funnel-analysislisted

# Funnel Analysis ## The Law ``` OPTIMISING A FUNNEL BEFORE DIAGNOSING IT OPTIMISES THE WRONG STEP. "Let's improve the conversion rate" without identifying which step leaks most is guessing — you can improve every step but the broken one and the funnel does not move. Leak identified + root-caused + hypothesis formed IS a funnel analysis. ``` ## When to Use Trigger before: - Any CRO (conversion rate optimisation) effort - Proposing any experiment targeting funnel improvement - Allocating engineering or design time to "improve" any multi-step flow - Presenting funnel performance to stakeholders ## When NOT to Use - Single-step actions with no funnel (e.g., a standalone API call — no steps to diagnose) - Features in pre-launch without traffic data to analyse ## The Four Diagnostic Steps Do not propose solutions before completing all four. ### Step 1 — Map the Funnel List every step between the user's entry point and the conversion goal. ``` Step 1: [Action] — e.g., "User arrives on landing page" Step 2: [Action] — e.g., "User clicks CTA" Step 3: [Action] — e.g., "User completes signup form" Step 4: [Action] — e.g., "User activates (completes first key action)" Goal: [Conversion] — e.g., "User converts to paid" ``` Use the product's actual steps — not a generic template. Every step must be measurable. ### Step 2 — Quantify Each Step For each step, collect: - **Volume**: how many users enter this step per period - **Exit rate**: percentage who leave without complet