Unlocking Impact: The Transformative Power of Effective B2B Marketing

We know that impactful marketing is critical if we want to achieve cut-through and build successful B2B relationships. Successful marketing can transform the way a business succeeds and reap huge rewards when it comes to brand recognition and audience engagement.

However, according to Gartner’s annual CMO Spend and Strategy Survey 2023, marketing budgets are being reduced. In the survey, 70% of respondents confirmed that their budgets had fallen or been reallocated, down from 9.5% of company revenue to 9.1%. Digging deeper, it’s not just marketing budgets that are being cut. It costs more to market too. A 2023 CMO insight report found that the average cost per click was 20% higher in 2021 than 2020.

At Rationale, we understand that during economically turbulent times, marketing budgets are often the first thing to be reallocated. But we also know that marketing is critical for businesses to continue thriving.

1. Reducing marketing spend could lead to decreased brand visibility. The B2B space often involves dealing with multiple stakeholders and decision makers. Stakes are high, so businesses must make sure the brand they’re working with is reputable and well-known. Marketing can not only raise the profile of a business but can showcase the impact it is having – making it a more desirable B2B partner.
   
   At a time when B2B consumers are looking to reduce their own outgoings, if they choose to spend they are more likely to choose a brand or business that has had a noticeable positive impact on their lives or experience. A customer is unlikely to spend money on a brand they’ve never heard of when pursestrings are tight. Staying top of mind, through a combination of delivering an excellent product and a creative and impactful marketing strategy can zip you straight to the top of a potential partner’s contact book.

2. Having ‘myopic marketing management’ can affect the bottom line too, according to researchers Mizik and Jacobson. It’s common for budgets to be reduced during times of economic uncertainty or before IPOs, but research shows these cuts can cause businesses to lose market value in the long term as they lose visibility and relevancy.

So, how to manage inevitable financial challenges?

B2B partnerships tend to involve multiple stakeholders, so it is critical that messaging is appropriately pitched to different stakeholders to have the most significant impact. Continuing to spend significant budget on campaigns or channels that aren’t landing would make little sense. Reallocation to campaigns and messaging where impact is data-evidenced is critical. By being open-minded and open to analysis, reallocation of budget can ensure the highest performing channels are getting the love they need.

Use periods of downtime to explore B2B areas with potential for high growth. A recent McKinsey thought-leadership piece suggests that the most impactful activity for marketers would be to adopt an investor mindset and focus on high-growth areas, allowing marketers to weather the turbulence and ‘rebound stronger.’

Connecting with the cultural zeitgeist through impact marketing can help brands stay relevant to other businesses and boost their social capital, too. Marketing shapes how we view a brand, no matter the audience, and will define just how much impact it’s possible to have. 

Want to reach your target audience with the most impact? Send us an email at [email protected] for a discovery session to optimise your strategy and maximise ROI.

By Rationale, session sponsor at the Scotland Changemakers Conference on 22 October 2024. 

Published 18 September 2024