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5 oct. 2012
The B2B marketing world has changed dramatically. Today's marketer must be technically proficient, possess strong analytical skills and be innovative in their approach to aligning effectively with their sales counterparts. They must determine how they will increase demand creation through effective lead generation, inbound marketing and more impactful sales enablement with the sales organisation.
In his keynote, John Neeson will review five best practice strategies that are leveraged by high growth organisations for better alignment and effectiveness. Specifically, he will address the following:
•A best practice demand creation framework
•Strategies that best practice organisations are using to effectively align marketing and sales
•A marketing model for inbound, outbound and sales driven demand creation
•Best practice demand creation for the channel
•Identification of buying cycle phases and alignment of marketing activities and budget according to sales requirements in each phase.
Best Practices in B2B: Sales and Marketing AlignmentJohn NeesonCo-Founder/Managing Director
Five Things Will Occur By 20151. The sales cycle will shift, increasing marketing’s importance in the early stages of the buying cycle2. Demand creation will be measured in three ways – inbound, outbound and sales driven3. Sales enablement move from tactical programmes to a strategic initiative4. Marketing’s success will become increasingly technology driven5. “Buyers journey” marketing will result in greater investment in customer experience © Copyright SiriusDecisions. All Rights Protected and Reserved. 2
Trends• Online Marketing: Today 58% of all leads come from the web increasing to 71% by 2015.• Performance: Organizations leveraging the web who market to the buyers journey, have strong sales alignment and effectively use marketing automation create twice as much pipeline as those who do not.• Technology: B-to-B companies doubled their investment in marketing technology in the last five years with 70% saying they will increase further in the next five.• Skills: Less than 25% of organizations utilize marketing technology to its fullest.• Enablement: The greatest barrier for a sales person not achieving quota (52% of the time) is from the inability to demonstrate value or lack of customer knowledge.• The Sales Cycle: More prospect interaction is now occurring online shortening the actual time for sales engagement. The need for a digital relationship has never been higher. © Copyright SiriusDecisions. All Rights Protected and Reserved. 3
Trend: Most Used Research Techniques SiriusPerspective: Decision makers rely on Internet search and their teams and colleagues when completing research. .100% Ask my team or colleagues90% 22% 21% for options 24%80% 11% Access a social media70% 12% 10% community60% 20% 22% 21% Call an industry analyst50%40% 22% 22% 21%30% Call an industry peer20% 25% 23% 24%10% Search on the Internet 0% CXO VP Director © Copyright SiriusDecisions. All Rights Protected and Reserved. 4
Trend: Later Interaction With Sales SiriusPerspective: Engaging with sales is happening later in the buying cycle, after decision makers know they are going to make a decision. .100% 3% I never engage with a vendor 1% 6% sales person90% 15% 18% 16% Other (specify)80% 5% 13% 5% 8% 3% Only after I know I am going to70% make a decision 5%60% After consuming a substantial 25% amount of the firms marketing 23% 32%50% After an industry analyst suggests40% 25% I engage to keep up with the30% 11% industry 26% 26% When I am curious on the20% 22% company/product10% 14% After my team sells me on reason to change 0% CXO VP Director © Copyright SiriusDecisions. All Rights Protected and Reserved. 5
ROI DefinitionsSiriusPerspective: The meaning of ROI varies by job title and role;first identify your target, then align with their definition.100% 8% 8% 10%90% 1% Other (specify) 5% 7% 5%80% 11% Ease of use70% 28% 32% Solution we can agree on60% 33%50% 13% 16% Competitive impact40% 42% 40% 8% Time saved30% 33%20% Money saved10% 0% CXO VP Director © Copyright SiriusDecisions. All Rights Protected and Reserved. 6
