Depending on your profession, "B2B Marketing" is a phrase you may or may not be familiar with. The vast majority of us receive B2B marketing messages, often on a daily basis. If you have a job, and have even thought about buying a product or service to use at that job, chances are you are a part of the B2B marketing process. In these chapters, we will explore the meaning of B2B marketing, the channels and tactics it uses, and the strategies which result in B2B marketing success. CHAPTER 1 B2B marketing is short for for business-to-business marketing. It's one of the two major categories of marketing, and differs significantly from the other major category, B2C marketing (business-to-consumer) marketing. We’ll explore the differences between B2B and B2C in more detail in just a moment. First, it’s important to define B2B marketing: B2B Marketing Definition B2B marketing is promoting products and services to other businesses, typically: (1) at large volumes, (2) with lengthy sales cycles, (3) to multiple decision-makers, and (4) with more complexity than consumer products. B2B marketing can also be defined as the marketing of products or services to other businesses for use in production, general business operations, or resale to other consumers. In simple terms, B2B marketing is a business promoting its products or services to another business The first step of B2B marketing is letting other companies know that your business exists, and you have a product or service which will benefit them. In addition to increasing brand awareness, B2B marketing gets companies interested in your brand, and nurtures prospects – with the goal of converting them into customers. Ideally, they will develop a valuable relationship with your brand for many years. Because B2B products and services tend to be more complex (and expensive) than those designed for consumers, developing long-term relationships is critical. While someone probably won't care about relationships if they're searching for the cheapest t-shirt, if they're considering a long-term investment in something like manufacturing equipment, choosing the right partner is vital. Many B2B marketers use traditional strategies, like attending trade shows or employing a team of sales reps, to build and nurture these key relationships. Combining those strategies with digital tools helps them market to many businesses without losing their personal touch – it's the best of both worlds. How might it work? Let's say a woman named Laura is a sales rep for an email marketing software company. She meets Tom at an industry trade show. Tom works at a graphic design company and shows interest in Laura’s product. Laura adds Tom’s name to her database, and she and her team nurture him in the B2B marketing process. They email him materials which he may find helpful, such ebooks and videos, and invite him to an event. Eventually, Tom becomes a customer. Tom’s graphic design company then uses the email marketing software to nurture his leads. He sends emails to his prospects, which are local businesses. At this point Tom is also participating in B2B marketing activities. Successful B2B marketing combines traditional and digital marketing tools in a way that helps a prospect understand what you can do for their business. Perhaps you can solve a problem they are already facing, or you can provide them with a solution that will make their process more efficient – saving them money in the long run. Whatever benefit your product brings, the goal of B2B marketing is to let businesses know you exist, your product is valuable, and convert them into customers. The goals of B2B and B2C marketing are the same, but their approaches vary dramatically. Trying to treat the two practices like they're identical is a recipe for disappointment. Let's turn our attention to B2C marketing for a moment to highlight why this distinction is so important. Once you understand the nuts and bolts of B2C, it's easier to spot all the areas where B2B marketing diverges. What is B2C Marketing? Instead of B2B marketing, which promotes products and services to other businesses, B2C marketing stands for “business-to-consumer” marketing.” That covers a huge range of situations, whether it's investing in a new car or trying to decide which type of mocha to try at Starbucks. Let's break it down in more detail: B2C Marketing Definition B2C marketing is promoting products to individuals for personal use, consumption, and/or enjoyment. B2C marketing can also be defined as promoting individual products to individual buyers, most commonly in a retail or e-commerce setting. In simple terms, B2C marketing is promoting anything people would buy for themselves. Looking at those definitions, it is easy to think of examples of B2C marketing in your own life. Almost any store you visit offers products that are sold utilizing B2C marketing. Aside from in-store purchases, like shoes and groceries, B2C marketing also includes high-end items like luxury cars and first-class travel. B2C companies also provide services. Examples include massages, photography classes, or assistance from an accountant when filing your taxes. The sheer scope of B2C marketing can seem overwhelming. If it helps, think of it as “promoting anything someone would buy not for their business.” Most of us make B2C purchases every day. We pick up lunch at our favorite taco place, take our iPhones into the Apple store for an upgrade, and stop by Macy's to buy a nice watch for our partner's birthday. A number of B2C transactions happen when people visit stores in person. But thanks to online platforms like Amazon and Zappos, that's rapidly changing. Now, many B2C purchases happen electronically, with products shipped straight to our doors, instead of having to fight traffic and long lines at the checkout. New B2C services – such as Instacart, which delivers groceries – are even popping up based on these trends. B2B vs. B2C Marketing One of the best ways to understand B2B marketing is by looking at its characteristics in comparison to B2C marketing. This chart will help break it down. Yes, they can! Plenty of B2B companies also market products to individuals and their households. Google is one example. While plenty of individuals have free personal Gmail accounts, many businesses opt for aGmail for business. The image below shows a chain of companies utilizing B2B marketing, finishing with businesses that have both B2B and B2C customers. Starting with the first row, we can see a broad overview of the companies involved in the process of turning wood into pencils, and the B2B marketing that takes place between them. In the second row, we can see how a B2B provider sells its database software to a marketing agency. The agency, in turn, uses the software while marketing to its prospects, one of them being a bank, which becomes a customer. The bank then markets to its customers, which can be either Any business selling to another business uses