ensemble b2b segmentation and relative targetting
TRANSCRIPT
© 2014 SiriusDecisions. All Rights Reserved 2
The Demand Creation Process
Identify Target Market
Determine the segments with the highest potential and chance of success and understand pain points and relevant product value propositions
• Relative Targeting• Demand Type
Understand Buyers
Identify and develop personas for all relevant buyers
• Persona Development
Create Campaigns
Create campaigns and messaging designed to address buyer’s needs
• Campaign Framework
Create Tactic Mix
Identify influencers and create marketing plans with effective tactic mix
• Degree of Influence
• Nurture• Pipeline Accel
Measure & Refine
Create a framework to measure results and continually optimize efforts
• Tactic Measurement Framework
• Segmentation Strategy• Contact
Database Management
• Campaign Measurement Framework
• Marketing Attribution
• Aligned Measurement Framework
Who to Target How To Create DemandHow to
Measure
How to Organize
© 2014 SiriusDecisions. All Rights Reserved 3
The Demand Creation Process
Identify Target Market
Determine the segments with the highest potential and chance of success and understand pain points and relevant product value propositions
• Relative Targeting• Demand Type
Understand Buyers
Identify and develop personas for all relevant buyers
• Persona Development
Create Campaigns
Create campaigns and messaging designed to address buyer’s needs
• Campaign Framework
Create Tactic Mix
Identify influencers and create marketing plans with effective tactic mix
• Degree of Influence
• Nurture• Pipeline Accel
Measure & Refine
Create a framework to measure results and continually optimize efforts
• Tactic Measurement Framework
• Segmentation Strategy• Contact
Database Management
• Campaign Measurement Framework
• Marketing Attribution
• Aligned Measurement Framework
Who to Target How To Create DemandHow to
Measure
How to Organize
© 2014 SiriusDecisions. All Rights Reserved 4
Most Common Targeting Mistakes
Not involving sales in the
development and evolution
of your targeting strategy
Ignoring the facts: Do you have a
solution for them?
Company or individual focus, instead of both
Lack of periodic review
Lack of customized messages
Quantity over quality
BAD TARGETIN
G
© 2014 SiriusDecisions. All Rights Reserved 5
The SiriusDecisions Relative Targeting Framework
EXTERNALFACTORS
Solutions Delta
Domain Knowledge
Messaging
Sales Readiness
Database
INTERNALFACTORS
Trend
Category Spend
Offering Use
Competitive Presence
© 2014 SiriusDecisions. All Rights Reserved 6
External Factors
EXTERNALFACTORS
Trend
Category Spend
Offering Use
Competitive Presence
Are there trends that will make buyers more likely to purchase your product?
Is this target segment growing?
Are there regulatory issues?
Are buyers spending money in your category?
Have they increased or decreased this spend?
Is the product in question critical to buyers?
Do they tend to view it as a nice-to-have?
Are there multiple strong competitors selling in this space?
Is competitive presence relatively weak?
© 2014 SiriusDecisions. All Rights Reserved 7
Banking
Insurance
Brokerage
External Factors
INTERNAL FACTORS
Solutions Delta
Domain Knowledge
Messaging
Sales Readiness
Database
EXTERNAL FACTORS
Trend
Category Spend
Offering Use
Competitive Presence
Banking
Dormant
Insurance
Brokerage
Banking
Insurance
Brokerage
© 2014 SiriusDecisions. All Rights Reserved 8
External Factors Scorecard
ACTIVE NURTURE DORMANT
Key Trends Current trends exist that indicate likelihood to buy
We are able to list three or more trends specific to this market that we believe will drive targets to make a purchase in the short term
We are able to list one to two trends specific to this market that we believe will drive targets to make a purchase in the short term
We cannot list any trends specific to this market that we believe will drive targets to make a purchase in the short term
Target Health
General health of the target
Growing Stable Shrinking
Pending Triggers
Are there any pending triggers that can be identified in the target market that will force targets to purchase imminently?
Yes, and we are aware of their specifics and how our product/service aligns with them
Yes, but we are not aware of their specifics and how our product/service aligns with them
No
Category Spend
Has there been an increase in your product’s category spend in the past 12 months?
Moderate to significant Minimal to moderate Minimal to none
Leading Company Adoption
Has there been adoption of the solution by leading companies within the target market?
We can identify a number of industry leaders that have adopted the solution
We can identify a few industry leaders that have adopted the solution
We cannot identify industry leaders that have adopted the solution
Category Perception
How your product category is currently perceived
Necessary A nice-to-have No established perception of use and importance
CompetitivePresence
Are there existing solutions and competitors that target this segment?
No Yes, but our offering is generally accepted to be superior
Yes, and our offering is generally accepted to be comparable to others
Trend
sO
fferi
ng
Use
© 2014 SiriusDecisions. All Rights Reserved 9
Internal Factors
Solutions Delta
Domain Knowledg
e
Messaging
Sales Readines
sDatabase
How much of the problems does your solution solve?
