Funnel chart vs pyramid chart
Both are stacks of centred bars that narrow towards one end, which is why they get confused. The difference is whether the stages are a sequence something passes through, or levels of a structure that all exist at once.
Both charts below are the same data — Signup funnel — so the difference you see is the chart type, not the numbers.
Funnel chart
Use it when
- The same population moves through the stages in order.
- Each stage is necessarily smaller than the one before.
- Drop-off between steps is the thing you want to see.
- The stages are a process: visit, sign up, activate, pay.
Pyramid chart
Use it when
- The levels coexist rather than following one another.
- The base is the largest by nature: a population, an org, a customer base.
- There is no drop-off to measure, only proportion.
- You are showing hierarchy or segmentation.
Which one
Ask whether a unit at the bottom later becomes a unit at the top. If it does, it is a funnel. If the bottom and the top exist simultaneously — juniors and executives, free users and enterprise accounts — it is a pyramid.
Questions people ask
- Should funnel stages always shrink?
- Yes. If a stage is larger than the one above it, the stages are not a single population moving through a process, and a funnel will mislead. Use a bar chart instead.
- How do I show conversion rate on a funnel?
- Label each stage with both its count and its percentage of the previous stage. The step-to-step rate is what identifies the problem; the rate from the top only tells you the funnel is long.