The widespread shortage of technical and engineering skills has been exasperated further by the pandemic. Even though some companies have been forced to downsize due to the pandemic, the demand for engineering talent still far exceeds supply, according to research from Terminal, a company that builds remote engineering teams for its clients.
Likely none of us are too surprised by this. According to the EE Times, over the course of the next two decades, 10,000 baby boomers will turn 65 each day. Engineering will represent only a fraction of that number, but retirements will leave a large hole in talent for many companies, and the upcoming talent pool of young engineers is smaller compared to the previous generation.
In other words, the war on hiring engineering talent is coming.
If your company is like many others in their need to recruit engineers into its workforce, marketing can help play a role. Working with human resources or talent acquisition teams, marketing can bring branding, messaging, and channel skills to bear that can help overcome the recruiting challenge.
Fine-Tune Brand Messages
According to research in the 2021 Pulse of Engineering report, the most important career factors for engineers are interesting work/projects, good work/life balance, learning, and respect. Compensation was only the fifth most important factor.
In your recruitment ads, company boilerplate, website, and other messaging platforms, let potential hires know how your company accommodates these career factors that are important to engineers. Even subtle placements help. Quotes from your subject matter experts in press releases or blog posts might mention something about an interesting project or new insights discovered while working at your company.
Help Train the Next Generation
The 2021 Pulse of Engineering also found that engineers often turn to online training courses, webinars, and professional development courses to help increase their knowledge and skills.
Consider offering free online training or paid certificate courses on topics that your company can demonstrate expertise and leadership in. You can also look into hosting and moderating technical discussion or Q&A forums for engineers. Produce webinars on the latest trends in your industry to show that your company is on the forefront of industry change.
Promote the Latest Technology
Engineers are commonly interested in working for companies that are at the leading edge of technology. Top talent won’t want to spend their time using outdated programs, so ensure your tech stack is up to date. If your company uses the latest technology tools and platforms, be sure to promote this aspect as a way to make your company more attractive to engineers.
Offer a Vision
Before accepting a position, engineers want to get a sense of what their career might look like at your company. In your communications, provide a short- and long-term sense of your company’s mission, vision, and core values. But don’t be generic. The engineering workforce is specialized, and your vision should be too.
Align with Today’s Preferences
The research conducted by Terminal reported that 8 out of 10 engineers want options for working remotely. Seventy percent of engineers report they are more productive when working at home.
If your company offers flexible and remote working options and remote-specific benefits such as technology and productivity tools or stipends, you should be able to attract more talent from a much broader pool of candidates located around the world.
In addition, mental health services are in high demand today in every profession. Benefits like access to virtual therapy can help make your company more attractive.
Conduct Targeted Recruitment Advertising
Consider advertising on GlobalSpec for your employer brand promotion and talent acquisition needs. GlobalSpec’s audience consists of the world’s top engineering and technical professionals, which puts us at a unique advantage to help market your employer brand message to the people working in the industries you’re targeting.
Apple’s recent announcement about protecting users’ privacy has marketers wondering about the implications for their email marketing efforts. Some pundits are declaring the end of email marketing, while others are mostly shrugging off Apple’s maneuvers.
Nothing is scheduled to take effect until September when a new version of the Apple operating system rolls out, and a lot can happen between now and then, but marketers will need to pay attention and likely make some adjustments to their email marketing tactics.
Apple’s new Mail Privacy Protection applies specifically to the native Mail app on iPhones and iPads, and the desktop email application.
According to the Apple press release, “In the Mail app, Mail Privacy Protection stops senders from using invisible pixels to collect information about the user. The new feature helps users prevent senders from knowing when they open an email, and masks their IP address so it can’t be linked to other online activity or used to determine their location.”
There will be other changes as well, but these are the most significant for industrial marketers:
Email open metrics
You will no longer be able to track email opens from those using the Apple mail app. Apple will also block forward tracking. If your subscriber forwards an email to another email address, you will not receive any tracking information on the forward.
Masking IP address
Apple will mask a user’s IP address, which will prevent marketers from tracking a user’s location or other online activity. This means less insight into your subscribers’ behavior and tendencies.
Dynamic content and device information
Apple will block dynamic content, such as live poll updates, carousels, and hamburger menus, forcing the user to actively download this content. In addition, marketers will no longer be able to discover what type of device is reading the email, which will impact email design decisions.
How industrial marketers should respond
Marketers should start preparing now for the upcoming changes Apple is implementing. One important measure is to look back at your analytics over the last six months to a year and identify trends.
Email opens have long been a metric tracked by industrial marketers to measure engagement. Your history of email opens documents how you’ve been trending in this area. Now you can expect a change, depending on what percent of your subscribers use the Apple email app. Your email open metrics are bound to increase, which will be inaccurate because with the Apple changes the open will be recorded as soon as you send the email.
