bredin fastcast: selling to smbs in 2017

Selling to SMBs in 2017 January 19, 2017

Bredin, Inc. www.bredin.com 617-674-7882

Increasing SMB Acquisition, Engagement and Retention

2

Content Marketing � Market Research

Give SMB marketers a current perspective on how SMBs want to be sold to

•  How SMBs learn about products and services for their business

•  Who leads the purchase decision-making process

•  How and when SMBs want to engage with your sales team

•  Which content formats work best at each stage of the sales cycle

•  How they want to stay in touch with you during the purchase process – and after they buy

3

Research Objective

Methodology

How

•  15-minute online survey via the Bredin.com/smbpulse

Who •  315 principals of U.S. companies with <500 employees

•  115 with <20 employees (97.7% weighting) •  100 with 20-99 employees (1.9% weighting) •  100 with 100-500 employees (.3% weighting) •  Any industry •  See slides 45-49 for participant demographics

When

•  November 28 – December 2, 2016

1

2

3

4

Detailed Results

Analysts like Forrester or Gartner

Social media site

Online forum / discussion board

My external team – e.g., my accountant, attorney or local technology consultant / reseller

Business news media / review sites / blogs

My internal team – e.g., my IT manager, financial manager, HR manager, etc.

In a store

Other business owners / peers / colleagues

Direct from vendors – e.g., email, websites, trade shows, sales call from representative, etc.

0% 10% 20% 30% 40% 50% 6

SMBs are most likely to learn about your new offerings directly from you

New Product Awareness

n=310 Rated 1 or 2

In general, where would you say you first learn about new products and services for your business? (please rank from most likely / important to least likely / important)


Social media site





In a store



0% 10% 20% 30% 40% 50% 1-19 20-99 100-500 7

Larger SMBs are more likely to use social media and forums

New Product Awareness Sources: Company Size

n=310 Rated 1 or 2 unweighted



Social media site





In a store



0% 10% 20% 30% 40% 50% 60% 70% 18-34 35-49 50+ 8

Millennials rely most on their team; Gen X, their peers; and Boomers, their vendors

New Product Awareness Sources: Respondent Age

n=310 Rated 1 or 2


0% 10% 20% 30% 40% 50% 60%

eBook / guide / handbook Instagram Pinterest

Twitter Outdoor billboard or signage

Audio podcast Radio

Infographic Blog

Banner / display ad Press release

Case study LinkedIn

Facebook YouTube

Interactive tool Forum or discussion board

White paper Analyst report One-off email

TV Webinar / webcast

External / third-party consultant Research report

Video on vendor’s website Print newsletter

Postcard, letter or catalog in the mail Newspaper / magazine (print or online)

Email newsletter Online review

Call or meeting with vendor sales representative Product section of vendor’s website

Resources section of a vendor’s website Event or trade show

In-house staff Peer / colleague

9

Product Awareness

n=314 Top-two box

On a scale of 1 (very unlikely) to 5 (very likely), please rate how likely you are to first learn about products or services for your business via each of these specific sources / formats.

Peers are the leading source of new product information

0% 10% 20% 30% 40% 50% 60% 70% 80%

Instagram Pinterest


Audio podcast Radio

Infographic Blog


Case study LinkedIn

Facebook YouTube











1-19 20-99 100-500

n=314 Top-two box unweighted

10

Product Awareness: Company Size

Staff, events and sales reps are most important to larger SMBs


0% 10% 20% 30% 40% 50% 60%

Instagram Pinterest


Audio podcast Radio

Infographic Blog


Case study LinkedIn

Facebook YouTube











18-34 35-49 50+

n=314 Top-two box 11

Product Awareness: Respondent Age

Younger SMBs are much greater consumers of a wide range of information sources


My external team (e.g., accountant, attorney, consultant, tech vendor, etc.)

Third-party experts (e.g., analysts, bloggers or reviewers)

Vendors

My internal team

Peers / colleagues

0% 10% 20% 30% 40% 50% 60% 70% 12

SMBs look to their peers first when investigating new products

New Product Investigation

n=313 Rated 1 or 2

Who do you rely on most for information, advice or recommendations when you are investigating new products or services for your business? (rank from most to least important)

My external team (e.g., accountant, attorney, consultant, tech vendor, etc.)