B2B marketing. Any company trying to sell to other companies uses B2B marketing to help promote its products or services. While these companies aren't as diverse as all those using B2C marketing, there's still quite a range of products, services, and industries involved. Some common B2B companies include: These are just a few of the many types of B2B companies. When you consider just how many industries exist, and the resources each require to create their products or services, it is easy to see the massive scope of B2B businesses. Even dentists need to buy their instruments from someone! Who are B2B Customers? Everyone in business needs supplies, inventory, and tools to run effectively and serve their customers. This makes every business around – whether it's a corporation on the Fortune 500 list, or a freelance web designer working in their home office – B2B customers. Take a moment and look at your desk. Every program on your computer, every item on your desk – even your desk itself – was supplied by a B2B company, making you a customer to each of them. In turn, each of those companies purchased resources to create their product or services. Working backwards, the chain of B2B providers and customers can seem almost endless! Whether you’re selling office supplies, paper for the printer or consulting services, you are both a business and a customer of other businesses. There are countless B2B companies out there. One of the easiest ways to understand what they do and how their marketing works is to focus on a few specific examples. Here are five popular B2B companies representing a variety of industries: Now that you have a better idea of what B2B companies do and the customers they serve, let's turn to the marketing. There's a huge variety of approaches here – and new methods emerging constantly as technology evolves. That said, the fundamentals of what makes B2B marketing effective have remained constant no matter the medium. Let's highlight some good examples, common mistakes, and then talk about how you can apply the insights to improve your B2B marketing strategies. Examples of Great B2B Marketing Here are a few companies that are killing it with their B2B marketing: B2B Marketing Gone Wrong Understanding the most costly B2B marketing mistakes makes it that much easier to avoid them. Here are a few things to watch out for: CHAPTER 2 There are almost as many approaches to B2B marketing as there are B2B companies themselves. Thanks to the massive popularity of digital tools, these continue to evolve by the day. Every B2B product or service, as well as the target audience, is a little different. Marketers have to adjust their approaches accordingly. Yet, over time a core group of techniques has proven effective across almost every B2B industry. We'll cover those in detail throughout this section. Before we get any further, it's important to understand that every B2B strategy contains two components: Two components of B2B marketing strategy Where the marketers interact with potential customers. This can include anything from direct mail to a social media platform. What the marketing material actually says. These are the substance of the interactions themselves. It might be educational content, a free trial, or an in-person conversation. Marketers adjust their messaging as leads progress through the sales process cycle. Messaging can also be affected by the company’s brand and tone of the marketing materials. Some B2B companies, such as those in the financial industry, tend to be more corporate and focus on logic and reason Others, such as advertising agencies, may take a lighter approach and use more humor. B2B marketers mix different channels and messaging to connect with customers and test new strategies. Financial companies aren’t limited to being corporate in tone; breaking out of the mold can actually result in more impactful campaigns by helping a company stand out from its competitors B2B channels are simply the avenues marketers use to connect with potential customers. The channel often dictates which type of messaging is ideal. Twitter is no place to share in-depth, technical content; you'd run out of characters! That would be a better fit as content on your website or a downloadable PDF. Just like B2B marketing strategies break down into channels and messaging, the channels themselves break down into two groups: Marketers were previously limited to offline channels, but the past few decades have introduced all kinds of new possibilities. We've never had more channels available to build relationships with our audiences. Just like marketing strategies, channels are continuing to change with technology. For example, television commercials were previously considered offline. However, with the rise of streaming services, like Netflix and Hulu, people are consuming more television on their phones, and the lines are beginning to blur. There's no reason to use one channel exclusively and ignore all the others. Now, B2B marketers can pick and choose from different offline and online channels, and test the results to see which channels work best for them. A multichannel approach can be the best way to make use of limited marketing budgets – and create a system more powerful than the sum of its parts. This chart breaks down some of the most common offline and online B2B marketing channels: Online vs. Offline Marketing Website Your website is the hub or “virtual storefront” for all your activities online. B2B marketers use websites to blog, display customer testimonials, collect email addresses, and showcase their brand's products and services. Learn more on how to make a website. Social Media Popular social media platforms (like Facebook, Twitter, and LinkedIn) are a fixture of B2B marketing. Marketers can share content, showcase their expertise by answering questions, and post images that display the company’s culture and values. B2B video content is also growing in popularity, and companies are growing their presences on YouTube. B2B brands are also growing their presence on Pinterest, offering a great space for visual content such as infographics. Email Marketing Email marketing is one of the most common digital strategies around – and still incredibly effective. With regular messages, marketers can stay in touch and nurture leads, all from the convenience of their inboxes. Emails can include special offers, new products, or content that will be valuable for readers, keeping them engaged with your brand. (Read more about B2B email marketing campaigns here!) Digital Advertising The options for B2B marketers to advertise online are almost limitless. Some use banner ads on the top of websites, or pay-per-click ads on search engines. Another example includes paid social media posts. It might be all of the above! Other Publications, Forums and Q&A Sites Some B2B marketers publish content beyond their own websites. The idea is to target highly trafficked and relevant