The B2B Agenda

“The B2B Agenda ”Ralph Oliva

November 7, 2013

2© 2013, ISBM-Penn State

The B2B Agenda:

Working to Build

Forward-Looking Insight

for B2B Marketers

A Work-in-Process Update: Godfrey FWD:B2B Conference…

11-4-13

ISBM Research Update 11/2013


ISBM Overview

Since 1983...Since 1983...

…A global network of leading edge researchers and

practitioners. All B2B. Headquarters at Penn State

OUR MISSION: Expand research and teaching in Business-to-Business

marketing and sales in academia…

Improve the practice of Business-to-Business marketing and sales for member firms in industry…

Moving into 30 Years: Research, Practice, Progress… Moving into 30 Years: Research, Practice, Progress…

9-12-13

200 B2B Researchers in Universities Worldwide

72 B2B Member Firms, 4500 Marketers

• Research Insight/Direct Coaching

• B2B Analytic Tools

• Courses/Professional Development

• Networking/Interchange

• Connection with MBA Students

• More…

B2B Leadership BoardB2B Leadership Board

Aspirational Model

Aspirational Model

The B2B Agenda:

• The Key Challenges We Face

• The Capabilities We Must Build

… ISBM Research Direction

The B2B Agenda:

• The Key Challenges We Face

• The Capabilities We Must Build

… ISBM Research Direction

Fred Wiersema, Chair, ISBM B2B Leadership

Board

Gary Lilien, Research Director,

ISBM

Handbook of Business-to-Business Marketing

Reference Resource for B2B Researchers

Handbook of Business-to-Business Marketing

Reference Resource for B2B Researchers

Raj Grewal, Associate

Research Director, ISBM

5Both Available on AmazonBoth Available on Amazon


Setting the Agenda:Focused, Major Research Initiatives

The B2B Agenda: A major initiative of the ISBM B2B Leadership Board

• Multi-round inquiry with 30 leading B2B researchers • Insights from 12 top marketing execs, ISBM CMO roundtable• Interviews with 63 senior B2B executives from 52 firms. • Using content analysis to extract key findings

Our goal: probe for fresh angles, dig deeper

© 2013, ISBM - Penn State

TM

The Key Trends and Challenges (Re)Shaping B2B -- 2012-2014

Four Key Trends:

1. Rising expectations of marketing

2. Companies’ journeys to build market focus

3. Marketing’s evolving role and impact

4. Global markets’ growth and demands

Seven Major Challenges:

1. Marketing’s interfaces

2. Granular customer knowledge

3. Evolving technology

4. Marketing’s performance

5. Central/DeCentral?

6. Deeper engagement

7. Talent

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TM

Four Key Trends That Are (Re)Shaping Business Marketing

1. Higher stakes and higher expectations for B2B marketing

Mounting challenges and opportunities in 49% of companies

2. B2B firms are going through major transformations to get better aligned with marketplace realities

52% of firms embarked on a major journey, or are about to

3. B2B marketing’s role is evolving; getting more and more strategic

54% of execs talk about (re)defining its role and responsibilities

· Global markets represent big potential -- and new demands

1. New / emerging growth markets are key concern in 35% of firms

8


TM

The Top-Two Challenges forBusiness Marketers -- 2012-2014

1. Build stronger interfaces between marketing and other functions

The single-most important lever for B2B marketing to impact business performance (esp. CMOs* view it as the top issue)

Particularly the marketing / sales interface (noted in 49% of firms)

… and the marketing / innovation interface (noted in 39% of firms)

2. Extract and leverage granular customer and market knowledge

Essential for fueling commercial excellence and customer growth

Key messages: get deeper; explore new territory; and ensure insights are acted on in the most productive manner

(*) 85% of CMOs addressed it and 45% of all their comments related to marketing’s interfaces

(** 9


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Five Other Major Challenges forBusiness Marketers -- 2012-2014

3. Be alert to technology’s potential to disrupt marketing/sales.

Social media, marketing/sales automation, the cloud and big data are altering buying behaviors and upsetting business models.

4. Demonstrate marketing’s contributions to business performance.

Recurring theme, calls for a stronger marketing-finance interface.

