Introduction
A funnel is a multi-step flow. Users enter at Step 1, some drop off, others advance to Step 2, etc. Funnel analysis reveals where users abandon and how to fix it.
What Is a Funnel
Funnel: A series of steps users take to complete a goal.
Example onboarding funnel:
- App opens: 10,000 users
- Signup form: 8,000 users (80% conversion)
- Email verification: 6,000 users (75% conversion)
- Profile completion: 4,500 users (75% conversion)
- First action: 3,000 users (67% conversion)
Overall conversion: 30% (3,000 / 10,000)
Types of Funnels
- Onboarding: Signup → email verified → profile complete → first action
- Feature adoption: Feature discovered → feature tried → feature used regularly
- Monetization: Paywall shown → clicks upgrade → payment processed
- Retention: Active user → inactive → re-engaged
How to Analyze Funnels
1. Define the steps — Use events from your analytics platform
2. Create the funnel in Amplitude or Mixpanel — Drag and drop events into a funnel
3. Identify drop-off points — Which step loses the most users?
4. Compare cohorts — Does iOS drop-off more than Android at Step 2?
Identify Conversion Leaks
Step 1 → Step 2: 80% → Step 2 → Step 3: 75% → Step 3 → Step 4: 50% ← Biggest drop-off here
Investigate: What happens at Step 3? Is it a UX issue? A confusing prompt? Technical bug? Survey users, run an A/B test.
Fix Leaky Funnels
1. Simplify: Remove unnecessary steps
2. Clarify: Better copy, visuals, onboarding
3. Incentivize: Bonus for completing step
4. A/B test: Test changes, measure lift
Conclusion
Funnel analysis reveals where users abandon. Fix the biggest leaks first, measure lift, iterate. Even a 5% improvement in conversion = 5-10% growth.
Related Resources
- Mobile App Onboarding: Best Practices
- Feature Adoption: Get Users to Try New Features
- Retention Curves: Mobile vs Web
Ready to optimize your funnels? AppStorys helps you run targeted campaigns at each step. Book a demo.



