Funnel Analysis

A funnel is a defined sequence of steps a user takes toward a goal; funnel analysis measures drop-off at each step to find where users disengage.

The value of funnel analysis is entirely in the granularity of the steps chosen — a funnel with only two steps ("visited site" → "purchased") tells you almost nothing actionable, while one with five or six meaningful intermediate steps (viewed product → added to cart → started checkout → entered payment → completed purchase) pinpoints exactly where the biggest leak is. See funnel conversion rate for the step-by-step metric this produces.