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Insight
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PUBLISHED: February 2009
MARKETING
B2B Marketing Insight 2008
Marketing industry network ContaCts
niCky unsworthChairman
gordon [email protected]
Mark gorManHead of [email protected]
keith PriCeHead of [email protected]
riChard drayCottEditor, The [email protected]
eMMa stewartBusiness Development ManagerDirect Dial: 0141 559 [email protected]
Marketing industry networkMercat Building4th Floor26 GallowgateGlasgow G1 5AB
t: 0141 552 5858 F: 0141 559 6050e: [email protected]
Published February 2009
All rights reserved. No part of this publication may be reproduced or transmitted in any form or by any means, electronic or mechanical, including photocopy, recording or any information storage and retrieval system, without prior permission in writing from the publisher.
Copyright © Marketing Industry Network 2009
B2B Marketing Insight 2008
Produced in conjunction with Sponsored by
B2B Marketing Insight 2008A research project into current trends and attitudes within UK business-to-business marketing
CONTENTS
Executive summary 03
Introduction 07
Section 1 State of the market 13
Section 2 Targeting customers 19
Section 3 Marketing channels and techniques 25
Section 4 Digital marketing 33
Section 5 Marketing effectiveness 39
Section 6 Environmental issues and corporate social responsibility 45
Section 7 Marketing data 49
Section 8 Branding 55
Section 9 Keeping up-to-date in B2B marketing 59
Appendices
1. Detailed profile of respondents 64
2. Author biographies 71
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Executive summary
Executive summary | 0�
B2B Marketing and Gyro International wanted to create a definitive picture of the rapidly emerging B2B marketing sector, to help practitioners develop their marketing strategies in an increasingly challenging market. The key findings are summarised below:
State of the market
The B2B marketing sector once again demonstrated that it is a confident and buoyant part of the
marketing industry, with 91% of companies describing themselves as ‘very’ or ‘fairly’ confident.
The sense of optimism enjoyed by B2B marketers almost certainly relates back to marketing
budgets, which have increased for the majority over the last 1-2 years. 57% of respondents said their
budget had increased, of which more than half said their budget had grown by more than 20%.
Respondents also suggested that optimism would continue, with two thirds expecting budgets to
continue increasing over the next 1-2 years – again, half by at least 20%.
Marketing channels
Digital media continues to increase in popularity, although the survey suggests that traditional
channels are far from redundant, and in some cases may even be experiencing a resurgence.
E-mail marketing was confirmed, once again, as the most popular marketing channel for B2B
marketers, as well as the most effective. 76% of respondents currently use e-mail for marketing
purposes, with 17% citing it as their most effective medium.
But whilst e-mail may have stolen the limelight from traditional channels, direct mail in particular
remains a popular route to market, utilised by 71% of marketers. This is despite the fact that only
4% regard it as their most effective route to market.
Looking ahead, e-mail marketing and search look set to benefit from the biggest increase in
investment, with 60% expecting to raise budgets for e-mail marketing or e-newsletters in the next
1-2 years. This compares with 33% who will increase investment in direct mail, the second most
popular response, whilst 29% who will focus more on search and 24% on events.
The fact that 60% of respondents are concerned about ‘inbox clutter’ suggests that the growth
of e-mail is unlikely to continue at its current rate, and that marketers may even become more
selective with this channel in future.
0� | Executive summary
Executive summary
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Measurability
Transparency and accountability of marketing activity is on the rise, according to the research,
with 56% stating that they can track and measure the effectiveness of all campaigns – up from
50% in 2007. A hard core of 15% still remain unable to measure the effectiveness of any of
their campaigns.
E-mail is generally considered to generate better responses than traditional DM, with a response
rate of up to 22% on certain campaigns. By contrast, the best DM campaigns are only likely to
bring in 12%.
ROI is still regarded as the primary success criteria used to evaluate the marketing function, but
despite this less than 50% of respondents have systems in place to measure the effectiveness of
such campaigns.
Education, training and knowledge management
Two thirds of B2B marketers believe they are reasonably or very well informed regarding advances
in digital marketing techniques. However, actual usage appears more limited, and a significant
information gap remains. Only 46% of respondents are using digital techniques either ‘to a great
extent’ or ‘to a certain extent’, whilst 39% of respondents claim to be using digital techniques
either ‘not a great deal’ or ‘not at all’.
Publications continue to be the primary source of information on new developments in marketing
(cited by 85% of respondents), although websites and events are becoming more significant.
Events were cited by 67% of respondents, up from 55% in 2007.
Environment and corporate responsibility
The preoccupation of consumer marketers with environmental issues and corporate social
responsibility has yet to translate to the B2B sector. Only 34% of companies currently claim
to have an operational CSR programme, whilst less than one third currently promote their
environmental credentials to B2B customers.
Brand
Attitudes to branding amongst B2B companies remain mixed, with both understanding and
recognition of the importance of the issue varying widely. Three quarters of respondents suggest
that brands are as important in B2B as they are in B2C, but less than a third have a clearly defined
brand values system, and only 34% have a corporate brand architecture.
Executive summary | 0�
0� | Executive summary
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Introduction
Introduction | 0�
0� | Introduction
Danny Turnbull, General Manager, Gyro International
It’s just over a year since we carried out our first B2B Marketing
Insight research, and I’m very pleased to be associated with this
for the second consecutive year.
In the 16 years that I have worked in B2B communications,
I have seen the industry grow from the old ‘trade and tech’
days when it was perceived to be a poor relation to the more
glamorous B2C sector, into an extremely sophisticated and
competitive multi billion pound, global industry. Latest estimates
from Keynote report suggest global expenditure on B2B
marketing is £11.3 billion per annum in the UK alone.
Both Gyro International and B2B Marketing have their roots very
firmly in this specialist sector and the B2B Marketing Insight
Report underlines our commitment to increasing the formal
knowledge base in this sector.
Whilst the B2B sector has become increasingly crowded,
the rush of new entrants has done little to improve the formal
knowledge base which, though extremely well researched at
an academic level, still suffers terribly in terms of credibility,
cohesiveness and rigour at the cutting edge.
I’m heartened to see that the quality and spread of respondents
has improved year on year which is, I’m sure, a reflection of the
improving stock of the sector. It’s also particularly encouraging
that the sector is so gung ho about activity and expenditure over
the coming year as many of our counterparts in the B2C sector
are reporting the converse. In fact I’m sure there is a famous
quote about what smart marketers do in a recession…
On the other hand it’s no surprise that expenditure is being
increasingly diverted towards the most quantifiable and
responsive media such as direct and digital, with falling
expenditure on press. Conventional channels are still important
tools in the B2B marketer’s armoury but it is digital that
represents the largest growth opportunity with over 40% of
marketers stating that this is not currently being best used, an
issue linked to a lack of understanding of the media. This does
not surprise me and represents an important opportunity or
challenge for digital media providers to address.
Whilst B2B budgets are perhaps less substantial than those in
B2C markets, it’s good to see they are being increased and it
would seem that this correlates with both more formal budgeting
and a drive towards marketing accountability. However it’s
amazing that over 50% of our sample still don’t measure return
on marketing investment, and link this to an inability to do so
(another famous quote struggling to get out!). And whilst the
research shows the importance of brands in this sector is
increasingly being recognised, only 7% of respondents measure
the strength of these!
This report highlights a number of other challenges our
industry faces, some of them perennial and others emerging.
It is disappointing to see a lack of control of customer data
and the resultant unsophisticated targeting. As a marketing
communications practitioner, I’m relieved to see that the
creation of relevant messaging is still such an important issue.
The importance of insight driven creativity is an enduring driver
for success within marketing, and it’s the companies that
can truly master this fundamental and basic skill of effective
communication that will continue to see success as our
market develops.
Evolving challenges in the world of B2B
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Joel Harrison, Editor, B2B Marketing
There are many ways to define and describe the role of
marketing within an organisation: some of which are more
accurate and more positive than others. Certainly a key
aspect of marketing’s role is to define the outward face of the
organisation; to establish the manner and the tone with which it
communicates with customers, prospects and the wider world.
Of course, much of the actual communication will be conducted
or executed by other departments – such as sales or customer
service – but it should be marketing that sets the ground rules.
And herein lies one of the great ironies of marketing. Whilst it
is the department responsible for defining how and when the
organisation interacts with others, its practitioners typically
struggle or are reluctant to communicate with one another. Many
marketers effectively work in a vacuum: at worst isolated and
embattled within their organisation, fighting for relevance against
the abrasiveness of sales and the semi-autistic IT function.
Consequently, the opportunities to learn anything of real value
from peers are few and far between, particularly in B2B sectors,
where marketers may work in narrow, highly competitive
niches, where information sharing with potential competitors is
commercial suicide. The disparate and disconnected nature of
the various marketing trade bodies reflects this situation, with
no single body representing the majority of practitioners, and
campaigning for their interests. In short, there is no esprit de
corps in marketing.
Of course, I’m not suggesting it’s an unrewarding profession to
be in – far from it! But I am seeking to highlight the importance
of opportunities for marketers to learn from one another, and
understand the wider environment; particularly those in B2B
sectors. Providing a means to do just this is one of the primary
motivators for this study.
B2B Marketing Insight offers practitioners a rare glimpse into
the mindsets of colleagues from across the community, and
allows them to measure their views and experiences against the
wider market. To date it’s the only attempt to take a meaningful
measure of the key issues facing practitioners and their views
on the future of their markets. As such, it should make essential
reading for anyone seeking to work in or understand this vibrant
and complex community.
I hope readers find its conclusions as engaging and thought-
provoking as I have, and use it to help drive the evolution of their
marketing strategies. And just as importantly, I hope it manages
to make the B2B marketing sector just that bit more empowered
and more connected. After all, working in a vacuum can get very
lonely – as the strapline from a Hollywood blockbuster once
read, in space no one can hear you scream.
Introduction | 0�
Knowledge is power
10 | Introduction
About this report
Background
In 2006 B2B Marketing and Gyro International carried out a study
into current trends and attitudes within UK B2B marketing. This
was the most in-depth study of its kind to probe into the UK B2B
landscape, which the final data showed to be an industry turning
over just under £10 billion a year. This year’s report builds
upon the initial findings and aims to provide a more in-depth
knowledge of the issues facing marketers, and current focus
points for the B2B industry.
Objectives
The objectives of this research were to:
• Provide clear insights on marketing trends that can be used
by practitioners to help enhance their strategies and the
success of their organisation
• Provide meaningful insight into B2B marketing
• Assess how the industry is evolving
• Gauge practitioners’ understanding of key marketing issues
Methodology
The research took the form of an online survey of B2B Marketing
subscribers, trailers and contacts. Potential respondents were
e-mailed a closed link to the survey, which allowed them to start
the survey, and re-access it at a later stage if they did not have
time to complete it in one sitting.
This method ensured that opinions were captured only once per
respondent, and also enabled us to track who had completed
the survey and who hadn’t. This information was used to send
reminder e-mails to those who had not yet taken part. An open
link was also featured on the B2B Marketing home page to allow
visitors to the site to take part in the research. Fieldwork took
place during January and February 2008, and 192 respondents
took part in the 20 minute survey.
All results in this report are expressed as a percentage of the
responses given, unless otherwise stated.
