How To Define Your Funnel Numbers

by Ewa Wysocka & Samuel P.N. Cook

1. STRATEGY fundamentals

2. FUNNEL psychology and mapping

3. EXECUTION process

4. Defining your NUMBERS (KPI’s)

5. CONTENT integration

6. PAID TRAFFIC integration

7. OPTIMISATION

8. CUSTOMER SERVICE process set up

Our 8-Step Digital Marketing Formula

1. Building Your Team

2. Project Management Methodology & Technology Setup

3. Marketing Automation Technology Setup

4. Content Delivery Platforms Setup

5. Page Creation

○ Page Mockup (UX) => Copy => Design => Development

6. Content Campaign Design

7. Video Campaign Design

8. Email Campaign Design

○ Email Storyboarding => Email Copywriting => Email Design

=> Loading

9. Ad Creation

Funnel Execution Process

1. Product Market Fit => can you build

something that generates some money

in some way?

2. Getting The Math To Work => can you

acquire customers for X and get at least

3X in return?

3. Scaling => can you pour lots of money

into the top of your funnel and keep this

3X ratio?

4. Getting saturated => You are struggling

to acquire new customers or you are

getting disrupted

“HubSpot’s Playbook for Going From Startup to

Scale-up”

LTV > 3 x CAC

LTV - Customer Lifetime Value

CAC - Customer Acquisition Cost

1. Define your LTV and CAC.

2. Define your KEY EVENTS in your

Online Funnel.

3. Make ASSUMPTIONS on conversion

ratios.

4. Set GOALS for your events.

5. TRACK and compare against your

goals.

6. SCALE or ADJUST via optimisation.

The scientific approach to achieving the “LTV > 3x CAC”

STEP 1: Define your Customer Lifetime Value (LTV) and Customer Acquisition Cost (CAC)

LTV = Average Value of a Sale x

Number of Repeat Transactions

1. MCC - marketing campaign cost

(ads)

2. CA - customers acquired

CAC = MCC / CA

1. MCC - marketing campaign cost (ads)

2. W - wages related to acquisition only

3. S - software related to marketing

4. PS - other professional services related

5. CA - customers acquired

CAC = (MCC + W + S + PS) / CA

LTV = 69 x (1,5) = 103 PLN

LTV > 3 x CAC

103 > 3 x CAC

CAC < 103/3

CAC < 34 PLN

Example: Calculate The CAC You Want

Step 2: Choose your Key Events

EVENT #1

EVENT #2EVENT #3

EVENT #4

1. Average Webinar Sign Up Rate => 40%

2. Average Webinar Show Up Rate => 30%

3. Average Sales Conversion to Webinar

Attendees => 15%

Step 3: Research Conversion Rates that you can expect in your industry and make ASSUMPTIONS

Step 4: Set VALUE GOALS for your EVENTS

7240

2896(40%) 966

(30 %) 145 units(15%)

Step 4: Set Price GOALS for Your Events

0,68 PLN

1,7 PLN5,1 PLN

34 PLN

Build an Excel Sheet Report

including:

● Acquisition costs,

● Value for each event,

● Price for each event,

● Actual conversion levels

● CAC and LTV equation

HINT: There is no cool dashboard we

would use for this

Step 5: Track and Compare Against Your Goals and Assumptions

Track:

● Events value via Analytics, Webinar tools, Autoresponder

● Ad spend via Google Adwords, Facebook Ad Manager

● Internal costs by man hours or invoices

● Calculate ratios and price per event via spreadsheet

Step 5: Track and Compare Against Your Goals and Assumptions

1. If you are missing LTV > 3 x CAC by far,

adjust by looking at the big picture first!

2. If you are almost there, optimise!

Step 6: Scale or Adjust :)

Using Content Marketing To Make Sales

May 5th, 7pm, Google Campus Warsaw

Video production & Photography by project-on