Open rates can often be equated to the strength of the sender and subject line. They are not, however, the best measure of engagement. Nor is this the first time that marketers have fretted over open rates. Remember when email preview panes first became a thing? Subscribers could read some or all of the email content without actually recording an open of the email.
Most important: be relevant
The more important engagement metric is a click-thru on email content. A click-thru shows how interested your subscriber is in what you have to say and what you have to offer. The key takeaway is: make your content relevant to your audience. Click-thrus and subsequent conversions are the most powerful measurements of how relevant your content is and how well you engage your audience.
You may also need to pay more attention to other engagement metrics beyond email to get a better perspective on your audience. These include website visits, social media activity, orders, and account activity.
Another way to gain valuable information and increase engagement opportunities is to ask subscribers to update their preferences. Typically, you might ask what type of content subscribers are interested in receiving and how often. You can also add questions about whether they prefer dynamic content and what type of device they prefer to use.
Getting around masked IP addresses and the blocking of live content are more complex issues, although fewer marketers will need to contend with them. If you send live content and use IP addresses to track online behavior or location, you will likely need to get design and technical experts involved to work on solutions.
Ultimately, the impact of Apple’s privacy changes on email marketing remains to be recognized. It will likely be neither doomsday nor a non-event and instead fall somewhere in between. The Maven will continue tracking the situation and keep you updated as the new Apple OS rollout gets closer.
The pandemic has impacted many professions and industries, including engineers working in the industrial and manufacturing sectors. But engineers have long demonstrated they are a smart and resilient bunch—they have jobs to do and find ways to get them done, pandemic or not.
That’s not to say that engineers haven’t made adjustments to how they search for and connect with suppliers, and how they source and consume content. Here are some tendencies that have changed during the pandemic and that should be on your radar when crafting marketing programs during this unsettled period.
Participation is increasing in virtual events and webinars
First, there might be some confusion about the difference between virtual events and webinars. To help clarify, consider webinars as standalone, specific events—short, often technical, and focused on a single topic.
Virtual events are more expansive and last longer. While they often contain technical presentations that you might encounter in a webinar, virtual events may also include keynote speeches, exhibitions, discussion forums, sponsors, and other content and interactive features.
Of those engineers who attended a virtual event, 80 percent found the event a valuable experience. Still, engineers prefer webinars to virtual events by more than a two to one margin, while 28 percent aren’t sure which format they prefer. This makes sense, as virtual events in their current incarnation are relatively new.
Whether at a virtual event or a webinar, if an engineer shows up, they’re looking for technical content. When developing your own webinars, keep this in mind. If participating in or hosting a virtual event, make sure you have plenty of opportunities to deliver technical presentations to your audience that help them do their jobs better.
Podcasts are an emerging content type
Fifty-five percent of engineers now listen to podcasts for work. Thirty-seven percent subscribe to 1-5 podcasts.
Out of those engineers that listen to podcasts, 33 percent listen for 6-20 minutes a week, followed by 26 percent that say they listen for 5 minutes or less. Given that the average podcast is 15-25 minutes in length, this data indicates that engineers are listening to about one episode for work per week.
If you plan to delve into podcasts as a marketer, treat them like other content you produce. Make each episode focused on a single topic, don’t be afraid to get technical, and pay attention to production values.
Other tips: use good microphones, choose speakers who have strong and clear voices, be professional but also foster your personality, add beginning and ending themes to the podcast, and edit the file to create a tight and smooth final product.
Video is popular, but be careful
A whopping 96 percent of engineers watch some videos for work. Forty-eight percent watch less than one hour, while another 48 percent watch for one hour or more. By comparison, engineers spend twice as much time watching video as they do listening to podcasts.
Video has grown steadily in popularity, particularly among younger engineers. Thirty-two percent of engineers are willing to fill out a form to access gated video tutorials, making video a viable way to begin a relationship with engineers.
However, there are signs of video fatigue setting in. This is primarily due to the quality of videos. While a smartphone is all you need to make an effective video, not paying attention to production values can derail your efforts.
One way to make the most out of video is to use this content format for what it does best: showing visuals and movement as a way to explain concepts. That’s why demos and tutorials are the most popular subjects for videos, while talking heads can be snoozy.
Keep your videos as short as possible while still covering the topic. Pay close attention to your video statistics, particularly length of view. If a large portion of your viewing audience is dropping off around the same time, you’ve got a problem.
The biggest reason for drop off is lack of relevancy. Make sure your videos are about subjects your audience cares about and keep engineers interested by moving your story along.
Thank you to all who joined GlobalSpec and TREW Marketing for our 2021 State of Marketing to Engineers Research Findings live webinar.
