Digital marketing is becoming more important than traditional marketing—at least for some niches and in some ways.
Because of this, it’s also becoming more important to understand how digital marketing works in comparison to traditional marketing.
And at the center of marketing as a practice is the marketing funnel: the process of turning people who are aware of your brand into paying customers.
In this article, we’ll explore how the linear, more straightforward funnel of traditional marketing has become far more dynamic in the realm of digital marketing.
The traditional funnel model
The classic marketing funnel is built on the 4-step process called the AIDA framework:
- Awareness;
- Interest;
- Desire;
- Action.
At the top of the funnel (TOFU), marketers focus on making their target audience more aware of their brand through advertising, such as utilizing Google Ads for SaaS to reach potential customers.
In the middle of the funnel (MOFU), marketers then engage people who are aware of the brand—especially those who show interest—with more targeted messaging.
Finally, at the bottom of the funnel (BOFU) is where they are finally turned into paying customers, as they are driven to purchase through direct calls-to-action, discounts, or testimonials.
This theory has been a largely reliable framework in the past.
However, in the modern digital reality of today, consumers rarely behave in such a linear fashion.
The modern digital marketing funnel: Why it’s no longer the same
Let’s see how the internet has disrupted this tidy, step-by-step process into something far more dynamic and complex.
1. The funnel is no longer linear
The AIDA framework is linear—it’s a step-by-step framework for the customer’s journey.
However, the modern customer’s journey resembles a maze more than a funnel.
Why? With the proliferation of the internet, customer touchpoints are both countless and fragmented.
For example, a customer might discover your product through an Instagram ad, research it on Google, read reviews on Amazon, watch videos about it on YouTube, and then make a purchase on your website—or revisit Instagram again to confirm their decision.
Because of this, customers can bounce in and out of different stages of the funnel (or now maze).
For instance, someone might become aware of your brand through an ad, delay their decision for weeks because they saw negative reviews, and then later return after being retargeted through an ad (say, with the discount the ad is promoting).
2. A multi-channel world
And not only are there now multiple channels (and therefore touchpoints)...
Each channel is also profoundly different. They all offer unique ways to engage audiences.
Search engine marketing is far different from email marketing, which is also far different from social media marketing.
Each social media platform is also a completely different world from its own!
All this complexity makes it harder to track a clear path from awareness to conversion.
3. Personalization
And it’s not just the internet alone.
With the rise of online data analytics and AI, personalization throws another wrench into this.
Marketers now have access to things like people’s browsing history, demographics, behavioral data, or other information.
So, it’s become the norm to target people with highly customized content and offers based on that data.
It’s now often insufficient for marketers to group people into neat little clusters and call them a specific target audience.
They can no longer treated as anonymous entities that can progress through a generalized funnel.
Instead, a unique, tailor-fit funnel must now be made for each person. After all, the average person is simply just more informed than before.
One can learn about anything with a quick 5-second search! Brands must match their level and meet them where they are at.
4. The role of technology and privacy
And because of all these, tools like Customer Relationship Management (CRM) software, marketing automation platforms, and AI are now being used by marketers.
Technology must be used to thrive in a technological world.
They must now also deal with the issue of data privacy.
Not only are data privacy laws constantly changing, but more and more people are using a VPN by Surfshark or other companies.
This makes tracking consumer behavior a lot more challenging.
Redefining the funnel: The Flywheel and Hourglass models
So, if it’s no longer really a funnel, what can we call it then?
What models or frameworks can we use to map out our marketing strategies and customer journeys?
The Flywheel model
The Flywheel model visualizes the customer journey as something cyclical (rather than something linear as in the funnel).
It emphasizes attracting, engaging, and delighting customers continuously, as if in a loop.
In this model, satisfied customers drive growth through referrals and repeat business, making them an integral part of the marketing process.
This emphasis on customer retention and advocacy actually reflects the reality of modern markets.
While not universal by any means, more and more companies now find that it’s more profitable to cater to loyal customers than to acquire new ones.
The Hourglass model
The hourglass model, on the other hand, extends the traditional funnel by adding a post-purchase phase.
So, instead of stopping at the action stage, it includes steps like retention, advocacy, and upselling.
This approach recognizes that the customer journey doesn’t end with a purchase but continues through relationship building.
It’s similar to the Flywheel model in the sense that it emphasizes repeat purchases.
For instance, a software-as-a-service (SaaS) company might offer onboarding support, exclusive webinars, and upgrade options to keep their customers engaged long after the first sale.
You can even leverage demo videos to showcase new features to your user base.
Most product demo video makers allow you to create engaging demos with clickable hotspots, AI voiceovers, and trackable links - all directly in your browser.
The future of the digital marketing funnel
The digital marketing funnel is no longer a simple path from awareness to conversion.
The fact that customers now have more agency and power than before, and the fact that there are now countless touchpoints to build awareness, makes digital marketing far more dynamic.
It’s now more like a web or a maze—or a flywheel or an hourglass.
Of course, this doesn’t mean that the traditional marketing funnel is now outdated. It still applies in many instances.
However, in an ever-evolving marketing world, marketers need to adapt—to their specific industry, to their customers, and to changing trends.