred the lines between branding and sales. Savvy brands are creating valuable, informative content that not only engages consumers but also guides them through the decision-making process. It's not about pushing products; it's about providing solutions and building trust.

“E-commerce platforms are capitalising on this trend by integrating content and commerce. Brands can seamlessly transition consumers from informative content to making a purchase. This marks a departure from the traditional funnel, where the content was primarily used for brand awareness and not for closing deals,” a marketing and brand expert shared.

The Future of Marketing: Evolving, Not Dying

To surmise, the traditional marketing funnel isn't dead, but it's certainly evolving. As digitisation, data, personalisation, and consumer empowerment reshape the marketing landscape, brands are adapting to meet the challenges of this new era.

Marketing is no longer a one-way street; it's a dynamic conversation. Brands that thrive will be those that can listen, engage, and provide value throughout the entire customer journey. The funnel may not be dead, but it's no longer the sole navigational tool for modern marketing.

Instead, it's a piece of a larger puzzle that includes flywheels, data-driven insights, and a commitment to customer-centricity.