1. Presenter:Andrew Haussegger Date:March 2011 © 2010 Green Hat. All Rights Reserved. Understanding the Science of B2B Marketing

2. Slide 2ADMA B2B Marketing University March 2011 Why the Science of B2B Marketing?

3. Slide 3ADMA B2B Marketing University March 2011 Agenda  A Short Intro to Green Hat  Top Five Marketing Observations  Snapshot of Recent B2B Marketing Research  The B2B Go-to-Market Plan  The Role of Nurture Marketing  Six Key Ingredients for Nurture Marketing  Take-Aways

4. Slide 4ADMA B2B Marketing University March 2011 A Short Intro to Green Hat

5. Top Five Marketing Observations

6. Slide 6ADMA B2B Marketing University March 2011 Perhaps not as controversial as this guy, but consider this …

7. Slide 7ADMA B2B Marketing University March 2011 Observation #1: Balance of power has shifted between the B2B buyer and seller. Marketers have to find and follow the breadcrumbs left by the buyers who are trawling the web and social media – in the process of educating themselves. Today we market in a buyer-centric, buyer-driven world.

8. Slide 8ADMA B2B Marketing University March 2011 9 out of 10 buyers say that when they’re ready to buy, they’ll find you Source: DemandGen Report 2009

9. Slide 9ADMA B2B Marketing University March 2011 What are visitors doing on your website?  Up to 95 percent of qualified prospects on Web sites are there to research and not yet ready to talk with a sales rep  As many as 70 percent of them will eventually buy a product from you — or your competitors. Source: Google/TechTarget Behavioral Research Project Phase 2: 2010 And, by 2015, 70% of all business leads will come from the Internet SiriusDecisions 2010 And, by 2015, 70% of all business leads will come from the Internet SiriusDecisions 2010

10. Slide 10ADMA B2B Marketing University March 2011 Observation #2: The B2B marketer cannot effectively measure and manage prospect engagement in a vast online/offline environment without automation tools. Traditional campaign tactics (2)

11. Slide 11ADMA B2B Marketing University March 2011 The Real-time Marketing Enterprise. The seller needs to be listening and ready to respond at the buyer’s command. Source: JHV Blog (2010)

12. Slide 12ADMA B2B Marketing University March 2011 IDC survey on adoption of Marketing Automation “Of the 235 respondents in a November 2010 IDC survey, nearly 40% had not implemented a marketing automation solution (yet). Not implementing a marketing automation solution may be the ultimate career limiting move for today's marketers. Digital marketing has exploded in scope and complexity making it practically impossible to efficiency and effectively reach your target audience without a fully realized marketing automation infrastructure. If you haven't gotten started you are already way behind the ball.” IDC (USA) Nov 2010

13. Slide 13ADMA B2B Marketing University March 2011 Observation #3: Content marketing is the secret sauce in the new paradigm – getting the right message to the right person at the right time.  An over-supply of unfiltered content?  Help the buyer cut through the clutter with valued information  Seller needs to show that they are listening online  Buyers value thought-leadership and solution information aligned to their buying process  Win Trust (3)

14. Slide 14ADMA B2B Marketing University March 2011 Observation #4: Marketing and sales need a unified approach and must close the loop.

15. Slide 15ADMA B2B Marketing University March 2011 A checklist of sales/marketing collaborative Must-Have’s  Define a common language  Define the end-to-end pipeline process  Define the definition of a lead and quantify the value of the lead in dollar terms  Define the Ideal Customer Profile and profiling questions  Set KPIs and metrics  Meet regularly to review and optimise  Align functional goals

16. Slide 16ADMA B2B Marketing University March 2011 Observation #5: The Personal Brand will become just as important as the Corporate Brand. Companies need to humanise/capitalise their Personal Brands. (2)

17. Snapshot of B2B Marketing Outlook research

18. Slide 18ADMA B2B Marketing University March 2011 Key challenges for B2B marketers – 2010 Source: Green Hat B2B Marketing Outlook Report (Feb 2011)

19. Slide 19ADMA B2B Marketing University March 2011 B2B marketing budget allocation – 2011 Source: Green Hat B2B Marketing Outlook Report (Feb 2011) For each $1 spent on lead generation (trad), 53c spent on nurturing & managing the lead

20. Slide 20ADMA B2B Marketing University March 2011 B2B marketing key objectives - 2011 Source: Green Hat B2B Marketing Outlook Report (Feb 2011) (1)