places, connect with leads, and bring them back. Sharing content on websites such as Medium, Quora, and Slideshare can all help raise your brand awareness. Whenever possible, it is important to include a link to drive traffic back to your site. Just be sure to do it in a way that is beneficial for the reader and doesn’t seem like you’re pushing for a sale. Events and Trade Shows Event marketing is one of the most popular offline strategies for B2B marketers. After attending and meeting industry insiders, marketers can segue into nurturing them. It's a tactical approach that's been effective for decades. Event marketing can include attending trade shows, sponsoring conferences, and hosting your own event. Direct Mail While it’s often forgotten today, direct mail remains a viable B2B marketing strategy. The first step is identifying key influencers on buying committees. Many B2B companies recognize that sending items such as chocolates, wine, or anything that people might appreciate can open doors. It’s especially great when you can find something that relates to your brand or has your logo, such as Moleskin notebook. Print Ads Print ads continue to work well for B2B marketers – and they don't have to be massive billboards. Targeting specific newspapers, magazines, and trade publications Sponsorships B2B transactions rely heavily on personal connection and relationships. Sponsorships give marketers the ability to build that connection in a targeted way. While you'll typically see this at trade shows and other industry events, there are additional opportunities. For example, an insurance agency may sponsor a local charity event, or a big brand could sponsor national sporting events. Public Relations and Influencer Relations We can't overlook the importance of interpersonal relationships. Working with firms that provide publicity, consulting, and research can help B2B marketers get valuable publicity. By building relationships with journalists and industry influencers, your company raises its brand awareness and bolsters its credibility. Learn how to write a press release to execute your next PR strategy. Choosing the right B2B marketing channel is important. With so many advertisements and brands competing for attention, it’s easy to get lost in the shuffle. Especially when consumers, both B2B and B2C, have so many outlets competing for their attention. Think of the amount of time you can spend across social media platforms alone! Some believe that our attention span is down to a little as eight seconds. Given the many platforms competing for our attention, and the number of brands which have saturated each one, pinpointing where to reach them is huge. But channel is just the first piece of the puzzle. Once you’ve chosen where to reach your audience, picking the right strategy is key. Tweets or LinkedIn posts that no one engages with are a waste of your valuable time. A defined marketing strategy will help you focus your time and increase effectiveness. Sales cycles in B2B are notoriously long and complex. Finding leads, nurturing them, and eventually convincing them to invest in your product doesn't happen overnight.Winning B2B marketing strategies convert prospects into customers. The marketers behind these strategies choose the right channels and messaging across multiple touchpoints. Each interaction builds on the last, helping to overcome objections and build trust. Here are some of the most common marketing strategies: Content Marketing Content marketing is all the rage these days. But what is it? It's creating and sharing material that stimulates interest in your company's products or services. It could be written content, such as a blog post or an eBook, or a video on your YouTube channel. Content marketing isn't a “hard sell” strategy. The emphasis is on providing materials people will want to interact with. Often it is there to answer a question they have, or help solve a common problem you know your target audience may face. Successful brands have now become resource centers for their customers and prospects. This raises your brand awareness as prospects discover your company through the resources and content you provide. It also builds trust in your brand as people interact with you – the beginning stages of nurturing prospects. The topic of the content you publish may be about your brand or product, but it should not be the focus. Rather, focus on providing content that will assist your customers and prospects in their professional work. While many consider it a newer marketing trend, content marketing has been around a lot longer than you might think. John Deere, a manufacturer of tractors and other farm equipment, is one of the most famous examples. The company started publishing The Furrow, a magazine for farmers, all the way back in 1895! The internet has pushed content marketing to the forefront. Businesses can do research and find relevant information with the click of a mouse. B2B marketers who engage them during that process are more likely to win their trust. One thing that makes content for B2B incredibly beneficial: It's often inexpensive for marketers to create it and distribute it across multiple platforms. Blogs, for example, are a feature on almost any company’s website, ready and waiting to be utilized. The biggest cost for the company is simply having someone create the content. We can create – and consume – content across different media platforms such as: Content Marketing Resources Getting started with content marketing can feel overwhelming. There are so many possibilities to explore. Fortunately, there are plenty of great resources to get you up and running. Account-based marketing (or ABM) is a popular strategy for B2B companies that sell to enterprise companies, or those with more than 1,000 employees. You may have heard the metaphor, “throwing spaghetti on the wall to see what sticks.” Instead of this ‘spaghetti’ marketing, which means attempting market to everyone without any targeting, ABM focuses on marketing to individual companies that will lead to big revenue. First, high-level target accounts are selected. Then, individuals at those companies who are key decision-makers are identified, and marketing efforts are focused on engaging those people. The goal is to build interpersonal relationships with people who will turn into prospects, with a foundation that lasts for years to come. It takes significant effort to research which companies and contacts to target. While doing this and customizing marketing strategies takes time, the effort is worth the reward when executed correctly. Landing and maintaining a few key accounts can have a huge impact on a company’s bottom line. Especially when you consider Pareto's Principle: 80 percent of revenue comes from 20 percent of the customers. Remember: B2B sales cycles tend to be long and complicated. The products are expensive. Deciding to buy requires a long-term commitment. There are typically