With the new year comes a fresh perspective and another chance to improve and optimize your marketing program. To make sure your plan is rock solid, check out the top industrial marketing trends for 2017 from the Marketing Maven and consider how to best implement them into your own strategy.
Trend #1: Media Mix is More Diversified
With so many media channels now in use, marketers have more competition than ever for share of voice, making it harder to capture the attention of your audience. Moving into 2017, we predict that more industrial marketers will incorporate a carefully planned, comprehensive mix of channels into their marketing plans.
According to a Content Marketing Institute/Marketing Profs survey, marketers use an average of 13 different channels to promote their message to the market. Leading the way are social media content, case studies, blogs and e-newsletters. B2B marketers also use an average of three paid advertising channels. The top three are search engine marketing, print or other offline promotion, and traditional banner ads. It’s not just paid search engine ads anymore.
The Industrial Marketing Trends Survey from IEEE Engineering360 shows that about 80 percent of industrial marketers are diversifying their mix, but the majority say they need to diversify more. If this describes your situation, you might want to work with media partners, agencies and other experts to help you determine the most effective mix for you.
Trend #2: Digital Spend Will Continue to Grow
The statistics are plentiful: At $83 billion, digital B2B spending outweighs all other B2B marketing spending by two times or more (Outsell). Forty-two percent of industrial marketers are growing their online budgets. Online display advertising is up 28 percent, while email spending is up 9.1 percent (Winterberry Group). Overall, 41 percent of marketing budgets will be spent online, a percentage that steadily increases year over year (Industrial Marketing Trends).
Industrial marketers are increasing their spending across a diverse mix of channels. The top areas of increased spending are content creation, search engine marketing, direct mail using in-house lists, social media, online directories/websites, and webinars. With the exception of direct mail, all of these channels are online or directly impact online marketing efforts. Digital is where your peers are focusing more marketing budget, and we expect this focus to continue in the year ahead.
Trend #3: Measuring ROI is a Priority and a Challenge
The pressure continues to rise for marketers to demonstrate ROI on marketing investments. Marketing budgets have gotten tighter, and are often under more scrutiny by executives. Additionally, the growth of digital media channels means an increased ability to measure marketing efforts — making demonstrating ROI no longer the exception, but the rule.
According to The Content Formula by Michael Brenner, 81 percent of B2B marketers say that measuring marketing effectiveness is their greatest challenge. But how is success measured? It depends on what metrics matter.
Salesforce reported that revenue growth is the top metric for digital marketing success. This makes sense, although it is often difficult to attribute a sale to a specific marketing program. A prospect has many touches with a potential supplier and there are often many decision makers and influencers involved before a purchasing decision is made. Hence, it remains a challenge to attach revenue gains to specific marketing initiatives.
After revenue growth, customer satisfaction and retention rates are the most important measures of success. In this way, the industrial space mirrors the overall B2B space. The number one metric of success is sales attributed to marketing campaigns. After that, metrics such as customer acquisition, customer satisfaction, leads and customer retention come into play.
Twelve percent of industrial marketers don’t have a method to measure success. If you fall into this category, consider working with your executive team and media partners to determine what results matter to you, and how you can begin measuring them.
Trend #4: Content is the Kingdom
As marketing expert Lee Odden says, “Content isn’t king. It’s the kingdom.” Content marketing is becoming more evolved, more sophisticated and is driving key performance indicators and measurements. Content is how companies get their message out to the market.
In a recent Content Marketing Institute survey, 88 percent of B2B respondents say they are using content in some way, shape or form. However, effectiveness varies. Only eight percent say they are sophisticated content marketers. Eleven percent say they are just taking first steps and have not yet made content marketing a process. Everyone else falls somewhere between these two extremes.
If you are just getting started with content marketing, you are not alone. Thirty-nine percent of industrial marketers are in the same situation (Industrial Marketing Trends). This means that 2017 presents a big opportunity for improvement and success in this area. Be sure to devote time and resources this year to developing a content strategy, producing engaging content on a consistent basis, and measuring content effectiveness.
Trend #5: Email Marketing Maintains its Value
You may have heard that email is dead, but that simply isn’t true. Email has remained a cornerstone marketing tactic for B2B marketers for almost two decades. With mobile phones and tablets, your audience can connect with email almost anytime, anywhere. And don’t forget that email marketing offers easy to measure metrics like opens, clicks, forwards and conversions.
Data reinforces email’s continued popularity and effectiveness. Salesforce reported that 73 percent of marketers believe email marketing is core to their business, 65 percent say email is an effective marketing channel and 58 percent are increasing their email marketing spend. Newsletters are the most popular email marketing tactic.
As you continue to shape your marketing efforts in 2017, be sure to keep email in your portfolio. If you already publish a newsletter, consider advertising in other industry newsletters to reach a broader yet still targeted audience.
Where do you see 2017 heading for industrial marketers? Comment below and tell us where you’re focusing your efforts in the year ahead.