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#CNX16
State of B2B Marketing
What the latest research says about the current
and future state of B2B marketing
Mathew Sweezey
Principal of Marketing Insights
Author of Marketing Automation for Dummies
msweezey@salesforce.com
@msweezey
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This presentation may contain forward-looking statements that involve risks, uncertainties, and assumptions. If any such uncertainties
materialize or if any of the assumptions proves incorrect, the results of salesforce.com, inc. could differ materially from the results expressed
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Safe Harbor
The Question
1,158 B2B marketers were surveyed from around the world
to answer the question:
“What makes a high-performing B2B marketer?”
Who did we survey?
B2B demographics (n =1,158)
Breakdown of B2B Marketing Performance Levels
This is a main driver
@msweezey #cnx16
@msweezey #cnx16
The Answers
What is the difference between high performers and underperformers?
Executive Buy-In is #1
This must happen FIRST before anything else will change
82% of high-performing B2B
marketers have their executive team’s complete
commitment to their marketing strategy.
@msweezey #cnx16
Executive Support
High performers are more than
twice as likely to have full
executive support compared to
underperformers.
Gaining buy-in is also the
hardest obstacle to overcome,
since modern marketing is
vastly different than what has
been previously done.
This is the main driver
@msweezey #cnx16
Budget is #2
It’s not just about more, it’s about a different budget
Budgetary constraints is the top reason B2B
marketers give for not adopting a customer journey
strategy.
@msweezey #cnx16
73% of high-performing
B2B marketers plan to increase their traditional marketing
budgets in 2016, while only 18% of underperformers plan
on doing the same.
@msweezey #cnx16
The Breakdown on Budgets
Tools and Technology
High performers plan on
significantly increasing their
budgets on tools and
technology over the next two
years, a rate
2.9x greater than
underperformers.
Traditional Channels
Underperformers spend a
higher percentage of their
overall marketing budget on
traditional marketing
channels compared to high
performers (37% vs. 26%).
Social Spending
Social spend – advertising
on social platforms, social
media engagement, and
social media marketing – is
where most B2B marketers
plan to increase spend
over the next 12 months.
Where the money will go?
@msweezey #cnx16
The Breakdown on Budgets (cont’d)
7 out of 10 B2B marketers plan
to increase their digital
marketing spend over the next
two years.
22% plan to substantially
increase their traditional
marketing spend – by 25% or
more – over that same period.
Digital marketing spend continues to rise
70%
39%
59%
39%
39%
Digital Marketing Spend
Traditional Marketing Spend
Marketing tools and technology
Marketing consulting
Marketing headcount
Increase in Spending
@msweezey #cnx16
Tools and Technology is #3
Tools are a limiting factor to performance
High-performing B2B marketers
use, on average, 13 tools and
technologies in their marketing
execution, compared to only 5 by
underperformers.
@msweezey #cnx16
Tools Enable a Single Customer Experience
High performers are 19.4x
more likely to say they excel at
creating a single customer
view.
62% of high-performing teams
excel at creating a single
customer view. This allows
them to create an omni-
channel customer experience.
This is critical
@msweezey #cnx16
High performers are 7x more
likely to be able to create a
single customer view than
underperformers.
@msweezey #cnx16
B2B Technology Breakdown
High performers versus moderate and underperformers
56%
57%
61%
48%
49%
51%
28%
21%
18%
18%
21%
17%
12%
5%
4%
5%
11%
4%
Marketing analytics
Web personalization
Emerging technology (e.g., wearables, IoT)
Social listening tools
Marketing automation
Guided selling
Percentage who currently use extensively
High Performers
Moderate Performers
Underperformers
@msweezey #cnx16
Channels and Tactics is #4
High performers are gleaning at least 1.4x the value compared to underperformers
High performers are able to see at
least 2X-3X the value from the
same channels as underperformers.
@msweezey #cnx16
The Channels of High Performers
15 Channels on Average
High performers report
extensively using 15
channels to create a
seamless customer
experience whereas
moderate performers use 6
and underperformers use 3.
