Cowboys

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Cowboys Preachers
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5 Secrets To Creating a Highly Profitable B2B
Selling Strategy Guaranteed to Please Both Sales
Marketing

• Presented By
• Steve Penn, CEO Executive Creative Director

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The Targets For Todays Discussion

• C-Level(CEO, COO, CMO, CFO, CIO)
• VP/Director Level(Marketing, Merchandising,
  Sales, IT,HR, Financial Purchasing)

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Secret No. 1 _________________UnderstandThe 7
Critical Ways B2B Differs From Consumer
Marketing.
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The Big 7 1. Your Prospects Are Not
Spending Their Own Money. 2. You Engage Fewer
People With A Higher Cost Per Contact. 3. You
Conduct A Carefully Orchestrated Campaign Over
Time. 4. You Message In Multiples Within The
Same Organization. 5. You Must "Grok" With
Prospects On Several Levels. 6. You Seek To
Satisfy A Need Versus A Want. 7. You
Practice Deferred Selling Versus Immediate
Selling.
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1. Not Their Money

• B2B purchases are made by people who must
  fight for budget share.
• They have to justify everything to a higher
  power. Help them out. Do the math.
• They wont take risks or be the first in
  line. Provide a blueprint. Allay their fears.
  

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1. Not Their Money

• I would prefer to follow in someone elses
  footsteps. We will most likely watch what some
  of our peers are doing before we jump headlong
  into web-enabling our call centers.
• Utility Company

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2. Fewer People/Higher Cost

• Spend against revenue by at least 10 -
  20. Incremental revenue requires incremental
  investment. There are no short cuts.
• Dont apply typical retail metrics to
  B2B Develop clear-cut ROI formulas using
  projected first-purchase revenue
  models against total COGS enterprise wide.
• B2B sales are usually high-ticket purchases,
  so dont trip over nickels to pick up pennies.

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3. Wage A Long-Term War

• B2B selling almost always requires a safety
  to actualization strategy. Remember our old
  friend, Dr. Maslow.
• Feed your story logically via a
  cogent Pain-To-Gain sales argument.
• No matter what the temptation, dont deviate
  from a solid core selling strategy.

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4. Plan On Multiple Points Of Entry

• Rarely are decisions made by a single
  person. Or even department. Target all
  influencers, decision-makers and stakeholders
  including the media, financial and research
  analysts.
• Your core message will probably be the same,
  but the pain you address will be different
  and so should your messaging and pain points.
• Get them talking internally buddy marketing

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5. Grok With Them

• Knowing the language of an industry is table
  stakes. You need to be able to adroitly navigate
  the political waters and demonstrate a savvy
  about their world.
• Uncover and internalize the structure of an
• organization and its individual culture. Try
  to secure an organization chart, field annual
  reports.
• Create a marketing plan and communications
• strategy that demonstrates both of the above.

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6. Satisfy A Need, Not A Want

• Consumers make purchases primarily based on
  satisfying a
• want which is justified or rationalized after the
  fact.
• While business buyers also wish to feel good
  about their decisions, they will engage ONLY if
  you first meet a very
• specific need with a clear-cut value proposition
• which out-positions all comers.

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7. Immediate v. Deferred Selling Position
v. Product

• Price, promotion, emotion and changes in the
  cultural landscape drive most consumer purchase
  behavior.
• It is most often immediately and directly
  affectedthrough advertising and marketing.
• Upgrading a computer network, purchasing
  industrial equipment or selecting a business
  partner is a methodical process subject to a
  complex gauntlet of criteria and approval.

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Secret No. 2 _________________ The CO Player
Principle
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The Conflicted Organization

• "I have a friend in BTB direct marketing who
  insists that he's an equal partner with his
  counterpart in sales. But I know better. In BTB,
  sales flies the plane. We in marketing serve the
  coffee."
• Contributor To A Major DM Publication

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The CO Player Principle

• Sales People are Cowboys
• Marketing People are Preachers

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The Cowboy Independent Been there, done every
damn thing Dont change what works What in
blazes do you know about anything, anyway?
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The Preacher Praise be the brand and my
plan Let me show you the light Change you
must I can forgive your ignorance, but not your
arrogance
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Brokering A Happy MarriageBetween Sales
Marketing

• The Sales Team Needs Confidence That
• You Really, Truly Know The Products
• And The Markets They Serve.
• They Seek Empowerment And Freedom
• Not Rules And Restrictions.

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Brokering A Happy Marriage

• 1. Get your hands dirty. Shadow top reps on
  sales calls. Ask questions, take notes. Learn
  how they sell.
• 2. Use this to create a best-practices marketing
  model to shape your brand delivery and selling
  methodology.
• 3. Dont tie their hands with marketing-speak and
  brand puffery. They are interested in solving
  problems to make sales. Not delivering bloated
  advertising pitches.

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Brokering A Happy Marriage

• The Sales Team Is Usually Wary
• Of Marketings Support Tools.
• Usually With Very Good Reason.
• Usually Because Theyre Awful.

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Brokering A Happy Marriage

• Never, ever hire a design shop to create
  your collateral
• Never, ever let the sales team create their
  own

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Secret No. 3 _________________ Understand
Current Selling Trends
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Relationship Selling The Biggest Difference
Of All

• The business-to-business commerce world is a
• complex web of close vertical markets where buyer
  
• and seller share a common destiny over time
  destinies often locked together and
  interdependent within an industry.
• In this world, relationships are what matter
  most.
• The dance of commercial courtship begins slowly
  and can literally last for months, even years
  before bearing fruit.
• It requires patience, persistence and consistency
• on the part of the seller.

