MarketingSherpa Blog

I heard an offhand comment the other day from an agency marketer who said most of her B2B clients focused their email marketing on rented third-party lists (despite her advice). I thought to myself, “Really? That can’t be very effective.” I looked at some data and found I was right.

Although 46 percent of B2B email marketers use third-party lists:

• Only 11 percent score the tactic at “four” or “five” on a five-point scale of effectiveness, with “five” being the most effective, according to the MarketingSherpa 2011 B2B Marketing Benchmark Report.
• 57 percent score the tactic at “one” or “two”

These numbers almost completely reverse when we look at B2B marketers emailing to a house list. About 95 percent of B2B email marketers send to their own lists.

• 67 percent consider the tactic a “four” or “five” in terms of effectiveness on a five-point scale, with “five” being the most effective.
• 5 percent consider it a “one” or “two”

For me, these stats help underline the point that high-quality email databases are workhorses in marketing departments, and that marketers need to steer away from thinking about email marketing as advertising.

Love and Respect Your Audience

To elaborate on a point that Brad Bortone made in yesterday’s post, I would like to emphasize that effective email marketing is based on relationships. These relationships hinge on expectations, promises, and trust.

This might sound like fluffy marketing-speak, but bear with me. Specifics are coming.

First, people have expectations when they opt into your email program. You need to clearly set these expectations during the opt-in process by describing:

• The content they’ll receive in your program
• How often they’ll receive emails

Once they opt-in, you’ve officially promised to meet these expectations. If you fulfill your promise and only send what they’ve agreed to, that will build trust. Subscribers will trust your emails will have something they want. That trust translates into higher open and clickthrough rates and helps build an effective program.

If you move outside of the expectations, you are assuming subscribers want something else. You’re breaking your promise, harming your relationship, and undermining trust. You’re encouraging them to click “spam,” ignore your emails, or (at best) opt-out — none of which are good.

So you cannot assume people want your emails. You have to clearly set expectations, keep your promise, build trust and establish good relationships to get good results.

Email Marketing is Not Advertising

Strong email relationships can only come from your house list. On a third-party list, their expectation is to not hear from you. They never opted-in. You’re assuming they want something they’ve never asked for, and you’re encouraging them to click “spam.”

Sure, sending to third-party lists can work. But look at the data above. You’re likely better off investing in your database, segmentation, and relevance.

The mindset that “we’re just going to reach people, even if they’d rather be doing something else,” is an advertising mindset. That’s what marketers do on television. I’d rather be watching Pawn Stars, but instead I’m stuck watching ads.

Advertising is great, but it’s not good email marketing. Good emails are anticipated by subscribers and are relevant to their needs. This is why a good house list is so valuable. Bad emails arrive out of nowhere and interrupt people when they’re doing something else. This is why emailing third-party lists is among the least-effective B2B email marketing tactic today.

Related resources

MarketingSherpa 2011 B2B Marketing Benchmark Report

Email Marketing: Three lessons learned at the MarketingSherpa Email Marketing LEAPS Advanced Practices Workshop

Chart: Top tactics organizations use to improve email relevancy

Email Deliverability: Always test emails that link to third-party sites

MarketingSherpa Email Marketing LEAPS Advanced Practices Workshop

Few issues create more conflict between sales and marketing than lead qualification criteria. In the MarketingSherpa 2011 B2B Benchmark Report, 72 percent of marketers listed generating higher-quality leads as their single biggest challenge, up from 69 percent the prior year. In most cases, Sales and Marketing each see lead qualification from very different perspectives, both of which have value.

In sales, management spends considerable time, including extensive one-on-one coaching, teaching sales people about lead qualification criteria, often dissecting specific sales calls, contacts, opportunities, and accounts. Good sales people soon learn that qualifying prospects takes significant skill and judgment.  Invariably, the best sales people are superb at this skill.

In contrast, the best marketers look at a sophisticated combination of techniques for delivering more qualified prospects to sales:

• Targeting. By soliciting the right audience, fewer out-of-market prospects inquire.
• Messaging and calls-to-action. The right message and supporting content will attract the most qualified buyers.
• Explicit user-supplied information. Registration forms enable marketers to ask qualifying questions, questions that can evolve as the prospect moves deeper into the buying cycle.  Unfortunately, prospects are unwilling to fill-out a lot of information on a registration form so this tactic must be used with great restraint. MECLABS has one case study, for example, that shows a 189 percent increase in registration largely by decreasing the amount of information on a registration form.
• Implicit data. Increasingly, marketers are drawing inferences about not just an area of interest, but the likely depth of interest, the role of the responder in the buying process, and similar qualifying information, all based not on what a prospect says but on what he or she does, primarily via his or her clickstream behavior but also via other media and transactional information.
• Data Hygiene, enhancement, and consolidation. The cloud is creating very scalable and cost-effective tools for cleaning up inquiries, appending additional or better business card or firmagraphic information to each record, and consolidating duplicate accounts, contacts or areas of interest. The right processes will typically identify 14 to 21 percent of the lead pool as either duplicate or not usable (e.g., the visitor enters “Mickey Mouse” for a name).
• Lead Scoring. Lead scoring uses any and all of the implicit, user-supplied information along with explicit and appended information to identify and prioritize records worthy of human follow up.

