3 Things To Know About Your Customers’ Decision-Making Journey

If you’re the owner of a small business, you may be wondering how you can improve the success of your marketing efforts. After all, connecting with your customers and providing the solutions they need is essential to the well-being of your company. While it might sound like a complicated endeavour at first, it doesn’t have to be. An influential model for consumer behaviour called the consumer decision journey is an important concept based on psychology that could reshape your approach to marketing. If you’d like to read more about this and what it could ultimately mean for your bottom line, review the three key takeaways in this article.

1. Sales Funnels Are Outdated

Before the consulting firm McKinsey & Company proposed the consumer decision journey several years ago, the dominant marketing model for how people made purchasing decisions was called the sales funnel. The funnel model was fairly linear and involved four stages. The first was awareness, meaning potential customers had heard of your product; the second was consideration, when customers thought about making a purchase; the third was decision, when they decided they’d take the plunge; and the fourth and final step was purchasing the product. While this model was used for years and seemed straightforward, it lacked a cyclical understanding of the decision process and ignored the power of personal recommendations. Today, this model is often considered outdated, and many businesses have moved on to the decision journey instead.

2. Decision Journeys Have Multiple Phases

The consumer decision journey originally proposed by McKinsey is a bit more complex and non-linear than the funnel model, since it accounts for what happens after the purchase. Once a consumer has bought a product, according to the model, they bond with it and eventually advocate for it, meaning they make recommendations of the product to friends. For instance, a customer may write an enthusiastic Facebook post or mention the product over coffee with friends.

3. Customer Loyalty Is Key

Once a customer has gone through the stages of their decision-making journey and purchased a product or service from you, it’s important to encourage loyalty so that they come back in the future or ideally, tell their friends and family about your company or product. Personal recommendations can make all the difference to drawing in new customers and fostering brand recognition and trust. The more you invest in creating a connection with your customers and providing a product so great they can’t stop talking about it, the more successful your marketing efforts will ultimately be. Think of it as a feedback loop well worth investing in.

Understanding the process your customers go through when they're getting familiar with your company and deciding whether to make a purchase is a key ingredient in business success, and should play a central role in any marketing strategy. It may seem complex, but it’s actually straightforward to implement without having to reshape your business plan. Armed with these three essential facts about the consumer decision journey, you will be prepared to revamp your company’s marketing strategy and reap the result for years to come.