Third-party experts (e.g., analysts, bloggers or reviewers)

Vendors

My internal team

Peers / colleagues

0% 10% 20% 30% 40% 50% 60% 70%

1-19 20-99 100-500 13

Smaller SMBs rely on peers, while larger SMBs rely on their staff

New Product Investigation: Company Size

n=313 Rated 1 or 2 unweighted

Who do you rely on most for information, advice or recommendations when you are investigating new products or services for your business? (rank from most to least important)

14

SMB principals are very involved in new product research

New Product Research Lead: Company Size

Once your company has decided to investigate a new product or service for your business, who typically leads the research? (select the closest answer)

*unweighted

n=310

0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% 55% 60%

Instagram Twitter

Audio podcast Pinterest

Infographic Blog

Radio Press release One-off email

Outdoor billboard or signage Banner / display ad

White paper LinkedIn

Facebook eBook / guide / handbook

TV Forum or discussion board

Webinar / webcast External / third-party consultant

YouTube Newspaper / magazine (print or online)

Case study Analyst report

Postcard, letter or catalog in the mail Research report

Interactive tool Print newsletter

Email newsletter Video on vendor’s website

Resources section of a vendor’s website In-house staff

Event or trade show Online review

Call or meeting with a vendor sales representative Product section of a vendor’s website

Search Peer / colleague

15

Product Research

n=315 Top-two box

On a scale of 1 (very unlikely) to 5 (very likely), please rate how likely you are to use each of these sources / formats when you are researching products or services for your business.

Peers are the most important source of product research information

0% 10% 20% 30% 40% 50% 60% 70% 80%

Instagram Twitter


Infographic Blog
















1-19 20-99 100-500

16

Product Research: Company Size


Staff, sales reps, peer and analyst reports are most important to larger SMBs


0% 10% 20% 30% 40% 50% 60% 70% 80% 90%

Instagram Twitter


Infographic Blog
















No growth Slow growth Fast growth

17

Product Research: Growth Outlook

n=315 Top-two box

Companies with growth aspirations are strongly in research mode…


0% 10% 20% 30% 40% 50% 60% 70% 80% 90%

Instagram Twitter


Infographic Blog
















18-34 35-49 50+

18

Product Research: Respondent Age

n=315 Top-two box

…as are Millennial SMBs


0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% 55%

Instagram Pinterest

Twitter Radio


Audio podcast Blog

LinkedIn TV

Infographic Facebook

One-off email Press release

YouTube Forum or discussion board

Webinar / webcast White paper

Newspaper / magazine (print or online) Print newsletter

eBook / guide / handbook Analyst report

Email newsletter Case study


Interactive tool External / third-party consultant

Video on vendor’s website Event or trade show

Online review Resource section of a vendor’s website

In-house staff Search

Product section of a vendor’s website Call or meeting with vendor sales representative

Peer / colleague

19

Purchase Decision

n=314 Top-two box

In aggregate, peers are most important when making a purchase decision

On the same scale, please rate how likely you are to use each of these sources / formats to make a final purchase decision on products or services for your business.

0% 10% 20% 30% 40% 50% 60% 70% 80%

Instagram Pinterest

Twitter Radio


Audio podcast Blog

LinkedIn TV














Peer / colleague

1-19 20-99 100-500

20

Purchase Decision: Company Size


…although research reports are most important to larger SMBs


0% 10% 20% 30% 40% 50% 60% 70%

Instagram Pinterest

Twitter Radio


Audio podcast Blog

LinkedIn TV














Peer / colleague

18-34

35-49

50+

21

Purchase Decision: Respondent Age

n=314 Top-two box

Younger SMBs are heavier information-seekers at the purchase stage


SMB Purchase Process Map

Product section of a vendor’s website

Resource section of a vendor’s website

Event or trade show

In-house staff

Peer / colleague

New Product Awareness

Online review

Call or meeting with a vendor sales

representative


Search

Peer / colleague

New Product Research

In-house staff

Search



representative

Peer / colleague

Purchase Decision


representative Event or trade show Resource section of a

vendor’s website

22

23

SMBs learn about products and services through mass and social

media; use content to conduct research; and rely on sales reps, the product section of your site, and peers to make a purchase

decision

Sales Stage Influences

n=varies

For each of the sources / content formats below, please select the stage in the purchase cycle - awareness (i.e., where you first learn about a product or service), research (i.e., investigation / evaluation) or purchase (i.e. make a final purchase decision) - where you are most likely to use that source / content format.

