Content Marketing and Market Segmentation for B2B Markets - an introduction, How Content can lead to dialog. Segmentation example for technology products and some examples from Krones, Dell, Festool, litago milk, mymuesli
2. Content Marketing
Content marketing equips
buyers with the knowledge to
make better-informed
decisions.
The thinking behind it:
Central to content marketing is the belief that if businesses
deliver consistent, helpful information to buyers at the right
time, then prospects will ultimately reward the company with
their purchase and loyalty.
20.9.2012 Dr. Ute Hillmer
3. What is Content Marketing?
Content is the reason
people go to your site
20.9.2012 Dr. Ute Hillmer
Dr. Ute Hillmer, Better Reality Marketing 19.12.2011
4. Give your customers the content they
want…
…not what YOU think they need!
Picture Dan Zarella
20.9.2012 Dr. Ute Hillmer
5. Why is Content Marketing important?
Average person is exposed to
5.000 ads / offers per day
Buyers have tuned out marketing
20.9.2012 Dr. Ute Hillmer
6. Think of an Art Gallery
Where is the Art?
20.9.2012 Dr. Ute Hillmer
7. People come to see art,
not empty frames or empty walls
Content is the reason
people go to your site
20.9.2012 Dr. Ute Hillmer
8. Content Marketing Fundamentals 1
Shift thinking from marketer to publisher
1. Define a critical group of buyers
2. Determine what info these prospects really need
3. Determine how prospects want to receive info
4. Deliver info for maximum impact on goals
5. Measure and recalibrate
20.9.2012 Dr. Ute Hillmer
11. Content Marketing Fundamentals 4
1. Consider the worldview of your
target customer group
2. Tell a compelling story
for them
20.9.2012 Dr. Ute Hillmer
12. Content Marketing im B2B
• Companies don‘t have conversations, PEOPLE
have!
• B2B is usually about niche problem solving –
problems are best solved in teams with many
different experts contributing
“niche” CONVERSATIONS
• Problem solving requires trust RELATIONSHIPS
• 1:1 Marketing was a buzzword of B2B n:n
20.9.2012 Dr. Ute Hillmer
13. Content Marketing im B2B
• PEOPLE
• niche CONVERSATIONS
• RELATIONSHIPS
• n:n
→ Social Media Chanels
20.9.2012 Dr. Ute Hillmer
14. What is
Content
Marketing?
20.9.2012 Dr. Ute Hillmer
16. How to Segment a Market for Content?
Age is no longer a key indicator -
areas of interests are!
20.9.2012 Dr. Ute Hillmer
17. How to Segment Your Target Market?
One Example…
20.9.2012 Dr. Ute Hillmer
18. Take the Market of New Technologies
Why do certain
innovations diffuse much
faster than others?
Why do certain innovations
have a much longer
main street momentum?
20.9.2012 Dr. Ute Hillmer
19. New Technologies usually …
change the way
how we do
things...
and we go along
happily and fast
or not so fast ...
20.9.2012 Dr. Ute Hillmer
20. Successful B2B marketing is…
• about segmenting customer experiences to fit the
product life cycle and the typical customer profile
• about developing and maintaining trust – matching
the different customer segments need
• about initiating a customer centric dialog that takes
the different customer profiles into consideration
Behavioral economics!
20.9.2012 Dr. Ute Hillmer
21. Behavioural Economics
Behavioral economics … study the effects of social, cognitive
and emotional factors on the economic decisions of individuals
and institutions and the consequences for market prices, returns
and the resource allocation. The fields are primarily concerned
with the bounds of rationality of economic agents. Behavioral
models typically integrate insights from psychology with neo-
classical economic theory. In so doing they cover a range of
concepts, methods, and fields.[1]
Behavioral analysts are not only concerned with the effects of
market decisions but also with public choice, which describes
another source of economic decisions with related biases
towards promoting self-interest.
