It's no secret that integrated campaigns have been popular in B2B marketing for some time, despite the fact that it is an expensive route in which to invest. But with the growth and maturity of online marketing, an integrated approach is now becoming more cost-effective.
"Integration in B2B campaigns has been happening for some time now, but the rate of its use is noticeably growing," says Chris Hare, client services director at agency Gyro.
Internet security software provider Computer Associates (CA), for example, launched an international campaign last year involving a number of different channels. A direct mail pack was sent to prospects, inviting them to attend a seminar. Once they had signed up, they were sent an email with a link to an exclusive microsite where they could find further information on the seminar alongside an invitation to dinner with some of the speakers. Recipients could also tailor their particular interests via the microsite, after which there were email updates alerting them to relevant product news.
"CA's product messages are quite complex, aimed at board-level and middle-level executives, and the purchase time can be between two to three years," says Brian Dargan, planning director at DraftFCB London, which devised the CA campaign. "Holding events, providing cutting-edge content online and keeping the message consistent means we are providing relevant information through the appropriate channels."
Lee Waite, director at integrated marketing agency Flamethrower, says that B2B marketers are experimenting with more channels and moving beyond advertising, direct mail and telesales.
"This is largely because B2B companies are more aware of their brand and what this means," says Waite. "But each media route has its own strengths. Successful campaigns take a media-neutral approach and select the correct route to reach your target audience with relevance to the message being communicated."
It is also essential that B2B marketing campaigns are not just awareness raising but have a number of key hooks that can enable data capture with a view to developing an ongoing dialogue with prospects.
"Marketers do not know when businesses are in the 'purchase zone' for a B2B product - they tend not to know when firms are searching for a new office or when they are planning to upgrade their IT package," says Claire Murray, account director at agency Meteorite.
Channel choice
Devising a multi-channel project is about reaching as many people as possible, assessing how recipients want to interact with brands and ensuring that messages are consistent, regardless of the channels being used. Too often, a campaign run on different channels bears little resemblance from channel to channel, diluting the overall impact of the brand.
Interest in - and use of - email as a B2B channel is on the rise, mainly because of its cost-effectiveness and speed. But email data decay, and the fact that up-to-date email lists are scarce mean that marketers are now turning to other media. According to Ed Gorman, head of sales and marketing at AP Information, stringent spam filters, spam fatigue and a fear of viruses has meant that the email medium is losing its allure.
Furthermore, many of the products and services sold in the B2B environment are costly and often involve multi-functional decision makers, so sending out an email on its own may not always be the best option.
"Email can take the lead in the marketing process rather than as a complement to other channels. If brands are driving people to a landing page on their website, then email may be the most direct route to that page, rather than direct mail," says Flamethrower's Waite.
Peter Hardingham, head of relationship marketing at agency 23red, says there are two areas businesses need to consider when choosing which channels to use.
"Ask yourself whether there is a brand strategy and what the customer is expecting to see. The best way is to test different media with different clients," he says. "Using channels in combination has historically obtained a higher-quality response rate."
Research carried out by Experian, for example, showed that for a large volume, general campaign, which hasn't been too rigidly segmented, mail followed by a call, followed by an email and another call, has proved to be one of the most effective ways of achieving cut-through.
"If you move up the value chain and are experiencing longer sales cycles, multiple touchpoints can be very valuable, especially for brand building," says Nick Frazer, director, B2B marketing at Experian.
Liquid Communications created such a campaign for Scandinavian Airlines (SAS) last year. A variety of channels, such as direct mail, email, banners with clickthroughs, telemarketing and press ads were used to drive prospects to a dedicated microsite. The aim was to ask recipients to complete a survey and highlight their areas of interest, which then produced a list of names for a national sales team to follow up. The campaign targeted around 25,000 individuals and achieved a seven per cent response rate, with about 2,000 surveys completed.
Creative rules
But is big and expensive better when it comes to achieving cut-through? Some agencies agree that B2B marketing goes through a cycle of themes and sizes, adopting creative from games to novelty toys to business tools, but others say this risks diluting the brand.
"When creative is developed for creative's sake, the result is spectacularly sized packs which bear little relation to what the brand stands for," says 23red's Hardingham.
Humour and size can enhance stand out when it comes to B2B marketing, but firms have to assess whether this sends out a credible brand message, DraftFCB's Dargan believes that gifts in mailpacks can seem like an apology for getting the recipient's attention.
But size costs - and if brands are looking to invest in an expensive campaign, they need to be able to measure the impact and test repeatedly.
"Large mailpacks can have a fantastic impact, but you have to be able to see the cause and effect on other media channels," advises Andrew Hood, managing director of Lynchpin Analytics.
According to Claire Murray of Meteorite, the suggestion that size and expense equals response does not apply to B2B marketing. "Unless your product suits the company's needs it you will not be able to achieve cut-through," she says.
Future trends
B2B is combining more channels and pushing digital boundaries, namely in social networking and blogging. But what do these channels hold for marketers?
"Many companies are talking about blogs but few are doing them," says Andrew Hood of Lynchpin. "B2B blogs are being used for reputation management to help brands reposition."