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Gender 200� 200�
Female 46% 48%
Male 54% 52%
TOTAL RESPONDENTS 1�0 1�2
Age 200� 200�
Under 25 8% 7%
25-34 42% 37%
35-44 37% 36%
45-54 9% 13%
55 and over 4% 7%
TOTAL RESPONDENTS 1�� 1�2
Salary Bands 200� 200�
Up to £20k 8% 7%
£21k-£30k 21% 19%
£31k-£40k 25% 18%
£41k-£50k 14% 14%
£51k-£60k 6% 5%
£61k-£80k 12% 10%
£81k-£100k 6% 7%
More than £100k 1% 7%
Prefer not to say 8% 14%
TOTAL RESPONDENTS 1�� 1�2
Number of Employees
200� 200�
1-9 2% 20%
10-49 31% 24%
50-249 34% 26%
250 + 32% 30%
TOTAL RESPONDENTS 12� 1�2
Company Turnover (to nearest million)
200� 200�
£1 million - 26%
£2-£5 million - 22%
£6-£10 million - 11%
£11-£40 million - 15%
£41 million and above - 26%
TOTAL RESPONDENTS 12� 1�2
Scope of Business
200� 200�
Within the local area 1% 3%
Within the region 11% 10%
National/within UK 44% 36%
Extends to European markets 9% 13%
Extends internationally /worldwide 34% 39%
TOTAL RESPONDENTS 1�0 1�2
Respondent profile
Respondents were all required to be marketing decision
makers in companies targeting a B2B audience. The chart
below summarises the profile of participants, and compares it
to B2B Marketing Insight 2007. More information on the profile
of the participants can be found in the Appendix, starting on
page 63.
Introduction | 11
12 | Introduction
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Section 1State of the marketA key objective of Insight was to gauge the level of confidence of the B2B marketing sector. Business-to-business marketers are gradually shaking off the ‘poor relation’ tag that has historically been attributed to them. The authors wanted to understand how confident marketers operating in the B2B sector are, and what’s been happening to their marketing budgets in recent months. Insight 200� confirms the finding of the previous year’s study, that B2B marketers remain confident about the future prospects for their organisation, and that marketing budgets are generally rising.
State of the market | 1�
1.1 Q Has your overall marketing spend increased or decreased in the last 1 to 2 years?
B2B marketers remain bullish about the future, with 57% having seen
an increase in marketing budget over recent years, while only 11%
have seen this figure decline. This is broadly similar to the findings in
last year’s Insight report.
2007
2008
25% 15% 4%
26% 11% 7%
Stayed the same Don’t knowDecreasedIncreased
56%
57%
1.2 Q By what percentage?
1-10%
11-20%
21-30%
31-40%
41-50%
51-60%
21%31%
23%19%
20%6%
61-70%
5%6%
3%6%
71-80%3%
6%
81-90%
91-100%
Increased
Decreased
1� | State of the market
15%25%
0%0%
10%0%
1%0%
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1.3 Q Reasons given for the forecasted changes in marketing budgets include:
INCREASE
• Business growth – marketing is valued within the company to
create brand awareness, new customer acquisition and also
for customer retention.
• Aggressive growth strategy, an acquisitive board, and
expanded marketing department responsibilities.
• Because in a hard market we will need to spend more to
attract customers.
• Because we will need to market our product to countries
outside the UK.
DECREASE
• All budgets are being cut.
• Based on business performance and rumblings by the board of
a lack of proven ROI on the marketing spend to justify anything
other than a similar or lower budget for 2008/2009.
• Our board is unfamiliar with how much should be allocated to
marketing and I am in the process of educating members on
the benefits. Also there was a management buyout last year
which has made the team uneasy on spending at the moment.
State of the market | 1�
It is interesting that ‘lack of ROI’ is cited as a reason for a cut in
marketing investment. The ability of digital channels to provide
vastly improved measurement capabilities has proven to be both a
great opportunity and significant headache for marketers in many
organisations, with directors increasingly seeing any form of marketing
investment that cannot be measured as wasted. The result is that
such firms are only conducting marketing that can be measured,
regardless of whether it is the best way of meeting organisational
objectives. The push towards ROI is also undermining investment in
effective targeting and creative thinking.
Over half of all respondents have seen an increase specifically within
their B2B marketing spend in the last 1-2 years – more than half of
these have seen an increase of more than 20%.
• Communication
• CRM
• Data quality and management
• Differentiation of offerings
• Use and misuse of e-marketing
• Measuring ROI/success
• Technology
• Understanding B2B communication
Respondents were asked to list what they felt were the three most important current issues in B2B marketing. Some of the most common themes included:
1.4 Q How confident are you about the future economic climate for your organisation?
The majority of B2B marketers surveyed (91%) were relatively
confident about the future economic climate in the context of their
own business. No significant differences in these results were
identified by segment.
It is very interesting to note that confidence remains buoyant amongst
the B2B marketing community, despite ongoing negative reporting
of the economic prospects in the general media. The research was
conducted at the beginning of 2008, when fears about a possible
recession were already gathering momentum. The most likely reason
why respondents remain bullish is probably that there is a lag between
any impact on the consumer economy and business buying, and that
B2B organisations had not yet begun to feel the tightening of budgets.
It will be very interesting to track.
2007
2008
28% 65% 7%
26% 65% 9%
Very confident Not very confidentFairly confident
1� | State of the market
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State of the market | 1�
1.5 Q Do you expect your overall marketing spend to increase or decrease in the next 1 to 2 years?
2007
2008
38% 4% 6%
26% 4% 6%
Stay the same Don’t knowDecreaseIncrease
52%
64%
1.6 Q By what percentage?
1 – 10%
11 – 20%
21 – 30%
31 – 40%
41 – 50%
51 – 60%
30%
24%
18%
61 – 70%
1%
12%
71 – 80%
81 – 90%
91 – 100% 13%
1%
Increased
1%
0%
0%
1� | State of the market
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Section 2Targeting customersThe B2B sector encompasses a wide variety of industries with very different dynamics and correspondingly a disparate range of target audiences. It therefore follows that marketing to these different customer bases would also vary widely, and the authors wanted to illustrate the extent to which different medias and messages were used for different objectives, and their relative effectiveness. This section also examines the various challenges faced by marketers targeting business decision makers in different industries.
Targeting customers | 1�
2.1 Q Which sizes of organisation does your business target?
34%
53%
Micro business
Small business
71%
76%
Medium business
Large business
It is interesting to note that most respondents are targeting larger
organisations ahead of smaller ones. This may explain why confi dence
remains high amongst respondents, with large corporates less likely to
be hit hard by growing economic uncertainly, or to reign in their spend.
However, given the size of the SME community, and its collective
spending power, it is possible that companies are missing
opportunities to provide services to the SME sector, which is
increasingly recognised as the ‘engine’ of the economy, driving most
growth and creating most opportunities.
20 | Targeting customers
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59% Decision Maker
21% Authoriser
20% Influencer
44% Decision Maker
19% Authoriser
38% Influencer
32% 250+
34% 50 to 249
31% 10 to 49
2% 1 to 9
30% 250+
26% 50 to 249
24% 10 to 49
20% 1 to 9
2007 2008
2007 2008
34% Extends internationally/worldwide
9% Extends to european markets
34% National/within the UK
11% Within the region
15% Within the local area
39% Extends internationally/worldwide
13% Extends to european markets
36% National/within the UK
10% Within the region
3% Within the local area
2007 2008
26% £11-£40 million
15% £6-£10 million
11% £6-£10 million
22% £2-£5 million
26% £1 million
47% Yes
53% No
58% Yes
37% No
35% Yes
65% No
7% Not at all well informed
29% Not very well informed
51% Fairly well informed
13% Very well informed
13% No
50% Yes for some campaigns
37% Yes for all campaigns
15% No
56% Yes for some campaigns
30% Yes for all campaigns
7% Other
19% IT
71% Marketing
2007 2008
27% Disagree
73% Agree
26% Yes for some campaigns
74% Agree
2007 2008
48% Disagree
52% Agree
51% Disagree
49% Agree
2007 2008
12% Don't know
54% No
34% Yes
5% Don't know
6% No
89% Yes
8% Don't know
49% No
33% Yes
28% Less important than in B2C marketing
5% More important than in B2C marketing
66% As important as in B2C marketing
26% £41+ Million
15% £11-£40 Million
11% £6-£10 Million
22% £2-£5 Million
26% £1 Million
11% Don't know
4% Internet
25% Newspaper
60% Direct Mail
40% Partial access only
22% No direct access/difficult to collate
38% Yes direct and immediate access
2.3 Q Do you use different channels to target different sizes of organisation?
2.2 Q Do you use different creative to target different sizes of organisation?
59% Decision Maker
21% Authoriser
20% Influencer
44% Decision Maker
19% Authoriser
38% Influencer
32% 250+
34% 50 to 249
31% 10 to 49
2% 1 to 9
30% 250+
26% 50 to 249
24% 10 to 49
20% 1 to 9
2007 2008
2007 2008
34% Extends internationally/worldwide
9% Extends to european markets
34% National/within the UK
11% Within the region
15% Within the local area
39% Extends internationally/worldwide
13% Extends to european markets
36% National/within the UK
10% Within the region
3% Within the local area
2007 2008
26% £11-£40 million
15% £6-£10 million
11% £6-£10 million
22% £2-£5 million
26% £1 million
47% Yes
53% No
58% Yes
37% No
35% Yes
65% No
7% Not at all well informed
29% Not very well informed
51% Fairly well informed
13% Very well informed
13% No
50% Yes for some campaigns
37% Yes for all campaigns
15% No
56% Yes for some campaigns
30% Yes for all campaigns
7% Other
19% IT
71% Marketing
2007 2008
27% Disagree
73% Agree
26% Yes for some campaigns
74% Agree
2007 2008
48% Disagree
52% Agree
51% Disagree
49% Agree
2007 2008
12% Don't know
54% No
34% Yes
5% Don't know
6% No
89% Yes
8% Don't know
49% No
33% Yes
28% Less important than in B2C marketing
5% More important than in B2C marketing
66% As important as in B2C marketing
26% £41+ Million
15% £11-£40 Million
11% £6-£10 Million
22% £2-£5 Million
26% £1 Million
11% Don't know
4% Internet
25% Newspaper
60% Direct Mail
40% Partial access only
22% No direct access/difficult to collate
38% Yes direct and immediate access
The fact that the majority of organisations do not tailor creative to appeal
to different sizes of organisation is a very interesting fi nding from this
research. Business decision makers at SMEs behave and think in a very
different way to their counterparts in larger organisations, and will have
different pain points. Not devising creative to appeal to these particularly
emotional and/or rational touch-points is surprising and perhaps
worrying. It suggests a lack of willingness to invest in creative and a
lack of sophistication amongst marketers. It would seem that they are
breaking one of the cardinal rules of B2B marketing: know your audience,
and talk to it in a relevant and meaningful fashion.
Targeting customers | 21
2.4 Q Which channels do you use to target various sizes of organisations?
The most widely used channels are as follows:
Whilst marketers are not tailoring their creative for the audience, at
least they are tailoring the means of communication, or the channel.
However, whilst the percentages vary, there are some strong and
common themes. Direct mail is still considered a powerful means
of reaching smaller and medium-sized companies, but not large
businesses. E-mail is consistently strong across the board. Face-
to-face marketing, through events or exhibitions, becomes stronger
and stronger the further you go up the organisational hierarchy, with
‘events and seminars’ cited as the most powerful medium for reaching
business decision makers in large organisations, but not even in the
top five for meeting micro-businesses. This suggests that marketers
believe if they can engage directly with these decision makers, this
will be crucial in generating a favourable response. In the same way,
PR is also considered increasingly important for medium and large
organisations. Perhaps the view is that education is the key barrier
to marketing success for executives at companies of this level, and
that the best means of education is via events or publications. As
an addendum, it is very interesting to note that printed brochures,
arguably the oldest marketing medium around, are still considered
effective when dealing with buyers at both ends of the spectrum.