0% 20% 40% 60% 80% 100%

Call or meeting with vendor sales representative Resource section of a vendor's website

Product section of a vendor's website Search

Online review Peer / colleague

Video on vendor website Research report

Interactive tool Analyst report In-house staff

Case study Forum or discussion board

Webinar / webcast Event or trade show

eBook / guide / handbook White paper

Print newsletter Blog

Postcard, letter or catalog in the mail Email newsletter

Infographic One-off email


Press release LinkedIn

Audio podcast Facebook Pinterest

Outdoor billboard or signage TV

Banner / display ad Twitter

Instagram Radio Awareness

Research

Purchase

After we first learn about a product or service

On an ongoing basis, for example via occasional calls or emails

Once we are considering purchasing a product or service

Once we are ready to purchase a product or service

0% 10% 20% 30% 40% 50% 60% 70% 24

SMBs most want to hear from a salesperson once they are ready to purchase a product or service

Salesperson First Contact

n=313 Top-two box

On a scale of 1 (do not want at all) to 5 (want very much), please rate when you want to hear from a salesperson:





0% 10% 20% 30% 40% 50% 60% 70% 80% 90%

1-19 20-99 100-500 25

Larger SMBs are very interested in ongoing sales engagement…

Salesperson First Contact: Company Size







0% 10% 20% 30% 40% 50% 60% 70% 80% 90%

18-34 35-49 50+ 26

…as are younger SMBs

Salesperson First Contact: Respondent Age

n=313 Top-two box


Handbook or guide on a business management topic, like how to get new customers

Customer stories or case studies

Checklist or worksheet to determine the right product configuration for your needs

Sheets or brochures describing the product

0% 10% 20% 30% 40% 50% 60% 70% 80%

1-19 20-99 100-500 27

Smaller SMBs prefer product sell sheets, while larger SMBs slightly prefer configuration help

Sales Support: Print Materials: Company Size


When you do meet with a salesperson, on a scale of 1 (do not like at all) to 5 (like very much), please rate how much you like each of these kinds of printed pieces they might review with you.

Handbook or guide on a business management topic, like how to get new customers

Customer stories or case studies

Checklist or worksheet to determine the right product configuration for your needs

Sheets or brochures describing the product

0% 10% 20% 30% 40% 50% 60% 70%

18-34 35-49 50+ 28

Millennial SMBs like print materials

Sales Support: Print Materials: Respondent Age

n=314 Top-two box

When you do meet with a salesperson, on a scale of 1 (do not like at all) to 5 (like very much), please rate how much you like each of these kinds of printed pieces they might review with you.

Video on a business management topic, like how to get new customers

Presentation featuring customer stories or case studies

Video presenting customer stories or case studies

Presentation (like a PowerPoint) on product features and benefits

Video describing the product features and benefits

Interactive tool to determine the right product configuration for your needs

Instant quote / order confirmation with specifications, costs, delivery timing, etc.

0% 10% 20% 30% 40% 50% 60% 70% 80%

1-19 20-99 100-500 29

Small and mid-size SMBs prefer instant quotes; the largest SMBs slightly prefer video

Sales Support: PC or Tablet-based Materials: Company Size


On the same scale, please rate how much you like each of these kinds of materials a salesperson might review with you on a PC or tablet.

Video on a business management topic, like how to get new customers

Presentation featuring customer stories or case studies

Video presenting customer stories or case studies

Presentation (like a PowerPoint) on product features and benefits

Video describing the product features and benefits

Interactive tool to determine the right product configuration for your needs

Instant quote / order confirmation with specifications, costs, delivery timing, etc.