Leaving aside tele-qualification as a marketing function, the key difference between the approach of sales and marketing is this: marketing uses largely quantifiable techniques, primarily driven by highly scalable business rules and automation while sales uses qualitative techniques that are extremely nuanced and very subjective and invariably much more exacting for a given account.

In other words:

• Marketing improves the probability of success across a pool of responders.
• Sales identifies the probability of success for a particular responder.

Customers and prospects hedge, withhold information intentionally, change their minds, and/or misunderstand and even fabricate information.  Sales people use, not just the words of a customer, but a range of information, including someone’s tone, body language (in the case of on-site sales calls), the perspective of others within the account, external sources, and many other tools to evaluate the probability of purchase. While lead scoring is improving every day, it obviously has a long way to go before replicating the qualification techniques of sales people.

The truth is these two approaches are highly complementary

The more sales understands the tools and limitations marketing uses, the more insightful their suggestions can be; likewise, the more marketing understands the criteria and methods the best sales people use, the more marketers can improve their own upstream practices.

Related resources

MarketingSherpa B2B Summit 2011 – in San Francisco and Boston

B2B Marketing: Building a quality list

B2B Marketing: The 7 most important stages in the teleprospecting funnel

Members library – B2B How-To: 5 lead nurturing tactics to get from lead gen to sales-qualified

Free MarketingSherpa B2B Newsletter

Review: B2B Marketing Best Practices – MarketingSherpa 2011 Handbook by Lee Odden at TopRank online marketing blog

Every advertising agency, SEO specialist, and PR firm likes to be seen as a partner, not a vendor. And that may well define your relationship. But, go down to accounting and explain that relationship, and they’ll laugh in your face.

And for good reason. While, hopefully, you do have that close knit partner relationship, at the end of the day, this is a financial arrangement and you must maximize the value of that arrangement.

On the face of it, performanced-based pricing seems like a no-brainer. You get a guaranteed result, or you don’t pay.

Is this a great country, or what?

Like many things, the devil is in the details. First of all, you have to keep in mind that the vendor knows the metrics far better than most prospective clients do. That means, in many cases, the vendor is selling the illusion of risk.  Second, and more importantly, you have to be sure the result you are paying for is the result you really want.

Let me show you what I mean. I’ll use a teleprospecting vendor as an example, and highlight the lesson you can get out of each example for the type of vendors you work with every day.

What intermediate metrics truly contribute to your success?

In B2B lead generation, a common result is defined as an appointment for sales people. The cost per appointment generally runs from about $400 to $800, depending typically on volume, your brand and the target.  If you can provide the vendor with the people your sales team absolutely, positively wants appointments with, you’re in business.

In my case, I would gladly take appointments with CMOs of B2B companies with $500 million or more in revenue. At least, that would probably be my immediate response. Of course, there might be a few CMOs in that target that oversee pure e-commerce plays, or highly commoditized, low-end products that do not require lead generation, my area of expertise (or, so I would like to think). Therefore, I might pay for some appointments that I don’t really want. So, the real cost for a qualified appointment might be a bit higher than I originally agreed to.

Then there is the hidden cost: sales productivity. The purpose of such services is to increase sales productivity. For these kinds of top executive-level appointments, the representative might very well expect to meet face-to-face with the CMO. So, you have to add to the equation the cost of the commuting time and meeting time. Loaded field sales costs for complex solutions often start at about $100 an hour and can be $500 an hour or more, for elite, high-end key account sales people.

Very quickly, a $500 appointment can become an $800 or even $1,500 appointment, especially if any serious commuting takes place. If the conversion-to-deal is high or the revenue-per-deal is high, then who cares? In many cases, however, buyers find out that 20 to 30 percent of the appointments are not a fit. Now the cost of the qualified appointment goes way up, and the soft cost of sales expense goes to the moon, not to mention the hit on sales productivity.

Unless you are absolutely certain that your sales team wants appointments with a particular set of individuals, then you really need to focus more on qualified leads, not just appointments.

LESSON LEARNED: Make sure you pick the correct intermediate metrics when paying for performance.

Are you helping  your vendors be successful?

OK, now you have learned your lesson, the hard way. You won’t do that again, right? So you negotiate a cost per lead fee structure. Before you do, you wisely work with sales to define BANT (Budget, Authority, Need and Timeline) lead criteria and structure the deal accordingly. Again, the devil is in the details. What if sales discovered, after further review, that what they really wanted was to get in to larger accounts before the prospect had finalized a budget? In those cases, maybe the deal takes longer but the win rate is higher and the deal size is higher. Happens all the time. Now you have to try to change the deal. At least for some accounts.

With leads, there is also often subjective information, open to interpretation. Is the prospect really acting with authority? Do they really have a budget? Even seasoned sales people can be mistaken about such things. In short, lead qualification is almost always nuanced, complex and evolving, as the teleprospecting operation figures out how to qualify leads precisely and the sales organization figures out what it really wants and needs. This reality often creates conflict with the vendor initially, because the fee structure negotiated is not really the right fee structure and so one side or the other loses.