MEDIuM BuSINESS (50-250 EMPLOYEES)
E-mail marketing 75%
Direct mail to potential customers 71%
Direct mail to existing customers 67%
Events/Seminars 60%
Exhibitions 60%
PR 60%
LARGE BuSINESS (250+ EMPLOYEES)
Events/Seminars 75%
E-mail marketing 72%
PR 69%
Exhibitions 66%
Printed brochures 65%
MICRO BuSINESS (1-9 EMPLOYEES)
Direct mail to existing customers 64%
Printed brochures 62%
E-mail marketing 62%
Search engine optimisation 60%
Direct mail to potential customers 55%
SMALL BuSINESS (10-50 EMPLOYEES)
E-mail marketing 65%
Direct mail to potential customers 62%
Direct mail to existing customers 60%
Exhibitions 57%
Printed brochures 56%
22 | Targeting customers
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PROfESSIONAL SERvICES
E-mail marketing 64%
Events/Seminars 50%
PR 36%
IT
E-mail marketing 74%
PR 56%
E-newsletters 52%
Printed brochures 52%
OThER B2B
E-mail marketing 61%
Printed brochures 58%
Events/Seminars 58%
The most widely used channels are as follows:
fINANCIAL SERvICES
E-mail marketing 76%
Events/Seminars 74%
Direct mail to potential customers 67%
CONSTRuCTION/MANufACTuRING/ENGINEERING
Events/Seminars 73%
Direct mail to potential customers 70%
Direct mail to existing customers 67%
Printed brochures 67%
Exhibitions 67%
BuSINESS SERvICES
E-mail marketing 79%
Direct mail to potential customers 76%
PR 70%
2.5 Q Which channels do you use to target the various sectors?
It is unsurprising that decision makers from different industries will find
different channels more appealing. E-mail is always going to be more
relevant in IT because of the technology-orientation of this audience,
and this is reflected by the dominance of this channel in this market.
Meanwhile, the construction/manufacturing/engineering industries are
more likely to get out to exhibitions because of the tangible nature of
what they do. It is also interesting to note the continuing faith in PR as
an effective channel in most sectors, despite the relatively low level of
interest spend on display advertising.
Targeting customers | 2�
This could be seen as inconsistent. PR and advertising generate
exposure in the same channel, only one is paid for and one is not.
However, given that most trade publications are funded mostly or
partly by advertising, their refusal to support this media financially may
be its ultimate undoing, which will be to the detriment of all concerned.
Financial
ServicesIT
Construction/
manufacturing/
engineering
Prof.
Services
Business
ServicesOther B2B
Getting accurate
sample/database40% 30% 30% 50% 30% 14%
Getting accurate
information on the
make-up of this
audience
48% 33% 36% 79% 52% 19%
Difficulties contacting
people of the right level
of seniority
29% 4% 12% 36% 45% 8%
Difficulties creating
messages57% 44% 39% 71% 67% 25%
Understand customers
needs and preferences60% 44% 36% 64% 48% 22%
The impact of
gatekeepers40% 26% 30% 36% 52% 22%
2.6 Q What issues do you face when marketing to your target markets?
The most significant issue experienced across the board is difficulty in creating messages. This confirms
that creative thinking remains a key barrier in B2B marketing. Whether this is the fault of the agencies
used, or because marketers are unable or unwilling to invest sufficient budgets in it, is open to question.
Undoubtedly generating messages for complex products/services that create demand and stimulate
interest is challenging, but it is possible that growing fixation with ROI is distracting marketers from this
key objective. Getting accurate information on the audience make-up, and understanding customer
preferences are also problematic for most sectorised B2B marketing.
Data is the other perennial problem in B2B marketing, and brands are consistently failing to invest in
developing and maintaining accurate and meaningful customer databases. This is proving to be a major
handicap to effective marketing.
Perhaps surprisingly, the least problematic area across the board is believed to be contacting people of the
right seniority. This could be because data regarding such individuals can be purchased readily from a number
of suppliers. The extent to which the message actually influences them, however, remains open to question.
2� | Targeting customers
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Section 3Marketing channels and techniquesAllocation of marketing spend to different campaign media represents one of the major concerns for B2B marketers. B2B Marketing Insight sought to identify how budgets were currently being allocated, and more importantly how effective the various channels were proving. The results in this section provide a rare opportunity to compare digital and traditional techniques.
Marketing channels and techniques | 2�
sponsored by
As the B2B Marketing Insight 2008 reflects, B2B communications is flourishing and emerging from
the B2C shadow. It is particularly interesting that one fifth of survey respondents are high level
Owners/MDs, so clearly B2B communications is an issue resonating at board level.
This survey highlights the increasing importance of brands for B2B companies with two-thirds
agreeing they are just as important in the B2B realm as B2C. The brand experience can be
improved through marketing communications such as customer magazines and direct mail, media
which have the added capability of engaging with different senses by adding smells or sound to
bring a product or service to life.
It is encouraging to see such a range of channels being employed to reach and connect with
target audiences. The industry as a whole has refined its approach and is now employing a mix of
traditional techniques such as mail alongside new media. At their most effective, these channels
are employed in an integrated fashion rather than in isolation, allowing companies to build a strong
connection with prospects. As previous research by B2B Marketing has shown, marketers’ see
mail and digital as complementary channels, not interchangeable.
This reflects the view of consumers themselves. Recent research by Quadrangle has shown that
consumers see mail and e-mail as very different channels, each supporting the other, and working
best in partnership. Consumers with a preference for both mail and e-mail communication spend
on average £105 a month on goods and services after receiving a combination of the two. Clearly,
effective integration of physical and virtual channels can deliver tangible results for brands. It is for
these reasons that 83% of B2B marketers’ rate Direct Mail as important to their business.
When it comes to acquiring high-value customers, mail is rated as a more effective tool than
e-mail by survey respondents. This reflects the medium’s unique ability to build relationships, a
quality that comes to the fore when mailing campaigns are at their most targeted. The future of
the medium it seems will be a move towards ever tighter targeting, particularly as environment
concerns grow in importance, as evidenced by the findings in this report. Royal Mail is developing
a number of leading-edge solutions for green-conscious mailers – such as Carbon Neutral Mailing,
a joint scheme with the Woodland Trust – it has long been clear that the twin goals of improved
efficiency and reduced environmental impact are closely aligned.
Mike West Media Development Manager Royal Mail
Sponsor’s comment: Integration delivers tangible results.
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Marketing channels and techniques | 2�
For the purposes of analysis, we have divided the results for this
question into three areas of B2B communications – print, digital and
face-to-face, together with a catch-all category called “other”.
It is clear from the chart opposite that events is the most popular of
the three main types of communications used, with each media in this
group being used by an average of 58% of respondents. Close behind
is print media, with 54%.
What is most surprising, however, is the relatively low level of usage of
digital techniques – despite the hype to the contrary, this remains the
least used of all three groups.
Of course, this conclusion is a broad generalisation and arguably
obscures the true picture. E-mail, predictably, remains the most
popular individual route to market, whilst mobile remains little used
in B2B and podcasts remain a niche tool. Creating an average from
these three would therefore bring the overall score down.
What it does suggest, however, is that the much-vaunted migration
to digital is less advanced than many may claim and that all mediums
have their merits.
3.1 Q Which channels have you used for B2B marketing in the last 12 months?
73%Printed brochures
71%DM to existing customers
71%DM to potential customers
38%Printed newsletters
68%PR
8%Outdoor
print communications
52%E-brochures
76%E-mail marketing
Mobile marketing
53%E-newsletters
35%On-line button/banners ads
14%Podcasts
digital communications
16%Promotional DVD’s
13%Viral marketing
48%Corporate hospitality
64%Events/seminars
face-to-face communications
47%Press advertising
54%Average
18%Webinar
34%Average
62%Exhibitions
58%Average
11%Broadcast advertising
32%Sponsorship
other
46%Telemarketing
54%Search Engine Optimisation
9%Other
25%Average
5%
2� | Marketing channels and techniques
3.2 Q What percentage of your B2B marketing budget do you currently spend on the following?
It is interesting to note that telemarketing received the largest single
share of budget on average for respondents. The ability to directly
measure and track telemarketing investment is likely to be a key
factor in its popularity. It was also interesting to note the strong level
of interest in exhibitions and events, which came second and third in
terms of budget allocation. Like telemarketing, face-to-face marketing
also delivers high levels of trackability and therefore ROI, but unlike
telemarketing they can also require high set up costs, for example, in
designing exhibition stands or booking venues for bespoke events.
Across the board, the majority of respondents in each category
allocate between 1-10% of their budgets to their chosen channel(s).
The graph opposite shows the percentage of respondents that spend
between 1-10% of their B2B marketing budget within each channel.
Therefore the high levels of budget allocation may not correspond
directly with effectiveness. It should also be noted that because
e-mail is divided into three separate categories (e-mail, e-newsletters
and viral marketing) this obscures the true popularity of this medium.
If the figures were combined it would certainly be a close rival to
telemarketing. Perhaps the most significant thing demonstrated by
this chart is the sheer range of activities which attract a significant
proportion of marketers’ budgets – even podcasts can claim an
average of 2% of overall budgets.
12%Printed brochures
9.6%DM to existing customers
10.3%DM to potential customers
5.6%Printed newsletters
11.1%PR
3.1%Outdoor
print communications
5.9%E-brochures
9.7%E-mail marketing
6.1%Mobile marketing
3.4%E-newsletters
6.1%On-line button/banners ads
2%Podcasts
digital communications
5.2%Promotional DVD’s
3.9%Viral marketing
12.3%Corporate hospitality
13.5%Events/seminars
face-to-face communications
11%Press advertising
9%Average
5%Webinar
5.6%Average
15.1%Exhibitions
13.6%Average
5.5%Broadcast advertising
6.9%Sponsorship
other
16.5%Telemarketing
9.2%Search Engine Optimisation
15.1%Other
11%Average
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Marketing channels and techniques | 2�
Least Effective Most Effective
3.3 Q Which channels have you found to be the most and least effective?
7%Printed brochures
7%DM to existing customers
4%DM to potential customers
Printed newsletters
11%PR
Outdoor
print communications
3%E-brochures
17%E-mail marketing
Mobile marketing
E-newsletters
On-line button/banners ads
Podcasts
digital communications
10%Promotional DVD’s
Viral marketing
4%Corporate hospitality
13%Events/seminars
face-to-face communications
Press advertising
Webinar
7%Exhibitions
Broadcast advertising
Sponsorship
other
10%Telemarketing
8%Search Engine Optimisation
Other
This chart offers a marked contrast to the previous ones,
demonstrating that in terms of effectiveness, e-mail is ahead of other
media. In fact, only events/seminars come close.
Telemarketing and PR both fair well, but all forms of print media
perform badly. The reason for this is certainly that respondents were
illustrating which media they could prove was most effective through
measurement techniques and technologies, rather than which was
most effective per se. This is an important distinction to make.
9%
3%
15%
4%
16%
12%
4%
4%
3%
9%
3%
4%
9%
1%
1%
0%
1%
1%
0%
1%
1%
0%
1%
1%
1%
0%
1%
6%
1%
0%
0%
0%
0%
1%0%
3.4 Q What channel have you allocated the largest amount of marketing budget to?
Exhibitions and printed brochures were most commonly nominated
at attracting the largest share of budget. This is probably more
reflective of the high set-up costs for these channels than marketeers’
preference for them.