Phil Christer, marketing director at Zed, believes it's a brave organisation that will take the B2B leap into social networking, but says an increasing number of brands will look to use this medium.
The trick for B2B marketing is to keep the customer and their preferred channels firmly in mind, and to ensure that messaging across different channels remains consistent.
COMMENT
STEVE DYER, MANAGING DIRECTOR, CLOCKWORK IMC
"B2B is often used as the testing ground for new channels because the digital world is where business exists. Webinars are proving very popular and very effective as part of an integrated programme to engage with potential and existing customers."
CHRIS BODDICE, DIRECTOR, LIQUID COMMUNICATIONS
"B2B audiences can often be more difficult to target, so a multi-channel approach can help as it increases the opportunity for the target audience to see a brand's communications. In most cases, the more "joined up" a campaign, the better the response."
RAY WELSH, HEAD OF SALES AND MARKETING, MAILTRACK
"Good B2B marketing creates interest, and the recipient typically follows a link from an email to another channel such as a web site, for additional and more detailed information. Traditional media is still important - magazine advertising still works well but with that format it needs to be easy for the reader to go to other channels for further information."
EMMA SANDERS, DIRECTOR, CONDUIT
"All media channels have a role to play in B2B marketing campaigns - it's the case of using the right one to enable you to target the right audience at the right time. The key is to optimise the ROI, regardless of channel."
NEED TO KNOW - B2B BUDGETS
Business-to-business budgets vary hugely from client to client, but there are certain rules of thumb that can be applied.
According to Richard Bush, joint managing director at agency Base One, which specialises in B2B campaigns, larger clients don't necessarily mean larger budgets. A bigger influence is whether, like most, they are sales led or marketing/client led. "The presence of a sales team, contrary to logic, means that you should be spending more per piece," says Bush.
Other norms of B2B budgeting include:
- The cost of converting an enquiry to a sale is typically 10 times the cost of generating that enquiry.
- Quality of lead is more important than quantity. Quality is directly proportional to effective segmentation and targeting.
- The smaller the segments used in a campaign and the more relevant the message, the better quality of enquiry generated.
Suitable allowable costs depend on external factors such as the size of the company, product solutions, objectives and internal factors, including confidence in marketing and importance of growth.
"A good high-impact campaign can achieve a 20-40 per cent response rate leading to a cost per unit of between £20 and £40," says Bush.
TYPICAL BUDGET BREAKDOWN
High-quality, well-targeted 4,000-unit tactical lead generation mailer
Planning and concept £2,000
Design, copy and artwork £3,000
Data and data preparation £2,000
Production/mailing £8,000
Response handling/microsite £1,500
Telemarketing follow-up (25 per cent) £5,000
Project management £3,500
Total cost £25,000
Cost per unit £6.25
Target response rate 5%
Cost per lead £125
Small-volume high-impact campaign targeting 100 contacts
Planning and concept £3,000
Design, copy and artwork £3,000
Pre-mail telemarketing £500
Production and mailing £9,000
Telemarketing follow-up £1,000
Project management £3,500
Total cost £20,000
Cost per unit £200
Target response rate 40%
Cost per lead £500
Source: Base One
CLIENT Q&A - HOW DO YOU RATE B2B MAIL?
Reviewer: Matthew Stammers, marketing director, CORGI
Mailer: Vecta (sales software supplier)
Agency: Loewy
What are your first impressions?
I've not received anything from Vecta before, but I'd definitely open this three-dimensional piece. It works well at a senior manager/director level.
What works and what doesn't?
The torch is something I would keep and put in my pocket, but the rest of the pack doesn't appear to have been designed too well.
What do you think of B2B creative in general?
B2B marketing must be personalised, relevant and timely. Brands need to think about the target and the calls to action available - all need to be linked to the mail pack, which has to fit the overall campaign.
Reviewer: Anthony Hyde, direct marketing manager, Xerox
Mailer: Network General (IT services)
Agency: Mason Zimbler
What are your first impressions?
IT managers are a nightmare to get hold of as they are used to getting mass mailings. So a big box like this is guaranteed to get their attention.
What works and what doesn't?
The urge is to pick up the handset, so it works on an interactive level. My only criticism is that it is trying to be too clever.
What do you think of B2B creative in general?
Novelty mailings definitely get my attention. An envelope that is handwritten, and arrives with a real stamp on it, will also stand out against a lasered version with an address that is slightly wrong.
Reviewer: Nathan McLean, facilities manager, car fleet services,
Haymarket
Mailer: Honda
Agency: Hicklin Slade
What are your first impressions?
I generally open mail if it is a package, but I rarely read it. The liquid pouch in the pack caught my attention because of its novelty value.
What works and what doesn't?
The pouch is quite bizarre, but it certainly made me want to look at the pack further and it took a bit longer to get to the bin than other mail packs.
What do you think of B2B creative in general?
The majority of what I receive goes straight in the bin, unless it's related to an area or issue that I am dealing with at the time. It usually gets no more than a cursory glance, and it's lucky if it's relevant.