Trend: CXO Interactions With MarketingSiriusPerspective: By the time the sales person engages with the CXO, adialogue has begun digitally and opinions have begun to be formed. Sales Process Online Relationship Exploring Committing Losing the Committing to ROI for Vendor Possible To a Status Quo Change Decision Selection Solutions Solution Engage CXO Actions Influence Enable• Search The Internet • Assign Team • Committee Engagement• Access Peers • Engage Sales Person • ROI Content• Internal Project • Case Study • Save Money Discussions • Peer Engagement • Save Time• Find Content • Competitive © Copyright SiriusDecisions. All Rights Protected and Reserved. 7
Marketing Around The Journey SiriusPerspective: Today’s marketing ecosystem centers on the buyer’s journey, where marketing disciplines must effectively work together. • SEO/SEM • WCO • Social Media Customer Marketing Inbound Content Demand Strategic Communications Education • Sales Playbook Content• Account-Based Marketing Sales • Sales Tools• Pipeline Acceleration Sales Buyer • Channel Enablement Enablement• Opt-In Programs Demand Journey • Case Studies/Reference Outbound Demand • Lead Generation Programs • Reconstitute Programs • Recycle Programs • Channel Demand © Copyright SiriusDecisions. All Rights Protected and Reserved. 8
Best Practice AttributesSiriusPerspective: While there are many differences between averageand high performing companies, four characteristics are consistent. Sales Pipeline Sales Alignment • 30% + Sourced* • Flexible Programs • 70% + Influenced* • Strong SLA’s • Not a Leads Only Focus • Targeted and Sales Stage Based Program Mix Integrated • Multi-channel • Based on Buyer Journey • Web Centric • Multi-Touch Programs • Nurturing Model • Data Centric • Best Practice Syndication • Web Focused * Varies by organizational size and target markets © Copyright SiriusDecisions. All Rights Protected and Reserved. 9
Task Families Surrounding the B-to-B Waterfall SiriusPerspective: To drive best-in-class performance, sales and marketing must align around five waterfall-based jobs. SEEDThe use of traditional and social media to set the NURTUREstage for demand creation Care and feeding of prospects that aren’t ready for sales, or that have fallen CREATE out of the waterfallThe generation of “original” demand, with a focus on quality vs. quantity ENABLE Helping reps increase their ACCELERATE productivity, both for sales- and marketing-sourcedEfforts geared to help sales demand move deals more quickly through the pipeline © Copyright SiriusDecisions. All Rights Protected and Reserved. 10
Average vs. Best – in - ClassSiriusPerspective: High performing companies market to all areasof the waterfall to impact performance. Waterfall Conversion Rates Best-in- Average Strong Class What do high performing companies do differently? Inquiries SEED 4.1% 5.8% 9.7% Marketing Qualified CREATE Leads (MQLs) 62% 65.6% 74.5% NURTURE Sales Accepted Leads 47.5% 56.4% 60.5% ENABLE Sales Qualified Leads (SQLs) ACCELERATE 22.1% 26.9% 30.7% Closed/Won Business © Copyright SiriusDecisions. All Rights Protected and Reserved. 11
Getting to Alignment
What is Alignment?SiriusPerspective: There are four key areas of alignmentbetween marketing and sales. Buyers Journey Activity Alignment Key Issue: How do your customer’s buy? Key Issue: What are the sales and marketing activities along the buyers journey? Deliverable: Buyers journey model sales and Deliverable: Identification of marketing programs, sales marketing will use as a common denominator for requirements / process, and role clarification at each stage of strategy, process and activity alignment. the buyers journey. Campaign Structure Planning / Measurement Key Issue: What is language, structure, and Key Issue: How will the planning and visual descriptions you will use to describe measurement process change as a result of marketing and sales efforts? buyers journey? Deliverable: One view on campaign Deliverable: Waterfall model of closed loop nomenclature, lead definition and SLA’s between measurement. Integrated marketing planning sales and marketing. model. © Copyright SiriusDecisions. All Rights Protected and Reserved.
