The Marketing Funnel using Six Sigma DMAIC

The first 2-steps of the DMAIC process answered the questions: What is important and how are we doing? We also considered the marketing funnel stages of Awareness and Consider. The third stage of the process in DMAIC is Analyze and in the Marketing funnel it is Prefer or Trust. Analyzing is about finding ROOT CAUSE to the already described process steps of Define and Measure.

This is also time to reiterate that the thinking process must be about the external prospect or customer. Are listening to your prospects requirements and measuring yourself on how you are performing based on those requirements? Have you properly identified, verified and quantified the root causes of their pain and statistically linked input with output? If this seems mind boggling, you are at the proper stage. Now, is the time to make sense of all the data and confirm the validity of it? However, this is the time that so-called common sense can get in the way. Even at the most basic level of Six Sigma training, examples are given of problems that when reviewed, the data seems to point at an obvious answer. It is an eye-opening experience when you input the data into a statistical program such as Mini-tab and see the results. If you would not have analyzed the problem correctly, you may have been working on a problem that did not exist and as a result have little impact. Remember the old adage, numbers do not lie! However, garbage in will equal garbage out, verification of the data is extremely important.

Using a high level process map or as I prefer, a Value Stream Map is important. The visualization of the process will help as you analyze the data. The first several times you do this, it may only involve several simple tools such as a Fishbone Diagram and/or a Pareto Chart. This is also the stage we look at Value-Added activities. We can very often find many things that are adding little value from the prospects point of view at this time. Sometimes significant reductions that will pay for the entire improvement policy can be found in this stage.

As a prospect, I may have entered your funnel with a specific problem and now determined that you are someone that I should consider. It is time for me to analyze your organization and start developing preferences. How does marketing react to this role? Marketing at this time needs to identify root cause. I believe that it is very difficult for a prospect to move from consider to prefer without having their root cause addressed. If you start with the definition of the problem you are solving and take a marketing segment or even an individual prospect and using a tool such as the fishbone diagram, you will be able to determine whether you product or service addresses root cause. If it does not, is there a reason to continue with this customer? Is it a good fit? Maybe, there is a better product or service you should be offering?

Definitions:

The Fishbone Diagram, also known as the Cause and Effect Diagram or Ishikawa Diagram, is a graphical construct used to identify and explore on a single chart, in increasing detail commonly using the 5- Why technique, the possible causes which lead to a given effect. The ultimate aim is to work down through the causes to identify basic root causes of a problem.

A Pareto chart, named after Vilfredo Pareto, is a type of chart which contains both bars and a line graph. The bars display the values in descending order, and the line graph shows the cumulative totals of each category, left to right. The purpose of the Pareto chart is to highlight the most important among a (typically large) set of factors. In quality control, it often represents the most common sources of defects, the highest occurring type of defect, or the most frequent reasons for customer complaints, and so on.

Picture courtesy of Systems2win.

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