CRO
Funnel Analysis
A practical CRO method for identifying where users fail to progress through key journeys.
How to use funnel analysis to spot drop-off points, understand conversion performance, and prioritise optimisation work.
Quick take
If you want to understand where users drop off and why conversions are not happening, start with funnel analysis.
Related Services
What it is
glossaryFunnelA funnel represents the stages users go through from initial interaction to completing a goal, showing how many progress or drop off at each step.Open glossary term analysis is a quantitative UX and CRO method used to track how users move through a defined glossaryPain PointA specific problem or frustration users experience when trying to complete a task.Open glossary term and where they glossaryDrop-offDrop-off refers to users leaving a journey before completing a desired action or reaching the next step.Open glossary term.
It breaks a glossaryPain PointA specific problem or frustration users experience when trying to complete a task.Open glossary term into steps, such as landing, browsing, adding to basket, and completing a purchase, and measures how many users progress between each stage.
Unlike glossaryQualitative ResearchQualitative research explores user behaviours, motivations, and experiences through non-numerical data.Open glossary term, glossaryFunnelA funnel represents the stages users go through from initial interaction to completing a goal, showing how many progress or drop off at each step.Open glossary term analysis focuses on glossaryBehaviourBehaviour refers to how users interact with a system, including actions, patterns, and responses.Open glossary term at scale using analytics data. It shows what is happening, but not why.
The goal is to identify glossaryFrictionFriction refers to anything that slows users down or makes it harder for them to complete a task. It can be caused by poor design, unnecessary steps, unclear messaging, or technical issues.Open glossary term points, glossaryDrop-offDrop-off refers to users leaving a journey before completing a desired action or reaching the next step.Open glossary term, and opportunities to improve glossaryConversionA conversion is any action a user takes that aligns with a defined goal, such as making a purchase, signing up, or completing a task.Open glossary term.
Funnel analysis is useful for showing where users are falling out of a journey, but it needs other methods to explain why.
When to use it
Use this method when you need to understand glossaryPerformancePerformance refers to how quickly and efficiently a system responds to user actions and processes tasks.Open glossary term across a glossaryPain PointA specific problem or frustration users experience when trying to complete a task.Open glossary term.
It is most useful when:
It is less useful when:
Funnel analysis is often used alongside usability testing and user interviews to explain why issues occur.
Key takeaway
Use funnel analysis when you need a clear view of where performance breaks down across a journey.
How to run it
Set up properly.
Before you start, be clear on the glossaryPain PointA specific problem or frustration users experience when trying to complete a task.Open glossary term you want to analyse, the key steps in that journey, and how those steps are tracked in analytics.
Make sure your tracking is accurate. Poor glossaryDataData is raw information collected and stored for analysis, processing, or decision-making.Open glossary term glossaryLeadA lead is a potential customer who has shown interest in a product or service, typically by providing contact information or engaging with content.Open glossary term to poor decisions.
Run the method.
glossaryFunnelA funnel represents the stages users go through from initial interaction to completing a goal, showing how many progress or drop off at each step.Open glossary term analysis is glossaryDataData is raw information collected and stored for analysis, processing, or decision-making.Open glossary term-driven and structured.
Define the glossaryFunnelA funnel represents the stages users go through from initial interaction to completing a goal, showing how many progress or drop off at each step.Open glossary term steps clearly. Measure how many users reach each step. Calculate glossaryConversion RateConversion rate is the percentage of users who complete a desired action compared to the total number of users.Open glossary term between steps. Identify where the largest glossaryDrop-offDrop-off refers to users leaving a journey before completing a desired action or reaching the next step.Open glossary term occur. Segment data where relevant, such as device, channel, or user type.
Focus on identifying glossaryPatternA reusable solution to a common design problem.Open glossary term rather than isolated numbers.
Capture and make sense of it.
The value comes from identifying where and how users glossaryDrop-offDrop-off refers to users leaving a journey before completing a desired action or reaching the next step.Open glossary term.
Look across glossaryDataData is raw information collected and stored for analysis, processing, or decision-making.Open glossary term to identify major glossaryDrop-offDrop-off refers to users leaving a journey before completing a desired action or reaching the next step.Open glossary term points, trends across segments, differences between devices or glossaryChannelA channel is a source or pathway through which users arrive at a product, such as search, social media, paid ads, or direct traffic.Open glossary term, and changes over time.
Use this to prioritise where to investigate further.
What to look for
Focus on:
Where it goes wrong
Most issues come from:
glossaryFunnelA funnel represents the stages users go through from initial interaction to completing a goal, showing how many progress or drop off at each step.Open glossary term analysis shows what is happening, not why it is happening.
What you get from it
Done properly, this method gives you:
Key takeaway
It helps you focus on the areas that matter most.
Get in touch
If this sounds like something you need, we can help you identify where users are dropping off and how to improve glossaryConversionA conversion is any action a user takes that aligns with a defined goal, such as making a purchase, signing up, or completing a task.Open glossary term.
No guesswork. No assumptions. Just clear glossaryInsightAn insight is a meaningful understanding that explains why something is happening and what it means.Open glossary term you can act on.
FAQ
Common questions
A few practical answers to the questions that usually come up around this method.
What is funnel analysis in UX?
glossaryFunnelA funnel represents the stages users go through from initial interaction to completing a goal, showing how many progress or drop off at each step.Open glossary term analysis is a method used to track how users move through a glossaryPain PointA specific problem or frustration users experience when trying to complete a task.Open glossary term and where they glossaryDrop-offDrop-off refers to users leaving a journey before completing a desired action or reaching the next step.Open glossary term.
When should you use funnel analysis?
Use it when analysing glossaryConversion RateConversion rate is the percentage of users who complete a desired action compared to the total number of users.Open glossary term, glossaryUser JourneyThe full path a user takes to complete a task, including every step, decision, and interaction along the way.Open glossary term, or glossaryPerformancePerformance refers to how quickly and efficiently a system responds to user actions and processes tasks.Open glossary term across key flows.
What tools are used for funnel analysis?
Common tools include Google Analytics, Mixpanel, Amplitude, and other analytics glossaryPlatformA platform is a system or environment that enables users, services, or applications to interact, build, or operate.Open glossary term.
What is the difference between funnel analysis and user research?
glossaryFunnelA funnel represents the stages users go through from initial interaction to completing a goal, showing how many progress or drop off at each step.Open glossary term analysis shows what users do at scale, while serviceUser ResearchUnderstand user behaviour, validate ideas, and make clearer product decisions with evidence you can act on.Open service explains why they behave that way.
Can funnel analysis improve conversion rates?
Yes. It helps identify where users glossaryDrop-offDrop-off refers to users leaving a journey before completing a desired action or reaching the next step.Open glossary term so you can focus glossaryOptimisationOptimisation is the process of improving a product or journey to increase performance, usability, or conversion.Open glossary term efforts effectively.