Finally, if the vendor is taking all the risk, many people understandably put vendor support on the back burner. It’s human nature. In reality, teleprospecting operations fail, including those that are in-house, without proper support from marketing and sales. For example, from marketing, this operation needs lists, assets and tools, and an appropriate supply of reasonably qualified responders. From sales, the team needs training and mentoring on qualification and precise, rapid feedback on leads..

After all, the fee is fixed and the operation should run on auto-pilot. You also might not bother investing in effective demand generation that feeds the vendor or even list development, instead allowing the vendor to get by on cold-calling decaying lists.

Your program then becomes the dumping ground for new hires. The vendor might also park underperformers there before giving them their walking papers. In other words, both you and the vendor try to extract some value out of the effort. But, some of what matters isn’t getting measured, like the cost in the market place to your brand because of the quality of the calling.

LESSON LEARNED: A business relationship is a two-way street. Your vendor can’t help you be successful, if you don’t help it be successful. As Jerry Maguire said, “Help me help you!”

Is there transparency in your relationship?

So, what’s the right approach? It really depends on what you need and how clear you are about your needs. If you have a reasonably well-oiled, well-documented process and approach to teleprospecting, then asking the vendor to share in the risk and the upside can serve your mutual long-term interests.

If things are not going so well and you need to figure out the right approach, then pay-for-performance is going to create unnecessary conflict. You might be better served in that case to put your focus on determining the right model or strategy for teleprospecting and the parameters of a pilot. Insist on a level of transparency during the pilot and then use the pilot to optimize the approach. Then, after the production level has begun to plateau, start working on a shared risk model.

The right shared risk fee structures ensure that both the vendor and the client win if the program is working and lose if the program is failing. To arrive at such an arrangement, there must be clarity on both sides about mutual obligations and the consquences for non-compliance. Mutual trust and respect are also necessary, including a win-win approach to the fee structure.

To those who might argue that every dollar of profit a vendor makes is a dollar of margin that is lost to its clients, I would point to the free enterprise system. Everywhere in free markets, the quest for profits drives higher levels of efficiency (and losing money drives companies out of markets and out of business). If the vendor makes above average profits for driving above average efficiency, then its clients are the beneficiaries. And the profits that the vendor makes must always be tempered by what its competitors offer or what its clients believe they can achieve in-house.

LESSON LEARNED: A rising tide lifts all boats…as long as everyone is clear on how “tide” and “boat” are defined in the process. So, before you dive in, dip your toe in and start with a pilot that has flexibility to evolve over time. Once the proper success metrics have been discovered, and a working relationship is established, you can create a more successful payment model that truly shares risk and reward.

But don’t stop there. Look at this as an evolving fee model. Continue to optimize as you learn more about what creates a mutually successful relationship.

Related Resources

B2B Marketing: The 7 most important stages in the teleprospecting funnel

B2B Lead Generation: Why teleprospecting is a bridge between sales and marketing

B2B Marketing: The FUEL methodology outlined

Free MarketingSherpa B2B Newsletter

Funnel measurements have two important benefits in B2B lead generation:

1. Helping marketers forecast outcomes.  By tracking the conversion percentages, marketers can apply those conversion percentages to each new campaign and predict what the outcome will be before the campaign occurs.  Such predictions are very helpful in capacity planning and budgeting.

2. Helping marketing identify funnel leakage and optimize revenue production.  Marketers can apply both their own internal, historical baseline conversion ratios (i.e., an aggregation of conversion ratios) and industry benchmarks, like those gathered by MarketingSherpa.

Executive-level funnel metrics provide marketers with the 50,000-foot view to provide an end-to-end perspective.  But when there appears to be leakage, zooming in on a particular leak is essential.

In that context, let me share seven funnel conversions for teleprospecting.

But first, let’s agree on the scope. In B2B, there are two important functions in this  area:

• Following up on, qualifying, educating, and nuturing marketing responses until they are sales-ready leads.
• Prospecting into target accounts to identify and qualify existing demand and to generate demand and convert that demand into sales-ready leads.

For both of these activities, it seems the key funnel stages would be similar. But, what are they?

Before I share a point of view on this important subject, let me say that teleprospecting is very complex and the interpretation of outcomes at various stages of the funnel are more and more subjective. Plus, in one call, the teleprospecting rep may go through all the funnel stages.

Click to enlarge

1. Dial – a teleprospecting rep making an outbound dial; or a customer making an inbound call.

2. Connection – the dial converting into a connection.Those dials that do not convert into connection either have busy-outs, dials with no answers, recorded phone company messages about the number being out of service or changed. A very high percentage of dials not converting into connections means the list or lead source is problematic.

3. Conversation. – the rep reaching someone to have a conversation, however short; a prospect reaching a teleprospecting representative via an inbound call.

4. Decision-maker conversation – some of the conversations are with those who would be part of a decision and some are not, either because the teleprospecting representative is speaking merely to a receptionist or to someone otherwise not involved in the solution area.

Decision-maker/decision-influencer conversations are much more predictive of future purchase intent than non-conversations. Even when following up on marketing responses, it’s not uncommon that 20 percent of more of the leads never make it to this stage.