13%Printed brochures
8%DM to existing customers
7%DM to potential customers
Printed newsletters
7%PR
print communications
3%E-brochures
6%E-mail marketing
Mobile marketing
E-newsletters
2%On-line button/banners ads
Podcasts
digital communications
Viral marketing
6%Corporate hospitality
10%Events/seminars
face-to-face communications
5%Press advertising
Webinar
15%Exhibitions
2%Broadcast advertising
2%Sponsorship
other
7%Telemarketing
4%Search Engine Optimisation
Promotional DVD’s
0%
0%
0%
1%
1%
1%
0%
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Marketing channels and techniques | �1
According to this graph, the shift in emphasis towards e-mail is
actually accelerating, with 60% of respondents expecting to allocate
more budget to this channel in the coming years, compared to 49%
in 2007. However, this budget is not necessarily migrating directly
from traditional media – the future for DM looks bright, with 33% of
companies expecting to increase spend on it, the same figure as last
year, placing it second in the table as last year also. Press advertising
also remained relatively static year-on-year, as did PR and search
marketing, despite its rapid evolution and increasing recognition of its
15%Printed brochures
33%DM
10%Printed newsletters
23%PR
Outdoor
print communications
49%E-mail marketing/e-newsletters
Mobile marketing
21%On-line button/banners ads
n/aPodcasts
digital communications
8%Viral marketing
16%Corporate hospitality
30%Events/seminars
face-to-face communications
9%Press advertising
n/aWebinar
17%Exhibitions
Broadcast advertising
Sponsorship
other
23%Telemarketing
29%Search Engine Optimisation
7%
33%
23%
8%
60%
13%
10%
13%
29%
11%
24%
14%
7%
17%
2% 5%
1% 1%
3%
5%
5%
1% 1%
Insight 2008
Insight 2007
3.5 Q Which channels do you expect to allocate a greater proportion of your budget to over the next 1-2 years?
fundamental role in B2B communications strategies. However, interest
in printed brochures dropped significantly, which is hardly surprising.
Meanwhile, both events/seminars and telemarketing actually lost
ground on the previous year with fewer B2B marketers expecting to
increase their investment in it, although it is clear that both continue to
be widely used. More curiously, interest in online advertising appeared
to be trailing off, with respondents expecting to invest more budget in
it in the next 1-2 years dropping by a third. Perhaps this form of digital
marketing is simply not targeted enough to appeal to B2B marketers.
�2 | Marketing channels and techniques
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Section 4Digital marketingDigital media is becoming an increasingly important part of the B2B marketing mix, with websites, e-mail and search marketing etc. increasingly threatening to take over from traditional techniques as the primary route to market. A key objective of this report was to track the gradual migration towards digital techniques, and marketers’ understanding of how best to utilise them. The findings demonstrate that the hype about digital techniques is not necessarily reflected by reality.
Digital marketing | ��
4.1 Q How informed are you on the latest advances in digital marketing techniques?
59% Decision Maker
21% Authoriser
20% Influencer
44% Decision Maker
19% Authoriser
38% Influencer
32% 250+
34% 50 to 249
31% 10 to 49
2% 1 to 9
30% 250+
26% 50 to 249
24% 10 to 49
20% 1 to 9
2007 2008
2007 2008
34% Extends internationally/worldwide
9% Extends to european markets
34% National/within the UK
11% Within the region
15% Within the local area
39% Extends internationally/worldwide
13% Extends to european markets
36% National/within the UK
10% Within the region
3% Within the local area
2007 2008
26% £11-£40 million
15% £6-£10 million
11% £6-£10 million
22% £2-£5 million
26% £1 million
47% Yes
53% No
58% Yes
37% No
35% Yes
65% No
7% Not at all well informed
29% Not very well informed
51% Fairly well informed
13% Very well informed
13% No
50% Yes for some campaigns
37% Yes for all campaigns
15% No
56% Yes for some campaigns
30% Yes for all campaigns
7% Other
19% IT
71% Marketing
2007 2008
27% Disagree
73% Agree
26% Yes for some campaigns
74% Agree
2007 2008
48% Disagree
52% Agree
51% Disagree
49% Agree
2007 2008
12% Don't know
54% No
34% Yes
5% Don't know
6% No
89% Yes
8% Don't know
49% No
33% Yes
28% Less important than in B2C marketing
5% More important than in B2C marketing
66% As important as in B2C marketing
26% £41+ Million
15% £11-£40 Million
11% £6-£10 Million
22% £2-£5 Million
26% £1 Million
11% Don't know
4% Internet
25% Newspaper
60% Direct Mail
40% Partial access only
22% No direct access/difficult to collate
38% Yes direct and immediate access
4.2 Q To what extent are you using digital marketing channels in B2B communications?
2007
2008
21% 31% 18%
24% 13% 31%
To some extent Not a great dealA fair amountTo a great extent
25%
22%
Not at all
5%
8%
Over 35% of respondents describe themselves as not very well
informed or ‘not at all well informed’ regarding digital marketing
issues, according to the research. There is clearly still an information
gap within B2B marketing, and practitioners must take advantage of
the various information providers to leverage the information required.
Similarly, the application of digital techniques appears to have
declined since 2007, with now 40% of respondents using them either
‘not at all’ or ‘not a great deal’. This is likely to refl ect the change in
participant group, with more smaller organisations completing the
survey, who have less marketing expertise. But it may also refl ect
the increasing pace of change and innovation in terms of digital
techniques, which puts greater and greater pressure on practitioners
to keep up-to-speed with developments.
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Digital marketing | ��
4.3 Q What are the main objectives for your digital marketing?
64%69%Awareness raising
Customer relationship management
25%33%Customer retention
Sales
Driving traffic to website
Channel relationships
51%54%
19%19%Information gathering
Lead generation
40%41%Product/service promotion
56%54%
37%34%
In keeping with the 2007 results, the main objectives of digital
marketing continue to be awareness raising, lead generation and
driving traffic to the company website. The use of digital channels
to drive direct sales was not tracked by last year’s survey, but this
year’s results demonstrate that it is a very popular technique for this
objective, used by almost 50% of respondents.
The biggest growth in terms of objectives for digital marketing is
customer retention, which is likely to be a reflection of growing
understanding of the power of e-mail marketing as a relationship
device, whilst at the same time its effectiveness for building new
customers is being detrimentally affected by inbox overload. Further
to this, it is arguably surprising that ‘awareness raising’ through
digital techniques grew in this period – it would seem that the lure of
cheap and quick communications remains more of a draw than any
concerns over commoditisation of this channel.
2007
2008
45%
14%
0%
0%
4.4 Q What are the unique challenges in making effective use of digital marketing techniques?
19%65%
Understanding of digital media
Integrating with offl ine
31%33%
25%35%
Access to e-mail data
Firewalls/Internet Security
Cutting through inbox clutter
1%11%Browser compatibility
60%37%
Concern over the growing faith in e-mail is refl ected in this statistic,
with ‘cutting through inbox clutter’ rising from a modest 37% to a
signifi cant 60%. General concerns regarding understanding of digital
media have trebled to almost two thirds of responses, whilst the
current buzzword of online-offl ine integration was not touched on last
year, but was revealed to be an issue by almost half of respondents.
4.5 Q Which department has responsibility for your website?
59% Decision Maker
21% Authoriser
20% Influencer
44% Decision Maker
19% Authoriser
38% Influencer
32% 250+
34% 50 to 249
31% 10 to 49
2% 1 to 9
30% 250+
26% 50 to 249
24% 10 to 49
20% 1 to 9
2007 2008
2007 2008
34% Extends internationally/worldwide
9% Extends to european markets
34% National/within the UK
11% Within the region
15% Within the local area
39% Extends internationally/worldwide
13% Extends to european markets
36% National/within the UK
10% Within the region
3% Within the local area
2007 2008
26% £11-£40 million
15% £6-£10 million
11% £6-£10 million
22% £2-£5 million
26% £1 million
47% Yes
53% No
58% Yes
37% No
35% Yes
65% No
7% Not at all well informed
29% Not very well informed
51% Fairly well informed
13% Very well informed
13% No
50% Yes for some campaigns
37% Yes for all campaigns
15% No
56% Yes for some campaigns
30% Yes for all campaigns
7% Other
19% IT
71% Marketing
2007 2008
27% Disagree
73% Agree
26% Yes for some campaigns
74% Agree
2007 2008
48% Disagree
52% Agree
51% Disagree
49% Agree
2007 2008
12% Don't know
54% No
34% Yes
5% Don't know
6% No
89% Yes
8% Don't know
49% No
33% Yes
28% Less important than in B2C marketing
5% More important than in B2C marketing
66% As important as in B2C marketing
26% £41+ Million
15% £11-£40 Million
11% £6-£10 Million
22% £2-£5 Million
26% £1 Million
11% Don't know
4% Internet
25% Newspaper
60% Direct Mail
40% Partial access only
22% No direct access/difficult to collate
38% Yes direct and immediate access
The overwhelming majority of B2B fi rms task marketing with the
responsibility for managing their websites, according to the research,
demonstrating that the web is recognised as the marketing front end
for the business.
�� | Digital marketing
47%0%
2007
2008
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Digital marketing | ��
4.6 Q What techniques do you use to drive traffic to your website?
33%35%
Banner advertising
E-shots/e-newsletter
57%40%
54% 44%
Links through on-line directories
Off-line advertising
Paid searches
69%66%
Search engine optimisation
34%28%
59%61%
Website address included on all communications
3%6%
None
78%87%
Curiously, most companies are reducing the number of techniques
that they use to drive traffic to their sites, with only paid searches
and banner advertising actually increasing in the last 12 months,
according to the research. Admittedly, apart from ‘offline advertising’
none has declined significantly, but it is a perplexing statistic none
the less. This may be because companies are choosing to channel
more of their investment in to one or two channels, and achieve better
results through them, than to adopt the scatter-gun approach of doing
everything badly.
2007
2008
4.7 Q Do you see a use for the following techniques in your B2B marketing in the next 2 to 3 years?
Probably Definitely notProbably notDefinitely Don’t know
36% 21% 10%
17% 39% 25%
24%
8%
9%
11%
Webinars
Web TV
29% 29% 14%
27% 32% 15%
20%
20%
8%
6%
Blogging
Podcasts
Attitudes towards digital techniques remain very mixed in the
B2B sector, with only webinars attracting a majority of positive
respondents. 62% of respondents suggested they would ‘definitely’
or ‘probably’ see a use for webinars over the next 2-3 years, whilst
only 31% responded negatively. Blogging was next most popular, with
49% responding positively to it as a future channel, against 43% who
were negative about it. The fate of podcasts hangs in the balance,
with an equal number positive and negative; whilst attitudes towards
web TV were more negative, although this is almost certainly reflective
of the more niche nature of this medium, which is less suited towards
smaller brands with smaller budgets.
Overall, this question highlighted the general lack of faith in all the
digital channels covered, which is likely to be a result of low levels
of understanding of how they should be used and the intricacies of
putting them into practice.
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Section 5Marketing effectivenessMarketers in all sectors are under growing pressure to prove the effectiveness of their activity, to demonstrate ROI on marketing activity and ultimately prove their worth to the organisation. Unsurprisingly, therefore, the authors were anxious to understand the extent to which B2B marketers felt they were able to achieve this objective effectively. Once again, the report shows that current measurement techniques leave much to be desired.
Marketing effectiveness | ��
5.1 Q Are you able to track and analyse your direct marketing campaigns to measure their effectiveness?
59% Decision Maker
21% Authoriser
20% Influencer
44% Decision Maker
19% Authoriser
38% Influencer
32% 250+
34% 50 to 249
31% 10 to 49
2% 1 to 9
30% 250+
26% 50 to 249
24% 10 to 49
20% 1 to 9
2007 2008
2007 2008
34% Extends internationally/worldwide
9% Extends to european markets
34% National/within the UK
11% Within the region
15% Within the local area
39% Extends internationally/worldwide
13% Extends to european markets
36% National/within the UK
10% Within the region
3% Within the local area
2007 2008
26% £11-£40 million
15% £6-£10 million
11% £6-£10 million
22% £2-£5 million
26% £1 million
47% Yes
53% No
58% Yes
37% No
35% Yes
65% No
7% Not at all well informed
29% Not very well informed
51% Fairly well informed
13% Very well informed
13% No
50% Yes for some campaigns
37% Yes for all campaigns
15% No
56% Yes for some campaigns
30% Yes for all campaigns
7% Other
19% IT
71% Marketing
2007 2008
27% Disagree
73% Agree
26% Yes for some campaigns
74% Agree
2007 2008
48% Disagree
52% Agree
51% Disagree
49% Agree
2007 2008
12% Don't know
54% No
34% Yes
5% Don't know
6% No
89% Yes
8% Don't know
49% No
33% Yes
28% Less important than in B2C marketing
5% More important than in B2C marketing
66% As important as in B2C marketing
26% £41+ Million
15% £11-£40 Million
11% £6-£10 Million
22% £2-£5 Million
26% £1 Million
11% Don't know
4% Internet
25% Newspaper
60% Direct Mail
40% Partial access only
22% No direct access/difficult to collate
38% Yes direct and immediate access
Results for this question varied little year-on-year, and demonstrated
that there remains a residual component of direct marketing activity
which is not measurable. Whether marketers should seek to make
all direct marketing 100% measurable at the expense of all other
factors is a moot point, and arguably measurability should not always
compromise messaging.
