Challenge Funnel

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A Challenge Funnel is a specific type of sales funnel used to engage potential customers by inviting them to participate in a time-bound challenge related to the offered product or service.

The challenge is typically free or low-cost and is designed to provide participants with value, build trust, and establish a relationship throughout the challenge.

At the end of the challenge, participants are presented with an offer to purchase a product or service that aligns with the skills or knowledge they’ve gained.1

Visual Representation:

Challenge Funnel Visual Representation

Key Components of a Challenge Funnel:

  1. Introduction: This is where the challenge is introduced to potential participants. It outlines the benefits of participating, what they can expect to achieve, and how the challenge will be conducted.
  2. Content Delivery: Throughout the challenge, participants receive valuable content. This could be videos, articles, webinars, or other resources that help them complete the challenge and achieve the desired outcome.
  3. Engagement Mechanisms: These are tools or platforms where participants can engage with each other and the host. Examples include Facebook groups, forums, or live Q&A sessions.
  4. Call to Action (CTA): At various stages of the challenge, especially towards the end, participants are presented with a CTA. This could be an invitation to purchase a product, sign up for a more in-depth course, join a membership community, or any other desired action.
  5. Testimonials and Social Proof: As participants progress through the challenge and start seeing results, they often share their successes. These testimonials can be used as social proof to encourage others to join future challenges or take the next step in the funnel.2

Purpose:

The primary purpose of a challenge funnel is to create a highly engaged audience by providing significant value through the challenge.

It’s designed to build trust and demonstrate the brand’s expertise, making participants more receptive to the final sales offer.

Benefits:

  • High Engagement: Challenges create a sense of community and commitment, leading to higher engagement rates than traditional marketing funnels.
  • Positioning as an Authority: Providing valuable content during the challenge establishes the brand as an authority in its field.
  • Increased Conversion Rates: Participants who have invested time and experienced value during the challenge are likelier to purchase the final offer.
  • Viral Potential: A well-crafted challenge can encourage participants to share their experiences with their network, extending the reach organically.

Usage:

Challenge funnels are commonly used in industries that offer education, skill-building, or behavior change as part of the product offering.

They are especially popular in health and wellness, personal development, and online education.3

Example:

A fitness coach offers a “30-Day Fitness Challenge” where participants receive daily workout routines and nutrition tips.

The challenge includes a supportive online community and regular check-ins.

At the end of the challenge, participants are offered a comprehensive fitness and meal plan program tailored to their newfound fitness level and goals.

Related Terms:

References:

1. Challenge funnels – Clickfunnels. (n.d.). https://help.clickfunnels.com/hc/en-us/articles/4409678093847-Challenge-Funnels

2. BRUNSON, R. (2022). Dotcom secrets: The underground playbook for growing your company online with sales funnels. HAY HOUSE INC. https://www.google.com/books/edition/Dotcom_Secrets/DKPTDwAAQBAJ?hl=en&gbpv=1&dq=challenge+funnel&pg=PA361&printsec=frontcover

3. Team, E. (2023, April 27). How to create a challenge funnel for high-converting sales. FunnelKit. https://funnelkit.com/challenge-funnel/

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