Traditional + Digital
The shift away from
traditional is obvious; yet,
the channel will not die. High
performers use this channel
when it is appropriate to do
so, but they rely on digital
the majority of the time.
Social
Facebook (54%) is the
number one most
extensively used social
channel by B2B marketers,
followed by Twitter (49%),
then LinkedIn (44%).
Where to invest and what works
@msweezey #cnx16
Best-in-Class Tactics
High performers versus moderate and underperformers
57%
53%
52%
52%
49%
49%
41%
45%
45%
21%
22%
21%
19%
19%
17%
13%
22%
18%
5%
6%
6%
6%
10%
7%
5%
15%
6%
Web personalization
Advertising on social platforms
Account-based marketing
Lean/agile methods
Lead nurturing and scoring
User-generated content
eBooks
Whitepapers or case studies
Infographics
Percentage who currently use extensively
High Performers
Moderate Performers
Underperformers
@msweezey #cnx16
Tactic To Do Today:
Email Onboarding Program(s)
Only 50% of B2B marketers use email
onboarding of any type.
Onboarding costs you $0, and you
already have the tool for it.
Create a partner onboarding program, a
customer onboarding program, and an
employee onboarding program.
@msweezey #cnx16
Tactic to Do Today:
Employ Agile Methodologies
52% of high performers say they
extensively use agile methods
compared to only 6% of
underperformers.
Agile Marketing Manifesto
The agile marketing manifesto
(expatiated from the Agile
Manifesto):
• Individuals and interactions over
processes and tools
• Initial value over comprehensive
documentation
• Customer collaboration over
subjective opinion
• Responding to change over
following a plan
That is, while there is value in the
items on the right, we value the
items on the left more.
http://agilemarketingmanifesto.org/
@msweezey #cnx16
Experience is #5
Marketing is no longer just a single department
65% of high performers rate
themselves as excellent at being
able to create a personalized,
connected journey, compared to
only 1% of underperformers.
@msweezey #cnx16
Customer satisfaction is their most
important metric they use to
measure the overall effectiveness
of their marketing efforts.
85% of high performers say
customer journey strategies are
critical to the success of their
overall marketing.
High-performing marketing teams
are 7.8x more likely than
underperformers to strongly agree
they’re leading customer
experience initiatives across the
business.
Biggest Business Challenge Customer Journey Cross Department
They lead the company towards itIt is their focus They build tactics around it
Customer Experience is BIG
It’s the number one factor
@msweezey #cnx16
Creating a Holistic Experience
High performers are 7.8x
more likely to strongly agree
they are leading the customer
experience across their
organization.
Marketing is no longer
a department.
It is a mindset.
@msweezey #cnx16
Conclusions
The big takeaways
The Big Differences
A New Idea and Buy-In
High performers have a new
idea of marketing. They
believe in creating a holistic
experience, and get the buy-
in from the top to move in
this direction.
Executive buy-in gets you
the budget and the approval
to create a new idea of
marketing.
They Constantly Test
When reviewing the data it’s
clear to see high performers
are the first to adopt new
tactics, and techniques.
They have the budget to do
so and see the value in
reaching new consumers in
new ways.
Agile allows them to move at
the required speed.
Experience Is a Focus
They focus on how to use
channels and tactics to
create a cohesive
customer experience and
collaborate with other
areas of the company to
ensure all experiences are
supporting the goal.
Marketing is more than a
department.