We were not able to answer all of the fantastic questions posed by attendees during our live webinar, but have since tackled them all. We thought you might be interested in reading through the full Q&A, so that you can glean information to help inform your own industrial marketing efforts.
It’s hard to get the visitors to our website to engage with Chat, do you have any suggestions for how to get better engagement? We feel like they are just using us for our content and leaving.
Chat is best used as a means for website visitors to get an immediate question answered (such as where to find information, how to get in touch with sales, etc). If you’ve set up your website so that visitors can easily find info, you may not notice a lot of engagement in your chat, which is ok. The research data shows us that only 5% of engineers want to use chat as their first engagement with sales, signaling that they are not yet bought into this means of communication. Part of this might be due to the complexity of the need, but also a hesitation to interact with what might perceived as a salesy conversation. Consider experimenting with your chat settings and what the prompt is – striking a helpful tone may help engagement. And the silver lining is that we are seeing B2B chat growing in adoption (albeit at a faster pace than for engineers). As buyers interact with chat more and more in their B2C personal lives, you’ll see the behavior spill over more in B2B. Keep blazing the trail!
Has in-person meeting preferences with engineers changed with COVID?
We didn’t explore this topic in our research, but what we’ve experienced with our own businesses and clients’ businesses this year is, no surprise, a dramatic shift to virtual meetings. In speaking to engineering leaders, it seems that the pandemic has shifted work culture enough that virtual meetings and virtual working environments will become more of the norm after the pandemic. This will vary based on job function, so consider updating your audience personas with this question in mind, and monitor as the year progresses.
Could you speak briefly on the use of virtual calls?
Virtual meetings on platforms like GoToMeeting and Zoom became a norm this year. Our team at GlobalSpec has conducted virtual calls for years, but we were surprised by how many of our clients were suddenly eager to turn on their cameras when in the past had not. This visual aspect helped to forge a closer “human” connection with meeting attendees, and we now advise others to turn those towards cameras on (and worry less about the dog in the background — your furry pet is fodder for a perfect meeting icebreaker).
People are suffering from video meeting fatigue, how do you feel this will change over the next few months?
Long video calls tethered to a computer, starting into a camera can be exhausting. Consider breaking up lengthy meetings into shorter ones (no longer than 2 hours) and provide a brief break in the middle as well. Also, consider when video is not necessary. Old school phone calls can alleviate some video fatigue. I’ve had some of the most productive 1:1 calls with team members while taking a walk or sitting outside over the phone.
Do engineers have a preferred platform for webinars? (GoToWebinar, other?)
This would be a great question for the future. My suspicion is that content prevails over platform.
What type of podcast do engineers listen to?
This would be a great topic to dive into further in next year’s research. What we do know is that almost half listen to at least one podcast episode per week for work-purposes.
What are the professional networks they’re joining? What is a professional community network? How can marketers take advantage of those networks?
Professional networks include professional associations with networking opportunities and role-specific discussion boards. We did not ask specifically which professional networks (though next year I think it would be excellent topic to explore!). Examples of this include StackOverflow, GitHub, IEEE Collabratec, Quora and the CSIA Industrial Automation Exchange. Some engineering publication online sites have networking communities as well.
Why is YouTube not listed as a social channel?
YouTube’s functionality leans more towards a search engine than a social channel, though you could make the case for both. You’ll find YouTube results on page 13 of the research report, which show that 27% of respondents turned to YouTube to seek information and/or networking opportunities, where as social media as a whole came in at 17%. In our 2020 report, we did include YouTube within social options, and found it to be highly valued, coming in 2nd place to professional community networks, edging LinkedIn to third. Our conclusion is that whichever way you categorize YouTube, it is a valued channel by engineers and with the overwhelming adoption of video as valued content, an important channel for 2021.
Do social channels change based on age?
We didn’t do this analysis for the 2021 report, but here is the social breakdown by age from the 2020 research (note that YouTube was included as a social channel in 2020 but not in 2021):
Ages 35 and under found the most value in YouTube (46%), LinkedIn (35%) and Professional Communities (35%); they found the least value in Instagram (61%), Facebook (57%), Pinterest (54%), and Twitter (54%), and Reddit (43%)
Ages 36-54 found the most value in LinkedIn (35%), YouTube (33%), Professional Communities (28%); they found the least value in Instagram (53%), Pinterest (53%), Facebook (44%), and Twitter (47%), and Reddit (47%)
Ages 46-55 found the most value in YouTube (32%), Professional Communities (29%), and LinkedIn (26%); they found the least value in Pinterest (64%), Instagram (63%), Twitter (61%), Reddit (59%), and Facebook (50%)
Ages 56-65 found the most value in Professional Communities (24%), YouTube (20%), and LinkedIn (14%); they found the least value in Reddit (71%), Instagram (70%), Pinterest (66%), Twitter (66%), and Facebook (57%)
Ages 65+ found the most value in Professional Communities (42%), YouTube (20%), and LinkedIn (14%); they found the least value in Instagram (68%), Reddit (64%), Pinterest (66%), Twitter (66%), and Facebook (64%)
Do you see more success with organic or sponsored LinkedIn posts?
