Tuesday, May 31, 2011
Creating the marketing budget
Sunday, May 22, 2011
Influencing the great and the good
Product information can be presented at various levels of detail, from a brief overview to detailed specifications and operating instructions. User experience is traditionally in some form of endorsement such as a testimonial or case study and increasingly feedback online in the form of reviews. Thirdly opinion leaders can prove to be important influencers so putting resources into creating favourable support is a worthy marketing task. Opinion leaders can be instrumental in encouraging early adopters to buy new products as well as more generally giving credibility to a brand. In order to get opinion leaders onside the company message needs to be credible and verifiable. To achieve positive recognition the company needs to be perceived as being more than just a supplier of product and to exhibit in depth knowledge of the market applications and needs, the technology and wider legislative and operating environment.
Opinion leaders can be respected gurus within their area of expertise, leading publications, web sites and news channels in the sector, professional bodies, important consultants, conference speakers or respected companies using the product. Recommendations, referrals, specifications and word of mouth support from opinion leaders are essential to cultivate so identifying who these people are, how to engage with then and providing the resource is another important budget consideration,
Monday, May 16, 2011
Does direct mail still work?
email promotions have many benefits over mail for b-2-b campaigns - especially postage costs for high volume distribution. Creating a mailing piece, inserting in an envelope, producing address labels and franking soon racks up the cost, so for general promotional messages email will probably be cheaper and achieve higher open rates as well. It can also be linked directly to a landing page offering a seamless 'call to action'. But this does not mean that mailing should be ignored. Using direct mail for carefully targeted campaigns, using novel mailing pieces and including QR codes can be very effective.
A well constructed database should allow the selection of some quite specific target audiences which for many b-2-b companies may be relatively small numbers. This list might be augmented by profiling the target group against the total population and bringing new prospects into the campaign. The mailing piece itself can be quite creative - it doesn't have to be a letter of leaflet. 3D objects are often more memorable that sheets of paper and far more likely to be opened than regular mail. This is where a creative agency can add value to the campaign. The campaign could in fact be a short series of mailing pieces that build into a complete story. Now with QR codes smart phone users can link directly to a landing page or video, but a follow up telephone call can be very effective if made soon after the mailing while the visual impact of the mailing piece is still fresh in the recipient's mind. This sort of campaign can work well for introducing the company to prospective clients and setting up meetings.
So when reviewing marketing communications budgets, remember to include some resource for selective direct mail campaigns, but plan these thoroughly right through from getting the target audience right, being creative in the execution to following up and establishing the level of lead.
Monday, May 09, 2011
Putting it to the test
Arguably market research should be another high ticket item, but generally it isn't. Typically b-2-b companies regard MR as expensive, they do not traditionally do it and anyway think they already understand the market. A formal MR project can indeed cost several tens of thousands of pounds, but then an R&D project might cost hundreds of thousands so investment in developing and testing the concept first could prove good value compared to a major new product failure. When it comes to marketing communications how many b-2-b companies test the concepts before investing in an expensive advertising campaign or new web site? In fact the brief to the advertising agency should be informed by research in the first place and then the execution of the concepts tested to see if they work before committing to a big media spend. Even if formal and statistically substantiated market research is beyond the scope of the budget, testing and trials with small samples can often provide valuable insight that can influence the marketing communications programme.A simple telephone questionnaire can often check if your assumptions are on the right track. Even calling a random sample of just a dozen prospects can flag up an issue that may not have been considered or not thought important. For example one company planing a major product launch aimed at encouraging stocking by electrical wholesalers exposed serious delivery problems with existing products over a period of time that needed to be solved first. An online survey can also provide useful information. One company typically spent the biggest share of their marcoms budget on display advertising. But the survey indicated that less than 20% read the market journals at all, with 80% going to web sites for information.
When reviewing the marketing communications budget include some allocation for at least some market research because it can often save wasting investment in other areas.
Sunday, May 01, 2011
If a picture speaks a thousand words - how about video?
The facility to produce and publish videos online is a major step forward from the video cassette or DVD that companies once sent out to customers to promote the company and its products. The big problem then was not producing the video but persuading recipients to actually view it. Twenty or thirty years ago smaller b-2-b companies did not have a television or video player in the work place and most people had just one television and VCR at home. Persuading the family to give up watching their favourite soap and watch a company extolling the virtues of it s new product, or even worse the latest changes on VAT from Her Majesty's Tax and Revenue were hardly compelling alternatives. So the expensively produced videos gathered dust on a shelf or sat in a desk drawer. Consequently allocating a line for video production dropped out of the typical b-2-b marketing budget.