5. Qualified Account – Usually, the first thing a teleprospecting representative does is qualify the person. The second thing is often qualifying the account. Is the account in the target market? Those that are would get this kind of status.

At the top of the market, the funnel may end here with an attempt to set an appointment, the idea being that the sales person will take meetings with the right people in the right accounts because the buying potential is so large.

6. Acknowledged Need – The next thing a teleprospecting representative does is discover if there are buying plans, and if not, at least an acknowledged need. Those who meet the other criteria (Qualified Account, a stakeholder in the decision processs) and have an acknowledged need are the most likely to convert into a sales-ready lead.

In fact, for some larger accounts, the sales organization may decide that this level of qualification is sufficient to warrant sales follow-up. Others in this stage might warrant tele-nurturing.

7. Sales-Ready Lead. Sales-ready leads meet any other qualifying criteria, like a particular timeline for buying, the existence of a budget, etc.

And then, of couse, the overall sales-marketing funnel extends beyond the teleprospecting operation as sales people validate leads, convert them into opportunities, forecast them, and close them.

There are some problems with the above funnel however:

• It doesn’t account for inbound or outbound emails sent to or from the teleprospecting representative or the clickthroughs that might happen.
• It doesn’t factor in online chat sessions, where there might be an opportunity to identify the prospect, qualify their interest, role, and the account they work for, all before having a live conversation with them.
• There is also nothing in here about leaving messages, per se, like a voice mail.
• There could certainly be other stages, like a presentation stage, where the teleprospecting representative presents, however informally, (via WebEx, DimDim, etc.) some kind of elevator pitch to the prospect.
• It’s also possible that by sending an Outlook meeting request or speaking to an admin, a teleprospect representative schedules a phone meeting.
• Finally, there isn’t a stage for doing some kind of preliminary investigation of an account and/or a contact, like going to LinkedIn or the account website.

Obviously, these limitations speak to the complexity of B2B teleprospecting for the complex sale, and the evolution of this capability to include more and more Web-based tools for both discovery and communication.

What funnel stages do you see as most important?

Related Resources

B2B Lead Generation: Why teleprospecting is a bridge between sales and marketing

B2B Marketing: The FUEL methodology outlined

How and When to Use Content in the B2B Sales Process (Members library)

Free MarketingSherpa B2B Newsletter

For complex B2B sales, there is no better capability than teleprospecting for optimizing funnel efficiency.  I suspect that is one of the reasons more and more marketing executives have taken ownership of this function from sales.

One of the reasons that teleprospecting is so important is that it is (or should be) a bridge between upstream marketing campaigns and downstream sales teams.  For marketing, the teleprospecting team cannot only convert marketing responses into sales-ready leads, but provide marketing with clarity on how to improve its demand generation efforts.

Let me provide two simple examples:

1. Fine-tuning lead scoring models

There is probably no more promising capability than lead scoring.  To evolve the rule set, marketing must take aggregate funnel data from teleprospecting and fine tune the scoring model.  For example, usually 20-50 percent of the leads will be unreachable after four or five dials and three or so personal emails from the teleprospecting representative.  By comparing a large pool of these unreachable leads with leads that do respond to follow-up of teleprospecting representatives, marketing can often find different characteristics that correlate to responsiveness and dial up the lead score accordingly.

2. Fine-tuning messaging and media strategy

If a large percentage of potential customers the teleprospecting team does reach are out of the target market, then marketing can often fine-tune its messaging and its media/search strategy to improve the percentage of responders who are actually in the target market.

If the teleprospecting team receives similar, simple feedback on the sales-ready leads, that feedback can help the teleprospecting team improve it’s practices.  For example, if there is a disproportionate percentage of sales-ready leads that do not respond to the follow up by sales, then the teleprospecting team (or some subset of the team) most likely needs additional training (or talent) in order to better qualify prospects.

What’s important is that there is a repeatable process and that the operation measures the right things.  What’s also important is that marketing views the teleprospecting capability as a mechanism for improving upstream marketing efficiency and that the teleprospecting operation views sales feedback in a similar light.

In this light, the real question isn’t whether sales or marketing owns the teleprospecting function, but that everyone sees the potential for teleprospecting to better connect marketing to sales and drive optimization of the funnel.

Related resources

Free Web clinic, March 30th — Converting Leads to Sales: How one B2B company generated $4.9 million in additional sales pipeline growth in only 8 months

B2B Marketing: The FUEL methodology outlined

How and When to Use Content in the B2B Sales Process (Members library)

Free MarketingSherpa B2B Newsletter

When I was on the phone with Stacey Epstein, VP of Marketing, ServiceMax, I remembered some advice I heard when researching our first article for MarketingSherpa’s Inbound Marketing newsletter.

I spoke with a lot of great experts for that piece. On content marketing, I spoke with Joe Pulizzi, Founder of the Content Marketing Institute. He mentioned that marketers should avoid publishing too many types of content and focus on about three that fit their strategies.

“But you have to do one really well,” he said. “You have to do an awesome blog or the best e-book program that’s ever been run; focus on what you can do really well, better than anyone else in your industry.”

That is exactly what Epstein and her team are striving for with SmartVan. ServiceMax launched the site in January as a content portal for the field-service industry (which is served by ServiceMax), to help companies that send technicians out of the office for service, installation, and repairs.

