Marketing As A Strategic Weapon - cisco.com · marketers on best practices in b-to-b organizations. ... Both marketing and sales must have common ... Blogs Competitive tools SME access

Marketing As A Strategic Weapon

Laz Gonzalez

Service Director

Channel Management Strategies

© Copyright SiriusDecisions.

All Rights Protected and Reserved.

What We Do

SiriusDecisions provides research and advisory services

focused on the operational intelligence sales and marketing

executives need to maximize top line growth

Lucy Gillard,

Director, Global Demand Gen

Cognos

Perry Dembner

VP of Marketing

CyberSource

Donald Friedman

EVP and CMO

CA, Inc.

Kirby Wadsworth

VP of Global Marketing

F5 Networks



Partial Client List



Agenda – Three Questions to Answer

• How Can Digital Marketing & Nurturing Drive Sales

Effectiveness

• What Approaches are Leading Companies Utilizing to

Gain Better Return on Their Marketing Investments?

• What Benchmarks and Key Performance Indicators

Drive Success?

4


All Rights Protected and Reserved. 5

B-to-b Marketers’ Skills Gap

SiriusPerspective: A significant need exists for the education of marketers on best practices in b-to-b organizations.

Driving Sales Productivity Through Marketing Effectiveness

6



Inhibitors Contributing to Lack of Sales Performance

SiriusPerspective: Partner reps manage 1 or 2 key relationships and up to six minor partnerships – each vying for greater mindshare

7

So

urc

e: S

iriu

sD

ecis

ions

Increasing the PRODUCTIVITY of salespeople should result in

more high-quality customer interactions.



What is the quality and

customer relevance of…

• Suspect touches

• Prospect interactions

• Client relationships

Process

Skills

Tools

How much time and effort does

it take to… •Create a solution

•Craft a proposal

•Find a prospect

Eff

icie

nc

y (

tim

e &

en

erg

y)

Effectiveness (quality & results)

Optimizing Sales Productivity

SiriusPerspective: Increasing the productivity of salespeople results in more high-quality customer interactions.

8

Source: SiriusDecisions

Increased Productivity More Opportunities

Shorter Sales Cycles

Larger Deal Size

Higher Win Rates

Productivity



Demand Waterfall: What Should Marketers Know?

SiriusPerspective: It’s not just about downloads or filling seats, real lead conversion requires that marketing assist throughout

Digital Nurturing Best Practices

10



SiriusDecisions Demand Waterfall: “Not Just Leads”

SiriusPerspective: Both marketing and sales must have common definitions when jointly generating demand in the channel

11

Inquiries

Marketing Qualified

Leads (MQLs)

Sales Accepted

Leads

Sales Qualified

Leads (SQLs)

Closed/Won

Business

INQUIRY

Hand Raiser, takes you

up on your offer

SAL

Sales Rep Accepts the

lead and agrees to work

it within a specific

timeframe SQL

“Active” Opportunity

MQL

Marketing Qualified

Leads – Typically via

tele-services


CLOSED

Business is reported

closed through channel

Manager, CRM or POS

Systems



Effectiveness: Generating Better Demand

SiriusPerspective: Demand type forces vendors and their partners to re-think the solution, the market and the competition

12



Four: Committing to a Solution

One: Committing to Change

Two: Loosening of the Status Quo

Three: Exploring Possible Solutions

Five: Justifying the Decision

Six: Making the Selection

SiriusDecisions B-to-B Buying Cycle

Ed

uca

tio

n

So

luti

on

V

en

do

r

Se

lec

tio

n

Buying Cycles, Redefined by Trusted Channel Partners

SiriusPerspective: As partners play the role of “trusted” advisor, they short-circuit the buy cycle and shorten timeframes.

Partner

13


Case Studies,

White Papers CXO P Why is this important

to us now?

P I Auditing Tools

Industry Reports

What happens if we

do nothing?

P CXO TCO, ROI How much does this

add to our current

costs?

One: Committing to Change

Two: Loosening of the Status Quo

Education

Phase

Active Buying

Phase

Closing

Phase

Trusted Advisor Buying Cycle

Three: Exploring Possible Solutions



Focus Efficiency Giving Sales Reps More Time to Sell

SiriusPerspective: The average salesperson spends only 18 percent of his/her time selling; architect efficient and useful assets.

14

I understand the problem and how it connects to our business issues.

Your solution applies to our

need.

Your solution will have the greatest

impact on our business.

The business case is justified

internally; we are ready to move

forward.

We might have a problem, or we are

conceiving a vision.

Knowledge Inflection Points BUYERS JOURNEY

Self-guided demos Playbooks Battlecards

Assets

Articles White papers Analyst reports

Presentations Competitive tools Objection handling

ROI tools References Proposals

Case studies White papers Blogs

Thought Leadership

Value Story

Solution Knowledge

Value Validation

So

urc

e: S

iriu

sD

ecis

ions

Loosening of the

status quo

Committing to change

Exploring possible solutions

Committing to a solution

Justifying the decision

Making the selection

Where to find?

How to utilize assets?