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It remains the view of B2B marketers that success within the
marketing function is assessed on return on investment. Despite
this, only half of respondents (49%) feel that they are able to evaluate
the success of campaigns and initiatives. This refl ects the ongoing
5.2 Q Do you agree or disagree with the following statements related to your marketing function?
The marketing function’s performance is ultimately assessed on its return on investment.
59% Decision Maker
21% Authoriser
20% Influencer
44% Decision Maker
19% Authoriser
38% Influencer
32% 250+
34% 50 to 249
31% 10 to 49
2% 1 to 9
30% 250+
26% 50 to 249
24% 10 to 49
20% 1 to 9
2007 2008
2007 2008
34% Extends internationally/worldwide
9% Extends to european markets
34% National/within the UK
11% Within the region
15% Within the local area
39% Extends internationally/worldwide
13% Extends to european markets
36% National/within the UK
10% Within the region
3% Within the local area
2007 2008
26% £11-£40 million
15% £6-£10 million
11% £6-£10 million
22% £2-£5 million
26% £1 million
47% Yes
53% No
58% Yes
37% No
35% Yes
65% No
7% Not at all well informed
29% Not very well informed
51% Fairly well informed
13% Very well informed
13% No
50% Yes for some campaigns
37% Yes for all campaigns
15% No
56% Yes for some campaigns
30% Yes for all campaigns
7% Other
19% IT
71% Marketing
2007 2008
27% Disagree
73% Agree
26% Yes for some campaigns
74% Agree
2007 2008
48% Disagree
52% Agree
51% Disagree
49% Agree
2007 2008
12% Don't know
54% No
34% Yes
5% Don't know
6% No
89% Yes
8% Don't know
49% No
33% Yes
28% Less important than in B2C marketing
5% More important than in B2C marketing
66% As important as in B2C marketing
26% £41+ Million
15% £11-£40 Million
11% £6-£10 Million
22% £2-£5 Million
26% £1 Million
11% Don't know
4% Internet
25% Newspaper
60% Direct Mail
40% Partial access only
22% No direct access/difficult to collate
38% Yes direct and immediate access
Marketing effectiveness | �1
pressure on marketers to deliver ROI. It is undoubtedly a cause
of frustration to marketers and other senior executives that more
marketing investment cannot be tracked better and ROI calculated.
The extent to which this will ever be possible let alone practical is
debatable, as is the mounting obsession with measurement.
59% Decision Maker
21% Authoriser
20% Influencer
44% Decision Maker
19% Authoriser
38% Influencer
32% 250+
34% 50 to 249
31% 10 to 49
2% 1 to 9
30% 250+
26% 50 to 249
24% 10 to 49
20% 1 to 9
2007 2008
2007 2008
34% Extends internationally/worldwide
9% Extends to european markets
34% National/within the UK
11% Within the region
15% Within the local area
39% Extends internationally/worldwide
13% Extends to european markets
36% National/within the UK
10% Within the region
3% Within the local area
2007 2008
26% £11-£40 million
15% £6-£10 million
11% £6-£10 million
22% £2-£5 million
26% £1 million
47% Yes
53% No
58% Yes
37% No
35% Yes
65% No
7% Not at all well informed
29% Not very well informed
51% Fairly well informed
13% Very well informed
13% No
50% Yes for some campaigns
37% Yes for all campaigns
15% No
56% Yes for some campaigns
30% Yes for all campaigns
7% Other
19% IT
71% Marketing
2007 2008
27% Disagree
73% Agree
26% Yes for some campaigns
74% Agree
2007 2008
48% Disagree
52% Agree
51% Disagree
49% Agree
2007 2008
12% Don't know
54% No
34% Yes
5% Don't know
6% No
89% Yes
8% Don't know
49% No
33% Yes
28% Less important than in B2C marketing
5% More important than in B2C marketing
66% As important as in B2C marketing
26% £41+ Million
15% £11-£40 Million
11% £6-£10 Million
22% £2-£5 Million
26% £1 Million
11% Don't know
4% Internet
25% Newspaper
60% Direct Mail
40% Partial access only
22% No direct access/difficult to collate
38% Yes direct and immediate access
We have systems in place to review the success of any campaigns or initiatives on a real time, continuous basis
5.3 Q Typically what response rates do you receive to direct response marketing campaigns?
Response rates to e-mail and DM follow a very similar pattern,
according to this survey, with the largest peak of respondents in the
1-5% bracket. ‘Average’ responses are generally higher through
e-mail, although ‘best’ responses are broadly comparable across
both mediums, with just under 50% expecting a 6% response rate or
greater. This reflects the power of a high value mailer to cut through,
whilst low-value ‘commoditised’ DM generates less impact. However,
the figures do not reflect the power of integrated communications,
where increasingly DM and e-mail are used together, and where the
response is likely to be via the most convenient mechanism rather
than the one that necessarily created the most impact.
�2 | Marketing effectiveness
0%
e-mail marketing
25%
Best
Average
Worst
1-5%27%
46%55%
6-10%20%
19%9%
11-15%
16-20%13%
8%
9%12%
21-30%
31-40%13%
7%
41-50%
More than 50%
direct mail marketing
7%39%
47%65%
53%
22%19%
7%
8%
1%1%
0%1%0%
0%1%
3%
4%0%1%
4%
0%1%
5%
3%1%
4%1%1%
2%6%
2%
2%
4%
5%2%
0%4%
6%1%0%
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5.4 Q For each of the following statements, please choose whether you think it applies mainly to mail or e-mail
E-mail Marketing NeitherEqually to bothMail Marketing Don’t Know
Good for relationship building
30% 39% 10%11% 11%
Good for awareness
27% 49% 4%9% 11%
Through a series of statements, respondents were asked to decide
whether they applied mostly to e-mail or postal marketing. Overall,
e-mail marketing proved to be the favourite choice for obtaining
good response rates, and for good short term and long term return
on investment. A resounding 73% considered e-mail marketing to
be best for the environment. When it came to relationship building,
awareness raising and acquiring high value customers, the majority of
respondents were inclined to view postal and e-mail equally.
Good for the environment
73% 8% 7%2% 9%
Good for acquiring high value customers
15% 28% 17%22% 18%
Good response rates
36% 29% 14%9% 11%
Good short term ROI
45% 24% 12%4% 15%
Good long term ROI
45% 24% 12% 15%4%
These results suggest that DM has something of an image problem
in B2B, scoring worse than e-mail on all but one criteria. The extent
to which these views are coloured by the cost and convenience of
e-mail as a channel cannot be quantified by this survey. Responses
to the final three questions, where ‘equally to both’ was the most
popular answer, suggest that integration remains key, and that
marketers cannot afford to ignore either channel. If they are purely
interested in measurement, the trackability of e-mail means that it
wins hands down.
Marketing effectiveness | ��
�� | Marketing effectiveness
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Section 6Environmental issues & corporate social responsibilityMarketers are at the forefront of the environmental and social revolution in business, not only in terms of the messages they send, but how they send them. This study aimed to gauge the impact of these twin concerns on marketers at a practical level, and understand the extent to which it was changing how they performed their role.
Environmental issues & corporate social responsibility | ��
6.2 Q Do you actively communicate your environmental credentials to B2B customers?
59% Decision Maker
21% Authoriser
20% Influencer
44% Decision Maker
19% Authoriser
38% Influencer
32% 250+
34% 50 to 249
31% 10 to 49
2% 1 to 9
30% 250+
26% 50 to 249
24% 10 to 49
20% 1 to 9
2007 2008
2007 2008
34% Extends internationally/worldwide
9% Extends to european markets
34% National/within the UK
11% Within the region
15% Within the local area
39% Extends internationally/worldwide
13% Extends to european markets
36% National/within the UK
10% Within the region
3% Within the local area
2007 2008
26% £11-£40 million
15% £6-£10 million
11% £6-£10 million
22% £2-£5 million
26% £1 million
47% Yes
53% No
58% Yes
37% No
35% Yes
65% No
7% Not at all well informed
29% Not very well informed
51% Fairly well informed
13% Very well informed
13% No
50% Yes for some campaigns
37% Yes for all campaigns
15% No
56% Yes for some campaigns
30% Yes for all campaigns
7% Other
19% IT
71% Marketing
2007 2008
27% Disagree
73% Agree
26% Yes for some campaigns
74% Agree
2007 2008
48% Disagree
52% Agree
51% Disagree
49% Agree
2007 2008
12% Don't know
54% No
34% Yes
5% Don't know
6% No
89% Yes
8% Don't know
49% No
33% Yes
28% Less important than in B2C marketing
5% More important than in B2C marketing
66% As important as in B2C marketing
26% £41+ Million
15% £11-£40 Million
11% £6-£10 Million
22% £2-£5 Million
26% £1 Million
11% Don't know
4% Internet
25% Newspaper
60% Direct Mail
40% Partial access only
22% No direct access/difficult to collate
38% Yes direct and immediate access
6.3 Q Which of the following do you use to do this?
Using standard logos
Messages within copy
42%
78%
13%
2%
Other
Don’t know
59% Decision Maker
21% Authoriser
20% Influencer
44% Decision Maker
19% Authoriser
38% Influencer
32% 250+
34% 50 to 249
31% 10 to 49
2% 1 to 9
30% 250+
26% 50 to 249
24% 10 to 49
20% 1 to 9
2007 2008
2007 2008
34% Extends internationally/worldwide
9% Extends to european markets
34% National/within the UK
11% Within the region
15% Within the local area
39% Extends internationally/worldwide
13% Extends to european markets
36% National/within the UK
10% Within the region
3% Within the local area
2007 2008
26% £11-£40 million
15% £6-£10 million
11% £6-£10 million
22% £2-£5 million
26% £1 million
47% Yes
53% No
58% Yes
37% No
35% Yes
65% No
7% Not at all well informed
29% Not very well informed
51% Fairly well informed
13% Very well informed
13% No
50% Yes for some campaigns
37% Yes for all campaigns
15% No
56% Yes for some campaigns
30% Yes for all campaigns
7% Other
19% IT
71% Marketing
2007 2008
27% Disagree
73% Agree
26% Yes for some campaigns
74% Agree
2007 2008
48% Disagree
52% Agree
51% Disagree
49% Agree
2007 2008
12% Don't know
54% No
34% Yes
5% Don't know
6% No
89% Yes
8% Don't know
49% No
33% Yes
28% Less important than in B2C marketing
5% More important than in B2C marketing
66% As important as in B2C marketing
26% £41+ Million
15% £11-£40 Million
11% £6-£10 Million
22% £2-£5 Million
26% £1 Million
11% Don't know
4% Internet
25% Newspaper
60% Direct Mail
40% Partial access only
22% No direct access/difficult to collate
38% Yes direct and immediate access
6.1 Q Which communication channel do you feel has the biggest carbon footprint?
A minority respondents (9%) have already measured the extent to
which their customers are concerned with green issues; and a high
63% do not believe there is enough information available for marketers
on the environmental impact of their actions.