What is the gap of current offering to meet the buyer need fully?
Knowledge of needs and nuances of the target?
Are the buyer and user personas defined, as well as buying process and buyer needs?
For vertical solutions, is there industry domain expertise?
Are the buyer personas understood?
Is there specific messaging by audience segment?
Is demand type understood?
Can the sales enablement program be executed on (training, tools, collateral)?
Is the sales force aligned and focused?
Do viable channel partners exist?
Access to data?
Do you have lists and data insights on these prospects or customers?
© 2014 SiriusDecisions. All Rights Reserved 10
Banking
Insurance
Brokerage
Internal Factors
INTERNAL FACTORS
Solutions Delta
Domain Knowledge
Messaging
Sales Readiness
Database
EXTERNAL FACTORS
Trend
Category Spend
Offering Use
Competitive Presence
Banking
Dormant
Insurance
Brokerage
Banking
Insurance
Brokerage
Active
Nurture
© 2014 SiriusDecisions. All Rights Reserved 11
Internal Factors Scorecard
ACTIVE NURTURE DORMANT
Solution Delta
How has the product/service in question been designed?
Our product/service is designed specifically for the target market
Our product/service has been altered/enhanced to address needs within the target
The product/service is designed for generic use across markets
DomainKnowledge
How knowledgeable are marketing and sales about the target?
We have deep domain expertise in regard to the market
We have limited domain expertise in regard to the market
We have no domain expertise in regard to the market
Messaging Has your organization developed specific messaging that addressed known needs within the target?
Yes, we have a built a complete messaging approach for the target
We haven’t built a messaging approach, but have the resources and expertise to do so
We haven’t built a messaging approach, and don’t have the resources/expertise to do so
Sales Readiness
How well prepared is the sales team to sell into the target?
The sales force can access a complete set of tools and collateral to helpbuild knowledge and competency
The sales force can access
a limited set of tools and collateral to help build knowledge and competency
We cannot identify industry leaders that have adopted the solution
Database Do you have the database capability and/or list procurement ability/budget to market to this target?
We have a significant, complete number of records in the market
We have a significant number of records, but many are inaccurate or incomplete
We have few records in the target, and it would be difficult to secure them
from a third party
© 2014 SiriusDecisions. All Rights Reserved 12
SiriusPerspective:
The type – or types – of demand an organization is trying to create play a significant role in its approach.
Demand Type Impact on New Market Approach
Established Market
SiriusDecisions Demand Spectrum
New Concept
• Disruptive product / service
• No budgetary line item• Requires issue creation
New Paradigm
Market Leadership
• Retools existing process• Solves current problem
better• Replaces current line
item
Process / Solution Change
• Necessary product / service
• Highly contested market• Trying to steal market
share
Competitive Positioning
DEMAND TYPE KEY CHARACTERISTICS KEY REQUIREMENT
© 2014 SiriusDecisions. All Rights Reserved 13
Impact of Demand Type on Buying Cycle
Solution
Loosening of the Status Quo
Committing to Change
1. 2.
Education
Exploring Possible Solutions
Committing to a Solution
3. 4.
Justifying the Decision
Making the Selection
5. 6.
Vendor Selection
New Concept
New Paradigm
Established Market
© 2014 SiriusDecisions. All Rights Reserved 15
Guiding Principles
Practically Useful
Homogeneous Populations
Objectively Measurable and
Identifiable
© 2014 SiriusDecisions. All Rights Reserved 16
Dimensions – Commonly Used/Easy to Obtain
• Company size
• Geography
• Industry
• Ownership and financial mission
• Types of offerings
• Consumption
• Customer type and purchase patterns
© 2014 SiriusDecisions. All Rights Reserved 17
Dimensions – Less Common/More Difficult to Obtain
• Location
• Age
• Technology/systems used
• Buying center attributes
• Credit rating/debt
• Growth rate
• Profitability
• Market position
• Revenue and sales models
• Geographic activity
• Direct vs. indirect
• The company’s customers
© 2014 SiriusDecisions. All Rights Reserved 18
Dimensions – Least Common/Most Difficult to Obtain
• Corporate culture
• Technology adoption
• Decision making structure
• Growth strategy
• Corporate governance
© 2014 SiriusDecisions. All Rights Reserved 19
Recommended Approaches
• Limit segments to a manageable number
• Don’t attempt to cover everything
• Use criteria that are easy to identify
• Identify segments that are stable
• Look beyond the obvious
© 2014 SiriusDecisions. All Rights Reserved 20
Thank You – Let’s Keep the Conversation Going!
Julian ArcherResearch Director
Demand Creation Strategiesjulian.archer@
siriusdecisions.com@JulianArcher
Floriane MalotSales – Marketing – Product
Alignment Evangelist – [email protected]
@floriane_ma_fr