Marketing Automation: The Power and the Glory

MARKETING AUTOMATION:

The Power and the Glory

Wednesday, June 12

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Christopher Hosford

East Cost Bureau Chief

BtoB & BtoBonline.com

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MARKETING

AUTOMATION

THE POWER OF

Panel

Jon Russo

Marketing technology consultant

B2B Fusion

Sal Abramo

Director-marketing operations

Thomson Reuters

John DiStefano

Research Director

BtoB Magazine

John DiStefano

Research Director

BtoB Magazine

Panelist

10

Marketing Automation Report

DRAFT WEBINAR SLIDES

June 2013

BtoB magazine 11

Introduction/Methodology

•From the period of April 8 to April 25 the true population of B2B

marketing professionals in the US were researched via a 33 question

online survey.

•A representative sample of the BtoB marketers audience was invited to

participate in the survey via email.

•A sample of 204 completes among marketers who are using marketing

automation was achieved.

•Confidence Interval: 95%

•Margin of Error: +/- 7%

Methods and procedures adhere to the standards and ethics established

by the Market Research Association (MRA-net.org). Individual

participant or participant company names are not disclosed. Results are

reported in aggregate only.

Fair Use Policy

All rights reserved. Crain Communications BtoB magazine. BtoB magazine grants the right to use when attributed to Crain

Communications/BtoB magazine. The opinions expressed herein are subject to change without notice.

BtoB magazine 12

Marketing Automation

BtoB magazine 13

Highest Level of Involvement

in Marketing Automation

13

N=452

Source: BtoB magazine: 2013 Marketing Automation, May 2013

BtoB magazine 14

Marketing Automation Adoption

14

N=204

Source: BtoB magazine: 2013 Marketing Automation, May 2013

BtoB magazine 15

Years Using Marketing Automation

15

N=204

Source: BtoB magazine: 2013 Marketing Automation, May 2013

BtoB magazine 16

Demand Gen Aligned with

Buyers Purchase Path

16

N=204

Source: BtoB magazine: 2013 Marketing Automation, May 2013

BtoB magazine 17

Most Important Marketing Channels

17

N=204

Source: BtoB magazine: 2013 Marketing Automation, May 2013

BtoB magazine 18

Satisfaction with Level of Contacts

18

N=204

Source: BtoB magazine: 2013 Marketing Automation, May 2013

BtoB magazine 19

Satisfaction with Current Lead Management

19

N=204

Source: BtoB magazine: 2013 Marketing Automation, May 2013

BtoB magazine 20

Need for Marketing Automation Functions

20

N=204

Source: BtoB magazine: 2013 Marketing Automation, May 2013

BtoB magazine 21

Funding Source for Marketing Automation

21

N=204

Source: BtoB magazine: 2013 Marketing Automation, May 2013

BtoB magazine 22

Time to Implement Marketing Automation

22

N=204

Source: BtoB magazine: 2013 Marketing Automation, May 2013

BtoB magazine 23

ROI Metric

23

N=204

Source: BtoB magazine: 2013 Marketing Automation, May 2013

BtoB magazine 24

Time to Positive ROI

24

N=204

Source: BtoB magazine: 2013 Marketing Automation, May 2013

BtoB magazine 25

Marketing Automation Value Proposition

25

N=204

Source: BtoB magazine: 2013 Marketing Automation, May 2013

BtoB magazine 26

Preferred Marketing Automation Features

26

N=204

Source: BtoB magazine: 2013 Marketing Automation, May 2013

BtoB magazine 27

Marketing Automation Vendor Value

Proposition

27

N=204

Source: BtoB magazine: 2013 Marketing Automation, May 2013

BtoB magazine 28

2014 Marketing Automation Adoption

28

Source: BtoB magazine: 2013 Marketing Automation, May 2013

BtoB magazine 29

2014 Marketing Automation Adoption

29

Source: BtoB magazine: 2013 Marketing Automation, May 2013

BtoB magazine 30

Obstacles

30

N=204

Source: BtoB magazine: 2013 Marketing Automation, May 2013

Sal Abramo

Director-marketing operations

Thomson Reuters

Panelist

SM

Sal Abramo Director of Marketing Operations Thomson Reuters, Inc. Profile: www.linkedin.com/in/salabramo