�� | Environmental issues & corporate social responsibility
Only one third of respondent companies actively communicate their
environmental credentials to their B2B customers, mainly achieved
through messages within copy (78%) and using standard logos (42%).
This suggests there are few recognised standard environmental
credentials which endorse an organisation’s marketing sustainability.
Almost two thirds of respondents consider direct marketing to have
the biggest carbon footprint, over newspaper production (25%) and
the internet (4%).
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Environmental issues & corporate social responsibility | ��
6.5 Q Are environmental actions included in your CSR programme?
59% Decision Maker
21% Authoriser
20% Influencer
44% Decision Maker
19% Authoriser
38% Influencer
32% 250+
34% 50 to 249
31% 10 to 49
2% 1 to 9
30% 250+
26% 50 to 249
24% 10 to 49
20% 1 to 9
2007 2008
2007 2008
34% Extends internationally/worldwide
9% Extends to european markets
34% National/within the UK
11% Within the region
15% Within the local area
39% Extends internationally/worldwide
13% Extends to european markets
36% National/within the UK
10% Within the region
3% Within the local area
2007 2008
26% £11-£40 million
15% £6-£10 million
11% £6-£10 million
22% £2-£5 million
26% £1 million
47% Yes
53% No
58% Yes
37% No
35% Yes
65% No
7% Not at all well informed
29% Not very well informed
51% Fairly well informed
13% Very well informed
13% No
50% Yes for some campaigns
37% Yes for all campaigns
15% No
56% Yes for some campaigns
30% Yes for all campaigns
7% Other
19% IT
71% Marketing
2007 2008
27% Disagree
73% Agree
26% Yes for some campaigns
74% Agree
2007 2008
48% Disagree
52% Agree
51% Disagree
49% Agree
2007 2008
12% Don't know
54% No
34% Yes
5% Don't know
6% No
89% Yes
8% Don't know
49% No
33% Yes
28% Less important than in B2C marketing
5% More important than in B2C marketing
66% As important as in B2C marketing
26% £41+ Million
15% £11-£40 Million
11% £6-£10 Million
22% £2-£5 Million
26% £1 Million
11% Don't know
4% Internet
25% Newspaper
60% Direct Mail
40% Partial access only
22% No direct access/difficult to collate
38% Yes direct and immediate access
6.4 Q Does your company have a corporate social responsibility (CSR) programme?
59% Decision Maker
21% Authoriser
20% Influencer
44% Decision Maker
19% Authoriser
38% Influencer
32% 250+
34% 50 to 249
31% 10 to 49
2% 1 to 9
30% 250+
26% 50 to 249
24% 10 to 49
20% 1 to 9
2007 2008
2007 2008
34% Extends internationally/worldwide
9% Extends to european markets
34% National/within the UK
11% Within the region
15% Within the local area
39% Extends internationally/worldwide
13% Extends to european markets
36% National/within the UK
10% Within the region
3% Within the local area
2007 2008
26% £11-£40 million
15% £6-£10 million
11% £6-£10 million
22% £2-£5 million
26% £1 million
47% Yes
53% No
58% Yes
37% No
35% Yes
65% No
7% Not at all well informed
29% Not very well informed
51% Fairly well informed
13% Very well informed
13% No
50% Yes for some campaigns
37% Yes for all campaigns
15% No
56% Yes for some campaigns
30% Yes for all campaigns
7% Other
19% IT
71% Marketing
2007 2008
27% Disagree
73% Agree
26% Yes for some campaigns
74% Agree
2007 2008
48% Disagree
52% Agree
51% Disagree
49% Agree
2007 2008
12% Don't know
54% No
34% Yes
5% Don't know
6% No
89% Yes
8% Don't know
49% No
33% Yes
28% Less important than in B2C marketing
5% More important than in B2C marketing
66% As important as in B2C marketing
26% £41+ Million
15% £11-£40 Million
11% £6-£10 Million
22% £2-£5 Million
26% £1 Million
11% Don't know
4% Internet
25% Newspaper
60% Direct Mail
40% Partial access only
22% No direct access/difficult to collate
38% Yes direct and immediate access
It is surprising and perhaps worrying that only a third of B2B
companies have a CSR programme, despite growing interest around
this issue in the wider corporate world. This would suggest that
perhaps B2C organisations – with their higher visibility – are leading
the way in this area, and B2B brands have yet to either recognise the
importance of this issue or turn recognition into action.
It is important to note that CSR does not purely and simply relate
to environmental issues – it relates to society in the wider sense.
The response to this question suggests that there may still be some
confusion regarding this qualifi cation amongst B2B companies.
6.6 Q Which environmental actions are included in your CSR programme?
B2B organisations are acknowledging the role that marketing has to
play in visible environmental best practice, but quite rightly it is not the
top priority for most organisations.
Arguably more targeted marketing will involve a reduction in the use of
resources, and therefore improve the carbon footprint of marketing, as
well as cutting costs and increasing effectiveness.
Facilities management – e.g. making sure the company is
efficiently heated
Use of resources – limiting printing, turning lights off etc
67%
91%
69%
53%
Reducing use of mail/postal marketing
Limiting collateral production
�� | Environmental issues & corporate social responsibility
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Section 7Marketing dataMarketing data is the lifeblood of any B2B marketing function, but all too often it is treated as a tactical rather than strategic resource, or ignored altogether. B2B Marketing Insight sought to chart the evolution in marketers’ management and use of data, and understand how it could best be enhanced.
Marketing data | ��
sponsored by
�0 | Marketing data
Reviewing the fi ndings of this latest B2B Insight Survey generated some mixed feelings. Looking at
the good news fi rst, it’s clear that B2B marketing as a discipline is being increasingly recognised
and its value appreciated. That much is obvious from the increase in B2B marketing spend
over the last couple of years, which the survey highlights and the anticipation by two-thirds of
respondents of further increases in budget going forward. What’s more, the confi dence expressed
in what the future holds, despite an uncertain economic climate, points to a discipline that has
belief in its ability to deliver return on investment and really impact on an organisation’s bottom line.
Also very encouraging is the approach to segmentation and targeting highlighted in the research
fi ndings. B2B marketers, like their B2C counterparts, appreciate that different channels and
creatives are necessary to target organisations that are of different sizes and operate in very
different market sectors. In the wider industry, adopting this approach has created some fantastic
B2B brands. Strong, clearly defi ned brands are not only found in the consumer space and this is
again refl ected in the fact that B2B marketers consider brands to be as important in their arena as
in B2C marketing.
So where’s the problem? Well, not surprisingly, perhaps, it’s to do with data. A key concern
has to be the fact that an increasing number of marketers do not have direct access to their
customer data and the perception that the data they hold is decreasing in quality and depth.
From the outside, it’s diffi cult to know why marketers are not getting access to the data they rely
on for marketing, but the outcome is clear: a real lack of insight and intelligence when developing
marketing campaigns that must surely affect their impact. As far as data quality is concerned,
perhaps we shouldn’t be surprised by the negative trend, since the majority of organisations
appear to rely on their sales teams to update data. The foundation for any successful direct mail
or e-mail marketing campaign has to be good quality data. Without this what are the chances of
effectively targeting the right people, with the right message in the fi rst place? This is surely one
area where B2B marketing lags behind consumer marketing and one that needs urgent attention.
Nick frazerHead of B2B Marketing Experian Business Information
Sponsor’s comment: Poor access to data is hampering growth.
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A relatively high percentage of respondents (78%) claimed that their
customer data is collated and managed centrally within the business;
however, only 38% of these have direct access to this data to develop
insights and evaluate performance.
7.1 Q Does your marketing function have access to customer data to develop insights and evaluate performance?
59% Decision Maker
21% Authoriser
20% Influencer
44% Decision Maker
19% Authoriser
38% Influencer
32% 250+
34% 50 to 249
31% 10 to 49
2% 1 to 9
30% 250+
26% 50 to 249
24% 10 to 49
20% 1 to 9
2007 2008
2007 2008
34% Extends internationally/worldwide
9% Extends to european markets
34% National/within the UK
11% Within the region
15% Within the local area
39% Extends internationally/worldwide
13% Extends to european markets
36% National/within the UK
10% Within the region
3% Within the local area
2007 2008
26% £11-£40 million
15% £6-£10 million
11% £6-£10 million
22% £2-£5 million
26% £1 million
47% Yes
53% No
58% Yes
37% No
35% Yes
65% No
7% Not at all well informed
29% Not very well informed
51% Fairly well informed
13% Very well informed
13% No
50% Yes for some campaigns
37% Yes for all campaigns
15% No
56% Yes for some campaigns
30% Yes for all campaigns
7% Other
19% IT
71% Marketing
2007 2008
27% Disagree
73% Agree
26% Yes for some campaigns
74% Agree
2007 2008
48% Disagree
52% Agree
51% Disagree
49% Agree
2007 2008
12% Don't know
54% No
34% Yes
5% Don't know
6% No
89% Yes
8% Don't know
49% No
33% Yes
28% Less important than in B2C marketing
5% More important than in B2C marketing
66% As important as in B2C marketing
26% £41+ Million
15% £11-£40 Million
11% £6-£10 Million
22% £2-£5 Million
26% £1 Million
11% Don't know
4% Internet
25% Newspaper
60% Direct Mail
40% Partial access only
22% No direct access/difficult to collate
38% Yes direct and immediate access
7.2 Q How would you rate the quality of data you hold on your customers in terms of the following:
Accuracy of information held
Good PoorAverageExcellent Very poor
36% 21% 10%
17% 39% 25%
6%
9%
9%
11%
Depth of information held
36% 39% 10%
51% 28% 9%
9%
12%
6%
1%
2008
2008
2007
2007
Marketing data | �1
Just under half of respondents feel that the quality of their customer
data in terms of accuracy is either good or excellent. This has declined
almost 20% since 2007, as has the number of respondents who are
happy with the depth of customer information held.
More than a quarter of respondents cleanse their customer data on an
ongoing basis through regular customer contact (presumably via the
sales team) and a further 21% update theirs at least every six months.
A potential concern is that almost one third describe their approach to
data cleansing and refreshment as ‘ad hoc’ meaning that they have no
strategy for this and it is done at random intervals, presumably when
the need becomes critical. Worse, almost one in ten have ‘never’
cleansed or refreshed their database. Only a quarter of respondents
clean and refresh at least every six months, which should be
described as the minimum standard for effective data management,
to enable effective B2B marketing.
7.3 Q As a business, how often do you look to refresh and clean your customer data?
Ongoing, through regular customer contact
Quarterly
12%12%Every six months
Annually
Ad hoc
Never
30%45%
11%25%
11%12%
8%6%
�2 | Marketing data
28%0%
2007
2008
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Marketing data | ��
7.4 Q How do you cleanse your data?
The most popular method for data cleansing is via the sales team,
which is widely accepted as not the most objective means of
maintaining the optimum client database. Sales executives by their
very nature are focused on meeting their own sales targets rather than
maintaining a database which rivals could potentially exploit, therefore
the information provided by them is often patchy at best.
The second most popular means of validating data is through
telemarketing, followed by feedback from research. Only a relative
minority match their data against that owned by third parties, or utilise
an online solution to cleanse/verify their data. These can be more
simplistic and cost effective means of ensuring a good supply of
marketing data than relying on telemarketing, and failure to use them
suggests marketers may be missing a trick. Many respondents use
more than one method to cleanse their customer data.
Feedback from research
Sales team
Telemarketing to verify/validate
Update against data from third party supplier
Via automated online solution
Other
We don’t
Don’t know
2007
2008
53%45%
57%9%
18%22%
15%10%
7%11%
19%32%
11%
9%
0%
0%
The most commonly used methods for gathering prospect data are
through the websites, events and purchased lists. E-mail newsletters
and direct mail are the most popular methods used to maintain
7.5 Q Which of these methods do you use to maintain contact with prospects? And which is most effective in converting to sale?
