B2B Marketing Best Practices– Insights from The ALEA Group August 15, 2011 Presented to Rogers by The ALEA Group
Agenda The best B2B practice is not about which tactics work best, but about having the right process. We will discuss: B2B Marketing and Lead Generation – A Statistical Overview Shift to Inbound Marketing ‘State of the Union’ Trends and Best Practices Applying the Best Practices – Turning Theory into Action Questions
What the Numbers Say The gap between spending on inbound vs. outbound continues to widen: In 2009, inbound marketing had a 9% greater share of the lead generation budget; in 2011 its share was 17% greater. More than 50% marketers increased their inbound marketing budget in 2011. *Source: The 2011 State of Inbound Marketing – A report by HubSpot.com Implication: Without a mechanism in place to monetize the inbound traffic into tangible results, companies are not seeing significant ROI’s from their inbound initiatives. View slide
More Statistics Average spend on technology in 2011 is 4% of marketing budgets, nearly double what it was in 2009. 74% of the B2B organizations polled have adopted CRM technology, and 46% have adopted marketing automation technology. Despite these promising statistics, companies are struggling with marketing automation. Less than 20% of B2B marketing teams have sufficient skills training for their marketing technology environment. *Source: SiriusDecisionsB2B Marketing Summit 2011 The main reason for this struggle is the lack of process and alignment across the departments. View slide
Shift to Inbound Marketing SiriusDecisionsB2B Summit 2011: There is no doubt that the mindset of the majority must change from outbound to inbound marketing for B2B demand generation. Organizations need to find the bridge to convert anonymous online visitors into clearly identifiable personas and take them through a lead qualification and scoring process. In order to get some semblance of control back, conversion optimization is a must.
Taking Advantage of the Shift to Inbound Marketing Businesses that were nowhere on your CRM radar may actually convert into customers because you have made them aware of their needs and offered a ready solution.
Current Issues & Challenges Legacy Issues Legacy issues with technology and organization dynamics.
CRM capabilities dictate go-to-market strategy vs. the other way around
Complicated lead scoring systems with too many moving parts
CRM Capabilities Lop-sided & heavy reliance on technology and sales automation tools – ‘cookie-cutter’ approach. Reliance on Technology
Bloated and ineffective internal lists
Not enough focus on nurturing a home-grown prospect database (sporadic at best)
No formal list hygiene & account mapping processes
Internal Lists/ Prospect Base
More Issues & Challenges Tendency to ‘spike’ rather than maintain a consistent, sustainable approach to building a funnel(program-driven). Spike Approach Too much of “batch and blast” Leading to a “skunk effect” You spray what you’ve got and folks will run away! Lead dissemination uses a ‘push’ instead of a ‘pull’ strategy. Lead Management One-size-fits-all Approach Especially ineffective for organizations with direct and indirect models.
Trends: Sales Wish List Figure 1: Most Common Duties of Sales Teams 41% of Sales professionals identify New Contact Acquisition as a significant objective: It is essential to have an effective account mapping strategy in place in order to move prospects from one bucket to the next.
Trends: Sales Wish List Figure 2: Corporate Goals for Sales Teams Top Goals for Sales Professionals: 92% are concerned with acquiring target contacts and building an effective prospects database
Best Practices – What Works!
Integrate all marketing &sales tools, activities and resources to convert leads into customers
Collaborateinbound &outbound marketing to maximize ROI and lower customer acquisition costs
Sales & Marketing Alignment
Online or offline marketing and sales efforts convey the same message and level of intensity in order to be effective
Establish a web conversion program and strategy
Lead generation, sales promotion and lead management share common goals and strategies to increase efficiency
Transparency of initiatives between sales & marketing
A feedback mechanism to track leads back to the source in almost real-time – allows fine-tuning of messaging and increases program effectiveness
Applying the Best Practices: Turning Theory into Action Recognize the 3 buckets and deploy an effective strategy for dealing with each one: Ensure marketing and sales share open communication and are clued in to the leads funnel Use tracking mechanisms (not just technology) that keeps your team in the know e.g. competitive metrics and ROI calculators Implement discipline, compliance and incentives for meeting timelines and deliverables Think of all your go-to-market tactics as having its own ecosystem 15-60-25 Rule Lead Generation Lead Progression Lead Management
Most of all… Simplify Your Process You need QUALIFIED LEADS:
Use a common sense definition of what should be a lead.
Stay away from complicated and convoluted "scoring" models.
You need GOOD PEOPLE aided by the right technology to help lead progression; not the other way around.
Marketing automation will not help you make more sales – so don’t put technology ahead of organizational readiness.
REVIEW how you distribute leads:
Make sure there is SYNERGY and ALIGNMENT in how the sales force is being compensated on working the provided leads.
Provide proper PROCESS to work with, capture PROGRESSin relevant data and show how to MANAGE it to make the most of lead generation efforts.
Focus on SPEED and agility but ensure proper PLANNING.
Give more AUTONOMYto marketing – don’t let the bean counters stifle marketing creativity! (Wishful thinking)
Strike a BALANCE between centralized and decentralized marketing – both have clear advantages and disadvantages, so try to find middle ground.