Intermediate level · Module 5: Store Analytics and Conversion · Lesson 2 of 3
Funnel Analysis
Find where shoppers drop out before buying.
In this lesson you will
- Map the purchase funnel
- Identify the biggest drop-off
Key concepts
funnel stagesstep conversioncart abandonmentdrop-off causes
The lesson
The funnel: visits, product views, add to cart, checkout, order. Calculate the share moving from each step to the next.
The biggest drop shows where to focus — for example, many carts but few checkouts may mean surprise delivery fees.
Investigate causes by testing the journey yourself and asking customers.
Step by step
- Enter funnel numbers.
- Calculate step conversion.
- Find the biggest drop.
- List likely causes.
Where shoppers drop out: a store funnel
One month of store data shows the biggest leak is between checkout and order.
| Stage | Shoppers | Step conversion | Share of visits |
|---|---|---|---|
| Store visits | 5,000 | – | 100% |
| Viewed a product | 2,000 | 40.0% | 40.0% |
| Added to cart | 300 | 15.0% | 6.0% |
| Started checkout | 150 | 50.0% | 3.0% |
| Completed order | 90 | 60.0% | 1.8% |
What the data shows
Overall conversion is 90 ÷ 5,000 = 1.8%, giving 2,700,000 SSP of sales at 30,000 SSP per order.
Four in ten shoppers who start checkout do not finish. Testing the journey showed delivery fees appear only at the last step, and mobile money is the second option on the page.
Recommendation
Show delivery fees on product pages and make mobile money the first payment option. If checkout completion rises from 60% to 75%, about 112 orders would add roughly 675,000 SSP a month — test the change before rolling it out.
Practice activity
Analyse the provided funnel.
Expected result: A funnel analysis with likely causes.
Check your understanding
-
What might many carts but few checkouts suggest?
Show answer
Problems such as surprise delivery fees.
-
What does step conversion show?
Show answer
The share moving from one step to the next.
Taught live by an instructor — online or in person. Free course lessons are for self-study and do not lead to a certificate — see registration options.