Customer magazines
E-mail newsletters
56%25%
Direct mail
Corporate hospitality
Other bespoke events
Other
33%42%
21%65%
36%36%
50%19%
Maintain Contact
Convert to Sale
11%19%
7.6 Q How do you typically segment and target your customers?
By
acco
unt
man
ager
By
cust
omer
sta
tus
By
func
tion
(e.g
. op
erat
ion,
p
urch
asin
g, t
echn
ical
, etc
By
futu
re v
alue
By
ind
ustr
y se
ctor
/sub
sec
tor
By
need
s
By
per
ceiv
ed
stra
tegi
c im
por
tanc
e
By
pro
duc
t/se
rvic
e
By
pur
chas
ing
beh
avio
ur
By
regi
on/c
ount
ry
By
reve
nue/
sale
s
By
pro
fitab
ility
By
size
Oth
er
Non
e/W
e d
on’t
Don
’t k
now
28% 31
%
40%
13%
64%
24%
14%
36%
6%13%
20%
32%
43%
13%
3% 6%
In support of earlier findings,
64% of respondents confirm
they typically segment and target
customers by industry sector;
with 43% by region and 40%
by job function. These results
remain fairly consistent with the
conclusions of B2B Marketing
Insight 2007.
It is alarming to note that only
13% of respondents segment
against either ‘future value’ or
‘profitability’, which are arguably
the two key segmentation criteria.
contact with prospects; it is therefore not surprising that 46% of
respondents find these methods most effective for converting to
a sale.
�� | Marketing data
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Section 8BrandingBranding is a perennial issue in B2B marketing, with many marketers failing to develop, let alone maintain, effective brand communication strategies. The authors were anxious to demonstrate the understanding of branding across the B2B marketing sector, as well as the extent to which companies and practitioners actually seek to put the theory into practice through development and maintenance of the strategic brand infrastructure.
Branding | ��
Two thirds of respondents demonstrated a healthy respect for brand
and branding, with two thirds suggesting brand is as important in
B2B as it is B2C, countering the widely held view that brand is not
appreciated by B2B organisations.
59% Decision Maker
21% Authoriser
20% Influencer
44% Decision Maker
19% Authoriser
38% Influencer
32% 250+
34% 50 to 249
31% 10 to 49
2% 1 to 9
30% 250+
26% 50 to 249
24% 10 to 49
20% 1 to 9
2007 2008
2007 2008
34% Extends internationally/worldwide
9% Extends to european markets
34% National/within the UK
11% Within the region
15% Within the local area
39% Extends internationally/worldwide
13% Extends to european markets
36% National/within the UK
10% Within the region
3% Within the local area
2007 2008
26% £11-£40 million
15% £6-£10 million
11% £6-£10 million
22% £2-£5 million
26% £1 million
47% Yes
53% No
58% Yes
37% No
35% Yes
65% No
7% Not at all well informed
29% Not very well informed
51% Fairly well informed
13% Very well informed
13% No
50% Yes for some campaigns
37% Yes for all campaigns
15% No
56% Yes for some campaigns
30% Yes for all campaigns
7% Other
19% IT
71% Marketing
2007 2008
27% Disagree
73% Agree
26% Yes for some campaigns
74% Agree
2007 2008
48% Disagree
52% Agree
51% Disagree
49% Agree
2007 2008
12% Don't know
54% No
34% Yes
5% Don't know
6% No
89% Yes
8% Don't know
49% No
33% Yes
28% Less important than in B2C marketing
5% More important than in B2C marketing
66% As important as in B2C marketing
26% £41+ Million
15% £11-£40 Million
11% £6-£10 Million
22% £2-£5 Million
26% £1 Million
11% Don't know
4% Internet
25% Newspaper
60% Direct Mail
40% Partial access only
22% No direct access/difficult to collate
38% Yes direct and immediate access
8.1 Q How important do you think that brands are generally in B2B marketing?
�� | Branding
8.2 Q How important are brands within your organisation?
1%2% 5% 6% 18% 13% 14% 23% 5% 13%
1 2 3 4 5 6 7 8 9 10
On a scale of 1 to 10 where 1 = not at all important and 10 = very important
Brand was also recognised as important within B2B marketing
organisations, with 41% of respondents rating brand importance
within their own organisation as at least 8 out of 10.
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Branding | ��
8.3 Q Which of the following apply to your organisation’s B2B marketing?
32%
52%
30%
You have a defi ned brand values system
45%
46%
9%
7%
34%
You have a clearly defi ned vision/mission statement
You have a corporate brand architecture
You have a defi ned brand ethos for all brands within the organisation
You promote corporate brands
You promote product/service brands
You value brands on the balance sheet
You measure the value of your brand equality
9%
6%
None
Don’t know
A surprisingly low percentage (9%) value their brand on the company
balance sheet, whilst only 7% measure the value of brand equity.
Brand infrastructure across the board tends to be relatively poorly
developed, with less than a third having defi ned a brand values system
or defi ning an ethos for brands and only slightly more claiming to have
a brand architecture. Whilst the importance of brands are understood,
there appears to be a reluctance to translate this into action.
�� | Branding
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Section 9Keeping up-to-dateMarketing is a rapidly evolving profession, and it is essential for practitioners to stay informed about the latest developments and innovations in order to ensure they are being as effective as possible in meeting their organisation’s objectives. The survey therefore sought to gauge the extent to which marketers used the different information sources, and in particular aligned themselves with trade bodies or institutes for continuous professional development.
Keeping up-to-date | ��
This validates earlier results relating to marketers’ spend on events
– not only are events and face-to-face marketing proving more popular
amongst marketers from a communications perspective, they are
also increasingly using them to further their own knowledge. In recent
years, practitioners have become increasingly reluctant to take time
out of the office to attend marketing events and exhibitions. These
results suggest that this tide may have turned, and that once again
marketers are seeking to ‘hear it from the horse’s mouth’.
9.1 Q How do you keep up-to-date with trends and new developments in B2B marketing?
55%67%
38%46%
Conferences/Events
Membership bodies
96%85%
77%80%
Publications
Websites
4%11%
Other
The apparent growth in membership of trade bodies is most likely to
be a reflection of the differing characteristics of this year’s response
base, rather than a dramatic shift in attitude to trade bodies – their
membership figures will reflect this. However, the growth in importance
of the Internet as an education/knowledge channel is likely to be
reflective of a gradual migration towards online information resources.
�0 | Keeping up-to-date
2007
2008
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Respondents were asked to indicate whether they are a member of
any industry bodies. Surprisingly, less than a third stated that they are
CIM members, and just less than half (46%) stated that they are not
a member of any industry body suggesting that currently none of the
trade bodies in existence meet their needs or requirements.
Members
30%Chartered Institute of Marketing
Chartered Institute of Public Relations
2%
8%Direct Marketing Association
Institute of Direct Marketing
10%
8%Institute of Directors
Institute of Sales Promotions
Marketing Research Society
Marketing Society
Other
None
13%
46%
1%
4%
2%
9.2 Q Which industry membership body are you a member of?
Keeping up-to-date | �1
45%13%
Chartered Institute of Marketing
Chartered Institute of Public Relations
1%1%
Direct Marketing Association
12%5%
Institute of Direct Marketing
14%5%
Institute of Directors
Institute of Sales Promotions
7%4%
Marketing Research Society
Marketing Society
1%
Other
None
17%5%
5%
1%1%
65%
Best Value for MoneyBest Meets Needs
9.3 Q Which industry membership body best meets your needs/best represents value for money?
�2 | Keeping up-to-date
Almost two thirds of respondents felt that no memberships
represented value for money, however this is likely to reflect the
high number who are not a member of any body. The CIM was by
far the most likely to meet the needs of respondents, and was also
considered the best value for money.
1%1%
1%
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Appendices:
1. Detailed profile of respondents
2. Author biographies
Appendices | ��
Respondent profile
A1 Q In terms of your marketing role, is it
64%66%
25%19%
11%16%
All B2B
Mainly B2B
Equal Split between B2B and B2C
The results from this question confirm, once again, that B2B is not a
completely ring-fenced and a sharply defined section of the marketing
community. Far from it in fact, when for more than 15% their activity is
evenly split between B2B and B2C. This question demonstrates that a
large number of brands conduct both B2B and B2C activity. The most
obvious example of this is marketing to channel partners (resellers or
distributors etc.) who then ultimately market products to consumers.
This is particularly the case in an industry like financial services, where
many brands have no direct interaction with the ultimate consumer.
However, we do not suggest that this is a representative reflection
of the whole marketing sector, as only those organisation with a
significant B2B operation were asked to participate.
�� | Appendices
2007
2008
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A2 Q What level of marketing budget are you responsible for?
Up to £100k
£100k-£199k
£200-£499k
£500k-£749k
£750k-£1m
>£1m
23%46%
16%17%
14%15%
No budget set
10%6%
6%
11%7%
20%7%
2%
The spread of marketing budgets reflects the broad range of B2B
companies operating within the UK. A very small number at the top
boast £1 million plus budgets, whilst just less than 50% have under
£100,000 annual marketing spend at their disposal. It also reflects
the fact that there are far more small companies in the economy than
there are big ones – the total number of businesses registered in
the UK is between 2.5 and 4 million, depending on which source of
information you use.
This reinforces the view that the majority of B2B marketers have to
make best use of quite limited resources, and that ROI and the ability
to measure the effectiveness of that spend is critical.
Appendices | ��
2007
2008
Respondents covered a range of age groups, with the majority (73%)
falling into the 25-44 category.
A4 Q Are you...?
64%66%
25%19%
Female
Male
The B2B marketing community is relatively evenly split between the
sexes, with men only holding a narrow majority over women and
the gap being ever so slightly reduced since 2007 results. This may
compare favourably with other management functions, such as
finance or technology, which are traditionally more male-dominated.
A3 Q Which age band do you fall into?
8%7%
42%37%
Under 25
25-34
37%36%
9%13%
35-44
45-54
4%7%
55+
�� | Appendices
2007
2008
2007
2008
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More than one third of respondents had a job title solely related
to Marketing (Marketing Director, Marketing Manager, Head of
Marketing). The number of Marketing Managers taking part in this
research has reduced by half, from 50% in 2007 to 26% in 2008,
whilst the number of owners/MDs participating has increased
significantly, the majority of whom are from smaller companies. This
is certainly a reflection of a broader and slightly different participant
A5 Q What is your job title?
Owner/MD
Sales & Marketing Director
Marketing Director
Other Director
Head of Marketing
Marketing Manager
6%7%
10%6%
Product/Brand Manager
50%26%
20%3%
6%
4%
Marketing/Sales Executive 6%13%
Other4%
11%
A6 Q Number of Employees & Job Title
Owner/MD
Sales & Marketing Director
Marketing Director
Other Director
Head of Marketing
13%
2%
2%
1%
6% 1%
2% 2% 1%
2% 2%
1%1%1%
1% 3% 2% 5%
1% 6% 8% 11%
2%1% 1%
1% 2% 7% 4%
2% 3% 4%3%
Product/Brand Manager
Marketing/Sales Executive
Other
Marketing Manager
Appendices | ��
group for the 2008 survey. However, it does also reflect the fact that
in many micro-businesses (under 10 employees) there is no formal
marketing function and responsibility for this area is picked up by the
owner or MD, who often have limited expertise. Their willingness to
bring in specialist marketing expertise is likely to be a key factor in
their ongoing growth rate.
12%10%
2007
2008
50 to 249
250+
1 to 9
10 to 49
3%
3%
A7 Q Which of the following salary bands do you fall into?