“We noticed there was a complete lack of resources for these people,” Epstein says. “The site is meant to be a place for field-service professionals to educate themselves.”

Site traffic has grown faster than anticipated. After a just a few months, SmartVan holds the top Google rank for the phrase “field service news” and about 15% of its traffic comes from natural search.

“It’s great for us to be ranked so high so quickly,” Epstein says. “I think it’s a testament to how little content there is out there. It helps validate that we’re helping to serve this huge need.”

Weave the brand into the content

Epstein has big plans for SmartVan and hopes to continually grow its traffic for several years. One key principle is to avoid selling ServiceMax too directly, she says. Otherwise visitors could write-off the site as a marketing channel rather than a trusted resource for industry news.

“We’re really trying to create a resource for field-service people that doesn’t exist today… We feel that we’ll have a lot more success in getting people interested in the site and wanting to be on the site if we don’t try to sell them.”

The team does plan to incorporate ServiceMax into the site, but will do so carefully, and mostly around content. For example, a ServiceMax webinar on how the iPhone is changing the industry will be mentioned on SmartVan.

Also, a company blog written by ServiceMax executives will soon be hosted on the portal. Epstein also plans to offer an email newsletter to help build a database.

“We’ll never have a homepage that says ‘SmartVan is brought to you by ServiceMax. Go see us now and buy from us,’ etcetera. That’s not our intent.”

Content creation: easier than thought

A website that’s designed as the go-to resource for a specific topic cannot afford to have stale content. When planning SmartVan’s strategy, Epstein wondered how her team would keep up with the demands of a daily publishing schedule.

But that challenge has been easier than anticipated. The team has partnered with LaunchSquad to help manage the site and has pooled content from a variety of sources.

“We found some great contributing writers who were super interested to join us. We certainly contribute content from ServiceMax. We have a couple of guys from LaunchSquad contributing, and we aggregate content from other sources,” Epstein says.

“Between all those different people, I’m actually blown away by the amount of content. We’re serving up multiple pieces of fresh content every day.”

Changes and hurdles on the horizon

Epstein has promoted SmartVan with a press release, an email to ServiceMax’s house list, and mentions in Facebook and Twitter. She’s hoping the site will continue to grow through word-of-mouth and natural search.

A key challenge to growth, she says, will be connecting the field-service audience and encouraging visitors to interact. SmartVan will soon offer social features in hopes of fostering engagement, but this will be a pioneering effort for the industry.

“Right now, this is not necessarily a super tight-knit community,” Epstein says. “Part of that is because there isn’t a lot that brings them together. There aren’t a lot of trade shows, and there aren’t a lot of online forums.”

But that challenge is also a huge opportunity. SmartVan could become a powerful marketing channel for ServiceMax if it continues to grow at its current pace.

“If we can succeed in building this community and creating a place where all these people can go, interact and get educated, it will by far outpace any other traditional marketing strategy that we ever could have done and at a much, much lower cost and with fewer resources.”

Related resources

MarkteingSherpa’s free newsletters

Inbound Marketing: How to pull-in customers without pushing ads

Content Marketing: How to get your subject matter experts on your corporate blog

Content Marketing: Should you lure a journalist over to the ‘dark side?’

Email Marketing: Maybe it really is an inbound tactic…

Members Library – Content Marketing: Microsoft crowdsources content ideas with a viral contest for new Windows Phone 7 platform

“What we have here is…failure to communicate.”

Much like Cool Hand Luke, who heard this iconic line from his despotic warden after misunderstanding the prison’s stance on attempted escape, B2B dialogue that is not relevant to a target audience will ultimately prove to be a waste of effort, and a failure in communicating value.

As we all know, no matter how fast, inexpensively or well-targeted a B2B company maintains dialogue with customers or prospects, the success of each email, tradeshow, phone call and sales meeting depends on the relevance of the message.

But the challenge that you and the imperious prison warden share is – how do you create a relevant dialogue with a skeptical audience who has heard it all before?

Recently, I was reading through The B2B Refinery: An executive guide for improving Go-to-Market ROI through greater Sales and Marketing Efficiency, by J. David Green, Director of Best Practices – Applied Research, MECLABS and Michael C. Saylor, and they discuss this topic at length.

Though I can’t get into everything Green and Saylor cover about this topic in the book, one thing was certain after reading it — this is a complex question with an answer that is constantly changing. Or should I say evolving…

Evolve with the buying cycle

The information needs of the customer or prospect change as they move through the business buying cycle. For example, the more products and/or services that a customer buys from the vendor, the less information the customer generally requires.

However, a B2B company cannot address a buying cycle in isolation. Relevance is challenged by competitive B2B dialogue, which is cost-effective dialogue conducted with lucrative market segments that stems from competition. This compels vendors to find more efficient means of delivering relevant dialogue than through sales representatives

Of course, this abundance of information ultimately compounds the problem. Apart from mirroring the buying cycle, what are the key characteristics of relevant dialogue?