But now with YouTube it is not only easy to publish video online, but due to YouTube's high ranking as a search resource, video is now a must do. So why do so few b-2-b companies actually offer video presentations? Again it is a matter of reviewing the balance of the marketing budget. Video can be used in many ways - to demonstrate what products do and how they work, for PR to interview customers and provide testimonial endorsements and for post sales and service support. Videos should be short, to the point and professionally filmed. Using 'voice-overs' allows other language options to be added with relative ease.When reviewing marketing budgets, look at the high tickets items such as display advertising, exhibitions and print, for many b-2-b companies there will be plenty of scope for saving that can be reallocated to video production and other new media opportunities.
Monday, April 25, 2011
Do you have lots of unused literature?
Traditionally company, product and service information has been delivered as printed documents. But even in its hay day piles of unused print stacked up in marketing offices and in the boots of reps cars. As more and more information is being delivered and consumed online, it makes sense to review the print budget. Firstly it is important to distinguish between the different process elements involved in producing a piece of print. Three main elements are 1) researching, writing, photographing and collating content, 2) design and 3) artwork for print - or for other media. Lets just consider these three items. Accurate and timely content is vital whatever the final form of delivery and so is design. Quality design is important as it subconsciously conveys an impression of the company itself that even people untutored in such matters will notice. But not all collateral now needs to be printed and even if designed for print might actually be delivered as a PDF for customers and prospects to download and choose whether or not to print at the point of delivery. You might opt for digital print on demand which has the benefit of not just avoiding producing surplus print, but allows for regular updates and customization. A newsletter or company magazine will typically have a known circulation perhaps with a bonus exhibition quantity. Other material however may be best integrated with web site content.Traditionally there has been a hierarchy of print requirements that can be quite extensive and accordingly the 'print' or 'literature' budget can be a significant part of the marketing communications budget. A 'print' hierarchy could include:-
- Corporate brochure introducing the company and establishing credibility with new prospects.
- Sales literature introducing the benefits of the company products and differentiating them from competitors. These too might have a hierarchy from product ranges or families to individual products.
- White Papers and user guides placing products within a market and technology context.
- Product data and specifications providing performance and specification information.
- User, operation and installation manuals and documentation.
As with other big ticket budget items such as advertising and exhibitions, it is time to review and reconstruct the print and literature budget as well.
Monday, April 18, 2011
Is your database effective?
Databases can be an extremely useful marketing tool, but the reality is that customer and prospect data is often spread across a number of mailing lists and records from sales to accounts and 'one off' lists such as for mailings of newsletters and Christmas cards. Apart from duplicate entries in these different lists, typically vital data is out of date and it is also surprising how quickly data ages. Contact names change, so do company names, customers relocate and even if they don't, address details can change. On some updates we typically found that for 25% of records parts of the information had changed in a year. Add to this e-mail contacts on e-mail only lists and social media followers and it is soon evident that developing and maintaining current information requires allocating budget resource.The situation is compounded by use of proprietary customer management software that few people in the company can actually use or have adequate training in. Then records get messy because there is no consistency in data entry, typically address fields are used differently by different people, some use upper case, data is spelled incorrectly and quite rapidly the database becomes a muddle. This is often exacerbated by inputting customer data while processing a sales call, so both parties are anxious to complete this part of the call quickly and tend to skip bits and make input errors. Many companies recognise that their database is in poor shape but do not allocate resource to 'clean' lists and keep it up to date.
With a well planned and maintained database marketers can learn useful insights into customer behaviour and data mining but in many cases we come across, the 'sales' package somebody bought is totally disconnected from the software package that 'accounts' use so marketers cannot track enquiries through to sales and relate to other information such as web analytics or e-mail tracking. From a marketing perspective there are further issues. Marketing is also interested in prospects, possibly people with similar profiles to current customers along with competitors customers who make up the total population of the market sector - not just the people you know.
When reviewing the marketing budget alocate sufficient resource for database software whether custom built or off the shelf, for training to use it effectively and for cleaning data.
Tuesday, April 12, 2011
Is the trade press losing its power?