We’ve found the most success through a two-pronged approach: keep a consistent cadence of organic content flowing, ideally posted by company spokespeople (in their own voice) rather than only company posts. Supplement with advertising in short bursts with an engaging ad and enticing call-to-action.
Do you think there is a correlation between the engineers age and their seniority, for example, the more senior the engineer is the more likely they are to be ‘reading around’ their subject matter and engaging with materials as they will be seen as the local expert and conversely the younger engineers haven’t needed to perform this at this stage in their career?
Great point about the correlation between age and seniority. It is interesting to consider the need for certain types of content by stage of career and role within the organization. We find younger engineers perform more long-tail specific searches and need more basic education in what is often a “specifier” role, whereas older engineers with more experience often have a broad network of colleagues to tap. This older group may seek new ideas and different angles to complement their established expertise, while others may have a tendency to fall back upon trusted solutions of the past.
Ebooks seem to be growing in popularity, did you consider those as an option in any of your survey questions or did it show up anywhere?
We included ebooks in our 2019 research, with the descriptor “longer, more in-depth than application notes/white papers” and found them to be similar in popularity to white papers and webinars. Because there seems to be a general lack of understanding between white papers versus ebooks amongst engineers, we choose to drop that option from this year’s survey, but this doesn’t reflect a lack of preference for ebooks. Through our own experience, we find ebooks to be very popular lead generators and highly memorable due to their graphic-heavy nature.
Do you have any recommendations on how to deal with a prospective engineering customer that says “Your product looks valuable and I am interested, but don’t have the time to take a detailed look right now.”? We get this continued response a lot.
Give your prospect time to get to know your company and solutions more fully, and build preference through targeted content. One way to keep the lead warm is through a nurturing email campaign. Create a 4-5 email sequence keeping each brief with one relevant content offer, and set expectations for the engineers on how long it will take to consume the content (e.g., include something at the top of the page or even right in the email saying how long it takes to read). The goal of the campaign can be to set up a meeting with a salesperson (use a calendar app to reduce friction for this step), but hold this offer until towards the end of the campaign sequence.
Since the majority of engineers spend half of their journey online before talking to someone, will they be “creeped out” or deterred from moving forward with us if we reach out to them early in the cycle (leads)?
The data suggests that reaching out too early may indeed repel your prospect. Using a marketing automation tool, look for buying signs such a repeat visits, downloads, and other engagement. These indicate a level of trust and implied receptiveness to receiving a sales email.
General Research Questions
What was the total number of respondents to this survey?
We had a total of 1,361 qualified responses.
What new findings surprised you the most in this year’s research compared to prior years?
The biggest surprise was the number of respondents — twice as many as last year! With the data itself, there were no massive YOY swings on the whole, rather incremental increases that support continuing trends: more of the buyer’s journey shifting online, more adoption of video, and lack of enthusiasm over most mainstream social media channels. LinkedIn was an interesting one…while it ranks high when compared to other social channels, the percent of “not very valuable” responses jumped from 28% to 46%. This suggests fatigue (I know I’m tired of the aggressive sales bot messages!) and supports a more targeted and thoughtful approach. I am hopeful with more changes on the horizon in the LinkedIn platform, this channel will be seen as more, not less valuable, in our next research report.
Is the survey data specific to US market or global? If only US, do you think these behaviors are similar across the globe?
This survey includes respondents from around the world. In our past surveys, we have found that while small differences emerge in what types of companies engineers work at and what social media channels they prefer, the larger trends prevail
I would be interested to see & analyze the survey data, is this made available?
Since the beginning of the coronavirus pandemic, people worldwide have experienced the effects of supply issues. Here at GlobalSpec, we were curious about how it has impacted industrial marketers specifically, so we conducted a survey. Marketers can use these findings and recommendations to:
Better understand disruptions that facing their company, customers, and the industrial sector at large
Adjust and improve marketing plans as needed to align with the current situation
Craft messaging and content that acknowledges what is happening and supports customers
The Majority are Impacted
Sixty-four percent of industrial marketers said their supply chain has been affected by COVID-19 this year; 32 percent said it was not.
When asked if their company was currently experiencing supply chain issues, the results were similar: 61 percent said yes; 34 percent said no. This shows us that few supply chain issues have been resolved, and the effects of the pandemic are still impacting marketers.
