5 Ways to Pay for Marketing Automation

04/08/23 [email protected] | 770-331-4443 | The Pedowitz Group ©2010 1

Presented by:

Debbie Qaqish, Chief Revenue OfficerThe Pedowitz Group

John Follet, Chief AnalystDemand Metric

5 Ways + 5 Tools to Pay for

Marketing Automation


“What are you gonna to do about revenue?”


Agenda

Lay the Foundation Industry Standards 5 Ways to Pay for

Marketing Automation 5 Tools to Help Justify

Your Business Case


Change in Buyer Behavior

Information became free Prospects access information

online Sales is no longer

information conduit Marketing now responsible

for this early and frequent digital communication

How have you changed?


New Role for Marketing


Enhancing Lead Gen is #1

CSO Insights Study


Sales Rates Marketing on Lead Generation..and the score is not good!

63% “Needs Improvement”

CSO Insights Study


107% better lead conversion rate

40% greater average deal size

20% higher team attainment of quota

17% better forecast accuracy• Aberdeen Group, “Marketing Automation 101:

Ensuring Early Success with the Basics; Maturing Your Deployment for long-term ROI” June 2010

Companies with an MA Platform


“Companies that excel at lead nurturing have 9% more sales reps make quota, and enjoy a 10% shorter ramp up time for new reps.”• CSO Insights

“On average, nurtured leads produce a 20% increase in sales opportunities versus non-nurtured leads.”• DemandGen Report

“Companies that excel at lead nurturing are able to generate 50% more sales-ready leads at 33% lower cost-per-lead.”• Forrester Research

Industry Metrics


Average MA system runs $30k - $60k/year Allocate ½ to 3 FTE One Revenue Marketer averages $90K

fully loaded Ranges from $75K to $150K

How much does it cost?


Studies show…

According to the “2010 Lead Generation Optimization Key Trends Analysis” from CSO Insights,

more than 91% of companies worldwide reported increasing new customer acquisition was one of their top strategic marketing objectives for 2010.

Based on the quantity and quality of leads generated, companies said email was their best lead generation program, followed by live events, website registrations and webinars.


Average B2B company spends $10K/month• 1-2 speaking engagements• A by-line article• A press release

Shift 50% of this or $5k/month = $60k/year In return:

• 3x increase in lead production (can also look at improving the conversion rate)

• Assuming a 30:1 lead to close ratio, $50K average sales price, three new deal/month = $150K

• $5k gives you $150K per month• $60K gives you $1.8M per year

#1. Reallocate PR Budget


Average tradeshow costs $30k Lucky to get 2-3 good leads Get one customer = $50,000 Using math in example #1, $30K represents

6-12 months worth of marketing automation

Every month = 3 net new deals Value of one tradeshow is:

• 6 mos x 3 x $50k = $900k• 12 mos x 3 x$50k = $1.8M

#2. Do one less tradeshow


Typical agency spend is $10k/month Provides creative services Not demand generation focused Convert part of this spend to measurable

demand generation

#3. Reduce your agency spend


Assuming you send 10,000 pieces at $1.50 each = $15,000

Pays for 3 – 6 months of marketing automation

That’s 9 – 18 new pieces of closed business

#4. Eliminate one direct mail campaign


Average sales rep is $150K fully loaded Takes 6 months to get up to speed More than fully pays for marketing

automation Has an immediate, measurable and

predictable return

#5. Hire one less sales person


So, now what are you gonna do about revenue?


About the Speaker

Debbie Qaqish – Chief Revenue Officer and Principal at The Pedowitz Group, is a recognized thought leader in the Demand Generation industry with over 7 years experience in using marketing automation and 30 years experience in sales and marketing. Debbie has helped hundred of companies meet their demand generation goals.

[email protected]

Revenue Marketer Educational Series Revenue Marketer Radio


About the Speaker

John Follet – John Follett joined Demand Metric in July 2007 as a Partner and Chief Analyst, specializing in Product Development and research. John was responsible for providing Canadian citizens with secure private, high-speed access to all federal government online services earlier in his career and has extensive experience in Internet Marketing and Business Continuity Planning.

[email protected]


Lead Generation Strategy Scorecard Lead Generation Prioritization Tool ROI Demand Generation Calculator

Other Tools Available After the Webinar: Demand Generation Business Case Template Webinar Replay Webinar Slide Deck

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