79% of marketing decision makers now measure marketing success based on key business outcomes compared to 2019, according to a survey of B2B marketers and business leaders by growth agency Walker Sands. They are feeling more pressure from executives and executives to do more. And while nearly 90% of marketing leaders are now more focused on business goals, the majority (58%) struggle to understand the outcomes leaders expect from their marketing efforts. It says that there is.
What was the reason for the amputation? Executives are measuring success differently than they did a few years ago, the report suggests. And his 73% of marketers are focused on activating specific marketing channels and achieving their KPIs, and then on connecting metrics to results.
Examples of B2B marketing outcomes include strengthening a product or service's market position, accelerating growth, building reputation, and driving audience engagement. The report, titled “Outcomes-Based Marketing: The Case for a Shift in Perspective in B2B,” was published by 152 U.S.-based CMOs and VPs of Marketing working in B2B organizations that make more than $25 million annually. We surveyed 51 CEOs, COOs, and CFOs. Earnings from October 5 to October 20, 2023.
Obstacles to proving ROI
The study also identified key obstacles for marketers to successfully demonstrate the value of their work to executives. The biggest hurdle is misalignment between marketing and business goals. There is a lack of means to measure success. Difficulty converting marketing metrics into business insights. Resource constraints such as budget and personnel skills.
We spoke with Ann Hagner, SVP of Integration at Walker Sands, to discuss how B2B marketers can better align with C-suite goals, how to build internal relationships, advice for channel marketers, and more.
Chief Marketer: What proactive steps can B2B marketers take to align with executive goals? Do you have any tips on how marketers can realistically achieve this?
Anne Hagner, Senior Vice President of Integration, Walker Sands: Do you know how marketing results are communicated to your company's board of directors and management team? If not, find out.
Listen, then learn to speak in the language of your leadership team. The formula for a good business case is simple. Hard metrics and narrative. If you've been in marketing long enough, the metrics will look similar for any company. But narratives are just as important (if not more so) because they are unique to your organization. It's about the story behind the numbers and how they connect to business goals.
What has the CEO set as a business priority? Which products are generating profits? And what are the strategic imperatives to realize business value? Audiences driving change in the business Are you focused on?
B2B marketers who have the greatest impact on their organizations have control over both data and storytelling to establish direction, prioritize activities, and organize resources to achieve results.
CM: The report talks about talking early and often with executive leaders to ensure outcomes are part of the strategy. Do you have any other practical advice along these lines?
ah: Many of the best marketers I've worked with are experts at managing organizations. They spend time with customers, partners, and employees and use what they learn to shape their own marketing perspectives.
If you're a junior or mid-career marketer, invest in internal relationships. Build relationships with your customer success colleagues who will help you create feedback loops that inform your messaging and positioning. Make friends with your sales team and watch your understanding of your key accounts deepen. They also meet face-to-face with technical and product colleagues to ensure that they understand the service the same way their customers do.
CM: What advice would you give to marketers who are used to channel KPIs? How should they approach executives if they want to make a change?
ah: There's nothing inherently wrong with channel KPIs. Although channel KPIs are constantly evaluated, it's important to remember that they tend to provide a narrow view of performance. If you're running on multiple channels to support the same objective, make sure to align your measurement with the objective (shares across channels, rather than siled proxies for visibility such as impressions). -Think of Voice and brand awareness surveys, etc.).
Understanding channel performance is important when considering budget allocation and campaign flighting, but it's a conversation in marketing team meetings. Executives are looking for headlines, trends, risks, and opportunities. Most importantly, you need a story behind your data (aka “so what?”).
CM: As it relates to the four types of outcomes that B2B brands use marketing to achieve, what are the biggest pain points for your clients?
ah: Clients looking to strengthen their position are often reacting to changes in the market or within their business. For example, you may have received customer feedback that a competitor has better technology or a more attractive product. We've worked with many clients who have grown through M&A and now need to reevaluate how they bring expanded feature sets to market and reach new buyers.
Clients looking to accelerate growth may have big ambitions regarding an IPO or other exit event. They may also be working on a specific problem, such as increasing sales, increasing opportunity velocity, or attracting investors with a more premium-looking identity.
Reputation is about how your business is perceived. Are you known as an innovator? Established brand or challenger brand? We often hear from clients: “Customers love us, but not enough people know what we have to offer.'' This perception and credibility gap is common among B2B brands.
Engagement is about building meaningful touchpoints and relationships with key audiences. Many of our clients seek inquiries from investors (public or private), and all of our clients want to attract the best talent. And what B2B company doesn't want to turn customers into advocates and champions?