Between high performers and everyone else
@msweezey #cnx16

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State of B2B Marketing: What High Performers Do Differently

  • 1. #CNX16 State of B2B Marketing What the latest research says about the current and future state of B2B marketing Mathew Sweezey Principal of Marketing Insights Author of Marketing Automation for Dummies msweezey@salesforce.com @msweezey
  • 2. Safe harbor statement under the Private Securities Litigation Reform Act of 1995: This presentation may contain forward-looking statements that involve risks, uncertainties, and assumptions. If any such uncertainties materialize or if any of the assumptions proves incorrect, the results of salesforce.com, inc. could differ materially from the results expressed or implied by the forward-looking statements we make. All statements other than statements of historical fact could be deemed forward- looking, including any projections of product or service availability, subscriber growth, earnings, revenues, or other financial items and any statements regarding strategies or plans of management for future operations, statements of belief, any statements concerning new, planned, or upgraded services or technology developments and customer contracts or use of our services. The risks and uncertainties referred to above include – but are not limited to – risks associated with developing and delivering new functionality for our service, new products and services, our new business model, our past operating losses, possible fluctuations in our operating results and rate of growth, interruptions or delays in our Web hosting, breach of our security measures, the outcome of any litigation, risks associated with completed and any possible mergers and acquisitions, the immature market in which we operate, our relatively limited operating history, our ability to expand, retain, and motivate our employees and manage our growth, new releases of our service and successful customer deployment, our limited history reselling non-salesforce.com products, and utilization and selling to larger enterprise customers. Further information on potential factors that could affect the financial results of salesforce.com, inc. is included in our annual report on Form 10-K for the most recent fiscal year and in our quarterly report on Form 10-Q for the most recent fiscal quarter. These documents and others containing important disclosures are available on the SEC Filings section of the Investor Information section of our Web site. Any unreleased services or features referenced in this or other presentations, press releases or public statements are not currently available and may not be delivered on time or at all. Customers who purchase our services should make the purchase decisions based upon features that are currently available. Salesforce.com, inc. assumes no obligation and does not intend to update these forward-looking statements. Safe Harbor
  • 3. The Question 1,158 B2B marketers were surveyed from around the world to answer the question: “What makes a high-performing B2B marketer?”
  • 4. Who did we survey? B2B demographics (n =1,158)
  • 5. Breakdown of B2B Marketing Performance Levels This is a main driver @msweezey #cnx16
  • 7. The Answers What is the difference between high performers and underperformers?
  • 8. Executive Buy-In is #1 This must happen FIRST before anything else will change
  • 9. 82% of high-performing B2B marketers have their executive team’s complete commitment to their marketing strategy. @msweezey #cnx16
  • 10. Executive Support High performers are more than twice as likely to have full executive support compared to underperformers. Gaining buy-in is also the hardest obstacle to overcome, since modern marketing is vastly different than what has been previously done. This is the main driver @msweezey #cnx16
  • 11. Budget is #2 It’s not just about more, it’s about a different budget
  • 12. Budgetary constraints is the top reason B2B marketers give for not adopting a customer journey strategy. @msweezey #cnx16
  • 13. 73% of high-performing B2B marketers plan to increase their traditional marketing budgets in 2016, while only 18% of underperformers plan on doing the same. @msweezey #cnx16
  • 14. The Breakdown on Budgets Tools and Technology High performers plan on significantly increasing their budgets on tools and technology over the next two years, a rate 2.9x greater than underperformers. Traditional Channels Underperformers spend a higher percentage of their overall marketing budget on traditional marketing channels compared to high performers (37% vs. 26%). Social Spending Social spend – advertising on social platforms, social media engagement, and social media marketing – is where most B2B marketers plan to increase spend over the next 12 months. Where the money will go? @msweezey #cnx16
  • 15. The Breakdown on Budgets (cont’d) 7 out of 10 B2B marketers plan to increase their digital marketing spend over the next two years. 22% plan to substantially increase their traditional marketing spend – by 25% or more – over that same period. Digital marketing spend continues to rise 70% 39% 59% 39% 39% Digital Marketing Spend Traditional Marketing Spend Marketing tools and technology Marketing consulting Marketing headcount Increase in Spending @msweezey #cnx16