Not so long ago, the trade press was the most important communication channel for industrial and technology b-2-b companies.
Monday, April 04, 2011
The company web site - is it time for an overhaul?

Today the web site is at the hub of marketing communications but is it being regularly reviewed and updated?
- Provide information that prospects need about products and services.
- Provide endorsement and testimonials from customers who have bought and used the product and can offer useful experience and observation.
- Provide expert views from respected opinion-formers - industry gurus, technology experts, editorial etc. - that endorse the products directly or indirectly.
Last week in marketing


Suddenly QR codes - Quick Response - are everywhere providing a handy way of linking print, particularly display advertising to the Internet and generally to video footage. Writing in Marketing Week Lara O'Reilly points out that 'most people are unaware of how to use them in the first place" requiring a smart phone with Internet and an app to access the information locked up in the geometric patterns. QR codes are not new having originated in the manufacturing world in the mid 90s and don't add billable value to agencies, so their recent and rapid take up in advertising is interesting.
Monday, March 28, 2011
Time to assess the value of trade shows

When off budget costs are factored in, then trade shows are easily one of the top expense items on the marketing budget.
Tuesday, March 22, 2011
Thinking about b-2-b display advertising

For many companies operating in industrial, technical and scientific sectors display advertising in trade journals has been a popular marketing technique for decades. But is it still valid?
It is not uncommon for display advertising to be the biggest single item in the marketing mix because to run a campaign costs a lot of money. First there is the expense of design. To create a successful advertisement calls for more than putting a few words and nice pictures together – a good ad. needs a concept. The concept is what a creative director comes up with to ‘sell’ the product. It may also need original and creative photography, a snappy headline and succinct, to-the-point body copy. It is the originality and creativity that a good advertising agency brings that produces a successful advertisement and of course this doesn’t come cheap. Many companies have long since moved to graphic design agencies who lack the insight and perception of an advertising agency and simply churn out some artwork, albeit for a more modest fee. Then there is developing a media plan, negotiating and booking space rates, supplying artwork copy and of course handling payment of invoices. Not to mention fielding telephone calls from space salesmen. Unfortunately many companies who save money on creating the ad in the first place fail to produce a compelling proposition that will get noticed or a ‘call to action’ to generate response.
Even a modest campaign in the trade press will cost thousands that could buy a lot of other marketing. Many b-2-b companies spend tens of thousands on display advertising that is why it is such a high ticket item absorbing a big share of the marketing budget. At one time journals supplied sales leads from advertising generated enquiries, now I suspect few companies attempt any serious measure of response. Most seem content to carry on doing the same thing they have always done as a great and probably misplaced act of faith. At the very least display ads should provide a great call to action that is measurable, such as promoting a landing page specific to the advertisement or requesting specific information such as a white paper or guide.
Why not drop a couple of ads from the schedule and use that budget for trials of other forms of advertising such as Adwords and compare response. Oddly enough the same people who stick with display advertising expect better analysis from other, newer communications but quite like seeing their own ads published anyway. On the other hand one client mentioned they had discontinued subscriptions to all trade publications except one, as a cost cutting measure. What if a significant percentage of their target audience has done the same thing? And finally how often do people reach for a directory to search for a supplier? Exactly – so why advertise in directories that at best sit on a book-shelf when the first place to search is the Internet?
In summary it is time to totally overhaul the display advertising campaign. What is the display ad for and is it working? Is response being measured? Can online media deliver better results?
Wednesday, March 16, 2011
The marketing mix - should it change?