Marketing Strategies Affected
Most marketers—69 percent—have experienced an impact on their marketing plans due to supply chain issues. The most common consequences were shifted marketing plans (53 percent), marketing budget cuts (49 percent), and product launch delays or cancellations (47 percent). Forty-two percent said that their product marketing focus has changed due to supply chain difficulties.
When asked to rate their confidence in the supply chain for 2021, the average answer was a 6 out of 10. It’s not a very optimistic outlook, but slightly better than neutral.
Delays are a Common Theme
As marketers elaborated on how supply chain issues affected their company this year or how they feel about the upcoming year, we began to see common themes.
Many marketers mentioned delays, such as long lead times for parts that lead to delays in finished product, shipping, and payment. Some companies are unable to offer fast or “as quoted” delivery. Others are facing increased freight costs. The overall unpredictability and inconsistency of market conditions has been difficult for marketers.
In addition to supply chain, decreasing demand and its effect on marketing was noted by several companies.
Reach out to new suppliers. If your company is affected by supply chain issues, marketing can help by planning an outreach campaign to potential new suppliers. Diversifying the supply chain is a strategy that makes sense for every company.
Use content to acknowledge supply chain disruptions. If your customers are impacted by supply chain issues, let them know you understand what they are going through. Tell them if your company can do anything to alleviate their situation, such as offering faster shipping or more favorable terms. Reassure customers that your company is stable and ready to serve them. Content that gives a sense that you understand and share their pain and that “we are all in this together” is helpful.
Reallocate marketing dollars. If certain markets you sell into are more impacted than others, consider pausing campaigns to the affected markets and using that budget in other markets that are performing better. The same holds true for delayed product launches. If you still have that budget, reallocate to where your marketing spend is still producing results.
Create a second marketing plan for 2021. You may need more than one marketing plan going into 2021. The first plan would assume that supply chain (or other COVID-19-related issues return to normal), while the second plan would accommodate supply chain disruptions or other potential negative impacts. Some companies are already in the habit of creating three marketing plans: a best-case scenario, a realistic scenario, and a worst-case scenario.
Almost everyone around the world has been impacted by the coronavirus, and engineers are no exception. In the forthcoming “2021 Pulse of Engineering” survey, GlobalSpec asked engineers three key questions about the coronavirus. Here are their responses.
1. Has the coronavirus impacted your department’s budget?
Forty-six percent of engineers said that the coronavirus has caused their budget to decrease, while 36 percent said it has not impacted their budget.
More midsized companies with 50-250 employees saw their budget decreased (64 percent) than larger or smaller companies.
The regions most impacted by budget decreases were Africa (75 percent), followed by South America (68 percent) and Asia (67 percent). The region least impacted was Australia, with only 28 percent of companies experience budget decreases. In North America, 46 percent of companies saw their budgets decreased.
The industry most impacted by budget decreases is Consumer Electronics (72 percent), followed by both Automotive and Education (each at 64 percent). Sixty-two percent have experienced budget decreases in Fabricated Materials, General Manufacturing, and Oil & Gas.
Several industries saw the average company experience either budget increases or stable budgets. These industries include Government, Aerospace & Defense, Engineering/Tech Design Services, Communications-Data/Telecom/Wireless/Network, Medical Equipment/Instrumentation, and Industrial Machinery/Tools & Equipment.
Key Takeaway: While many budgets have decreased due to coronavirus, some have increased or remained stable. Even in industries or regions where budgets have been most impacted, the show must go on. Marketers should continue their campaign efforts, making adjustments where necessary to account for lagging industries or markets.
2. How has the coronavirus impacted your ability to complete projects?
The most common impact on the ability to complete projects is supply chain issues and the availability of necessary parts, which was reported by 40 percent of survey respondents.
Supply chain issues and availability of necessary parts has had a larger impact on smaller companies with fewer than 100 employees than on larger companies.
Australia (38 percent) and Asia (35 percent) are the regions most impacted by supply chain issues.
The industries most impacted by supply chain issues are Agriculture/Forestry, Biotechnology/Pharmaceuticals, and Packaging Machinery, all at 40 percent.
The ability of half of those working in Semiconductor & Electronic Components to complete projects has been impacted by colleagues being laid off or furloughed.
Twenty-six percent of engineers said that working from home has impacted their ability to complete projects.
Key Takeaway: Because supply chain is the most common issue impacting engineers’ ability to complete projects, if there is any way you can expedite or improve the ability to get parts into the hands of your customers you should make that point clear in your marketing messages. Alternatively, think about some other ways you might be able to alleviate the pain their feeling from supply chain issues.