many parties involved and several moving parts. All the more reason for B2B customers to invest with someone they know, like, and trust. Types of Account-Based Marketing B2B companies use account-based marketing in several ways: Here are a few great resources to help you make the most of account-based marketing: Marketing Automation While it sounds like a redundant definition, marketing automation platforms automate your marketing, meaning you can “set and forget.” Instead of having to do individual tasks on a daily basis, marketing automation does the work for you. While getting started implementing marketing automation software can seem tricky, the results are well worth it. Once you set up these tools, they keep running automatically. They also allow marketers to create touchpoints that scale with your prospect database. Marketing automation can get quite complex. Features vary between platforms. Everything from capturing leads and sending email sequences, to creating custom landing pages and lead nurturing is available. In addition to maximizing a marketer’s time, marketing automation helps facilitate a great customer experience. The touchpoints a customer or prospect has with your brand will be personalized based on the actions they take. In addition, you can ensure you aren’t flooding a prospect with content they don’t want, while still providing them opportunities to learn more about your brand. There are plenty of marketing automation capabilities out there – and more emerge every day as technology advances. Here are some of the most popular features: Marketing Automation Resources Marketing automation creates a world of possibilities for B2B marketers. Here are some of the best resources around to help you get started: Savvy B2B marketers understand that the most powerful messaging doesn't come from their own mouths, but from the mouths of satisfied customers. Why? The biggest issue is credibility. B2B buyers are sophisticated. They understand that all those bold claims about the next miracle product might be too good to be true. B2B customers who are also marketers can be the toughest prospect – they work in the industry that is notorious for making those claims! Marketers have a vested interest in persuading them and overcoming objections. User-generated content helps get B2B customers overcome their skepticism. According to Demand Gen Report, only 34 percent of B2B buyers think that content from vendors is trustworthy. How do marketers overcome stats like that? One part of the solution is user generated-content. Since it comes from actual customers and users of a product, it helps establish trust and credibility that your brand does what it says it will. Types of User-Generated Content User-generated content comes in a wide variety of forms. B2B marketers can use it strategically to guide leads through the sales cycle. Here are a few of the most popular types: How can B2B marketers use user-generated content to its full potential? The following resources are packed with gems to apply: Inbound Marketing Inbound marketing is a strategy that attracts an audience, identifies leads, and convinces them to become customers. It does this through helpful, relevant content, social media, search engine optimization, and much more. Picture a magnet drawing people in. This is different than outbound marketing, where brands take their messages to the audience instead of the other way around. Outbound marketing (like passing out business cards at trade shows) competes for a customer’s attention. Inbound marketing brings customers to you through a variety of channels. A huge part of inbound marketing is content marketing, and SEO within that content. SEO stands for “search engine optimization,” and it means improving your site ranking on Google, or another search engine, when people search for topics relevant to your company and your content. Keywords are a big part of this; they are the words and phrases that show Google what your content is about. Maximizing your keyword strategy can help improve your SEO and overall website traffic. But what are the other types of inbound marketing? Like content marketing, inbound value seeks to bring your audience value through education or entertainment. This is one of the reasons why inbound marketing and content marketing overlap so much. Quizzes, calculators, and guest contributions to other leading blogs all deliver valuable content to your customers or help you attract new customers. Let's take a look at those now! Here are some of the most important inbound strategies B2B marketers should be aware of: Inbound Marketing Resources Inbound marketing is a truly massive topic. Here are some of the best resources to help B2B marketers learn the key concepts and put them into action: Choosing Strategies You Can Measure Whichever strategies you choose, remember to set quantifiable goals and measure your progress regularly. Time and budgets are limited. Tracking performance will help ensure that you're making the most of each with your B2B marketing. It also helps you measure ROI and prove success to senior management. A willingness to continuously test and refine optimizes every B2B marketing resource you invest. CHAPTER 3 As discussed when we compared B2B with B2C, it takes most B2B buyers a long time to research their business problems, explore potential solutions, and finally agree to purchase. This isn't like popping into a Gap store and picking up a few new t-shirts! The B2B buyer's journey is a long and winding experience. A marketing funnel is a visual representation of this journey. It is shaped like a funnel because of the vetting process within each step. The further you are in the funnel, the fewer leads there will be. Sales and marketing departments nurture buyers through the funnel. Moving from one step of the funnel to the next helps ensure no potential customers fall through the cracks. In the same way, the funnel prevents prospects from getting overloaded with content. Sending prospects content that isn’t relevant, or feels like you are pushing them, can cause people to stop interacting with your brand That's why B2B sales and marketing create funnels. Funnels also apply to B2C marketing. These funnels put an order to the different stages along the way. This is where those marketing automation tactics come into play! They're like road maps people follow – all the way from initial awareness of their business problem to becoming a loyal customer. Just like real funnels, B2B marketing funnels start out widest at the top. They narrow after leads are identified, and keep narrowing until leads become customers. Marketers design unique content and interactions to appeal to people at every position within the funnel. To fully understand the B2B funnel, we must first take a look at B2B sales. Because their goals ultimately align with those of their sales teams – get more customers! – B2B marketers must also understand the sales