• The dialogue must take into account past interactions of the prospect: especially his explicit and implicit areas of interest — with the most recent interactions often mattering the most
• The customer or prospect must recognize the context of the communication

Instead of creating relevant dialogue, however, most marketing departments focus on universal messaging, giving less attention to relevance. While it makes sense to give advertising a consistent look and feel, these marketing practices fall short of the needs of business customers.

Buyers need an evolving, personalized story from a vendor. And like any good story, this one needs to have a defined beginning, middle and end, with each “chapter” addressing the interests of the audience. If a particular sale takes a significant period of time – perhaps even over multiple years – then the dialogue needs to last just as long, progressing naturally with the buying process.

To continue an analogy from earlier, branding and positioning are merely the movie poster and “glitz,” whereas integrated communication is the writing, acting and direction. Sure, branding and positioning matter. But they are no substitute for a well-told, relevant story.

Related Resources

Real-time Marketing: Don’t complain about the weather, put it to work

Lead generation: Real-time, data-driven B2B marketing and sales

Members Library — Build Brand and Customer Loyalty Through One-to-One Communication: 7 Tactics

Subscribe to the MarketingSherpa B2B Marketing newsletter

Inbound marketing is growing in B2B companies. Investments in webinars, SEO, social marketing and page optimization are all on the rise, as noted in this chart from MarketingSherpa’s new 2011 B2B Marketing Benchmark Report.

As inbound grows, more marketers are finding the right mix of tactics and channels for their companies. There is no one-size-fits-all solution, but certain tactics are commonly reported as effective.

Below, we pulled stats from four charts in the benchmark report to highlight the most-effective tactics for B2B inbound marketing. Check out how the best tactics are interrelated.

Search engine optimization

• Most effective tactic: On-page content optimization

An effective SEO program is vital to an inbound strategy. Most B2B marketers research keywords and create great content about topics surrounding them. One of the most popular content platforms is the blog. Although blogging is not easy, many B2B companies have stuck with it (because it works).

Social media marketing

• Most effective tactic: Blogging

Blogging is the most effective B2B social marketing tactic. This ties directly to the popularity of blogs as a platform for publishing search-optimized content, as well as their ability to engage audiences.

Website optimization and design

• Most effective tactic: Using unique landing pages for campaigns
• Second-most effective tactic: Optimizing design and content for conversions

Inbound marketing can pull more visitors to your website — but visitors have to take action when they arrive. They have to download a report, subscribe to your newsletter, request to be contacted, etc. Otherwise the traffic is wasted.

This is why using unique landing pages for each campaign and optimizing them are the most effective tactics for B2B websites. The tactics reach into all facets inbound marketing and ensure your traffic is put to use.

You can find out a lot more about effective landing page optimization and design tactics at the upcoming MarketingSherpa 2011 Optimization Summit in June.

Pay-per-click advertising

• Most effective tactic: Creating highly-targeted ad groups
• Second most-effective tactic: A/B testing landing page content

Landing page testing is nearly tied for first as the most effective PPC tactic for B2B companies. This, again, illustrates that websites have to be designed to convert traffic that is generated by inbound marketing. Otherwise the traffic is wasted.

Related resources

MarketingSherpa 2011 B2B Marketing Benchmark Report

MarketingSherpa 2011 Optimization Summit

Inbound Marketing: How to pull-in customers without pushing ads

Landing Page Optimization: Value-focused revamp leads to 188% lead gen boost, increase in personal interaction

MarketingSherpa: Subscribe to our Inbound Marketing newsletter

The Super Bowl isn’t only the Super Bowl of football, but the Super Bowl of marketing as well.

Big splashy ads. Massive media spends. And tons of buzz in the media, both print and social.

Ah, but pity the poor B2B marketer. While she can probably find the budget to land a spot on the big game (most memorable for me – the EDS cowboys and their cat herding adventures), she isn’t selling sodas or cars, so she can’t get a big-name celebrity to pitch industrial plumbing equipment or enterprise telephone software.

Or can she? Salesforce.com hired The Black Eyed Peas (personally, the first person that come to my mind when I think of a real-time, enterprise collaboration platform is apl.de.ap) in its recent Super Bowl spots. Sounds like a lot of fun, but was there ROI? Considering they spent “big numbers” it’s quite hard to judge.

Jujitsu Marketing

Aside from having big numbers and black-eyed peas on your side, can your B2B marketing efforts benefit from a major consumer event like the Super Bowl? I’d argue, yes. For the sake of this blog post, and to parrot every other marketing blogger who is much better than me at branding their own terms, let’s call these attempts Jujitsu Marketing (perhaps a subset of real-time marketing).

In case you’re not familiar, jujitsu is a martial art designed to use an (often better equipped) enemy’s energy against him, instead of directly fighting it. Jujitsu Marketing (and I’m just making this up off the top of my head, as I type so there are no hard and fast rules) uses the energy created by a (most likely) larger marketer in the consumer realm to grab some B2B attention and buzz.

Here are two examples, one for Enterprise and one for SMB B2B marketers. One example leverages a partner’s energy, the other example leverages a competitor.

ENTERPRISE B2B MARKETING: USING EMAIL TO ENGAGE B2B AUDIENCE ON A SUNDAY

As I mentioned above, BEP was selling B2B during SB XLV. What I saw as bizarre, the always clever marketers at Marketo saw as a marketing opportunity to ask their email list if this was, in fact, bizarre.