Marketing’s Job: No Longer Just Filling the Funnel

15

Inquiries

Marketing Qualified

Leads (MQLs)

Sales Accepted

Leads

Sales Qualified

Leads (SQLs)

Closed/Won

Business

SEED

The use of traditional

and social media to set

the stage for demand to

be created.

1

ACCELERATE

Efforts geared to help

sales move deals more

quickly through the

pipeline.

4

ENABLE

Helping reps move

marketing-created

demand, as well as to

source their own

demand.

3

CREATE

The generation of

“original” demand, with

a focus on quality vs.

quantity.

2

NURTURE

Care and feeding of

prospects that have

fallen out of the waterfall.

5




Integrated Marketing

16

Loosening of the

status quo






BUYING CYCLE

TOUCHES

NEW CONCEPT NEW PARADIGM

ESTABLISHED MARKET

MESSAGING

Education

T1

Solution

T1

Selection

T1

White Paper White Paper Analyst Report

Education

T2

Solution

T2

Selection

T2

Webinar Event Case Study

Solution

T3

Selection

T3

Selection

T3

Case Study Webinar Peer Interaction

SEED CREATE ENABLE GROW NURTURE ACCELERATE

Vendor Selection

Validate/ reinforce

choice, build business case

Demonstrate core features

and functionality

Solution

Help buyer identify needs in solving the

problem

Align solution with specific

sets of business

needs

Education

Create awareness

around a new problem

Align problem with business issues; drive

urgency



SiriusPerspective: Marketing’s must align its programs with customer

requirements in order to close, retain and grow business.

Social media Newsletters White papers Blogs

Events Webinars Case studies Testimonials

Website SEO Self-guided demos Product collateral

Reputation and Demand Creation

Generate New Business

Pro

cess

Social Media Thought Leadership Program Product/solution launch Customer reference programs

Tacti

cs

Delivering the right program, not just tactics

Presentations In-person demos References Competitive tools SME access Internal blogs

Trials Proofs of concept ROI tools Exec briefings Proposals

Sales Enablement

Increase Conversions

Pipeline acceleration programs Nurturing programs Sales enablement programs

Retain and Grow

Peer Interaction Newsletters Customer events/awards Analyst Reports Case Studies

Client Marketing

Account-based marketing Value reviews Loyalty programs

SEED CREATE ENABLE GROW NURTURE ACCELERATE

Loosening of the

status quo






Prescriptive Channel Marketing

18

Partner’s #1 Request

More Leads

Find Net New Customers



Channel Demand Creation Varies by Approach/Segment

20 Source: SiriusDecisions

Enterprise

SMB

Transactional

General Territory

Major

Accounts /

Relationship Marketing

Highly Targeted,

Sales Driven Activities

Account Based Marketing

Customized Marketing for

Named and Existing Accounts

Scalable, Prescriptive

Campaigns-in-a-box

Hybrid Marketing Perpetual Demand

Continuous Digital &

Pull Marketing Tactics



General Territory and SME Program Mix

SiriusPerspective: Inbound marketing rules as the primary approach for SME, while relationship marketing works best with larger enterprises

21

EnterpriseNamed

CommercialGeneralTerritory

SMB

Account Data Intelligence 23% 14% 15% 13%

Awareness / Inbound Digital 15% 22% 28% 60%

Demand Generation 22% 36% 42% 25%

Relationship Marketing 40% 28% 15% 2%

0%

10%

20%

30%

40%

50%

60%

70%

Program Mix

So

urc

e: S

iriu

sIn

de

x

What is Changing in B-to-b Marketing?

22



The Role of The Web

SiriusPerspective: The role of the web is expanding, allowing companies to build digital relationships with potential customers

23


WEB ROLES

Watering Holes: The web

is the primary source to “pull”

prospective clients.

Nurturing: Web based tools

are used to connect a prospect

from play to play.

Destination: Your home

page should be the ultimate

destination for prospective

clients.

Digital Relationship: A

digital relationship by nature is

“web-based.” The benefit is a

more effective manner to

demonstrate value quickly and

track behavior

Web

53%

2015

71%



Search Engine Optimization

Paid Search

Content Syndication

Directory Advertising

Banner/Online Advertising

Tools (blogs, podcasts)

Outlets (communities, Twitter,

Facebook, LinkedIn

PR/AR

Association Marketing

Shifting the Focus to Inbound and Pull Marketing

SiriusPerspective: Inbound marketing uses indirect tactics to attract an appropriate general audience using content.

24




Poll Question

What web marketing tactics do you typically employ?

1. We do not employ web marketing, instead we rely on

event and relationship marketing

2. The extent of our web marketing is limited to email

marketing

3. We commonly execute web marketing programs that

involve multiple touches


25



Best Practice Characteristics of B-to-b Web Marketers

SiriusPerspective: While there are many differences between average and high performing companies four characteristics are consistent.

