B2B Demand Strategy
“More than 50% of all marketing spend is doing little to influence the purchasing decisions of top customers and providing little help to the sales people calling on them. However, we’ve seen companies boost sales by 5-10% and customer retention by 30% by aligning marketing strategy to customer journeys.” (McKinsey & Company)
Journey-based B2B Demand Generation Strategy
A fatal flaw in many demand generation strategies is the tunnel-vision focus on leads (generating MQLs) while ignoring the greater opportunity to increase revenue and profitability across the customer lifecycle.
I help companies grow revenue and CLTV by focusing on all six stages of the customer journey demand lifecycle when building a B2B demand generation strategy:
- Lead (goal: convert Leads to SQLs)
- Opportunity (goal: convert SQLs to Opportunities)
- Customer (goal: convert Opportunities to Closed/Won deals)
- Usage (goal: increase share-of-wallet via up-sell/cross-sell revenue)
- Advocacy (goal: increase testimonials & referrals to support new customer acquisition)
- Loyalty (goal: increase CLTV)
The result is a B2B demand generation strategy that generates revenue and profits across the entire customer journey.
Impact to B2B Demand Generation Strategy
Many companies have been obsessed in their focus on “new logo’s” but it comes at a cost — namely, a higher cost of acquisition and cost of sales. Why? Because generating revenue from new customers is more costly than growing revenue from your installed customer base. Engaging existing customers requires patience and engagement — thus, many brands prefer to simply send their installed customer base a quarterly newsletter and focus the majority of their marketing and sales investment on chasing new prospects.
Smart brands understand that large gains in top-line revenue and profitability growth comes from a blended customer lifetime value approach to their B2B demand generation strategy. It means shifting the thinking from touch points (MQL, SQL, Opportunity) to journeys (customer lifecycle).
Here are a few reasons why:
- It’s 5X-7X more costly to acquire new customers than sell to existing (Bain & Co.)
- Existing customers convert 6X higher than new ones: 60% vs. 10% (Marketing Metrics)
- 80% of your future profits will come from 20% of your current customers (Gartner Research)
- Increasing retention by only 5% uplifts profits 25%-95% (HBS, Bain & Co.)
- Repeat customers spend 33% more than new ones (HBS, Bain & Co.)
- 84% of B2B purchases begin with a referral (Influitive)
I can help you structure tailored B2B demand generation strategies for each stage of the customer journey.