Marketing Automation – View From The Front-Line

CMO

Dir of Marketing Operations

Global Demand Generation Center Of Excellence

Business Units

Operations / Execution

•Translate strategic objectives to measurable demand gen categories, definitions and execution •Driving demand gen top-down goals recommendations •Planning tools, and waterfall objectives for efficiency gains •Definitions and global category alignment •Driving, lead scoring, SLA development and process definition •Best practice, training, documentation and coaching

•Reporting execution (real-time, weekly, quarterly, daily) one version of the truth available to all stakeholders 24/7 •Actions, recommendations on variances to goal along with plan development and execution •Lead /play discussion and evaluation, scoring, delivery to sales and SLA based action plans and results analysis •Play and campaign phasing and calendaring •Marketing Automation Platform management and program execution including regional support

Central Marketing, Content & Messaging

Strategy

Regional Marketing

The Challenge Of The New B-to-B Buyer

Buyers are more informed

Buyers need more (and earlier) ROI Buyers are less likely to engage earlier

•  Access to Content

•  Peer Network

•  Access to Data •  Reason to Change

•  Peer Examples

•  Executive Support •  Self Service

•  Network Introduction

•  Events Not Working

The sales cycle has changed The biggest challenge is getting the buyers attention

Typical Buying Cycle

Recent research indicates that typically the first 1/3 of the buying cycle - The Education Phase does not involve interacting with a sales rep

Event

Thought

Leadership

Marketing Leads

Industry Content

Email Intro

Event Invite Demo

Value

Demonstration

SME

Access

Competitive Review

Event

Invite

Sales Intro Exec

Value

Demonstration

Competitive Review

SME

Access Exec

Briefing

Reference

Invite

Marketing has an opportunity to align with sales and accelerate

The Buyers Journey

Sales and Marketing Alignment

Mission An mutually agreed to mission understood by sales and marketing

This is achieved via

• Clear roles

• Common definitions

• Assigned and understood partnerships

• Agreement and commitment to a plan

• Shared success benchmarks

• Performance objectives

• SLA’s in place

Communications Written and verbal Communications with agreed upon frequency that supports and maintains an

open dialog at all levels

This is achieved via

• Business partnership

• Cadence calls

• Frequent day to day interaction

• Plans, activities, schedules, campaign announcements

• Shared dashboards & KPI’s

• Debriefing & celebrating success

Process Development, agreement, communication and commitment to Processes is essential to achieve

business goals

This is achieved via: • Planning & approval processes • Operational processes

– Lead scoring & qualification process – Lead routing process – Lead action and SLA based processes

• Customer centric sales processes • Reporting processes

– Commitment to keep data current & updated – Consistent dashboard metrics – Closed loop reporting

Tools Seek and deploy tools that demonstrate results, remove ambiguity, facilitate the sharing of

information, and enable teams to replicate success

• CRM tool – Leads, pipeline, revenue, opportunity management, telemarketing, measurement & reporting

• Marketing Automation – Campaign management, lead scoring, tracks program results

• BI & Visualization tools – Model and strategize campaign execution, advanced list management, visualize integrated marketing results

• ERP and Web-Based tools – Manage and track orders and customer activity, execute and leverage web and social media interactions

Sales & Marketing Alignment Dimensions

• Mutual agreement on: – Goals and success measures

– Lead scoring, SLA’s, action process…

– Targeted segments, sub-segments, accounts

– Campaign and selling plays and themes

– Budget priorities by region

• Jointly shape strategic account planning

• Foster and strive for an environment of….Mutual Respect and corporation

Measuring Lead Quality Key

• Lead results in closed business! • Acceptance/rejection rate of leads • Lead is advanced thru demand funnel and

contributes to active company pipeline – As documented in sales cycle stage reports – Lead velocity reporting – speed from inquiry to close

• Lead to opportunity conversion – Target is 25%-30%

• Leads are BANT qualified • Regular qualitative feedback from sales team

Align Around the Funnel A great place to start!

•As leads are entered in the system at the Inquiry or Marketing Qualification stage, it is processed by the Inside Sales team •Inside Sales does initial touch qualification and determines if it is worth further sales qualification •Once a lead is assigned to Outside Sales for further follow up , contact it enters into the Sales Qualification stage •The Outside Sales rep can accept, reject, qualify or designate as an opportunity at this stage •Won business

Lessons Learned • Sales and marketing alignment central to success – a shared understanding of the

buying process is critical – establishment of SLA’s great first step

• Marketing automation will not fix broken sales and marketing processes – stuck in batch and blast, hunch based, outbound only processes …..simply do not work

• Highly targeted, valued content, personalized, right person, right time, right message is critical……always oriented to a clear call to action

• A healthy, ever-growing and engaged database is core to success – focus on opt-in, white listed, targeted nurturing with all content sent of high-value

• Customer and prospect engagement happens on many dimensions, face to face with outside sales, over the web, via social media, telemarketing, physical events…contacts are not just sitting around waiting for the next email

• Always keep demand type front and center…new concept, new paradigm, focused at existing customers, established market...etc. Is the task fishing or farming?