process. It's a lot different than the approach we see from day to day in a B2C sales context. We're used to flashy magazine titles, retail associates telling us those shoes look good on us, and Girl Scouts ringing our doorbells trying to sell us cookies. The common thread tying them all together? B2C purchases often appeal to buyer emotions. This difference, as well as the others outlined in Chapter One, illustrate how B2B sales are much more formal and complex. They bring sophisticated buyers (people who are focused on making a smart investment) together with some of the best salespeople around. The appeal is rational instead of emotional. Let's take a closer look at the meaning of B2B sales: B2B Sales Definition The Technical Definition B2B sales is selling products or services to other businesses, typically: (1) at large volumes, (2) to a committee of sophisticated buyers, (3) with expensive and complicated products, and (4) with a focus on long-term relationships. The Business Definition B2B sales can also be defined as selling products or services to businesses, which use them for production, general business operations, or resale to consumers. What it Really Means In simple terms, B2B sales is one business selling to another. Where B2B marketing promotes the product, B2B sales gets the signature on the dotted line. While they do share the same broad goal (getting more customers!), sales and marketing have a lot of nuances that make differentiate them. Becoming a world-class B2B marketer requires a different skill set than becoming a great B2B salesperson. Here are some of the key distinctions: Difference Between Sales and Marketing Now that you have an understanding of the relationship between sales and marketing, we can look at how they relate to each other within the marketing funnel. The marketing funnel aligns with the buyer’s journey. This is how businesses (and the people at those businesses) come to become a customer of your company. It is called the “buyer’s journey” because it is the path potential customers follow from the beginning stages, where they learn about your brand, through to the final stage, when they (hopefully!) become a customer. There are three stages: Awareness, Consideration,and Decision. Let's take a look at each of those three stages: Marketing metrics are a way to measure success, and how many people there are within each stage of the funnel. It is natural to have fewer and fewer people at each stage, hence the reason Here's an image for you to visualize the metrics related to that funnel: Metrics are all about numbers. At each stage of the funnel, marketers measure the number of: If any of those terms don't make sense, no need to fear! We've got plenty of additional information about each step, including the trickier ones like leads and MQLs. Let's look at each of them more in depth, starting with the first metric we can measure: website visitors. The first step of the B2B marketing funnel often starts from visits to your website. When someone visits a page on your site (thanks to all of that fabulous inbound marketing), there is an opportunity for them to enter into the marketing funnel. Once they fill out a form to download a piece of content, you have their contact information and they are ready to progress into the lead stage of the funnel. 2. Leads In the simplest terms, a B2B lead is a potential customer, or a prospect, for a B2B company. Once they have taken an action to interact with your brand, such as subscribing to your newsletter or downloading a piece of content, they can enter into a nurture campaign. Leads can also come from face-to-face interactions; if you are sponsoring an event and someone stops by your booth, you can scan their attendee badge (usually their name tag) and get their contact information. Following the event, you can upload any names you have scanned, as well as any business cards you may have received, into your CRM system or other database. At the highest level, a lead is any person or business that you believe would benefit from your company’s product or service. Consistently generating leads is the lifeblood of every B2B company. Converting someone into a lead is the crucial first step that separates the pool of potential customers from “everyone else.” But there's a lot of work left to be done. Many new leads are still in the initial stages of the buyer's journey. They might have just become aware of their business problem, and they're a long way from considering the ideal solution. The idea is to build a pipeline full of leads at various stages of interest. This helps B2B companies grow sustainably instead of having lots revenue for a few months, then struggling when the leads dry up. It only takes that first step to place a lead into a marketing funnel. If all goes well, they'll make a series of escalating commitments until they're ready to make the largest one: becoming a customer. Lead Scoring Not all leads are created equal. Some are desperate for a solution and willing to buy right now. Others are still educating themselves about their options. And then there's everyone in between! Lead scoring provides a way to show how likely someone is to become a customer. The goal of lead scoring is to identify prospects, or leads, that are mostly likely to buy based on their interaction with your marketing campaigns, as well as their demographic and firmographic data. How does it work? One of the most common tactics is to use marketing automation software, which most products do automatically. Leads are given points based on a variety of factors. When someone fills out a form on your website, you will have their details. Depending on what details are required on the form, and how powerful your marketing automation software is, some of the information you could end up with includes their name, title, company size, and location. All of these can impact their score, based on how much impacts their likelihood to become a competitor. In the same way, points can be taken away from leads. If someone is an individual contractor, you may take points away knowing that your product is probably out of their price range. While the numerical score acts as a metric for quality, remember: You aren’t scoring them as a person! Lead scores are purely based on how likely it is that a prospect will turn into a customer, or how closely they align with your company’s definition of a "best fit" customer. This is also called an “ideal customer profile.” Lead scoring helps marketers understand how engaged a lead is in the marketing funnel. That makes it easier to create relevant content and interactions, and move them closer to becoming customers. Lead scoring is also useful for those working in B2B sales because resources are limited. We only have so many hours to schedule meetings and make phone calls. Salespeople can focus on leads with the highest scores to improve their close rates. Points can also be given to a lead based