3. What has been your biggest challenge during the coronavirus?
The biggest challenge engineers face during the coronavirus aligns with the most common impact on the ability to complete projects: the availability of parts and components, reported by 26 percent of respondents.
Twenty-two percent of engineers said that working remotely was their biggest challenge; 16 percent said canceled work travel.
Working remotely and canceled travel were more of a challenge for engineers at larger companies.
The challenge of the availability of parts and components was felt particularly by engineers at smaller companies with up to 50 employees.
In most industries, the availability of parts and components is the biggest challenge. However, working remotely is the number one challenge for Government, Education, Utilities/Energy, Aerospace & Defense, Oil & Gas, and Consumer Electronics.
Key Takeaway: In addition to alleviating supply chain concerns, think about how your customer’s work environment is different than normal, and account for that in your outreach. Are there better times of day to reach them? Is a conversation via Zoom a better option? Your typical outreach might need to change.
Look for more insights into the work environment of an engineer in our upcoming research report, “2021 Pulse of Engineering.”
The global spread of COVID-19 is new territory for all of us, but what’s not new are disruptions in the market. Recessions, wars, and even technological breakthroughs such as the Internet have all impacted markets and marketing strategy throughout history.
Historically, some companies have cut back on marketing during disruptive times. They consider marketing to be discretionary spending, or they believe that marketing is a cost center rather than an investment in growth.
The fact is, many of those companies that cut back on marketing faltered, and others took their place as market leaders. Amazon became a leader during a recession. Toyota beat Volkswagen. Kellogg’s gained market share from Post. Pizza Hut and Taco Bell grew sales, while McDonald’s suffered.
You can go back one hundred years and see more examples of companies that innovated during economic declines ended up experiencing a surge in revenue and profit. Advertising executive Roland S. Vaile tracked 200 companies during the recession in 1923. He found those that continued to advertise during the downturn were 20 percent ahead of where they had been before the recession, while companies that reduced advertising were 7 percent below their 1920 levels.
When other companies cut back, there is less clutter in the market, fewer competitors seeking your customers’ attention, and often better rates on advertising placements.
The old adage is true: “During good times you should advertise. During bad times you must advertise.”
Sure, that’s easy to say, but may be hard to do if budgets and other resources are being threatened. That’s why companies need to look to marketing innovation and efficiency to see themselves through the economic impact of COVID-19.
Rely on marketing technology
The big three areas of marketing technology are email marketing platforms, web content management, and digital marketing analytics. Chances are you’ve already made some investments in these areas. Now is the time to get the most out of your investments.
In many ways, the global pandemic is presenting the perfect convergence of marketing technology and marketing tactics. Email, websites, and search (both paid and organic) are all working right now—and each of these marketing tactics is supported and optimized by marketing technology.
Continue to invest in sending emails to your house lists and advertising in industry e-newsletters. Maintain a robust and up-to-date website. Use search to drive qualified traffic that converts.
Even if customers aren’t ready to buy right now, they are continuing to work and are looking for the right vendors for when they are ready to buy. You want to be noticed during this period, you want to be remembered, and you want to be seen as a stable brand during uncertain times. You can only do that by continuing to maintain your marketing momentum.
Adjust your messaging
In your messaging to customers, you have to acknowledge what’s going on and how your company is responding.
Your customers are people, not just revenue sources. They have concerns just as you do. Their jobs and career and lifestyles may be in danger. It doesn’t help to pretend the pandemic isn’t happening or to act “business as usual.” An important part of marketing—during both good times and hard times—is showing empathy, and the current climate presents an opportunity for you to stay in close touch and tell your customers you are thinking about them.
You may also have an opportunity to reposition some of your products and services. Issues such as business continuity, supply chain security, and reliability of vendor partnerships are all on the minds of your customers.
This is the time to reassure, to show how your company is helping, to let them know if your products might play an important role in addressing their issues. Highlight the stability of your company, the reputation of your customer service and support, or the reliability of your product line.
Build a bridge through marketing
Marketing is the bridge that will get you from today’s difficult situation to a more stable future. It will keep you connected with your customers, visible in the market, and prepared to face additional uncertainty.
There may not be a “return to normal.” But there will be a future. Those companies that realize marketing is more important than ever will be best positioned to be successful, whatever the future may bring.
Over the past few months, GlobalSpec has been tracking how industrial marketers have been impacted by the coronavirus. While things are far from back to normal, the initial shock of the pandemic has begun to wear off for many, and marketers in the manufacturing space are beginning to think about how the rest of their year might play out. As some businesses begin to reopen across the United States and around the globe, we asked industrial marketers how their 2020 marketing strategy has been affected.
Currently, 51 percent of respondents are required to work remotely, and another 25 percent say remote work is optional or encouraged, but not mandatory. Fourteen percent are required to work on site and 12 percent are working reduced hours.