• Reduce waste by targeting as tightly as possible ….think personalized and tailored

• Development of personas is key to segment and engage targeted audiences

• Examine and align the sales process to The Buyers Journey – always seek better ways to engage with targets

Coming together is a beginning.

Keeping together is progress.

Working together is success.

-Henry Ford

Jon Russo

Marketing technology consultant

B2B Fusion

Panelist

© 2013 B2B Fusion Group / Proprietary & Confidential

Date Prepared for

© 2013 B2B Fusion Group / Proprietary & Confidential

June 2013

Jon Russo, Founder

B2B Fusion Group

Generate. Optimize. Close.

Marketing Automation Key Success Ingredients

© 2013 B2B Fusion Group / Proprietary & Confidential

B2B Fusion: A Relentless focus on Marketing ROI

50

CMO - Marketing What is the ROI of

our Marketing Investments?

How do we produce more sales ready

leads?

CSO –

Sales How can we

maximize sales rep selling time?

How can we minimize sales rep distractions

via our CRM data processes?

How do we track, trend, and improve our performance

as a combined sales & marketing revenue machine?

© 2013 B2B Fusion Group / Proprietary & Confidential

• Data and its business impact: • High quality data correlates to 39% more closes & 66% more revenue

• 30%+ of names, titles or phone numbers in a database go bad annually

• 25% of a field sales rep’s selling TIME is wasted with incorrect data

• How the selling environment has changed: • For every 650 leads, 1 deal is closed in 19 months

• For $1B Firm, cost of Poor Sales Enablement is $14M and an additional

$100M in lost revenue

• 43% of B2B companies indicate that sales cycles have lengthened over the

past three years

The Situation

51

Gartner 2013, IDC 2013, Alinean 2013, Discover.org 2013, Data.com

© 2013 B2B Fusion Group / Proprietary & Confidential

DATA: Not Sexy, But Oxygen to success

52

© 2013 B2B Fusion Group / Proprietary & Confidential

Nurture

Fuzzy Sales & Marketing Definitions = Fuzzy ROI

Define your lead lifecycle within your systems

53

Inquiries MQL LGQL SQL Customers

Prospect & Recycled

(Marketing Qualified Lead)

Sales

Accepted Lead

Sales Qualified

Opportunity

SALES MARKETING

All

Names

Lead Gen

Qual. Lead

SAL

LEAD

GEN

INSIDE

SALES

© 2013 B2B Fusion Group / Proprietary & Confidential

43% of Business IT investments not living to full potential

Look for creative ways to accelerate progress by augmenting

skillsets…

54

Description XYZ Today Annualized Estimated

USD Cost

People 33 Sales People $3,300,000

2 Inside Sales People 200,000

9 Marketing People 900,000

Programs Marketing Programs 900,000

Technology CRM:

132 Enterprise Licenses 198,000

Marketing Automation

Enterprise License: 30k records 36,000

10 data source License:

$.42/record 15,000

Annual Total $5,549,000

Gartner 2013

© 2013 B2B Fusion Group / Proprietary & Confidential

Marketing ROI – Harder than it looks

55

© 2013 B2B Fusion Group / Proprietary & Confidential

• Invest time in data integrity and processes

• Clearly define ownership, stages, processes with sales & marketing

• Make sure you do more than just e-blasts with your automation investment

• Set the right Marketing ROI expectation of a journey, not an overnight destination

Key TakeAways

56

© 2013 B2B Fusion Group / Proprietary & Confidential

Contact Information

57

Jon Russo

www.b2bfusiongroup.com

Jon.russo@B2BFusiongroup.com

@b2bcmo

© 2013 B2B Fusion Group / Proprietary & Confidential

Our Customers

58

Referenced by Forrester Research:

2011, 2012, & 2013

Best B2B Best Practices,

KPIs, and Buyers Journey

Referenced in Forbes 2012

Q&A

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