[1] The New Palgrave Dictionary of Economics
20.9.2012 Dr. Ute Hillmer
22. “Innovativeness”
= degree to which an individual or a unit is relatively
earlier in adopting new technologies than other
members of a system
Source: Rogers Diffusion of Innovation 1995
20.9.2012 Dr. Ute Hillmer
23. an idealized technology product lifecycle
Disruptive Innovation
Continuous Innovation
Market size
Innovators Early Early Late Time
Laggards
2,5% Adopters Majority Majority 16%
13,5% 34% 34%
20.9.2012 Dr. Ute Hillmer
Rogers Diffusion of Innovation 1995
24. diffusion of innovation varies…
Marketsize
Time
Marketsize
Marketsize
Time
20.9.2012 Dr. Ute Hillmer
Time Rogers Diffusion of Innovation 1995
Moore; Crossing the Chasm 1999.
25. technology life cycle and its buyer
categories
Market size
Innovators Early Early Late Time
Laggards
2,5% Adopters Majority Majority 16%
13,5% 34% 34%
20.9.2012 Dr. Ute Hillmer
Chart based on Rogers 1995, p. 262 and Moore 1999, p. 12
26. mainstream behaviour
Marktgröße
Increasingly
conforming behaviour
Innovators Early Early Late Laggards Zeit
Adopters Majority Majority
20.9.2012 Dr. Ute Hillmer
Hillmer, Technology Acceptance in Mechatronics, 2009.
27. individualistic behaviour
Marktgröße
Increasingly
individualistic
behaviour
Innovators Early Early Late Laggards Zeit
Adopters Majority Majority
20.9.2012 Dr. Ute Hillmer
Hillmer, Technology Acceptance in Mechatronics, 2009.
28. Inventors: Techies
Technology is their life
Technology - Crazy
– Spend hours to get the product to work
– Do everything to help the product
– Technology should be for free
Forgiving souls
– Don’t mind lousy documentation and weird procedures
to achieve functionality
– Want technology first – no need for a sales channel
• Their role: they move technology forward but
do not generate much diffusion + generate no
income
20.9.2012 Dr. Ute Hillmer Moore; Crossing the Chasm 1999.
29. Visionaries
Technology enthusiastic businessmen, driven by a
dream
• Businessman first
- driven to be the first
- new technologies are used to serve their own strategic benefit
- don’t want incremental but fundamental improvements
- make business world aware of new technologies
- not very price-sensitive, have project budget
- live in the future
- communicate with techies and other visionaries
20.9.2012 Dr. Ute Hillmer
30. Visionaries (2)
• Take a risk
- love publicity
- risky projects
- start projects from ground up, don‘t want
standards, want to develop them
- buy by intuition (but may claim otherwise)
- highly motivated, driven by a dream
20.9.2012 Dr. Ute Hillmer
31. Visionaries (3)
• Excellent communicators
- charismatic; they fight for their project
- like to serve as a reference
- network with techies and pragmatists
- too many references de-motivate visionaries
- look for new ideas in communication with intelligent people
• Their role: they fund the product development
+ give the innovation a “real” application
20.9.2012 Dr. Ute Hillmer
32. Pragmatists
Look for measurable, incremental improvement
Driven by business results
- improved productivity
• Avoid risk
- risk is a negative term
- want to work with market leader/ established firms
- look for product quality, support, consulting, good
interfaces, reliability
- want standards, “save buys”
- need references
- live in the present
20.9.2012 Dr. Ute Hillmer
33. Pragmatists (2)
Loyal customers
• are interested in company they buy from
• revenue and profit must grow steadily “stability”
• communicate within company and industry
• the first mass market
Their role: They hold the key to the mass
market
BUT: you need to be established in order for
them to buy from you but you don‘t get
established until they buy from you ! ?
20.9.2012 Dr. Ute Hillmer
34. Pragmatists (3)
Consequences out of this profile
• One really needs to be familiar with
the processes and issues that worry the
pragmatists
Offer a clear relative advantage to them
20.9.2012 Dr. Ute Hillmer
35. Conservatives
“I don’t have to like the product, even if I use it”
- They do what pragmatics do, but later
- Invest in technology to keep up with competition
- Have low technical competence
20.9.2012 Dr. Ute Hillmer
36. Conservatives (2)
- predictable
- want everything faster, cheaper, improved
- are price sensitive
- like bundles, pre-installed solutions
- “if it isn’t broken, don’t fix it”
- very interested in service and support
Their role: huge mass market
20.9.2012 Dr. Ute Hillmer
37. technology life cycle and “the gap” or:
why you should focus
Market size
Innovators Early Early Late Time
Laggards
2,5% Adopters Majority Majority 16%
13,5% 34% 34%
20.9.2012 Dr. Ute Hillmer Chart based on Moor 1999
38. Technology Marketing –
What role does
engagement and
dialog play? “
20.9.2012 Dr. Ute Hillmer
39. early adopters = visionaries
Marktsize
Innovators Early Early Late Laggards Time
Adopters Majority Majority
20.9.2012 Dr. Ute Hillmer
40. early majority = pragmatists
Marktsize
Innovators Early Early Late Laggards Time
Adopters Majority Majority
20.9.2012 Dr. Ute Hillmer
41. Subjective Construction of Reality
Each individual sees the world
through subjective lenses.