Up to £20k
£21k-£30k
£31k-£40k
£41k-£50k
£51k-£60k
£61k-£80k
8%5%
21%19%
25%18%
£81k-£100k
14%14%
6%5%
12%10%
6%7%
More than £100k1%
7%
Prefer not to say 8%14%
A8 Q What level of decision making responsibility do you have?
59% Decision Maker
21% Authoriser
20% Influencer
44% Decision Maker
19% Authoriser
38% Influencer
32% 250+
34% 50 to 249
31% 10 to 49
2% 1 to 9
30% 250+
26% 50 to 249
24% 10 to 49
20% 1 to 9
2007 2008
2007 2008
34% Extends internationally/worldwide
9% Extends to european markets
34% National/within the UK
11% Within the region
15% Within the local area
39% Extends internationally/worldwide
13% Extends to european markets
36% National/within the UK
10% Within the region
3% Within the local area
2007 2008
26% £11-£40 million
15% £6-£10 million
11% £6-£10 million
22% £2-£5 million
26% £1 million
47% Yes
53% No
58% Yes
37% No
35% Yes
65% No
7% Not at all well informed
29% Not very well informed
51% Fairly well informed
13% Very well informed
13% No
50% Yes for some campaigns
37% Yes for all campaigns
15% No
56% Yes for some campaigns
30% Yes for all campaigns
7% Other
19% IT
71% Marketing
2007 2008
27% Disagree
73% Agree
26% Yes for some campaigns
74% Agree
2007 2008
48% Disagree
52% Agree
51% Disagree
49% Agree
2007 2008
12% Don't know
54% No
34% Yes
5% Don't know
6% No
89% Yes
8% Don't know
49% No
33% Yes
28% Less important than in B2C marketing
5% More important than in B2C marketing
66% As important as in B2C marketing
26% £41+ Million
15% £11-£40 Million
11% £6-£10 Million
22% £2-£5 Million
26% £1 Million
11% Don't know
4% Internet
25% Newspaper
60% Direct Mail
40% Partial access only
22% No direct access/difficult to collate
38% Yes direct and immediate access
Respondents to this survey represented a broad range of salary
bands, with almost a quarter earning over £60k. Curiously, the
number of respondents who were unwilling to reveal their salary grew
signifi cantly. It is possible that there is a strong correlation between this
group and the increased number of MDs participating in this survey.
�� | Appendices
2007
2008
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For the majority of the sample, the scope of their business is at least
national, with 52% indicating that their market extends overseas.
A9 Q Number of employees
59% Decision Maker
21% Authoriser
20% Influencer
44% Decision Maker
19% Authoriser
38% Influencer
32% 250+
34% 50 to 249
31% 10 to 49
2% 1 to 9
30% 250+
26% 50 to 249
24% 10 to 49
20% 1 to 9
2007 2008
2007 2008
34% Extends internationally/worldwide
9% Extends to european markets
34% National/within the UK
11% Within the region
15% Within the local area
39% Extends internationally/worldwide
13% Extends to european markets
36% National/within the UK
10% Within the region
3% Within the local area
2007 2008
26% £11-£40 million
15% £6-£10 million
11% £6-£10 million
22% £2-£5 million
26% £1 million
47% Yes
53% No
58% Yes
37% No
35% Yes
65% No
7% Not at all well informed
29% Not very well informed
51% Fairly well informed
13% Very well informed
13% No
50% Yes for some campaigns
37% Yes for all campaigns
15% No
56% Yes for some campaigns
30% Yes for all campaigns
7% Other
19% IT
71% Marketing
2007 2008
27% Disagree
73% Agree
26% Yes for some campaigns
74% Agree
2007 2008
48% Disagree
52% Agree
51% Disagree
49% Agree
2007 2008
12% Don't know
54% No
34% Yes
5% Don't know
6% No
89% Yes
8% Don't know
49% No
33% Yes
28% Less important than in B2C marketing
5% More important than in B2C marketing
66% As important as in B2C marketing
26% £41+ Million
15% £11-£40 Million
11% £6-£10 Million
22% £2-£5 Million
26% £1 Million
11% Don't know
4% Internet
25% Newspaper
60% Direct Mail
40% Partial access only
22% No direct access/difficult to collate
38% Yes direct and immediate access
59% Decision Maker
21% Authoriser
20% Influencer
44% Decision Maker
19% Authoriser
38% Influencer
32% 250+
34% 50 to 249
31% 10 to 49
2% 1 to 9
30% 250+
26% 50 to 249
24% 10 to 49
20% 1 to 9
2007 2008
2007 2008
34% Extends internationally/worldwide
9% Extends to european markets
34% National/within the UK
11% Within the region
15% Within the local area
39% Extends internationally/worldwide
13% Extends to european markets
36% National/within the UK
10% Within the region
3% Within the local area
2007 2008
26% £11-£40 million
15% £6-£10 million
11% £6-£10 million
22% £2-£5 million
26% £1 million
47% Yes
53% No
58% Yes
37% No
35% Yes
65% No
7% Not at all well informed
29% Not very well informed
51% Fairly well informed
13% Very well informed
13% No
50% Yes for some campaigns
37% Yes for all campaigns
15% No
56% Yes for some campaigns
30% Yes for all campaigns
7% Other
19% IT
71% Marketing
2007 2008
27% Disagree
73% Agree
26% Yes for some campaigns
74% Agree
2007 2008
48% Disagree
52% Agree
51% Disagree
49% Agree
2007 2008
12% Don't know
54% No
34% Yes
5% Don't know
6% No
89% Yes
8% Don't know
49% No
33% Yes
28% Less important than in B2C marketing
5% More important than in B2C marketing
66% As important as in B2C marketing
26% £41+ Million
15% £11-£40 Million
11% £6-£10 Million
22% £2-£5 Million
26% £1 Million
11% Don't know
4% Internet
25% Newspaper
60% Direct Mail
40% Partial access only
22% No direct access/difficult to collate
38% Yes direct and immediate access
59% Decision Maker
21% Authoriser
20% Influencer
44% Decision Maker
19% Authoriser
38% Influencer
32% 250+
34% 50 to 249
31% 10 to 49
2% 1 to 9
30% 250+
26% 50 to 249
24% 10 to 49
20% 1 to 9
2007 2008
2007 2008
34% Extends internationally/worldwide
9% Extends to european markets
34% National/within the UK
11% Within the region
15% Within the local area
39% Extends internationally/worldwide
13% Extends to european markets
36% National/within the UK
10% Within the region
3% Within the local area
2007 2008
26% £11-£40 million
15% £6-£10 million
11% £6-£10 million
22% £2-£5 million
26% £1 million
47% Yes
53% No
58% Yes
37% No
35% Yes
65% No
7% Not at all well informed
29% Not very well informed
51% Fairly well informed
13% Very well informed
13% No
50% Yes for some campaigns
37% Yes for all campaigns
15% No
56% Yes for some campaigns
30% Yes for all campaigns
7% Other
19% IT
71% Marketing
2007 2008
27% Disagree
73% Agree
26% Yes for some campaigns
74% Agree
2007 2008
48% Disagree
52% Agree
51% Disagree
49% Agree
2007 2008
12% Don't know
54% No
34% Yes
5% Don't know
6% No
89% Yes
8% Don't know
49% No
33% Yes
28% Less important than in B2C marketing
5% More important than in B2C marketing
66% As important as in B2C marketing
26% £41+ Million
15% £11-£40 Million
11% £6-£10 Million
22% £2-£5 Million
26% £1 Million
11% Don't know
4% Internet
25% Newspaper
60% Direct Mail
40% Partial access only
22% No direct access/difficult to collate
38% Yes direct and immediate access
A11 Q Turnover of business
Appendices | ��
A10 Q Scope of business
About the respondent organisations
The B2B marketers surveyed covered a broad range of industry
sectors, with strong representation from businesses in the ICT sector.
It will come as little surprise that IT/telecoms represented the
biggest group in the sample, as this is commonly recognised as the
largest section of the B2B community, with the greatest number
of companies chasing the broadest range of business customers.
However, the strong response from industrial/manufacturing
companies is surprising, given the widely discussed decline of
this sector in recent decades. Conventional wisdom is that these
organisations have not been quick to embrace marketing, and
are generally slow to adopt new methods of generating business.
However, the level of response to this survey from this group serves to
undermine this preconception.
A12 Q Which of the following best categorises the nature of your business?
Agriculture/Forestry
Automotive
Banking/Financial Services/Insurance
Building/ Construction/Property
Business Services/Recruitment/Distribution/Logistics/Utilities/Airlines
Charity/Voluntary/ Social Enterprise
Education/Training
Engineering/Industrial/Manufacturing
Entertainment/Leisure
Restaurant/ Catering/Hotel
IT/Computing/Telecommunications/Security Technology
Marketing services/New Media
Professional services/Research and consulting/Professional services within the Building and Construction industry
Public sector/Government
Publishing/Media/Broadcast Services/Media
and technology provider
Retail/Wholesale/ Franchisor
Other
�0 | Appendices
6%9%
9%7%
6%7%
10%14%
29%22%
8%
7%6%
16%12%
12%8%
2007
2008
1%1%
1%0%
4%3%
2%1%
3%4%
1%0%
4%
2%1%
2%1%
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Joel Harrison is Founding Editor of B2B Marketing magazine, and Director of its publishing
company Silver Bullet Publishing. Joel began his career in professional publishing at Incisive
Research, now part of publishing giant Incisive Media, managing its portfolio of newsletter titles
targeting the financial services sector – including Financial IT and Financial Marketing. He moved
to Trades Exhibitions in 1999 to edit Incentive Today, and during his four year tenure focused it
towards the emerging field of motivation, launching The Motivation Awards in 2002.
B2B Marketing was launched in June 2004, serving a long-ignored niche in the marketing
sector, under Joel’s editorial stewardship. The magazine has been enthusiastically welcomed
by advertisers and subscribers alike, and the B2B Marketing brand has since been expanded to
encompass a range of associated and complementary products, including the B2B
Marketing Awards.
Kathryn Courtenay-Evans became Managing Director of Maven Research in 2006, following
11 successful years with the company. In 2007 Maven became part of the Munro Global group
of companies, a recognised centre of excellence in the provision of research-focused marketing
services solutions.
Kathryn has extensive experience in running and managing projects containing both qualitative
and quantitative research elements. These include customer satisfaction studies; employee
engagement and loyalty research; product and service benchmarking; and working with clients
to create action plans and set targets based on research findings. Maven specialises in finance,
automotive, utilities and B2B research sectors; current clients include British Gas, Lloyds TSB,
Mercedes Benz, G4S and Balfour Beatty Capital.
In addition to directing a number of key accounts, Kathryn manages the company strategy and
direction with the support of the senior team. Kathryn has a BA (Hons) degree in Geography
from the University of London. She is a member of the Chartered Institute of Marketing, and an
associate member of the Market Research Society.
Danny Turnbull is General Manager at Gyro International in Manchester but still maintains an
active involvement with all the agency’s major clients. He has extensive experience working on a
wide variety of blue chip brands including Granada, Littlewoods, DAF, BUPA, Thomson, GE TLS,
Business Express, British Gas, Alliance and Leicester, NFU and RBS.
His experience encompasses a broad cross section of marketing communications disciplines
across a spectrum of sectors and industries. With a BSc in Management and Economics, along
with an MBA, he has spent 15 years working in marketing communications. Before working at
Gyro he worked at award winning consumer agency BJL in Manchester and in pharmaceutical
marketing specialists GCC where he was responsible for assisting SmithKline Beecham in their
worldwide product launch strategies for hypertension products. He began his career working
‘client side’ in marketing communications within the electronic engineering and environmental
monitoring sector.
Joel harrison Editor B2B Marketing
Kathryn Courtenay-Evans Managing Director Maven Research
Danny Turnbull General Manager Gyro
Appendices | �1
Author biographies
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