26

Sales Pipeline Sales Alignment

Program Mix Integrated

• 70% + Influenced

• Not a Leads Only

Focus

• Universal Lead

Definitions

• Strong SLA’s

• Web Centric

• Strong Inbound /

Digital

• Based on Buyer

Journey

• Multi-Touch

Programs




Role of the Web: Digital Nurturing Example

Watering Holes

Landing Page Sales Alert

1 biz day

Touch 1

Training Offer

30 biz days

Touch 3 / Offer

3 biz

days

Touch 2

Live Event

Social Media Blog



Program Effectiveness: Planning Stages

SiriusPerspective: Working in unison, partners can leverage supplier demand capabilities to align programs fill gaps in partner execution.

28

Planning Buyers Journey

Design Program

Execution Activity

• Multi – Touch

• Multi –

Channel

• Nurturing

Type

• Play

Architecture

• Activity

Trigger

• Demographic

Trigger

• Program

Assembly

• Tele

Services

• Campaign

Mgmt

• Lead Mgmt

• Web

Services

• Nurture

Model

• Lead

Scoring

• Play

Cadence

• Journey

Model

• Audience

Dynamics

• Message

Map

AC

TIV

ITY

• Relative

Marketing

• Sales

Requirements

• Demand Type

• Lead

Definition



Best Practice Planning: Mapping Out the Journey

29

Journey 0. Create the

Need

1. Problem

Identification 2. Qualification 3. Evaluation

4. Purchase

Commitment

Message

Increase

Operational

Efficiency

Give Reason

for a Meeting

Provide Avenue

For Self-

Selection

Competitive

Differentiation

Create Sales

Enablement

Content

Touch

Tactics

High

Propensity:

Direct Offer

Low

Propensity

Touch 1: Ext Web

Watering Holes,

Online Advert

High

Propensity

Touch 2:

Meeting invite

Low

Propensity

Touch 2:

Introductory

Offer

High Propensity

Touch 3 Wkshp

Invite

Low

Propensity

Touch 3: Video

Series, White

Paper Offers

Content for

Sales

(Battle Cards)

Content for

RFP, Sales

Enablement

Journey

Enablement

Air Cover and

Direct

Marketing

Provide Offers

to Engage with

Supplier

Offer Content to

Help in Their

Decisions

Arm Sales

Team with

Tools

Arm Sales

Team With

Tools

Infrastructure

Requirement

Marketing

Automation,

Data, Web

Marketing

Automation

Marketing

Automation

Data, System

Alignment

Data, System

Alignment



Mapping Out the Journey Using Cisco Campaign Content

30

Metrics That Matter…



Marketing Investment Ratio to Pipeline Creation

Source: SiriusIndex

Marketing Sourced Pipeline

% of sales pipeline uniquely

created by marketing

10% to

50%

Marketing Influenced Pipeline

% of sales pipeline touched

by marketing

30% to 82%

Investment-to- Pipeline

Average cost of demand creation

of the sales pipeline

1% to 4%

Investment-to-Revenue

Average revenue generated from $1

invested in demand creation

$5 to

$20+

Avera

ge*



Best in Class Marketers Differentiate Lead Levels 1-5

SiriusPerspective: Depending on the data available, each lead level can have an impact on the overall cost to generate them

33


All Rights Protected and Reserved. 34

Cost Per Lead Varies by Segment and Data

The SME market is

predominantly a low touch,

high volume marketing

model with lower lead

qualification and lower

average cost per lead.

The large enterprise

market is predominantly

a high touch, low volume

marketing model with

higher lead qualification

and higher average cost

per lead.

Source: SiriusIndex

Level 1

Level 2

Level 3

Level 4

Level 5

$25-$200

$200-$650

$650-$1,700

$1,700 - $3,200

$3,200 - $5,500

SMB

LE



Five Metrics That Matter

SiriusPerspective: As inquiries convert to leads, then are registered and ultimately closed, each stage yields key insights

35 35 35



36

The Demand Waterfall

Inquiries

Marketing Qualified

Leads (MQLs)

Sales Accepted

Leads

Sales Qualified

Leads (SQLs)

Closed/Won

Business

So

urc

e: S

iriu

sD

ecis

ions

1000 INQ - MQL MQL-SAL

SAL-SQL SQL-CLOSE

5.7 13.4

39

23

11

2.5



Force Multipliers

SiriusPerspective: A new demand generation approach can lead to stronger pipelines and greater efficiency.

37

11.5%

27.1%

52.3%

72.4%

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

70.0%

80.0%

Average Best Practice

Pipeline Impact

Sourced Influenced

Comparison Average Best Practice

Expense:Revenue $24.19 $50.08

Lead to Close 15.8 7.6

Sourced: Marketing leads passed

to sales that become sales pipeline

where there was no opportunity in

the last six months.

Influenced: Percentage of the

sales pipeline demand generation

efforts have touched.

*

* The average number of qualified leads required to close one deal.



Take-Away’s

• The combination of marketing activities is more important than any one tactic

• Align marketing programs by the buying cycle and customer segment

• The web is where early stage leads are generated as prospects educate and form opinions – cast a wide net!

• Measure your campaign’s performance using KPI’s that can pinpoint marketing’s contribution to sales pipeline

38



Cisco Integrated Multi-Channel Campaigns

39

Documents

Marketing As A Strategic Weapon - cisco.com · marketers on best practices in b-to-b organizations. ... Both marketing and sales must have common ... Blogs Competitive tools SME access