“A few of my colleagues read that Salesforce.com had purchased commercial slots during the Super Bowl halftime show one week before airtime. We were impressed that Salesforce.com would invest millions of dollars to promote Chatter.com via a medium dominated by B2C companies,” remarked Shonal Narayan, Manager, Marketing Programs, Marketo.

“Having this prior knowledge, we debated amongst ourselves if this [email send] was a good investment. Feeling compelled to ask what other marketers would think about the ad, we came up with the idea of a poll right after the ads aired live, so it was still fresh in people’s minds.”

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There were two landing pages to confirm to recipients that the poll voting had been captured, one for the “yes” and one for the “no.”

Narayan’s team followed up with a results email the next day to everyone that participated in the poll. It drove people to a landing page that encourage people to tweet. The landing pages for the initial email send were also redirected to the results URL, so anybody clicking the initial poll email after the results were sent would see the results from the poll.

click image to enlarge

Keep mobile in mind

When leveraging a consumer event, keep in mind that your B2B audience likely doesn’t have a bulky gray Dell on their lap when engaging in the activity.

“[We] ultimately decided to use a single-click poll embedded within the email to make it easy for the people viewing the email on their mobile device. Just a simple ‘click yes or no’,” Narayan said.

The results: Marketo, B2B Super Bowl advertising win

“We conduct many A/B tests, and we’ve found that Sunday emails (especially P.M. sends) do not perform well. However, this campaign did particularly well. We wanted to give a buffer after the halftime ads had been shown, so I scheduled it to send at 5:40pm PT,” Narayan said.

Here are the results from Narayan’s team:

• Email sent to more than 20,000 marketers in the US and Canada.
• 13.5% open rate, yielding a 16.5% click to open rate.
• More than 680 respondend to the poll (which is more than the initial click performance reveals, indicating that marketers were forwarding the email on to colleagues and friends)

And the results of the poll itself? Personally, I thought the Salesforce.com ads were ridiculous. After all, the only thing Will.i.am and Salesforce.com have in common is dots in their name. But in the end, 63 percent agreed that B2B advertising is a good idea. Ouch. Hard to argue with data.

Or Narayan, who disagreed with me as well. “I think it was a good idea. I like how the ads were at the bookends of the halftime show, integrating the performers into the ads. I like how Salesforce.com stayed consistent with Will.i.am as somewhat of a spokesperson, as he appeared at their Dreamforce event.”

Surely, Narayan at least agrees with my newly branded term, Jujitsu Marketing, to describe his efforts?

“It wasn’t so much Marketo leveraging someone else’s name and investment to draw attention to our brand, we were excited and supportive of a SaaS company finally breaking through and attempting to become a household name,” Narayan stated.

Ah, well, so maybe the term isn’t as fitting when you’re playing off of a partner’s efforts. So let’s take a look at how an SMB marketer leveraged a competitor’s Super Bowl ads. From my past work, the Competitive Sales Office always seemed to have the most fun…

SMB B2B MARKETING: WEB 2.0 REVS UP SOME EXCITEMENT

GoDaddy.com has been advertising to the SMB in the Super Bowl since 2005. And, supposedly because of these ads, has garnered a 50 percent market share of domain registrations. This year, it focused on selling a new top-level domain (.co).

So, what’s the Jujitsu Marketing move against Danica Patrick and a $3 million media buy? Cloris Leachman and social media.

You read that right. On their Go Granny microsite, Network Solutions posted a “mockumentary” YouTube video of Cloris Leachman doing three minutes of sexual innuendo jokes, followed by (I couldn’t make this up) an interstitial titled “Get Serious,” and then an actual serious minute with Lisa Stone, Co-founder & CEO, BlogHer.com. The video was also posted to other sites, such as Metacafe.com and Frequency.com.

You can check out that microsite at http://gogranny.co but, fair warning since this is a family marketing blog, it features Frau Blücher as you’ve never (wanted to) seen her before, including licking a man’s hand and discussing her chest.

But this was not a one-channel effort. The campaign included a variety of elements:

• Banner ads
• Media outreach
• Web 2.0 “share” functionality (via email, Facebook, Twitter)
• Twitter promotion on #GoGranny

According to Shashi Bellamkonda, Social Media Swami, Network Solutions, all of these channels had a consistent message, tightly timed around the celebration of the Super Bowl and launch of Go Daddy’s new Go Daddy Girl commercial.

Monday morning quarterbacking on the video creative aside, let’s take a look at how this Jujitsu Marketing campaign did on the field. To the results…

Results: Aaron Rodgers, Cloris Leachman have reason to celebrate

Since launching on the Friday before the Super Bowl, the campaign has generated the following impressions as of 10 a.m. EST on Tuesday:

• Twitter – 18,026,251
• Blogs – 14,688,221
• Video – 8,332,625

It also had a viral element:

• Facebook – 2,000 shares
• Twitter—1,680 retweets

And most importantly…

• 500% increase in .co sales (based on historical data from previous weekends – since .co is relatively new, there is no apples-to-apples comparison for last year’s Super Bowl weekend).

