The 5 levels of customer awareness and the sale nobody is fighting for
Eugene Schwartz described five levels of awareness every buyer goes through. Almost every company sells only to level 5, where all the competitors are. The bigger opportunity sits at levels 2 and 3.
There is a simple idea that helps you connect far better with your customers and, as a result, sell more. It comes from Eugene Schwartz, author of Breakthrough Advertising, who proposed a theory built on five levels of consumer awareness.
I explained the five levels in a video, and this article lays out the reasoning in writing.
Watch the video on Instagram (3 and a half minutes, in Portuguese)
What awareness levels change in your selling
These levels apply to everyone. Anyone buying anything is, at that moment, at one of them.
Once you know what they are, you can do four things better:
- create content that matches where the reader is;
- coach your reps on how to approach each kind of contact;
- adjust your sales playbook to talk to a prospect according to the level they are at;
- separate your communication channels, using each one for the level where it works best.
The 5 levels, using a headache as the example
The easiest way I know to explain this is with a headache and a painkiller.
Level 1: unaware
This is the person who does not even know they have a pain. For them there is no problem, so they are not looking for anything.
Level 2: knows about the pain, but it is still mild
The person knows they have a pain. But it is that faint little headache you notice and think: "I am not taking anything for this." Your job here is to widen their view of it and show that you have a suitable solution.
Level 3: has the pain and wants a remedy, but does not know which
The headache is now bothering them and they want to take something. They are not sure what yet, and they are researching to understand the options.
Level 4: has researched and has three or four options
The person has the pain, did the research, and narrowed it down to three or four solutions they are interested in. They already know they will solve the problem with one of those.
Level 5: has already picked the remedy
These are the people who know they have the pain, have already decided which remedy they will take, and all that is left is to buy.
| Level | Where the person is | In the headache example |
|---|---|---|
| 1 | Unaware | Does not know there is a pain |
| 2 | Knows about the pain, does not act | Mild ache: "I am not taking anything for this" |
| 3 | Wants to solve it, does not know how | Wants a remedy and is researching which |
| 4 | Comparing options | Has shortlisted three or four remedies |
| 5 | Decided | Knows which remedy they will take |
Level 5 and plain order taking
Level 5 is the order taking you hear about so often in sales. The rep who wants to take orders wants to sell to level 5: the customer arrives decided and you only need to register the purchase.
But this is a funnel. Level 5 is usually the scarcest one, with the fewest people. And it is exactly where everybody is trying to sell. All your competitors are fighting over level 5.
Quite likely a few of them have already opened their eyes and are trying to sell to level 4 as well, the customer comparing options.
The result is a lot of companies fighting over a few people, nearly always on price.
The opportunity is at levels 2 and 3
Here is the idea. If you structure your marketing and your outbound and inbound strategies well, you can work level 2 and level 3.
These levels are a bit harder, which is why most companies do not look there. But if you understand how awareness levels work, you can address that audience properly and generate sales.
And not a few sales. A lot of them, because these levels are close to a blue ocean, where your competitors most likely are not.
How to talk to levels 2 and 3 in practice
What changes from one level to the next is the conversation. Some practical guidelines:
For level 2
- Content: show the real size of the pain. What it costs to live with it, what it blocks, what happens if nothing changes. The goal is for the person to stop thinking they "do not need a remedy".
- Rep approach: diagnostic questions before any offer. Someone who has not yet taken the problem seriously does not want to hear about a product.
- Channels: this is outbound territory, along with content that reaches the person, because they are not searching yet.
For level 3
- Content: explain the possible ways to solve it and when each one makes sense. Guides, comparisons of approaches, and real cases.
- Rep approach: help the person understand the options instead of pushing yours. Whoever educates at this stage tends to make the level 4 shortlist.
- Channels: this is inbound territory, because here the person is already researching: search, articles, videos, and answers from AI assistants.
To sustain this, the process has to record which level each contact is at and route them to the right conversation. That is where the CRM, cadence automation, and a solid lead qualification and routing rule come in. A level 2 contact handed to a rep who only knows how to take orders shows up as a "bad lead" in the report, when what was missing was the right conversation.
Frequently asked questions
What are the 5 levels of consumer awareness?
Level 1: does not know there is a pain. Level 2: knows about the pain, but it is mild and they do not act. Level 3: wants a solution and does not yet know which. Level 4: has researched and is comparing three or four options. Level 5: has already decided what to buy.
Who created the levels of awareness?
Eugene Schwartz, author of Breakthrough Advertising.
At which awareness level is it easiest to sell?
Level 5, because the customer has already decided. That is exactly why it is the most contested level and the one with the fewest people.
Why invest in levels 2 and 3?
Because far more people are there and almost no competitor is talking to them. It takes more work, and that is what makes these levels close to a blue ocean.
And your customers, what level are they at?
Think about where your company has been looking for customers and what level of awareness they are at when they reach you. If the answer is "almost all at level 5", you are fishing in the same spot as your competitors.
I publish content like this on Instagram. Follow me on Instagram and tell me there what level your customers are at.
If you want to structure your company's marketing and sales to work levels 2 and 3, book a conversation with me.