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Selling Trends

• With the exception of heavy OEM-oriented
  industries, technology has minimized
  time-to-market and deployment issues for most
  B2B marketers and buyers.
• Cycle Selling has given way to Process
  Selling strategies where flexibility/implementa
  tion is key to success.
• Technology in most every sector has become a
  commodity to a large degree and getting ever
  more difficult to differentiate.

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Selling Trends

• Brand and Branding are more important than
  ever, but have been redefined in vision
  thought leadership corporate commitments vs.
  traditional product service paradigms.
• The noise-level is higher than ever in our
  lives, especially in the world of
  business-to-business.
• Well look at Noise Level more in a moment.

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Secret No. 4 _________________ The Cs
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Cracking The Cs
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Cracking The Cs

• Penn Garritano conducted an extensive proprietary
  
• benchmarking study targeting C-level
  decision-makers
• and key influencers in the technology sector.

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Cracking The Cs

• Purpose To gather competitive intelligence
  about "best practices" regarding advertising
  expenditures, channel preferences and lead
  generation processes.
• Targets One-on-one personal interviews and
  survey instruments to EVPs, CEOs, COOs, CMOs,
  CFOs and CIOs across a broad cross-section of
  software companies, including
• PeopleSoft SAP Oracle
  E.piphany
• Cisco Systems 3m
  Informix AserA

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Cracking The Cs

• Penetrating the C-level requires exceptional
  commitment, determination and persistence on both
  the marketing
• and sales fronts. Relevant, effective messages
  must be
• constructed and delivered via a carefully
  orchestrated,
• well-timed mix of the following communications
  tactics . . .

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Cracking The Cs

• Direct Mail Voice Mail E-mail
• Survey instruments Interactive
  Demos
• Executive Breakfasts, Retreats Events

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Cracking The Cs

• The Rules Of Engagement

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Cracking The CsRules Of Engagement

• Be respectful of their time but DON'T be afraid
  to challenge their assumptions and communicate
  controversial or paradigm-shattering ideas.
  Become a compelling C-level communicator in your
  own right.
• Speak their language, but don't use their jargon.
  Create your communications to address relevant
  business pain in the context of specific industry
  issues, trends and developments.

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Cracking The CsRules Of Engagement

• Promise Prove. Never pitch. Show them the
  Promised Land in an intelligent, thoughtful and
  compelling ROI-based value proposition. But keep
  the plaid suit safely stowed in the closet.
• Court the gatekeeper. Rather than regarding
  gatekeepers as an "obstacle" to overcome,
  successful marketers invariably treat them as
  respected players on the corporate team.

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Secret No. 5 _________________ Make Your
Messages Matter.
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The Noise Level Out There According to
a recent Wall Street Journal Survey, the
business person is barraged daily with 52
phone calls 36 e-mails 23 voice mails 18
postal mails 14 faxes 18 interoffice memos
13 post-it notes 8 pages of other stuff 4
cell phone calls 3 express mail deliveries
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But Wait, Theres More

• Advertising Age recently reported
• that consumers are now exposed
• to a mind-numbing average of ...

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5,000 messages Every single day
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Messaging That Matters

• Use words everyone understands
• and everyone will understand
• what youre saying.
• Winston Churchill

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Messaging That MattersVP/Director, Manager

• Looking good/smart to management
• Tracking managing day-to-day productivity
• Recommending "better way" models

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Messaging That MattersCEO/Owner

• Increasing stakeholder value
• Increasing incremental revenues and profit
• Positioning the enterprise competitively

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Messaging That MattersCIO

• Protecting technology investments
• Managing systems for appropriate scalability
• Evaluating/advocating industry-specific
  technologies

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Messaging That MattersCFO

• Saving money/managing cash flow purchasing
• Maintaining profitability
• Evaluating growth opportunities

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A Word About Offers

• These people respect fresh, innovative thinking
  ...
• BUT it absolutely must communicate in a
  heartbeat.
• The Cs don't like being jerked around.

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A Word About Offers

• Beware of spinning weasels
• Penn Garritano Client

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The Client Speaks

• Direct Marketing Does Work
• At The C-Level.

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The Client Speaks

• "We have proven the power of direct marketing.
  That is why
• we have shifted the money into more
  transaction-oriented advertising and marketing
  tactics. We look at planning an integrated
  marketing campaign, and then we evaluate the
  right media channels to accomplish that goal.
  Each channel can play a slightly different role.
  
• Chief Marketing Officer
• Major Software Developer

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The Marketing Media Mix

• Major Software Developer Approximate Allocation
  Of Total
• Sales Marketing Resources By Marketing Channel
• Direct Mail/Telemarketing 40-45
• E-marketing, including webinars 15-20
• Trade Shows 15-18
• Sales support Sales materials 10-12
• Brand Advertising 5-8
• Media/Analyst Relations 3-4

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What Do You See As The Future Of B2B?

• Smarter, more personal and relevant use of direct
  
• and database marketing to establish multiple
  points of entry
• Stronger commitment to top down targeting and
  messaging
• combined with smart bottom up selling.
• More prominent, leading, active effective
• role as brand stewards

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Thank You.