Aligning Marketing Programs Tactics and Programs Loosening Advertising of the Suspect SEED Status Quo Thought Leadership Global Campaigns Product Launch Committing Promos/Offers Qualification to Change Events/Webinars CREATE Account Based Marketing Exploring Website/SEO/SEM Possible Self-Guided Demos Solution NURTURE Analyst Reports Solutions Identification Lead Nurturing Programs Presentations Committing In-Person Demos Solution ENABLE Competitive Tools to a Solution Validation Customer References Trials/Proof of Concept Justifying ROI Tools ACCELERATE the Exec Briefings Propose Decision Pipeline Acceleration Programs Customer Newsletters RETAIN Close Making the Online Communities Selection Value Review Relationship Marketing © Copyright SiriusDecisions. All Rights Protected and Reserved. 14
Service Level Agreements: The Ties That BindSiriusPerspective: Two sets of core SLAs must be created, andadjusted over time based on data. Lead acceptance Timeframe Bypass/exceptions Disposition Special program alignment Demand Center/ Field/Channel Teleprospecting Field Marketing Sales Lead acceptance Timeframe Disposition Rep alignment Program alignment © Copyright SiriusDecisions. All Rights Protected and Reserved. 15
Demand Type and Lead LevelSiriusPerspective: : Demand type also will provide significantguidance in terms of the “type” of lead you are looking for. New Concept New Paradigm Established Market © Copyright SiriusDecisions. All Rights Protected and Reserved. 16
Demand Generation: Critical ProcessSiriusPerspective: Best practice lead delivery requires commonprocess, definitions, rules and timeframes. Marketing Teleprospecting Sales Disposition rules TimeframeTarget agreement Accept/ Source Volume rules Deliver Accept/reject rulesPrograms/tactics Reject Notification Notification AcceptLead definition MQL definition CRM adoption Scoring Qualify Engagement rules Qualify Qualify Engagement rules Nurture DQ rules DQ rules AcceptDisposition rules Timeframe CRM adoption Accept/ Volume rules Deliver Accept/reject rules DQ rules Pipeline Reject Notification Notification Timeframes Reject Reject Disqualify Disqualify © Copyright SiriusDecisions. All Rights Protected and Reserved. 17
Understand Message Needs for Different Tactics• Inbound (Indirect) Tactics: • Outbound (Direct) Tactics – Traditional advertising/branding – Email – Public relations – Newsletters – Analyst relations – Internal/third-party teleprospecting – Search engine optimization – Direct mail – Search keyword sponsorship • Offers (Examples) – Association marketing – White papers – Celebrity sponsorship – Trials/demos – Cause marketing – Live Events/seminars/roadshows – Content syndication – User conferences – Banner/online advertising – Online events: webcasts/webinars – Social media (e.g. blogs, microblogs, communities) – Financial incentives – Trade shows (virtual, traditional) Source: SiriusDecisions © Copyright SiriusDecisions. All Rights Protected and Reserved. 18
Integrated Campaign Framework BUYING CYCLE NEW CONCEPT NEW PARADIGM ESTABLISHED MARKET Loosening Exploring Committing Committing Justifying Making the of the possible to change to a solution the decision selection status quo solutions Reputation Demand Creation Sales Enablement MESSAGING Solution Vendor Selection Education Help Align Align buyer solution Create Demonstrate problem with identify with awareness core features Validate/ business needs in specific around a new and reinforce choice issues; drive solving sets of problem functionality urgency the business problem needs TOUCHES Education Education Solution Solution Solution Selection Selection Selection Selection T1 T2 T3 T2 T1 T2 T3 T1 T3White Paper Webinar Case Study White Paper Event Webinar Analyst Report Case Study Peer Interaction © Copyright SiriusDecisions. All Rights Protected and Reserved. 19
Technology Integration Web site Web content Management Marketing Automation Platform Pipeline Contact metrics Behavior & management performanc Marketing Database e analysis Campaign Mgmnt Lead CRM delivery Lead Mgmnt Contact SFA Advanced Features information Web analytics Business Intelligence © Copyright SiriusDecisions. All Rights Protected and Reserved.
Summary• Effective alignment begins with a consistent language, SLA’s and a measurement system.• High performing organizations uniquely generate over 30% of the sales pipeline and influence over 70%.• The integrated campaign model is all about the customer / prospect journey not a single marketing tactic.• The marketing mix is evolving to be more digital with tight integration with inbound activity. © Copyright SiriusDecisions. All Rights Protected and Reserved. 21