“The success of the campaign also stemmed from Network Solutions years of listening, community engagement and community building strategies through social media,” Bellamkonda said.

MAKE YOUR OWN OPPORTUNITY

So, B2B marketers, there is no need to sit glumly on the sidelines and watch as your consumer marketing peers bask in the glow of big-time events like the Super Bowl. If you can’t find budget or justification for hiring pop stars to pitch your products in prime-time, slip on your Jujitsu Marketing belts and get to work.

“Instead of investing millions of dollars in Super Bowl ads, we leveraged the power of the Internet to promote our brand, like we do for our small business customers every day. With a little bit of creativity and the support of an online community we’re letting the masses know that as a company, we like to have some fun, but when it comes to our customers, we take their business seriously,” Sanjay Gupta, Head of Marketing, Network Solutions.

Related resources

Lead generation: Real-time, data-driven B2B marketing and sales

B2B Marketing: Marketing automation helps with lead nurturing and management

B2B Lead Generation: Increasing leads 296% by analyzing Web traffic — Case Study

Free MarketingSherpa B2B Marketing Newsletter – Weekly demand generation and lead nurturing case studies

In today’s free webinar at 1:00 p.m. EDT – B2B Marketing Summit Wrap-up: Quick takeaways distilled from 478 marketers on lead nurturing, social media marketing, and more – we will share successful B2B strategies and techniques from the MarketingSherpa B2B Summit ’10 in Boston and San Francisco.

But first, we wanted to hear what worked well for you this year. Here are a few of our favorite answers…

Social media marketing plus search engine optimization

In the last year, my most successful B2B strategy involved incorporating a low involvement SMM program with two of our online products. This increased our SEO and client re-buys. We accomplished this goal by strategically including a few simple widgets within our own site, e-marketing newsletters, and on few conversion points where we were able to increase our conversion and click-throughs.

– Carlos Barbour, Marketing Technology Specialist at The Spokesman-Review

Finding a blogging niche

Blogging with heavy emphasis on quality content and SEO has been great for lead generation. Going after specific, long-tail or niche terms works better than trying to compete on broad competitive terms, because when B2B searchers are in research mode, their search terms become more specific. Searchers in research mode are attracted to blog posts, because they are assumed to have high informational value. To make this strategy work, you need a clear call to action on your blog post. Otherwise, there’s too much potential for the visitor to click off after making use of your valuable content.

– Brad Shorr, Director of Content Marketing at Straight North

Learn, improve…and grow

Our firm has found great success in having a structured data management plan in place. This ensures even distribution of effort across a prospect universe and allows for strategic data recycling. Traditionally, calling campaigns do not typically leverage business intelligence that is uncovered in initial prospect/customer dialogs to enhance future interactions. Instead, records are recycled in programs based on timing considerations. Often, this leads to the same process to capture the same information being repeated in the next campaign. The investment made to capture business intelligence is largely wasted if it is not leveraged in the future. Building prospect/customer intelligence in a structured manner and having visibility into relevant attributes of prospects enables sales and marketing to develop roadmaps for future communications.

– Mary Beth Russell, VP of Business Development at Cornerstone Marketing Services

A couple of my colleagues at MECLABS also had some advice that I thought you might find helpful…

A/B testing for teleprospecting

In my teleprospecting role, I use a lot of messaging testing to determine decision makers pain points when taking sales calls and creating a greater impression of expectations for their follow-up call from my clients’ sales team.

Most recently I’ve begun asking decision makers if they’d take a few minutes with me to determine if we can match their needs for data asset management and following this, if we are a fit, I’ll set up a data governance workshop that will uncover point-to-point value for business, legal, compliance, IT and executive users. This governance workshop will also get the ball rolling to help them determine a clear ROI roadmap on the purchase of a clients’ solution.

This approach has increased my lead generation from .04 leads per hour to .35 leads per hour for one particular client, achieve an unmeasureable success for another, and has allowed me to get in a few good conversations for a project I’ve just started.

I’ve found that some A/B testing of messaging in my teleprospecting efforts can create efficiency and effectiveness similar to how A/B testing of search terms/SEO can drive exponential results.

– Jason Croyle, Lead Generation Specialist at MECLABS Leads Group

If they’re hiring, they’re buying

Of course my main resource will always be the human touch possible through both the phone and e-mail, but there are a lot of things that can help make that more effective… none more important than relevance. One of the biggest untapped resources for relevance in my opinion is careerbuilder.com. It doesn’t matter what industry you are in, there are search fields to find the relevance you seek.

In my case, I target companies by region that are looking to hire for the position of new business development, inside sales, field marketing, etc. Any company hiring for those positions will have lead generation on their list of relevance, as well as a need to be shown the value of outsourcing vs. inhouse.

You can change the fields to match a company seeking to fill any need your company can provide.

– Mark Smith, Business Development Rep at MECLABS Leads Group

Related resources

B2B Marketing Summit Wrap-up: Quick takeaways distilled from 478 marketers on lead nurturing, social media marketing, and more – Join us today at 1:00 p.m. EDT

Fostering Sales-Marketing Alignment: A 5-Step Lead Management Process

Social Media Marketing: How enterprise-level social media managers handle negative sentiment