Successful b-2-b marketing uses a combination of marketing techniques that working together produce results. But do companies have the right mix? Are they bringing new online methods into the mix? Are they clinging on to old methods that no longer make an impact? In the next few blogs we will examine what methods companies are using, or could use and ask some challenging questions to evaluate present day suitability.
Because there are a growing number of marketing techniques that could be deployed, it does not mean they must all be used. The marketing mix is not a checklist that has to be completed. It is the skilful use of the right combination of techniques that are right for an individual company.
With marketing budgets under pressure our experience suggests that rather than re-think the whole budget most companies apply a percentage cut across the board and continue to allocate resource in the same mix as before. Many marketing communications budgets still have the same two high ticket items at the top of the list – ‘display advertising’ and ‘exhibitions’ – but are light on new online methods. Much evidence suggests that display advertising is in decline in the b-2-b sector. Consider the trends in the industrial media for example – card rates are heavily discounted, editorial pages are shrinking and filled with paid for advertorial from press releases, while publication intervals are increasing. Fortnightly publications are moving to monthly, monthly publications are producing amalgamated January/February issues and so on throughout the year. Meanwhile surveys suggest that fewer people look to magazines for information and recommendation or even read magazines, but turn to the Internet instead. This is reflected in sales lead analysis where few enquiries are attributed to publications as a source. Despite this, display advertising typically remains the top budget item.
Exhibitions might actually cost even more if the ‘off budget items’ were included - travel costs, hotels, entertaining, opportunity cost of staff away from their regular duties. Despite the claims of exhibition promoters, customers and prospects find it increasingly difficult to justify the time away from the office when they can discover all the information they need on the Internet and if they need a product demonstration then the exhibition environment is distracting at the best. But exhibitors have evolved a ‘club’ mentality as they migrate around the country and world, seeing the same familiar faces of people that are actually their competitors not prospects. Exhibitor lounges contribute to the club mentality and re-enforce the concern that dropping out of a trade show leaves the field open to competitors to benefit. Again sales lead analysis for exhibition-generated enquiries is at best disappointing.
Thursday, March 10, 2011
The changing role of data sheets

Product Data Sheets should provide factual product information, stripped of the excesses or over enthusiastic claims that sales brochures and advertising use to generate interest, excitement and aspirations to want the product. Their role tends to come into play once the specifier, customer or installer is already pre-disposed to recommend, buy or install the product. But if the technical and practical information contained fails to match the expectation raised by the promotional information that led to considering the product in the first place, then they can just as easily kill the sale.
Thursday, March 03, 2011
Have marketers lost control of the message?

Controlling the message and protecting the brand has long been of paramount importance to marketers. But with the phenomenal rise of social media messaging it is being suggested that marketers have now lost control of the message and it is in the hands, or perhaps more accurately fingers and thumbs, of tweeters, bloggers and facebookers.
Wednesday, February 23, 2011
What's that for then?

It is easy to forget the purpose of a product or system when people become focussed on a single issue that appears more compelling.
Wednesday, February 16, 2011
The art of Imperfection

Why is it that some marketing projects fly through to completion and others get ground down to dust before limping home? It is better to sign off a marketing initiative and move on to the next, than to seek perfection and miss the point. Accuracy and truth are demanded and expected in all things marketing, especially in the b-2-b arena, but the sequence of checking, correcting and proofing isn't always the reason why some initiatives take so long to reach fruition. Indecision can be a killer to creativity and success.
Every marketing initiative – be it an advertisement, press release, technical data sheet or website page – needs a champion, someone who can specify, agree and take responsibility for the result. There are times when we seem to have lost the benefits of decision making we enjoyed in the pre-electronic network days. Remember when people met in a room to receive a pitch and make a choice there and then, or the time when one person was given, and accepted, responsibility for a marketing decision? Now it seems that material sent for client approval has to be distributed far and wide for comment, usually with time-consuming and unwanted consequences.
Successful marketing campaigns rarely rely on a single initiative. The elements of a 'marketing mix' should combine to magnify the stimulus to buy a product or service. Don't be afraid of giving a green light to a piece of copy or a graphic design; asking 'n' others will usually result in 'n-1' different responses. Many people think they have to find something to criticise or else they will be seen as an ineffective non-team player. The resulting task of assessing all the responses and different views and trying to walk a middle path, will inevitably annoy n/2 colleagues while delaying the process, diluting the result and costing more in creative time.
To misquote the Duke of Wellington, as long as it's not misleading or illegal, "print and be damned"and get onto the next marketing initiative - because that's the only way your well-prepared marketing plan will be effective.
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