Funnel Chart


Funnel Chart Funnel Chart
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A funnel chart is a sort of specialized chart that depicts the movement of people through a company or sales process. The chart’s name derives from its form, which begins with a big head and finishes with a thin neck. The number of users at each stage of the process is shown by the narrowing of the funnel.

What Is A Funnel Chart?

The Funnel chart depicts the steady decrease of data as it moves from one phase to the next. Data in each of these phases is represented as varying percentages of one hundred percent (the whole). The Funnel chart, like the Pie chart, does not have any axes.

Each funnel stage represents a portion of the total. As a result, it takes the shape of a funnel, with the initial stage being the widest and greatest, and each following step being smaller than the preceding stage. Typically, the initial step, known as the “intake,” is the largest.


The funnel chart shown above illustrates reactions to a fictitious email campaign about a special product offer. Each of the pipeline’s five phases is shown by a bar whose length corresponds to the number of users that finished that level. In addition, the fraction of users who have not progressed beyond the first step is displayed next to each bar.

This graphic shows that the greatest absolute difference occurred between viewing the email and clicking on the promotion link. Another significant drop-off occurred between browsing the linked page and adding the purchase to the basket. On the other hand, once the goods were added to the basket, the majority of consumers completed the transaction.

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Composition Of Funnel Chart

A funnel chart depicts values as gradually declining amounts totaling 100 percent. The series value as a percentage of the total of all values determines the size of the region. Any funnel has a higher section called the head (or base) and a lower part called the neck.

Purpose Of Funnel Chart

A funnel is a kind of chart that suggests development via a sequence of linear and interconnected tiers wherein the information values commonly decrease. One of the maxima not unusual place makes use of is in advertising and income to reveal how the quantity of ability income possibilities regularly winnows to people who entire purchases. The declining quantity of individuals at every level is pondered withinside the length of that section of the funnel chart. 

 In this way, a funnel chart can deliver interest to tiers inside a technique in which a disproportionate quantity of individuals are losing off. Say a hundred humans go to a website. Of those, seventy five click on on an advertisement. Next, 56 (seventy five% of seventy five) down load statistics on a product. Then 42 (seventy five% of 56) vicinity the product of their carts. Finally, simply 10, or much less than one-region of 42, entire their purchases. By monitoring this technique over the years, you may set desires to have fewer humans drop off at sure or all tiers. Additionally, you may reveal tendencies over the years to look if drop-off is increasing, that may suggest a hassle withinside the income pipeline.

Best Practice For Using A Funnel Chart

Include At Least Three Stages

You must have at least three steps to plot in order to utilize a funnel chart. When there are only two steps in a process, there is only one ratio to understand. In this scenario, a simpler part-to-whole depiction, such as a pie chart or single stacked bar, will suffice.

Uses Of Funnel Chart

  • A company is destined to lose some prospective transactions at each stage of the sales process, which is illustrated by the narrowing parts as you proceed from the top (widest) to the bottom section (the narrowest.) This enables management to assess the effectiveness of the sales force in converting a sales lead into a closed agreement. A sales funnel chart may also be used to swiftly describe the sales process of your firm to new members of the sales team or other interested parties.
  • A funnel chart may be used to represent visitor trends on a website. The funnel chart will most likely show a large area at the top, suggesting visitor page hits to the homepage, and the other regions will be proportionally smaller, such as downloads or persons interested in purchasing the goods.
  • The order fulfilment funnel map, with initiated orders at the top and items delivered to delighted consumers at the bottom. It indicates how many are still in the process, as well as the proportion of cancellations and returns.
  • Funnel charts are also used for recruitment analysis such as how many applications received, their screening and the final result.

Statistics To Highlight A Funnel Chart

While funnel charts are commonly used to represent the proportion of prospects that progress through a sales process, they may be utilized for a variety of purposes. Depending on your organization or sector, you may want to highlight one of the numerous linear, sequential, and related processes. A company, for example, may utilize its data warehouse to retrieve client information from an email marketing campaign. They track the number of emails sent, the number of individuals who read the emails, the number of clicks, and, finally, the number of transactions completed as a result. The raw figure is on one side of each bar of data in the funnel chart, and the percentage who went on from the previous phase is on the other.