on their interaction with your brand. We’ll dive into deeper into that in our next stage of the funnel: MQLs. Anyone who interacts with your brand can be a And what is an MQL? An MQL is someone whose engagement levels suggest that he or she shows the potential to become a customer. In addition to The goal is to label a lead as an official MQL when they are ready to interact with your sales team. MQL Criteria Once leads have reached a minimum point value, they become an MQL. Traditionally, an MQL was someone who responded to an outbound marketing communication channel. But now, in a time where the average B2B buyer is 57 percent of the way through a purchase decision before even talking to a sales rep, it's a bit more complicated. MQL criteria and lead scoring vary based on the B2B company.Let’s look at one example: Say you're an enterprise software company. Working together, sales and marketing management have decided leads need a minimum of 25 points to become an MQL. Two people, Rob and Maria, download your guide about network security in exchange for filling out a form, where they each provided their name, company, company size, title and email address. Each of them receives five points. But only Maria reads the guide and clicks on a link within, which leads her back to your website. Once there, she downloads another piece of content, giving her another five points. Maria is a more valuable lead because she has shown more interest in your company. Now let’s factor demographics into the equation. Rob’s company is a small business with only six employees. Given the high price tag of your product, he loses three points, now down to two. Maria, on the other hand, works at an enterprise company with more than 1,000 employees, and she is a director of her company. She receives three points for each of those items, bringing her to 16. In the next three months, Mary receives multiple emails from your company. She opens six emails and clicks the links on two of them, giving her another 10 points, for a total of 26 points. Congratulations – Mary is officially an MQL! To summarize MQLs and lead scoring, the most common activities that can factor into lead scoring and qualify someone as an MQL are: MQL scoring is flexible. The allocation of points can change over time as marketers optimize their strategies and learn more about what makes their leads and customers tick. It’s important for marketing and sales work together on an ongoing basis. Lead scoring, lead quality and MQL conversions should be re-evaluated periodically as a joint effort between both teams. This ensures the quality of leads that best suits your business. At some companies, the sales team may prefer a higher number of MQLs with a lower threshold. Other businesses may prefer fewer leads that are all high quality. Once a lead has crossed the line to become an MQL, it’s time for the next step – an SQL. Once a lead has qualified as an MQL, it has been passed on as sales-ready. It’s time for sales to do its vetting process, and determine if the lead passes the test to be an official SQL. And what could SQL stands for, but (wait for it…) “sales qualified lead.” It’s not too surprising since you know what MQL stands for! While you may have a large number leads who score highly enough to become an MQL, not all of them are ready to become an SQL. This perfectly illustrates the marketing funnel – it gets smaller as fewer and fewer leads pass through to the SQL phase. MQLs often come from automated lead scoring systems, which can have their drawbacks. For example, there could be a small-business owner who loves your content and downloads it on a regular basis. Despite running a small company with no budget to actually invest, that owner will continue getting points as she downloads your content. This is where SQLs come into play – they require a bit more digging, and are done by an real live human being. This step is usually done by a BDR (business development representative) or SDR (sales development representative.) This person looks at all of the data passed onto them from marketing, and decides if the lead is in fact as good as their lead score indicates. Once it is accepted, the BDR or SDR will work on qualifying it for sales. If it’s not accepted, it is usually sent back to marketing for continued nurturing. This is sometimes called a “recycle” program. Some of the criteria that may be considered when qualifying a lead to an SQL include: Given that there can be a bit of crossover there, let’s take a closer look at MQLs and SQLs side by side. While the differences between marketing-qualified and sales-qualified leads might seem subtle, but they're important. Here's a handy chart to help you visualize the distinctions: MQL vs. SQL (260) Now that your lead has qualified as an SQL, it’s time for sales to introduce their personal touch. Often this takes place with a phone call, which could have been set up via email. It could also be a face to face meeting, be it at a tradeshow in a meeting room, or at someone’s office. Regardless of the channel or place, it is an interpersonal conversation. While it is often one to one, a prospect may have other team members who are also decision makers present. This gives sales the opportunity to find out what’s important to this specific prospect. Your sales rep can understand the individual’s pain points, and address how your product overcomes them. In addition, they can also register any hesitations, so they are prepared to overcome them should there be another call. Given the complex nature of B2B sales, a conversation is needed for prospects to invest in your product. Software, for example, can call for a significant commitment. In addition to the financial aspect, employees will be investing their time as they learn how to use a new product. Ultimately, once sales has spoken with the prospect, be it on the phone or in person, they can decide if they qualify to move on in the funnel as a sales opportunity. In the most basic terms, a sales opportunity is someone who says “I am considering buying your product and would like to know more.” And really, when you think about it, are there any sweeter words to a sales rep? That sentence is music to their ears! And yours too – all of your hard work marketing is paying off! 6. Customer You’ve made it – the final stage of the funnel! The prospect has shown an interest in your product. They’ve even shared their time and met with you, and want to move onto the next stages. Now it’s the final steps to cross the finish line – getting that contract signed to turn your prospect into a customer. This may take several meetings and could be affected by a variety of factors, such as overcoming uncertainties about your product and getting additional information for the prospect’s coworkers. In addition, the time and money required to adopt your product will also be a factor for the lead. Committing to a short-term project with a marketing agency may