September 2017

STRATEGIC COMMUNICATIONS AND CONSULTING

How Consulting Firms Can Effectively Use Communications to Win Clients, Attract Talent and Differentiate from Competition

September 2017

INTRODUCTION There are over 375,000 management consulting businesses in the country employing a total of 1.2 million people, according to the U.S. International Trade Commission’s 2017 Annual Report on Recent Trends in U.S. Services Trade. With growing competition appearing on multiple fronts, it can be difficult for firms to differentiate and go up against both well-known and emerging consultancies for new business and recruitment initiatives.

While advances in technology and a trend towards the unbundling of larger projects into more modular work have created greater opportunities for smaller firms to square up against larger players, they are now also facing new competition from an influx of independent consultants who entered the market since The Great Recession.

Even big name firms — though not hurting for business — have difficulty separating themselves from their peers. A survey from Source Global Research asking senior end-users of consulting services to rate firms based on quality of work and attributes found that 18 of the 19 firms asked about — including IBM Global Business Services and McKinsey — all scored within a nine percent range of one another.

In order to stand out and catch the attention of prospective clients and employees, consulting firms are increasingly focused on improving and enhancing their communications efforts. In 2016 investment in thought leadership marketing more than doubled compared to the previous year (1.9 percent spend of annual revenue in 2016; 0.9 percent spend in 2015), according to a survey conducted by Bloom Group and the Association of Management Consulting Firms.

However, spending more on thought leadership does not mean better content or results will follow. And with the mega firms like Accenture, Deloitte, KPMG and McKinsey on a massive shopping spree for digital and creative agencies like they were part of a Black Friday sale at Target, there is an even greater need for firms to be more strategic, efficient and focused in their communications activities.

Based on secondary research and Ditto’s in-depth experience working with consulting and other professional services firms, this paper will provide insights and best practices for consulting firms to maximize the impact and value of their communications programs and initiatives.

Identifying Objectives Every communications program needs a clear set of goals and objectives tied to business outcomes before launching. Too often, teams jump into action without defining what exactly they are trying to achieve. This leads to the waste of valuable resources and inevitable failure.

According to a recent survey from the Hinge Research Institute, the top priorities for marketing and communications at management consulting firms are:

• Generate more leads (71% of respondents)

• Increase marketplace visibility of the firm (71% of respondents)

• Differentiate from competition (67% of respondents)

These may seem like obvious responses, but there is a glaring omission and potential opportunity where others can capitalize: Recruitment.

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Secure Buy-In

For a communications program to be successful, it needs the support of senior leadership. Bring all key stakeholders within the firm to the table for their input and to secure their buy-in of the program.

Research Regularly

Understanding your target audiences’ interests, habits and behaviors is critical to informing and evolving your communications strategy. 36.9% of consulting firms conduct research on their target audiences at least quarterly, according to Hinge.

Assess Resources

Take inventory of staffing availability, time requirements and budget parameters to determine the best tactics for achieving impactful results. What resources are currently available to you and where do you need to make strategic investments?

STRATEGIC COMMUNICATIONS AND CONSULTING

Part One: Creating an Infrastructure of Communications Activities

Setting Strategy & Tactics The established objectives, target audience insights and available resources provide the initial parameters to develop a communications strategy. While every firm’s approach is different, the strategy should include a mixture of both traditional and digital tactics.

Hinge’s research shows consulting firms on average utilize close to 10 different tactics in their communications efforts — including but not limited to: public relations, speaking engagements, email marketing, online content development, direct mail and partnership marketing.

The tactics a firm chooses to execute should always take into account the overall objectives, audiences and resources. For example, if a priority is to increase the recruitment pipeline for junior level positions, the strategy may include tactics such as:

• Crafting online content about the firm’s culture for its website and social media channels

• Targeting students in the final year of their MBA programs with paid content and job posting through LinkedIn

• Creating recruitment brochures to share while attending on-campus job fairs and alumni networking events

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Review Positioning

Differentiating your firm when there are over 375,000 other businesses that offer similar

services is no easy task. Launching an external

communications campaign is a way to separate yourself from competitors, but before even

publishing a thought leadership paper or speaking with the

media, think about how you would describe what makes your

firm different.

Consultancies highlight attributes they believe

distinguish them from peers. What they often don’t realize is what they think sets them apart

is actually what the next firm believes makes it unique as well. In its research, Hinge found the

five most commonly used differentiators to be:

“The Expertise of Our Firm”

“The Level of Service We Provide”

“The Specialized Services We Offer”

“Our Commitment to Results”

“Our General Reputation in the Marketplace”

Content Quality is Critical Thought leadership is an effective tool for new business development. However, if executed poorly it could have a negative impact on a firm and its reputation.

In a 2015 Bloom Group survey, 96% of buyers of consulting services said that thought leadership content was a significant factor in their decision-making. In fact:

• 93% say high-quality thought leadership content raises their opinion of a consulting firm

• 94% say poor-quality content lowers their opinion

• 26% say high-quality content has caused them to invite a firm in to present its services

• 63% say they’ve shared thought leadership such as articles, presentations and other material with peers

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What Clients Want

Edelman conducted a study of B2B decision makers and C-Suite execs on how thought leadership impacts purchasing decisions. It found this group prefers content:

Short & Quick

3-4 page documents • 71% decision makers • 67% C-Suite

1-2 min snackable media • 53% decision makers • 50% C-Suite

3-4 min long videos • 45% decision makers • 59% C-Suite

Insightful

Identifies emerging trends • 78% decision makers • 79% C-Suite

Includes data and key facts • 66% decision makers • 63% C-Suite

Analyses current issues • 63% decision makers • 64% C-Suite

STRATEGIC COMMUNICATIONS AND CONSULTING

Part Two: Insights for Improving Thought Leadership Content

For Your Consideration When developing thought leadership content, firms should take the following into consideration:

Plan at Least Three Months AheadConsistency is key to a successful thought leadership program. A steady pipeline of content keeps firms top of mind with existing and potential clients. While current events may impact existing plans, firms should have an editorial calendar looking at least three months ahead at all content to be created in that time. The calendar should include deadlines for every phase of content development — from brainstorming to development to editing to publishing.

Test a Variety of Content FormatsNot all thought leadership needs to be in a text-heavy form. Test different formats like video or images to see how they perform with key audiences on different platforms like the firm’s website, social media channels, and third party outlets.

Stay Focused on Core IssuesIt’s important that clients understand the breadth of a firm’s knowledge and expertise. However, attempting to address too broad a range of topics at once can make the firm appear disjointed and leave audiences unclear of the core strengths. It also spreads resources thin leading to content that lacks depth and conveys a cursory understanding of the subject matter.

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Expanding Beyond Self-Publishing

1 in 4 consulting clients told Bloom they depend on a firm’s website as a source of thought leadership content — but that’s not the only place. Online news outlets provide much of the thought leadership content read. The most popular outlets for thought leadership are:

September 2017

Strategy, messaging and counsel are important parts of communications, but many firms fail to deliver on actual results that help a client’s business. The companies that hire Ditto see communications as a business decision. With clients spanning across the legal, financial, consulting, tech and non-profit sectors, Ditto is a team of full-time, senior-level communications professionals focused on driving results that will positively impact our clients’ businesses.

ABOUT DITTO Ditto is a Brooklyn-based PR firm that believes results matter.

September 2017

STRATEGIC COMMUNICATIONS AND CONSULTING

How Consulting Firms Can Effectively Use Communications to Win Clients, Attract Talent and Differentiate from Competition