Using Funnels in PPC: What They Are and Why They Work

Most advertisers treat all clicks the same - but that’s expensive. It’s counterproductive too - someone searching "buy Nike Air Max 270" is much more ready to buy than someone searching for “best running shoes.” They’ll need different approaches to secure the sale.

When you understand funnel stages you create better ads, landing pages, and bidding strategies for each type of searcher.

Understanding the Three Funnel Stages

Top-of-funnel searches show awareness-stage intent - people search for "best running shoes," "how to choose running shoes," or "running shoes for beginners." They're researching and learning, not ready to buy immediately. These searches have high volume but lower conversion rates.

Mid-funnel searches show comparison intent. People search for something more specific - "Nike vs Adidas running shoes," "Air Max vs Ultraboost," or "running shoe reviews.” They know what category they want but haven't decided on a specific product or brand. They're evaluating options and building trust.

Bottom-funnel searches show high purchase intent. These searches are hyper-specific - "buy Nike Air Max 270," "Nike Air Max 270 size 10," or "Nike store near me." They know exactly what they want and are ready to buy. These searches have lower volume but much higher conversion rates.

Match Your Campaigns to Funnel Stages

Build separate campaigns for each funnel stage instead of mixing everything together. Your top-funnel campaign targets educational keywords with lower bids since conversion rates will be lower. Your bottom-funnel campaign targets buying keywords with higher bids since these clicks are more valuable.