Consider typical customer
segments and try to capture
them socially and emotionally
with
YOUR STORY!
Seth Godin, All Marketeers tell stories, 2009
20.9.2012 Dr. Ute Hillmer Mischel and Morf, Handbook of self and identity, 2003.
Kelly, The psychology of personal constructs, 1991
45. Content for the User
• Facebook „Krones Academy“
Facebook im Doppelpack: Krones und Krones Akademie ca. 2000 Fans
Recruiting , Mitarbeiter und Kundenbindung
20.9.2012 Dr. Ute Hillmer
46. Content for Todays and Future Decision Maker
– by Segment
20.9.2012 Dr. Ute Hillmer
63. Best Practice ‚Supporting‘
IBM developerWorks
• IBM developerWorks is a free community and social network for 8 million
developers and IT professionals worldwide. It includes content and discussions on
open standards, open source, and IBM technical resources in English, Chinese,
Japanese, Russian, Korean, Vietnamese, Brazilian Portuguese, and Spanish. It
includes 30,000 articles, forums that attract 1 million visitors a month, 400,000
active profiles, 800 bloggers, and 450 wikis. IBM saves $100 million annually from
people who use this resource instead of contacting IBM support.
20.9.2012 Dr. Ute Hillmer
Dr. Ute Hillmer, Better Reality Marketing 19.12.2011
64. Jugend gegen Aids e.V. Pro Bono – Online/Offline
20.9.2012 Dr. Ute Hillmer
70. Success in Dialog Marketing means
You understand where your customers
share their thoughts on
… problems, solutions, … about YOU!
You understand what your customers talk about…
because no one has been waiting for you to lead the
conversation… .
Join in on existing conversations!
20.9.2012 Dr. Ute Hillmer
71. Success in Social Media – in the Dialog
relevance
benefit
fun
20.9.2012 Dr. Ute Hillmer
72. Goals to be achieved
Information‐ Image Economic
Goals Goals Goals
Improved customer Presentation as a market Awareness, visits,
insight leader registrations,…
Improved product Presentation as innovation Customer loyalty and
insight leader ‐penetration
Presentation as a Good Sales and
Generation of ideas Citizen recommendations
Cost reduction
… …
20.9.2012 Dr. Ute Hillmer
73. Hands on Exploitation
Investigate the online + social media activities of one of
the following companies:
Mymuesli.com (Online Composition and Retail)
Krones.de (B2B)
Litago.no (Customer Experience)
Festool (B2B for SMEs)
Present in 10 minutes/group, what they do online and
what you think is useful and what could be improved
20.9.2012 Dr. Ute Hillmer
74. Suggested Reading
• Groundswell by Charlene Li, Josh Bernoff
• Positioning by Trout and Ries
• In Pursuit of Wow! + The Tom Peters Seminar by Tom Peters
• What would Google do by Jeff Jarvis
• All Marketeers tell Stories by Seth Godin
• 1 to 1 Marketing Future by Don Peppers
• CRM at the Speed of light by Paul Greenberg
• The Long Tail by Chris Anderson
• The Wisdom of Crowds by James Surowiecki
• Crossing the Chasm by Geoffery Moore
• Selling the Dream by Guy Kawasaki
20.9.2012 Dr. Ute Hillmer
Dr. Ute Hillmer, Better Reality Marketing 19.12.2011
75. This presentation is available in 3 parts in the
download area of
www.better-reality.com
20.9.2012 Dr. Ute Hillmer