21. Slide 21ADMA B2B Marketing University March 2011 What other insights did we get from the research?  Budget: 40% say budgets have risen year-on-year. 1-in-7 by more than 20%.  Content: Value-add content was the top campaign offer. #2 was workshops – also a form of information sharing.  Social: Smaller companies spend more of their budget on digital/social marketing than larger companies. Email me for your copy: andrewh@green-hat.com.auandrewh@green-hat.com.au

22. The B2B Go-to-Market Plan

23. Slide 23ADMA B2B Marketing University March 2011 A best-practice marketing execution program will tightly integrate lead generation and lead nurturing

24. The Role of Nurture Marketing

25. Slide 25 “Every response must be nurtured” VP Global Marketing – Global High-Tech Brand (2011)

26. Slide 26ADMA B2B Marketing University March 2011 The stage of buyers in your lead universe A key to the B2B marketer’s value proposition Each time we go to market, we reach out to unaware prospects as well as hot prospects. We invest in branding and positioning touches with all those we communicate with. Marketers identify the hot prospects and pass them on for sales pursuit. But unfortunately prospects and suspects in the mid-outer circles are often forgotten. A systemised process can nurture them along their buying journey to position the vendor for the day the buyer becomes ‘in the market’. The Seller’s Lead Universe

27. Slide 27ADMA B2B Marketing University March 2011 Definition – Lead Nurturing The science of progressing buyers through the pipeline using relevant content and offers that match their buying stage – ultimately to develop profile-rich sales-ready leads.

28. Slide 28ADMA B2B Marketing University March 2011 Definition – Lead Nurturing The science of progressing buyers through the pipeline using relevant content and offers that match their buying stage – ultimately to develop profile-rich sales-ready leads.

29. Slide 29ADMA B2B Marketing University March 2011 What lead nurturing is not It is not …  A couple of follow-up emails to a campaign  A download offer of a case study followed by an immediate telemarketing call  A mass email blast  A generic e-newsletter  A bi-monthly call to see if they are ready for that appointment

30. Six Key Ingredients for Nurture Marketing

31. Lead Nurturing Ingredients #1 – Communications #2 – Content #3 – Contacts #4 – Automated Process #5 – Automation Technology #6 – Measurement

32. Slide 32ADMA B2B Marketing University March 2011 A 3-tier framework for nurture communications (2)

33. Slide 33ADMA B2B Marketing University March 2011 How do the nurture streams interlock? (2)

34. Slide 34ADMA B2B Marketing University March 2011 Considerations in the nurture dialog  Decide your nurture voice for your email, online and phone communications – Trusted advisor, thought leader – Not ‘I’m ready to sell, are you ready to buy!’  Humanise the nurture process (all communications for that matter)  Align relevant offers with informationConsider the cadence for touches – Ask the buyer how often they want to hear from you? – Tele-nurture call is key and timing is critical  Communications should not be restricted to email/ telemarketing

35. Lead Nurturing Ingredients #1 – Communications #2 – Content #3 – Contacts #4 – Automated Process #5 – Automation Technology #6 – Measurement

36. Slide 36ADMA B2B Marketing University March 2011 Specific assets are more relevant than others at different stages in the buying process Source: Google/TechTarget Behavioral Research Project Phase 2: 2010

37. Slide 37ADMA B2B Marketing University March 2011 The buyer has a ferocious appetite for information and solution content Average buyer consumes 20-50 content assets in 60 days (IT buyer) Source: Google/TechTarget Behavioral Research Project Phase 2: 2010

38. Slide 38ADMA B2B Marketing University March 2011 Content mapping - example Role Category Assets that will grow buyer’s awareness of problem/opportunity Assets that will position seller’s solution Financial management (CFO, Financial Controller …) Strategic management (CEO, MD, Business Owner …) Technology management (CIO, IT Manager …) Line-of-Business management (HR, Marketing, Supply Chain …)

39. Slide 39ADMA B2B Marketing University March 2011 What is content layering? (3)

40. Customers Aware- ness Tier 2 Sales qualification On going profiling based on information layering and trigger events Tier 3 Self Assessment Tool Tier 4Tier 1 DRW Print Country Profiles (web) International Business Index Alliance workshops Deal workshops Finance tool workshops Finance tool workshops Finance Assessment Index Chart Pack (web) Welcome – self signup process Trade Missions Ally / sponsor events Other ATL Content marketing for multiple sub-segments (client example) Awareness (GFC issues) Awareness (finance sol’ns) Identify Need Key Briefings/Events Nurture Assets 2 Global update Subscription Country alerts Australian updates subscriptions Nurture Assets 1 MTV