  • 16. Tools and Technology is #3 Tools are a limiting factor to performance
  • 17. High-performing B2B marketers use, on average, 13 tools and technologies in their marketing execution, compared to only 5 by underperformers. @msweezey #cnx16
  • 18. Tools Enable a Single Customer Experience High performers are 19.4x more likely to say they excel at creating a single customer view. 62% of high-performing teams excel at creating a single customer view. This allows them to create an omni- channel customer experience. This is critical @msweezey #cnx16
  • 19. High performers are 7x more likely to be able to create a single customer view than underperformers. @msweezey #cnx16
  • 20. B2B Technology Breakdown High performers versus moderate and underperformers 56% 57% 61% 48% 49% 51% 28% 21% 18% 18% 21% 17% 12% 5% 4% 5% 11% 4% Marketing analytics Web personalization Emerging technology (e.g., wearables, IoT) Social listening tools Marketing automation Guided selling Percentage who currently use extensively High Performers Moderate Performers Underperformers @msweezey #cnx16
  • 21. Channels and Tactics is #4 High performers are gleaning at least 1.4x the value compared to underperformers
  • 22. High performers are able to see at least 2X-3X the value from the same channels as underperformers. @msweezey #cnx16
  • 23. The Channels of High Performers 15 Channels on Average High performers report extensively using 15 channels to create a seamless customer experience whereas moderate performers use 6 and underperformers use 3. Traditional + Digital The shift away from traditional is obvious; yet, the channel will not die. High performers use this channel when it is appropriate to do so, but they rely on digital the majority of the time. Social Facebook (54%) is the number one most extensively used social channel by B2B marketers, followed by Twitter (49%), then LinkedIn (44%). Where to invest and what works @msweezey #cnx16
  • 24. Best-in-Class Tactics High performers versus moderate and underperformers 57% 53% 52% 52% 49% 49% 41% 45% 45% 21% 22% 21% 19% 19% 17% 13% 22% 18% 5% 6% 6% 6% 10% 7% 5% 15% 6% Web personalization Advertising on social platforms Account-based marketing Lean/agile methods Lead nurturing and scoring User-generated content eBooks Whitepapers or case studies Infographics Percentage who currently use extensively High Performers Moderate Performers Underperformers @msweezey #cnx16
  • 25. Tactic To Do Today: Email Onboarding Program(s) Only 50% of B2B marketers use email onboarding of any type. Onboarding costs you $0, and you already have the tool for it. Create a partner onboarding program, a customer onboarding program, and an employee onboarding program. @msweezey #cnx16
  • 26. Tactic to Do Today: Employ Agile Methodologies 52% of high performers say they extensively use agile methods compared to only 6% of underperformers. Agile Marketing Manifesto The agile marketing manifesto (expatiated from the Agile Manifesto): • Individuals and interactions over processes and tools • Initial value over comprehensive documentation • Customer collaboration over subjective opinion • Responding to change over following a plan That is, while there is value in the items on the right, we value the items on the left more. http://agilemarketingmanifesto.org/ @msweezey #cnx16
  • 27. Experience is #5 Marketing is no longer just a single department
  • 28. 65% of high performers rate themselves as excellent at being able to create a personalized, connected journey, compared to only 1% of underperformers. @msweezey #cnx16
  • 29. Customer satisfaction is their most important metric they use to measure the overall effectiveness of their marketing efforts. 85% of high performers say customer journey strategies are critical to the success of their overall marketing. High-performing marketing teams are 7.8x more likely than underperformers to strongly agree they’re leading customer experience initiatives across the business. Biggest Business Challenge Customer Journey Cross Department They lead the company towards itIt is their focus They build tactics around it Customer Experience is BIG It’s the number one factor @msweezey #cnx16
  • 30. Creating a Holistic Experience High performers are 7.8x more likely to strongly agree they are leading the customer experience across their organization. Marketing is no longer a department. It is a mindset. @msweezey #cnx16
  • 32. The Big Differences A New Idea and Buy-In High performers have a new idea of marketing. They believe in creating a holistic experience, and get the buy- in from the top to move in this direction. Executive buy-in gets you the budget and the approval to create a new idea of marketing. They Constantly Test When reviewing the data it’s clear to see high performers are the first to adopt new tactics, and techniques. They have the budget to do so and see the value in reaching new consumers in new ways. Agile allows them to move at the required speed. Experience Is a Focus They focus on how to use channels and tactics to create a cohesive customer experience and collaborate with other areas of the company to ensure all experiences are supporting the goal. Marketing is more than a department. Between high performers and everyone else @msweezey #cnx16