Regardless of their current work situations, 34 percent would be comfortable working on-site now, and another 28 percent would be comfortable returning to the office in the next 1-2 months. At the opposite end of the spectrum, 16 percent of respondents indicate that they are not comfortable returning to work until a vaccine is available.
Overall, industrial marketers are reluctant to return to their previous ways when it comes to tradeshows. More than one-third of respondents indicate that they will not be comfortable attending a tradeshow or large in-person until a vaccine is available – the top survey choice among respondents. Another 24 percent wouldn’t be comfortable attending an event for at least six months. Only 16 percent of respondents said that they would be comfortable attending a tradeshow or other large in-person gathering now.
Additionally, 61 percent of industrial marketers say shows they planned to attend or exhibit at have been canceled, and 30 percent have canceled all the 2020 tradeshow plans.
This data brings up real questions about the future of tradeshows and in-person events. Most industrial marketers attend at least one tradeshow per year, and it is often cited as a top marketing channel. (2019 Trends in Industrial Marketing) Industrial marketers will have to find other ways to connect with potential customers when in-person conversations and demonstrations aren’t possible.
Our research also examined marketing budgets in the industrial space and the impact of the coronavirus. 44 percent of industrial marketers report that their budget had decreased, and another 14 percent anticipate that it will decrease. Conversely, 33 percent of respondents say their budget has not changed and they don’t anticipate that it will.
In response to the budget changes and the effects of the coronavirus, marketers have made modifications to their plans. The most popular response, with 39 percent, is the choice to postpone some marketing spend. Twenty-eight percent have canceled some of their spend. Thirty-five percent had shifted funds from other areas to digital advertising, and 27 percent have shifted funds to content creation.
With all these changes in the first half of the year, industrial marketers are only mildly optimistic about their plans. When asked how confident they are in their marketing plan from 1-10, the average answer is 6.3. Given such uncertainty and unprecedented economic and social changes, it’s not surprising that marketers are wary about what the second half of the year might bring.
With all these changes, what are industrial marketers confident about? When asked to predict what their most successful 2020 marketing channel will be, 36 percent chose content marketing. Organic website traffic and webinars were also popular choices, with 11 percent each. Other popular answers were e-newsletter advertising and email to in-house lists.
What else are industrial marketers thinking about? Here’s a selection of their commentary:
We’re focusing on radiating internally within our existing customers to consolidate opportunities as they emerge. Like everyone else, we know that things look good on the other side of the pandemic, but we have to survive to get there.
There is still much left unknown, but we are working as fluidly, creatively, and cost-effectively as we can while remaining relevant and delivering timely content to our audience across predominantly digital platforms.
People are distracted. Customers’ budgets are being cut to conserve cash. New projects may have a very hard time moving forward no matter the ROI.
We are ramping up certain areas of our marketing frequency, revising strategies, and planning for when customers fully reopen.
So, what should industrial marketers do to help increase their chances of success in 2020? Many are already on the right track. Without tradeshows and in-person events to connect with prospects, look to webinars to replicate that experience. Webinars offer you the same chance to demonstrate your products and answer questions in real-time.
Remember, while engineers have also had their workflow disrupted, they are still in need of technical information. Continue to create relevant content and stay tuned in to your audience’s needs.
Many businesses have never faced the level of uncertainty they are confronted with now during the global pandemic. Some are experiencing declining revenue and are beginning to institute cost-cutting measures, including reducing their advertising and marketing spending.
In the wake of the last recession in 2008, ad spending dropped 13 percent, as reported in Forbes.
But history shows that cutting back on marketing during challenging times can be a risky move, leading to depressed results over a longer period of time.
One example: McGraw-Hill Research analyzed 600 B2B companies from 1980 through 1985. Their research found that business-to-business firms that maintained or increased advertising expenditures during the 1981-1982 recession averaged significantly higher sales growth, both during the recession and for the following three years, than those that eliminated or decreased advertising.
Why Maintain Marketing Momentum?
Discretionary spending such as advertising and marketing may be easy targets for CFO’s attempting cost control, but executives should look first to reduce other operating expenses. Maintaining marketing momentum during this time has numerous advantages:
With some companies cutting back, there is less competition for your audience’s attention, and therefore getting noticed becomes easier.
You may be able to gain market share from competitors who don’t maintain their marketing presence.
The cost of advertising space can be lower as demand for inventory decreases.
By maintaining a marketing presence, you can project a company image of stability and strength. No one wants to do business with a company that is perceived to be struggling.
You can stay top of mind with your customers and prospects.
If you let campaigns languish, and your customers’ buy cycle is long, you may continue to struggle even when conditions are more favorable because the top of your sales funnel will be empty.
