Download The Approach

Marketing Contribution
to Revenue…
Best Practices from
Advanced Demand
Generation Professionals
The Pedowitz Group
Q4 2008
Debbie Qaqish, Principal
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About The Pedowitz Group
• Demand Generation is
an emerging category
• We are early adopters
and practitioners in
the field
• We are not a research
company…we are
experts in Demand
Generation
• I’ve sat in your seat
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The Study
• Part I: Qualitative = “Observations”
– 18 One-on-One discussions with Demand Generation
leaders
• Part II: Quantitative = “Data”
– On-going now through the OnLine Marketing Summit
– 10 Questions
– www.pedowitzgroup.com
• Both Studies:
– B2B focused
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Demand Generation
The revenue focused set of
activities of both sales and
marketing that:
1. Get quality leads into
the top of the sales
funnel
and
2. Pull opportunities
through the funnel
quicker.
Discussion 1: What measurable contribution
does marketing make to the company?
• Observation 1 – Used the
language of business results
• Observation 2 – Frequent &
formal reporting
• Observation 3 – Not afraid of the
“R” word – Revenue!
• Quote 1: “Anyone in a
management position in the last
3-5 years knows that marketing
is no longer about nice ads or
hiring ad agencies, it is about
getting results for the company.”
• Quote 2: “Focus on things that
draw results in terms of revenue
with the executive team- you are
not the "make it pretty
department.”
• Quote 3: “Lead generation was
important last year, but it is
EVERYTHING this year!”
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OnLine Survey:
Percent of budget for Lead Generation?
56%
Less than 50%
25%
50% to 74%
13%
75% - 99%
100%
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4%
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OnLine Survey:
To whom do your report these metrics?
Senior management
team
62%
37%
Sales
15%
Board
No one outside of
marketing
Not sure
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13%
7%
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Discussion 2: What gets measured?
• Observation 1: Metrics were
specific and top of mind
•
Quote 1: “Never confuse activity
with results.”
•
Quote 2: “When asked a traditional
marketing metrics question, I would
respond with - Who cares?”
•
Quote 3: “I abandoned early metrics
because the business did not care
about them. What I measured 2
years ago was a joke.”
•
Quote 4: “Start with measuring
something and keep asking yourself,
“Is this the best I can do?"
• Observation 2: Metrics
mattered to the business
• Observation 3: What they
measured changed over
time
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OnLine Survey:
What metrics do you track and report on?
# of leads generated by marketing
57%
# of inquiries
50%
# of opportunities created from
marketing leads
47%
Amount of business closed from
marketing generated leads
None of the above
Other
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45%
19%
13%
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Discussion 3: Change in Role
• Observation 1: Major change in
role is occurring
• Quote 1: “My role went from
being all about brand to all about
leads!”
• Observation 2: Where hired from
– 50% hired from within
– 50 % brought in with this focus
or this capability
• Quote 2: “My role has changed
in three ways – it is less creative,
more people management
focused and very measurement
driven.”
• Business backgrounds
• Observation 3: Quota and Variable
Compensation
• Quote 3: “I was hired because I
had a background in sales,
operations and demand
generation.”
• Quote 4: “It's like marketing is
now the secret and silent new
sales person in the company.”
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OnLine Survey:
Which is true about your role?
You grew into the current lead
generation role from inside the
company
41%
You have sales or sales ops
experience in your background
26%
You were hired from outside the
company to come in and build out a
lead generation competency
You don't have responsibility for lead
generation
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22%
11%
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OnLine Survey:
Variable Compensation?
I do not have variable compensation
54%
Part of my variable compensation is
tied to lead generation results
23%
None of my variable compensation is
tied to lead generation results
All of my variable compensation is tied
to lead generation results
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19%
4%
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Discussion 4: Challenges
• Observation 1: Balance
• Observation 2: Reporting
& Systems
• Observation 3: People
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•
Quote 1: “It’s hard to focus. There
are so many things to do, it’s hard to
know which way to go.”
•
Quote 2: “Everybody wants
something different. You have to
work hard to set expectations.”
•
Quote 3: “My biggest challenge is
integration of systems - revenue,
CRM and marketing.”
•
Quote 4: “One of my biggest
challenges was changing the mindset
of my traditional marketing team.”
•
Quote 5: “One of my biggest
challenges was educating the senior
mgt team - getting the right data to
the right execs at the right time.”
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OnLine Survey:
What are your biggest challenges?
Generating higher quality leads
63%
51%
Tracking and reporting on metrics
Time
47%
Collaboration and communication with
sales
34%
Generating enough leads
32%
System integration between sales and
marketing systems
Other
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24%
13%
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Discussion 5: Advice
• Observation 1: Work with sales
• Observation 2: Measurement
that Counts
• Observation 3: You don’t know
what you don’t know
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•
Quote 1: “View sales as your #1
constituency, create a real
relationship with sales to the extent
you won't want to let each other
down.”
•
Quote 2: “It takes a village to sell.”
•
Quote 3: “ Track everything and
continually look for how to convert
your metrics into meaningful
information.”
•
Quote 4: “You don't know what you
don't know until you get going.”
•
Quote 5: “If you are going to fail, fail
fast and make sure you fail
forward!”
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OnLine Survey:
Sales and Marketing Alignment?
Marketing and sales in my company collaborate on
lead generation requirements
43%
Marketing and sales in my company have a
common set of agreed upon lead definitions
32%
Marketing and sales in my company do not have a
common set of agreed upon lead definitions
29%
Marketing and sales in my company have a well
defined lead hand-off process
26%
Marketing and sales in my company do not have a
well defined lead hand-off process
Marketing and sales in my company do not
collaborate on lead generation requirements
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24%
17%
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Key Learnings
1.
Demand Generation is the
NEW core competency
required for marketing success
2.
Education and Communication
3.
Technology is an enabler
4.
Get comfortable with
accountability and revenue
•
Quote 1: “There is a huge learning
curve in demand generation and
expect that what you think is
important when you start, may not
be important once you are in it.”
•
Quote 2: “Deciding who gets what
information, in what format and
how often, is critical to success and
depends on if you are a marketing,
sales or ops driven organization.”
•
Quote 3: “Tracking, measurement,
and metrics are all necessary and
inevitable for marketing.”
• Quote 4: “There is no
silver bullet.”
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What are your demand
generation challenges?
• Number of leads?
• Quality of leads?
• Sales & Marketing
Alignment?
• Metrics?
• Systems?
• Lots of other stuff???
Q&A
• Resources: DemandGen Report, iGNITE Series from
www.pedowitzgroup.com, Marketing Profs, Sirius Decisions,
& OMS Community
• Go to www.pedowitzgroup.com to participate in the survey
• Give me your card with “PPT” written on back to get final
copy of this presentation
• Call me at 770-331-4443 or e-mail me at
[email protected]
• Thank you!
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About The Researcher
• Debbie Qaqish, Principal
• Over 25 years sales &
marketing experience
• Led national sales & marketing
teams
• An innovator and implementer
of Web 2.0 technologies
• Passionate about the
combined power of sales,
marketing, and Web 2.0
technologies
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