41. Slide 41ADMA B2B Marketing University March 2011 Tips for best-practice Content Marketing (from the trenches)  Recycle and re-purpose  Setup an editorial calendar & plan your content a quarter ahead  Content-on-the-fly !  Use third party content in the problem awareness stage where possible – Industry analyst abstracts, independent researchers – Link to media articles of interest – Content can be simple such a point-of-view email on a current topic  Build content for smart-phone consumption  Build profiles of your thought-leaders (R)

42. Lead Nurturing Ingredients #1 – Communications #2 – Content #3 – Contacts #4 – Automated Process #5 – Automation Technology #6 – Measurement

43. Slide 43ADMA B2B Marketing University March 2011 Designing your database pyramid dimensions. Quality over quantity.

44. Slide 44ADMA B2B Marketing University March 2011 Nurtured contacts are more likely to respond to relevant offers than non-nurtured ones

45. Slide 45ADMA B2B Marketing University March 2011 Database considerations in lead nurturing  Assess your database position – What is your Ideal Customer Profile? – Conduct a gap analysis against your addressable target audience – Conduct an internal audit – Implement a strategy to fill the gap  Setup a progressive profiling approach – Align with sales – Self-select V Auto-select options – Automate the collection of profile data – Use pre-determined Behavioural /Explicit Profiling rules to define when to request profile information  Devise strategies for gaining email opt-in rights

46. Lead Nurturing Ingredients #1 – Communications #2 – Content #3 – Contacts #4 – Automated Process #5 – Automation Technology #6 – Measurement

47. Slide 47ADMA B2B Marketing University March 2011 Getting the automated ‘measure & manage’ process (and rules) right is paramount? ** ICP = Ideal Customer Profile MQL = Marketing Qualified Lead SAL = Sales Accepted Lead Lead Generation Opp’ty Development Lead Nurture Opp’ty Closure Retention & Loyalty Engaged Profiled MQL** SAL** ICP Targets** Lifetime Value Order Marketing-managed Sales-managed Shared

48. Lead Nurturing Ingredients #1 – Communications #2 – Content #3 – Contacts #4 – Automated Process #5 – Automation Technology #6 – Measurement

50. Slide 50ADMA B2B Marketing University March 2011 Most analysts are up-beat about the potential ROI attributable to lead nurturing Four out of five unworked leads ultimately buy something. SiriusDecisions Companies that automate lead management processes can increase revenue by at least 10% within 6-9 months. Gartner 2009 Companies that automate lead management processes can increase revenue by at least 10% within 6-9 months. Gartner 2009 An estimated 70-90% of leads generated by marketing are never followed up by sales. Marketing Sherpa Research Report Companies who excel at lead nurturing generate 50% more sales-ready leads at 33% lower cost. Forrester 2009

51. Slide 51ADMA B2B Marketing University March 2011 An integrated B2B measurement approach is more than just ‘$’ (try explaining that to the CEO) Source: Webber Shandwick: ARROW Measurement Model 2010

52. Slide 52ADMA B2B Marketing University March 2011 Tracking performance of lead nurturing requires attention to additional metrics (client scenario) Other Lead Nurture metrics:  Response by nurture stream  Time lag in streams (no progression)  Self-subscribe/auto-subscribe to streams  Landing page drop-out  Unsubscribes Consider the Nurtured-Generated Lead vs the Nurture-Assisted Lead. What was the source of the lead?

53. Take-Aways

54. Slide 54ADMA B2B Marketing University March 2011 Take-Aways 1.Game-changer: balance of power has shifted to the buyer 2.This is driving the shift to the Science of Marketing – data, processes, automation, content and analytics 3.Don’t ignore the power of social media, but don’t bet the b2b house on it 4.An engaging and pervasive online presence for the seller is mandatory 5.Marketing must team up with Sales – like never before 6.Sell the vision, objectives and imperatives internally to the C-suite and Sales – their support is crucial

55. Slide 55 Thanks … Andrew Haussegger Green Hat w: 03 9290 9777 m: 0419 569 122 andrewh@green-hat.com.au www.green-hat.com.au