A conversion funnel broken into clear steps shows you exactly where visitors are leaving, instead of leaving you to guess at the overall conversion rate alone.
Define Steps That Reflect Real Behavior
A funnel with steps that don't match how visitors actually move through the site will produce misleading drop-off data.
Focus Fixes on the Biggest Leak First
The step with the steepest drop-off usually offers the most leverage, even if it's not the most visually obvious problem.
Segment by Traffic Source
Visitors from different channels often behave very differently within the same funnel, and averaging them together can hide the real story.
Next step: Use the Cohort Tool to see how funnel performance changes across different visitor groups over time.