only require one meeting, while big-ticket investments to be utilized for years to come require more consideration. Even if a lead backs out at the last moment, they may remain in the marketing funnel. Sales and marketing will look for – and create – opportunities to try again! CHAPTER 4 Given the process just illustrated in the marketing funnel, it’s clear marketing and sales depend on each other for success. However, this was not always so obvious. The traditional perspective was that each aspect of running a business – such as customer service, product development, sales, and marketing – was a separate “silo,” offering little to no collaboration with the others. But the evolution of digital tools, big data, and customer preferences are breaking down those silos! Now more than ever, B2B teams are working together to create unforgettable customer experiences and make more sales. Yes, there are some differences in primary focus. B2B marketers aim to make brands more visible, capture leads, and nurture them until they're ready to talk with a sales rep. Salespeople are eager to get on the phone and close deals. But both are concerned with seeing the business grow. As you'll see in just a second, these responsibilities are merging in interesting ways. Smarketing “Smarketing” is a play on words that combines sales and marketing. You only have to turn to the word itself to understand what it means: the unification of the two functions. While B2B marketing previously focused on branding, the rise of various sales and marketing software types has resulted in a shift to the marketing strategies outlined in Chapter Two, such as demand generation and account-based marketing. The effectiveness of these strategies depends on sales and marketing working together. Instead of maintaining separation from each other, smarketing reminds us that marketing and sales share the same goal: increased revenue. There's an emphasis on using data and the same criteria for leads, and not simply monitoring each other's progress and goals, but actively supporting them. The results of smarketing speak for themselves. One study from The Aberdeen Group found that companies where sales and marketing departments were closely aligned increased their revenue growth by an average of 20 percent. Sales and marketing might have different functions. But they're united under the same goal: business growth. Without marketing, salespeople wouldn't have any qualified leads to contact. They'd waste countless hours with a scattered, inefficient approach. In addition, marketing provides the sales collateral to help convert prospects. Alternatively, without sales, marketers would be creating content that is ineffective and a waste of time. Here are four key reasons why sales and marketing should adopt an integrated marketing communications approach: Reasons for B2B Marketers to Work with Sales If marketing and sales have been operating separately for a long time, it's only natural for challenges to arise when they start working together. Effective communication will make all the difference. Here are seven tips to keep your B2B marketing and sales teams working smoothly and effectively: CHAPTER 5 While we've covered many marketing strategies so far, a big part of successful implementation can depend on having the right tools to execute those strategy. Effective B2B marketing all comes down to priorities. We have to choose the right combination of messaging and channels for the right people, at the right time. Better to do a few strategies well than try to do everything and spread yourself too thin! How can B2B marketers make these crucial decisions? And, once they have, how can they stay efficient with their time and limited resources? Fortunately, there's a huge variety of B2B marketing software available. This software is powerful – and getting even more powerful by the day. Have a look at the list below. There's a little something for everyone looking to take charge of their B2B marketing campaigns. CRM Software Customer relationship management (CRM) systems act like a powerful database, and help businesses track and manage every sales interaction from a single system. This powerful software is the hub of marketing automation, enabling contact, account, and opportunity management. Learn more aboutCRM software. Email marketing software helps B2B marketers build a list of subscribers, communicate with them all automatically, and nurture leads toward purchase. Imagine being able to follow up with everyone on your list (or specific segments) – all by sending a single email. The software also allows marketers to create eye-popping emails with custom templates, segment lists, split-test different versions of emails, and track key metrics, including open and click-through rates. Learn more aboutemail marketing software. Social Media Management Software Social media marketing software allows B2B marketers to monitor and control all of their social media accounts from a central hub. There are lots of choices here, and features vary greatly. Products like Buzzsumo are focused on connecting you with social media influencers. Other platforms like Hootsuite and Cision let you schedule upcoming posts and check your analytics. And then there are tools designed for various tasks such as Bitly, a link shortener, and PromoRepublic, which generates ideas for social media posts and automates their promotion. Learn more aboutsocial media management software. Event marketing software seamlessly blends the traditional with the digital. Event management platforms are great for B2B marketers who are managing events, trade shows, conferences, and professional meetings. The features are designed to keep everything – from venue selection and payment processing, to live audience polls and slide sharing – running smoothly so you can focus on building relationships that last. There are many other event management software types to help you run the best events possible. Learn more aboutevent management software. Marketing Automation Software Marketing automation software handles tedious, repetitive tasks so marketers don't have to. Marketers control the system, specifying certain criteria and outcomes to trigger tasks, which the software executes. You'll see this in a range of situations: email marketing, social media, lead generation, and more. These tools boost efficiency and create better experiences for leads, and reduce human error. Learn more aboutmarketing automation software. Analytics software helps B2B marketers better understand their campaigns and the people they're trying to reach. It tracks user behavior, showing marketers how they react to digital content. This helps them allocate their time and budgets more efficiently. They can invest more into what's working well – or tweak low-performing initiatives to perform better. Learn more aboutanalytics software. Public Relations (PR) Software Public relations (PR) software helps B2B marketers