Why Can't We Be Friends?

WHY CAN’T WE BE FRIENDS?A Modern Marketer’s Guide

to Teaming with Sales

Sam Mallikarjunan

Why can’t we be friends?

A Modern Marketer’s Guide to Teaming with Sales.

Principal Marketing Strategist@HubSpot

Sam @Mallikarjunan

Marketers

And Salespeople

Sometimes it can feel

like

Are from different planets

7

StockbrokersSlightly ahead you have

You have car salesmenOn the low end

And Lawyers

And Lobbyists

In the middle, you have usMarketers

“No,

-this is just marteking!”

I said I wanted compelling content

that would make people interested in

our product

“I hate marketers because they just get in the way.” – Actual sales rep

SALES

VS

MARKETING

negative.

Source: Corporate Executive Board survey, http://bit.ly/wQCz4b

of the terms sales & marketing use to describe each other are

87%

Companies with strong sales & marketing alignment get 20% greater annual revenue growth.

The Aberdeen Group, http://bit.ly/zmIJQD

Funnel Transitions

Force Change

Prospects

CustomersSales is in control

Of the cycle is over before a sales rep even gets involved. Marketing is the voice of sales during that 60%

60%

Sales + Marketing

= SMARKETING

Inbound marketing is a business model innovation based on the fact that it’s more economically efficient to create an experience that attracts consumers than it is to interrupt someone else’s.

(It’s pretty hard to justify, too.)$$

You can’t improve what you can’t measure.

Marketing: “Just an expense.”

$ 6000

$ 50,000

$ 60,000

PPC SEO FirmContentWriting

Expense

Yearly Amount“I’m spending a bunch of

money on marketing, and I’m making more money than I’m spending back.”

Marketing is half of the acquisition equation

“We spent $1000 and got 500 website visits”

CoCA: $400

CoLA: $40

CoVA: $25% Visit-to-lead

10% Lead-to-customer

Buying isn’t a linear process. It never was. We just didn’t know enough.

Setting Sales up for Success

I'm just in the neighborhood and dropped in to browse

I urgently need to buy a black sweater.

Awareness Consideration Purchase

If you ask them, Sales will tell you that the real way people buy is far more complex.

It’s not an end-stateIt’s an infinite loop

Attract

BlogKeywords

Social Publishing

Convert

FormsCalls-to-actionLanding Pages

Close

CRMEmail

Workflows

Delight

SurveysSmart content

Social Monitoring

This is the inbound marketing process.

Visitors Leads Customers PromotersStrangers

Leads Qualified Leads

Opportunities CustomersStrangers

AWARENESS CONSIDERATION DECISION

IDENTIFY CONNECT EXPLORE ADVISE

This is the inbound sales process.

Inbound CommerceConvert

Attract

Delight

How Real People Really Buy Things Relevance

Research

ComparisonIntent

The sales & marketing activities and tools to this point add up to the

Cost Of Customer Acquisition

• Now the focus shifts to increasing the customer’s Life Time Value

Inbound CommerceConvert

Attract

Delight

How Real People Really Buy Things Relevance

Research

ComparisonIntent

2NUMBERSSALES

How was last month for sales?

How many leads did sales accept and work this month?

57%Worked Percentage

0% 100%

33%

50%

Unworked eCommerce Leads

How is this month for sales?

Marketer Opportunities Created by Month

Reco

rd C

ount

If sales is forecasting low for this month, invest differently.

26%Sum of Probability Adjusted Recognized MMR in USD (Thousands)

0.00

12.60

Current Month Sales Forecast

16.80

25.20

6.64

Sales has to give leads a fair chance, not just cherry-pick.

55%Average Last Attempt #

0

3

Average Attempts Per Hi/Med SAL

6

9

4.94

“Fair chance” is a data-driven

threshold by lead quality.

* Data has been altered from actual HubSpot data for the purposes of this presentation.

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15

Small Business Mid-Market Enterprise

Sales Attempts

Profi

tabi

lity

THE SALES SLACalculate the ideal number of sales attempts for each type of lead

3NUMBERSMARKETING

Marketing should qualify leads too

Marketing qualifies leads using unique conversion events (such as requesting a demo) or prospect behaviors (such as

viewing a pricing page).

Not just mo’ leads. Mo’ better.

Ecommerce Blog Leads - April 2014

Total of 5 Ecommerce Case Studies

04• 10 dedicated collaterals,

including 3 Ebooks and a Webinar

Magento

03

• To be deployed on the blog

Dedicated CTA for every Ecommerce Offer

02

Marketing Collateral Update

• Solid 28 offers• Only team to have its own topic

Library.hubspot.com

01 • 67 Customers

• 2 Live Workflows

Upcoming Offers

Offer No. 27 – 19 Blunders That Are Hurting Your ConversionsA co-marketing ebook with Exclusive Concepts. Live on 05/19

Offer No. 28 – Is Facebook Failing Marketers or Are Marketers Failing to Leverage FacebookHubSpot + ShopSocially Webinar on 05/21, 2 PM EST.

THE MARKETING SLA:Contributions to pipeline revenue

* Data has been altered from actual HubSpot data for the purposes of this presentation

Buyer Journey State

Customer Conversion %

Revenue per Customer Lead Value

Problem Education 1% $40K $400

Solution Research 5% $40K $2K

Solution Selection 20% $40K $8K

Small Business PersonaBuyer Journey

StateCustomer

Conversion %Revenue per

Customer Lead Value

Problem Education 2% $200K $4K

Solution Research 6% $200K $12K

Solution Selection 25% $200K $50K

Mid-Market Persona

Buyer Journey State

Customer Conversion %

Revenue per Customer Lead Value

Problem Education 3% $700K $21K

Solution Research 10% $700K $70K

Solution Selection 30% $700K $210K

Enterprise Persona

Companies with an active SMarketing SLA are 34% more likely to experience greater year-over-year ROI than those companies that aren’t.

They’re 21% more likely to get greater budget allocations.

They’re 31% more likely to be hiring additional salespeople to meet demand.

* source: State of Inbound Marketing 2015

Pipeline Revenue Example

C = # of new customers, D = # of downloads, V = Average LTV

Yes. I downloaded their eBook.Yes. They helped me make a decision.Yes. I bought from them.

And yes.She saidYes.

Thank You!