Currently, there is a huge surge in internet traffic with many people working remotely, helping to expand the potential audience for your digital presence.
Continue Marketing, but Make Changes
While the arguments are strong to continue advertising and marketing during economic downturns and other challenging times, you may not want to do exactly what you have been doing in the past.
Check your messaging and revise as needed. Make sure that all content you share with your audience at this time is relevant, authentic, and sensitive to what your customers might be going through. Also, if customers must interact with your company in a different way now, be sure to communicate that clearly.
Reposition products and services. If your product and service offerings are in any way related to providing assistance during the current crisis, you can do some repositioning. Testing equipment, protective material, products that increase efficiency, or a service that benefits a remote workforce—these are just a few examples of areas that might be ripe for repositioning. Make sure your messaging reads as being helpful rather than as taking advantage of the situation.
Share good news. Maybe your company is performing some type of community service to help others afflicted by the coronavirus, or you have employees who are volunteering their time for the cause. Highlight these cases in your next newsletter, or even publish a special edition. We could all use some positive news.
Justify your marketing budget. When potential cutbacks loom, you may be asked to defend your budget. Make sure you are prepared. Track your marketing metrics and produce reports to demonstrate to executives that your marketing programs are working—and prepare your talking points on the detrimental effects of pulling back on marketing.
Your plan was set in place and the marketing machine was humming along, but then uncertainty set in. You suddenly find that external factors you simply cannot control, such as the economy or the impact of the coronavirus, are affecting your marketing efforts.
Your instinct might be to pull back from marketing during difficult times, but this is unlikely to be the best strategy. Cut back and you could lose market share to competitors or you begin to fall behind leading to a downward spiral.
Instead, when faced with external challenges, you need to find ways to adjust your current marketing plan to be more effective. Your mantra should be to “prepare not panic.”
Here are some tips:
Focus on what you can control
While you can’t control the emergence of external factors, you can control how you react. For example:
Recognize where demand is and what markets are strong and allocate your investments in those areas.
Keep track of what your customers and prospects are saying and doing and adjust your marketing channels and messaging to align with their needs.
Maintain visibility in your most important sectors, even if it means reallocating budget from less essential or more experimental programs.
Re-examine your marketing goals
During challenging times, it’s important to take a close look at your marketing goals. You might have to make decisions regarding what goals are must-haves, such as supporting a new product launch, while others might be nice-to-have, such as trying to enter a new market.
Given the current situation, some of your goals may no longer be achievable or your plans no longer viable. The sooner you recognize what you can and can’t achieve—and prioritize what you must achieve—the quicker you can take effective action.
For example, if you usually promote a product launch at a trade show that has been canceled, you can reallocate that marketing budget to other activities, such as e-newsletter or display ads, webinars, or content marketing.
Stay on top of measurement
More than ever, you need to get the most out of every marketing dollar during challenging times. While it’s always the right time to purge marketing programs that don’t perform, it may be time to suspend or scale back any marketing plans whose results you can’t measure or are unsure about.
If uncertainty is causing rapid changes in the market, increase your frequency of measurement to spot any disturbing (or encouraging) performance trends in your marketing programs.
You might find that some programs are working better than expected, while others are underperforming your stated goals. Use this opportunity to reallocate your budget to those programs that are most effective.
Get more from your existing marketing assets
This could be a good time to focus on updating web pages, repurposing content for other uses, or even combining programs.
Whatever the external climate, your website is still the face of your company and prospects will continue to visit. Make sure the content is current and accurate, links work, and pages are optimized for search.
In addition, repurpose and reuse content. Take that white paper and create a series of blog posts or develop a webinar. Create infographics using market or product data. Conduct a customer survey. You remain the owner and in full control of your content, so focus on making the most of what you have.
Another possibility is combining programs. If you are running a webinar series and planning to exhibit at a trade show that is no longer part of your plan, you may want to integrate your tradeshow message into your webinar series and use email and e-newsletter advertisements to promote the combined event.
Stay visible in your most important markets
If you do have to make program adjustments due to external pressures or other factors, don’t sacrifice your most important markets or most effective programs. If anything, reallocate budget to those initiatives from weaker performing programs or uncertain markets. Challenging times are often the right time for “circling the wagons” and defending your territory.
Reap the benefits of working with media partners
In challenging times, you may be forced to make harder and smarter decisions about allocating budgets. You don’t have to do this alone. Ask existing or potential media partners, who may have a broader and deeper view of the market, their advice on how to handle market uncertainty.
Ask media partners to demonstrate how their marketing solutions can help your company achieve its goals during challenging times. You may come away with unique ideas to navigate this period of uncertainty and come out the other end in a position of strength.