build connections with members of the media and other key influencers. These publicity opportunities, when targeted to reach the right audience, can be extremely valuable. PR software also helps companies monitor how their brands are being perceived and take corrective action if needed. Learn more aboutpublic relations software. Account-based marketing (ABM) software helps B2B marketers and sales work together to land (and manage) carefully selected key prospects. ABM software transfers information between contacts and their linked accounts automatically, fosters communication of account-level details between sales and marketing, and manages the marketing funnel. The software also helps everyone understand exactly where each account has engaged throughout the sales cycle. Learn more aboutABM software. Demand Generation Software Demand generation (also known as demand gen) software is all about getting people excited to interact with you and your brand. The goal is to create and maximize valuable content, measure its effectiveness, and get prospects demanding more of it! Different approaches, like brand advocacy, gamification, lead generation, and loyalty management can all assist in creating buzz. The software doesn't just help marketers at the beginning of the sales cycle; it engages leads all the way throughout. Learn more aboutdemand gen software. CHAPTER 6 Before we conclude, here are a few influencers in the B2B Marketing world to get your creative juices flowing. Check out their websites, follow them on Twitter - see how who they follow on Twitter! You're sure to find a great source of inspiration from them all. Ann Handley is a name known and loved by content marketers far and wide. In addition to her role at MarketingProfs, Ann was recognized by Forbes as the most influential woman in Social Media Marketing, co-founded ClickZ.com, and was named one of seven people shaping modern marketing. Oh yes - and Ann is a New York Times bestselling author for her books on business writing, plus she’s an amazing keynote speaker. Those who have the pleasure to learn from Ann leave inspired and ready to write content that converts. How can we not love someone who starts her company’s conference with tap dancing? Jeff is an author and keynote speaker recognized by B2B Marketers worldwide. An Australian who started with a $10 investment in a passion project, he now has a website with millions of visitors a year and over 600,000 social media followers. In addition to Forbes naming Jeff one of the Top 20 Influencers of Chief Marketing Officers in both 2017 and 2018, he has also been recognized as the number one global “digital marketing influencer” and the world’s number one business blogger. Jeff executes his mission of inspiring and educating entrepreneurs to “win at business and life in a digital world” through his content and educational and consulting services. As the founder of GrowMap.com, Gail specializes in providing expert advice to small businesses. She spent 23 years working at IBM, where she started as one of the first women computer technicians. During her time there she progressed to managing major client accounts, including those with multi-national networks. Gail’s passion to help marketers (regardless of their budget!) has benefitted many B2B small businesses, and established her place as an influencer in B2B marketing. In addition to receiving three Small Business Influencer Awards from Small Business Trends, GrowMap is also listed as a Cision Top 100 Site for Marketers. Hiten is currently putting his expert B2B strategy into not just one but three businesses he has co-founded: Product Habits, Quick Sprout and Crazy Egg. In addition, he is the co-founder and former CEO of KISSmetrics, an analytics platform design to help companies understand consumer behavior on their website and products. Additional companies he has advised, invested in or worked at include LinkedIn and Slideshare. Hiten is full of advice for entrepreneurs and startups, including one we should all remember: "Learn to say that you need help and don’t see it as a weakness. See it as a point of strength." The world of B2B marketing is constantly evolving, but you're well on your way to becoming a master. The tools and platforms change; however, the fundamentals of what it takes to connect with potential customers remain constant. Now you have a good grasp of them: You understand the unique challenges B2B marketers face, as well as the strategies they use to overcome them. That strategic knowledge is the first step to dialing up a winning B2B strategy. Testing different messaging and channels – and tracking the results closely – will help you make the most of every effort. And don't forget to get the sales team involved! If you want to explore some of the awesome software or think you'll have questions later, go ahead and bookmark this page. You can refer back to it whenever you need a refresher - we’ll always be here! FREQUENTLY ASKED QUESTIONS What is B2B Marketing?
How B2B Marketing Works
B2B vs. B2C Marketing
Understanding the Difference Between B2B and B2C Marketing
Can a B2B Company Also Sell Directly to Individual Consumers?
Who Uses B2B Marketing?
Examples of B2B Companies
B2B Marketing Examples
B2B Marketing Channels and Strategies
B2B Marketing Channels
Online Marketing
Offline Marketing
B2B Marketing Strategies
Types of Content Marketing
Account-Based Marketing
Account-Based Marketing Resources
Types of Marketing Automation
User-Generated Content from Customers
User Generated Content Resources
Types of Inbound Marketing
The Marketing Funnel
What
The Difference Between Sales and Marketing
Sales
Marketing
So what is the "funnel"?
1. Website Visitor
How leads work
3. MQLs
4. SQLs
The Difference Between an MQL and an SQL
MQL
SQL
5. Sales Opportunity
B2B Sales and Marketing Alignment
The Importance of Sales and Marketing Working Together
Cross-Functional Communication Tips for B2B Sales and Marketing Teams
B2B Marketing Software
Email Marketing Software
Event Management Software
Analytics Software
ABM Software
Famous B2B Marketers
Ann Handley
Chief Content Officer, MarketingProfs
Jeff Bullas
CEO, Jeffbullas.com Pty Ltd
Gail Gardner
Small Business Marketing Strategist GrowMap.com
Hiten Shah
Co-Founder at Quick Sprout
Conclusion
What are B2B marketing strategies?
What is B2B digital marketing?
What is a B2B business with an example?
What is B2B marketing with an example?
What is B2B event marketing?
What is the B2B process?
How is B2B marketing different from B2C marketing?
Is Facebook a B2B or B2C company?
What is B2B social media marketing?
Is Amazon a B2B or B2C company?
What is B2B e-commerce with example?
What is content marketing for B2B?
See Also
The Ultimate Guide to B2B Marketing in 2024 [New Data + Expert Tips]What Is B2B Marketing: Definition, Strategy, and Trends19 Powerful B2B Marketing Strategies That Work Now | [site:name]What Is B2B Marketing: Definition, Strategy, and Trends