5. Find the right mix of centralized vs decentralized activities in marketing, esp. in multi-SBU and global settings.

6. Engage more deeply with customers and customers’ customers.

7. Find and develop marketing talent and competencies.

the B2B marketing talent pool is limited; the challenges aren’t.10


Three Points of Research Focus - 7/2013

1. The Innovation - Marketing Interface…

2. Organizational Buying Behavior: Managing

the Supplier/Customer Experience-B2B

3. B2B Data Analytics Research and Learning

Community/Research Center

04/08/23

Three Key Themes:

1. Culture, Customers and Capabilities

2. Ideation: Tapping Customers and Non-Experts

3. The Interface Between Marketing and Sales


‘Taking B2B Innovation Beyond the Lab’

Theme 1: Culture, Customers, Capabilities

13

Culture trumps everything (G.J. Tellis, USC)

Innovation is the critical driver for growth. Market leaders often fail at their peak (the ‘incumbents’ curse’) but some go from strength to strength: what’s different is culture. Identified traits/practices creating cultural conditions for success; diagnostic tools.

Beware of tyranny of powerful customers (R. Chandy, LBS)

“Current customers, especially the big ones, have the greatest stakes in the status quo.”

“Most big shifts happen in the periphery, first as weak signals, often dismissed initially.”

B2B customer solutions have big potential (Bharadwaj, etc)

What capabilities are required (eg., organizationally, culturally, marketing/sales-wise).

How do we measure performance of solutions, and the impact of both internal and external factors?

Dr. Gerry Tellis, USC

ISBM Fellow

Dr. Gerry Tellis, USC

ISBM Fellow

Beth ComstockAugust 23, 2005

Marketing as an Engine for Growth

Reward success and failure. Punish inaction.Reward success and failure. Punish inaction.

Beth Comstock, CMO, GEBeth Comstock, CMO, GE

© 2013, ISBM-Penn State26

Abbie Griffin: Author: "Serial Innovators"

Dr. Abbie Griffin, University of Utah,

ISBM Fellow Creator “Voice of the Customer

”




Rollout of Innovation/Culture Diagnostic, Foster Focused Research in Selected Areas, On going "Curation" of outcomes/insights /actions/frames for thinking

2. Organizational Buying Behavior: Managing the Supplier/Customer Experience-B2B

3. B2B Data Analytics Research and Learning Community/Research Center

ISBM Winter Meeting – February 19-20, 2014:Renaissance Airport Hotel, Orlando, Florida

Answering a Key Challenge for Today's B2B Marketer: >>Navigation of Rapidly Changing Organizational Buying Behavior:

Driving Growth Through B2B Customer Experience Management

Thought leaders, researchers, and practitioners provide insight on how to better manage the total B2B customer experience, and today's rapidly changing organizational buying behaviors, processes, and influences…

Please Accept Our Invitation!

29Soliciting Your Inputs/Speaker Suggestions!

Featuring Lou Carbone, Experience Engineering

Gregg Lederman, Author, "Engaged!"

Erik Long, ZS

Reza Soudacar

29

http://www.expeng.com/index.html




Rollout of Innovation/Culture Diagnostic, Foster Focused Research in Selected Areas, On going "Curation" of outcomes/insights /actions/frames for thinking

2. Organizational Buying Behavior: Managing the Supplier/Customer Experience-B2B

3. B2B Data Analytics Research and Learning Community/Research Center


Where we are now: B2B Data Analytics Thrust…

Investigation to gain further definition of the type/areas

of analytics in B2B marketing that are most

promising/pressing. Early discussion with SAP and

other early partners shaping the agenda.

Investigation of potential alliance partners: INFORMS,

MIT, Emory, Cisco, IBM, others

Strategy in development for first actions 2Q 2014…

Center for B2B Data AnalyticsCenter for B2B Data Analytics




2. Organizational Buying Behavior:

Managing the Supplier/Customer

Experience - B2B

3. B2B Data Analytics Research and

Learning Community/Research Center


Thoughts/Questions…

Can you see the direct line between your practice and the organic growth processes in your firm?

How about Marketing and Innovation?

Are we developing approaches to better navigate today's rapidly changing Organizational Buying Behavior?

Can we step up to the challenge of unlocking insight from different sorts of audience, investigations, processes and data than we typically collect in B2B markets?