0% 10% 20% 30% 40% 50% 60% 70% 80%

18-34 35-49 50+ 30

Millennials prefer every screen-based format across the board

Sales Support: PC or Tablet-based Materials: Respondent Age

n=315 Top-two box

On the same scale, please rate how much you like each of these kinds of materials a salesperson might review with you on a PC or tablet.

Twitter

Instagram

Pinterest

LinkedIn

YouTube

Facebook

Text messages

Print newsletter

Letter, postcard or other mailing

Occasional call from a sales representative

Email newsletter

In-person meetings with a sales representative

Occasional email from a sales representative

0% 10% 20% 30% 40% 50% 60% 70% 1-19 20-99 100-500 31

SMB prospects prefer to stay in touch with vendors via email and sales rep calls / meetings

Prospect Nurture Format Preferences: Company Size


On a scale of 1 (not at all interested) to 5 (very interested), how interested are you in each of these ways to stay in touch with vendors if you have researched a product or service, but are not yet ready to buy?

Twitter

Instagram

Pinterest

LinkedIn

YouTube

Facebook

Text messages

Print newsletter



Email newsletter



0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 18-34 35-49 50+ 32

Millennial SMBs are especially open to sales meetings

Prospect Nurture Format Preferences: Respondent Age

n=315 Top-two box

On a scale of 1 (not at all interested) to 5 (very interested), how interested are you in each of these ways to stay in touch with vendors if you have researched a product or service, but are not yet ready to buy?

Once a year

Once every six months

Once a week

Once a month

Once every three months

I prefer to reach out to them as needed

0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 1-19 20-99 100-500

33

Small SMB prospects prefer to reach out to vendors; larger SMBs like regular inbound contact

Prospect Nurture Contact Frequency: Company Size

n=315 unweighted

How often do you like a vendor to contact you when you are not yet ready to buy?

Twitter

Instagram

Pinterest

YouTube

LinkedIn

Facebook

Text messages


Print newsletter

Email newsletter




0% 10% 20% 30% 40% 50% 60% 70% 80% 1-19 20-99 100-500 34

Like prospects, SMB customers prefer to stay in touch via email and sales rep calls / meetings

Customer Contact Format Preferences: Company Size


On a scale of 1 (not at all interested) to 5 (very interested), how interested are you in each of these ways to stay in touch with a vendor after you have purchased their product or service?

Twitter

Instagram

Pinterest

YouTube

LinkedIn

Facebook

Text messages


Print newsletter

Email newsletter




0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 18-34 35-49 50+

35

Millennial SMBs are much more open to staying connected with vendors

Customer Contact Format Preferences: Respondent Age

n=314 Top-two box

On a scale of 1 (not at all interested) to 5 (very interested), how interested are you in each of these ways to stay in touch with a vendor after you have purchased their product or service?

Once a year

Once a week


Once a month



0% 10% 20% 30% 40% 50%

1-19 20-99 100-500 36

Larger SMBs want frequent vendor contact…

Customer Contact Frequency: Company Size

n=315 unweighted

How often do you like a vendor to contact you after you have purchased their product or service? (select one)

Once a year

Once a week


Once a month



0% 10% 20% 30% 40% 50% 60% 70% 80%

18-34 35-49 50+

37

…Millennials want to hear from you weekly

Customer Contact Frequency: Respondent Age

n=315

How often do you like a vendor to contact you after you have purchased their product or service? (select one)

It is in a new or unique format

It is written by someone from the sponsoring company, like an executive or product manager

It is written by a third party expert, like an industry analyst

It provides a compelling or time-sensitive offer, like a discount or free trial

It is short

It is visually interesting or compelling

It addresses the concerns of companies the same size as my company

It provides practical advice or tips I can put to use in my business

It is recommended by a peer / colleague

It addresses the concerns of companies in my industry

It doesn’t do a hard sell

It is well-written

It provides information on a product or service I’m interested in

It clearly describes the benefits of the product or service

It is easy to understand

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 1-19 20-99 100-500

38

Clarity, and product information, are keys to effective marketing content

Marketing Content: What’s Important: Company Size


On a scale of 1 (not at all important) to 5 (very important), how important to you are each of these aspects of marketing content, like the formats above, from a vendor?