This allows the organization to delve even deeper into the data and ask critical questions. For example, what increase in revenue might they expect if they boosted the quantity of new email leads by 25%? And where are the most significant hurdles in moving potential clients through the pipeline? Can they enhance their emails, checkout procedure, or other processes to increase sales?

Finally, the sort of statistic you emphasize with your funnel charts will depend on your business and overall aims. Regardless, funnel charts are an effective technique to demonstrate the link between distinct phases in a linear, chronological, and interrelated process.

Common Misuses Of Funnel Chart

The particular use case and distinct shape of funnel charts bring with them their own set of difficulties in terms of visualization best practices. Many funnel chart implementations make them more difficult to interpret than necessary.

Maintain The Stage Spacing Consistent 

A funnel chart can be created in a variety of ways, such as a simple triangle. The stages are denoted by triangles with widths according to the proportion of users who reach each level. This, however, can mislead how big or significant each step is.

Because of the way the triangle is divided into regions, it might be tempting to link stage values with areas rather than the widths of the region boundaries. While bigger drop offs equate to larger regions, the actual extent depends on where that drop off happens. Because the triangle is tapering, losing a particular number of users early in the process will have a significantly greater area than losing them later in the process. This makes early losses appear to be more significant than later losses, which may not be the case.

The absolute drop down between the first two phases (Purchased-Prologue) in the example on the left is the same as the one between the last two.  The first drop off area is larger due to being higher up on the triangle.

Match Labels To Measurement Locations

Another typical error when creating a funnel chart is adding an additional rectangular section to the funnel at the top or bottom, then placing the labels in the centre of each zone. At first look, it may appear that areas will precisely match each stage’s worth, however this is not always the case.

The greater the drop down between stages, the steeper the slope between region boundaries, and the smaller the area in the associated funnel region. Because there is no drop down in the rectangle region, it is believed to be greater than the comparable stage value.

The second and fifth phases in the example below have bigger areas than their actual values, whereas the third and fourth stages have smaller areas than their values.

Use A Bar-style Funnel Chart

The above approach of creating a funnel chart, in which stage values are marked on area boundaries with corresponding widths, is correct but not optimal. The presence of huge, filled-in regions draws the viewer’s attention, yet they cannot be comprehended in terms of the data. It would be more preferable if we could reverse the situation, with area sizes corresponding to stage values and separated by narrower area boundaries.

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Types Of Funnel Chart

Trapezoidal Funnel Chart 

In a trapezoidal funnel diagram, the size of each part of the pipe shows its worth. A bigger segment approaches a bigger worth. Therefore, when seeing trapezoidal funnel diagrams, it’s essential to check out both width and tallness of each segment to see how it connects with the entirety.

Stacked Bar Funnel Chart 

A stacked bar funnel diagram addresses each part with a bar. Rather than the trapezoidal funnel diagram, the attention here stays on the widths of the bars as you look from left to right. More extensive bars mean the worth of that progression in the process is bigger.

Horizontal Funnel Chart 

In horizontal funnel chart, the process is shown. The longest or the first bar (from left) shows that how many users visited the site and further, how many of them signed-up and the last diamond shaped shows the reviews given by the users.

Blank Funnel Chart

A blank funnel chart does not show what values the chart has. Values are just indicated by the length of the bars of each category.

Advantages Of Funnel Chart

  • Can be simply understood—the funnel’s form reflects the health of the process being followed
  • Bottlenecks in a linear process are revealed.
  • They are useful to look at processes from macro-level view.

Disadvantages Of Funnel Chart

  • They are ineffective as a decision-making tool for individual analysis.
  • When the number of steps within a process exceeds around six sections, funnel charts become difficult to understand.
  • While funnel charts can depict successive stages of a process, not everyone will follow a straight line through the process. For example, a website user may explore for a while, add some products to a shopping cart, return to read additional product information, remove some items from the basket, and then add new ones.
  • While funnel charts can indicate where issues occur in a process, they cannot explain why. This requires more investigation.
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