Many B2Bs mistakenly view marketing as a nice-to-have versus a necessity. They see it as a luxury and an expense, instead of the investment that it really is.
As an engineering company, Invata struggled with that throughout my tenure and subsequently for a good bit of my time there I handled all aspects of Invata marketing by myself. I grew used to my budgets being mercurial and to creating strategies that were subject to change.
But Invata was actually better than most.
For many B2Bs, there is a kind of passive aggressive approach to marketing that seems to embrace it while keeping it at arm’s length.
It all starts with the old adage that a company’s marketing spend should be based on a small percentage of sales revenue. That sets up a dynamic that turns marketing into the equivalent of a gig worker: There in good times. Not so much in others.
In companies like these, marketing may get some respect, but will not likely get a seat at the C-suite table. Instead, mid-level marketers will be hired to perform marketing-like activities that are typically tactical in nature and in support of other departments.
Marketing strategy in these companies is commonly lax if not non-existent. So all marketing activities are not only tactical, but generally do little to build brand awareness.
Not surprisingly, returns for these marketing efforts are usually less than hoped, and that in turn sets up a viscous cycle of marketing outlays that show little to no return — which justifies the company’s lack of commitment to marketing.
In these cases, companies put greater emphasis on sales related activities, features selling, and activities that are easy to measure, while neglecting activities that are more likely to create and capture demand.
It’s the Achilles heel of B2B businesses. And an approach that overlooks a number of critical marketing truths:
1) The Buying Process Has Changed.
Gone are the days when buyers looked to B2B sales reps to learn about your company offerings. Today, buyers do their own research without announcing their intentions until they have likely determined the potential providers they will solicit.
When buyers are finally open to speaking with someone from your company, it will not be to a business development rep to set up an introductory demo, but rather to someone who can actually close a deal.
But that will only happen if your marketing effort was strong and savvy enough to get to that buyer early in their research cycle.
If your company is not providing value early and often, then your potential buyers will look elsewhere for help. But if it is, there’s a good chance you’ll win their business. In fact, according to TechTarget, over 90% of B2B companies end up purchasing from companies that initially provided them with valuable information.
2) Marketing Success Requires Consistency.
Marketing done on the cheap or only when times are good is the reason many B2B companies suffer from weak brands.
Inconsistency creates a credibility gap with the market and prospects alike.
Inconsistency undermines your brand.
If a business drops off their marketing cadence in bad times, it actually exacerbates the bad times by allowing competitors who stay the course in those times to garner more attention and ultimately position their businesses for upcoming sales when the market bounces back.
In fact, down turns are the times when businesses should double down on building their brand, so that when the market turns, they’ll be positioned to take better advantage of the market resurgence.
3) Relationship Selling Will Only Work for the Short Term.
Start-up companies often rely on their founders to do their selling out of the gate. Initial successes can be deceiving in that it may initially seem like a company can survive without marketing.
But founders get very busy very quickly. And typically within a few years, the need for marketing becomes obvious.
Smart businesses that see marketing as an investment in their brand act early so as to avoid the loss of initial and critical brand building
Walter High has built a career from his proclivity for using marketing creativity as a tool for business growth. He is a multi-disciplined marketing expert with deep experience in conceptualizing and executing successful strategic branding, product marketing, and demand-gen/capture initiatives in B2B and B2C arenas. Contact Walter here.