It is in a new or unique format

It is written by someone from the sponsoring company, like an executive or product manager

It is written by a third party expert, like an industry analyst

It provides a compelling or time-sensitive offer, like a discount or free trial

It is short

It is visually interesting or compelling

It addresses the concerns of companies the same size as my company

It provides practical advice or tips I can put to use in my business

It is recommended by a peer / colleague

It addresses the concerns of companies in my industry

It doesn’t do a hard sell

It is well-written

It provides information on a product or service I’m interested in

It clearly describes the benefits of the product or service

It is easy to understand

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 18-34 35-49 50+

39

Millennial SMBs are more receptive to offers, and new content formats

Marketing Content: What’s Important: Respondent Age

n=312 Top-two box

On a scale of 1 (not at all important) to 5 (very important), how important to you are each of these aspects of marketing content, like the formats above, from a vendor?

How effective would you say the articles, tips and other advice vendors provide is at helping

you manage your business?

In general, how effective would you say vendor content and collateral is at explaining their

products and services, and how they will help your business?

0% 10% 20% 30% 40% 50% 60% 70%

1-19 20-99 100-500

40

Larger SMBs rate product and marketing content higher…

Content Marketing Effectiveness: Company Size


Please rate the following on a scale of 1 (not effective) to 5 (very effective):

How effective would you say the articles, tips and other advice vendors provide is at helping

you manage your business?

In general, how effective would you say vendor content and collateral is at explaining their

products and services, and how they will help your business?

0% 10% 20% 30% 40% 50% 60% 70%

18-34 35-49 50+

41

…as do younger SMBs

Content Marketing Effectiveness: Respondent Age

n=313 Top-two box

Please rate the following on a scale of 1 (not effective) to 5 (very effective):

Selling to SMBs: 7 Tips

Focus your tactics on your audience •  E.g. peers across the board •  Sales calls and events for larger SMBs

Know your audience(s): title, company size, industry, pain points

Enable line-of-business managers to make a case to the principal

Develop content to support the whole sales cycle •  Relevant, actionable, ideally industry-specific

Support your sales team •  Enable them to engage across the sales cycle •  Provide a variety of formats, on your offerings and business advice

Keep in touch with prospects and customers •  Email newsletter •  Sales team emails / calls / meetings

1

2

3

4

5

6

7

42

Make sure your site presents your offerings clearly •  Enable easy product selection / configuration

For More Information

43

Stu Richards, CEO [email protected] Twitter: @BredinInc

✔

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✔ Email me for a copy of this report

Get the full report at bit.ly/2hZLLZd

Join me for our next Fastcast, Selling Telco Services to SMBs, at 1pmE on Thursday February 9

http://bredin.com/Selling_to_SMBs_in_2017_report.html

Sample Characteristics

39%

27%

23%

10%


Owner, Founder, Manager, Partner, CxO, etc. 100% Title Principal

45

Industry

PS: Educational services, Finance & insurance, Health care & social assistance, Information technology, Management of companies & enterprises, Professional services RW: Accommodation & food service, Arts, Entertainment & recreation, Real estate, rental & leasing, Retail trade, Transportation & warehousing, Wholesale Trade M: Construction, Manufacturing, Mining, Scientific & technical services, Utilities Other: Administrative, support, waste management & remediation service, Other services (except public administration) n=315

n=315

51% 49% Male

Female

25%

32%

43% 18-34

35-49

50+

46

Age

Gender

n=315

n=315


37%

32%

32% 1-19 Employees

20-99 Employees

100-500 Employees

24%

26%

50%

0 to 5 Years

6 to 10 Years

More than 10 years

47

Company Size

Years in Business

n=315

n=310


38%

32%

24%

3% 3%

Up by 10% or more

Up, by less than 10%

Same as 2015

Down, by less than 10%

Down by 10% or more

48

2016 Revenue Growth

n=315

2015 Revenue

23%

17%

15%

46%

Less than $500k

$100k to $499k

$500k to $999k

$1M+

n=314


49

Region

n=315

Midwest 20%

West 26%

South 36%

Northeast 19%


Thank You