B2B-Trends | 1sps-marketing.com

GET CLOSER!

sps-marketing.com

CURRENT TRENDS IN B2B-MARKETING AND B2B-COMMUNICATIONS

B2B-TRENDSIS THERE A DIFFERENCE BETWEEN B2B AND B2C? UPON CLOSER EXAMINATION, THE ANSWER TO THIS QUESTION IS A LITTLE MORE COMPLEX THAN MANY ADVERTISING EXPERTS LIKE TO ADMIT IN THEIR DEPICTIONS. THE DIFFERENCES ARE MANY-FOLD. THEY ARE FREQUENTLY EVIDENT ONLY IN SUBTLE NUANCES AND MUST BE IDENTIFIED IN BOTH, STRATEGIC MARKETING AND WITHIN THE DISCIPLINE OF COMMUNICATIONS. DIGITALIZATION, GLOBALIZATION AND THE EVER MORE INTENSE PRESSURE TO PRODUCE EARNINGS REVEAL THE DIFFERENCES. THIS IS EVIDENT IN THE EVALUATION OF THE CURRENT AND FUTURE TRENDS.

Social Media

While the major consumer brands are success-

ful in multiplying their fan communities at the

speed of sound using pure lifestyle messages

on Face Book and YouTube and will always

have the opportunity to anchor their products

in potential customers‘ brains, achieving the

same feat will be much more difficult for a

medium-sized system manufacturer. Conse-

quently, social media has its limitations when it

comes to its use as a sales tool in the B2B seg-

ment.

Networking yes – but the goal is a different one

Nevertheless, industrial enterprises will have

to make investments into this marketing chan-

nel. However, their objectives will have to be

different. Companies eager to maintain and

improve their reputation can use these

resources to make important contributions.

These network platforms have already become

indispensible for companies in the market for

new, talented expert staff. They provide the

opportunity to present one’s business to the

adequate age and target group as an attrac-

tive employer and reap the benefits of the

“everyone-knows-everyone” effect of the large

communities. One critical factor is to make

sure that the content is in fact relevant. Those

who view Facebook et al only platforms for fun

and post nothing but jokes will not enjoy the

desired success.

Employer branding – a megatrend

Many companies consider employer branding

a trend that was emerged a few years ago and

is therefore already obsolete. Those who share

this line of thinking are wrong. Employer

branding is in fact a megatrend – especially in

the industrial sector. The demographic devel-

opments in Western Europe and the increasing

global competition in the solicitation of expert

and management staff clearly point in one

direction.

The aim is not limited to the successful recruit-

ment of new, highly qualified employees, but

also to retain productive employees who are

already on board. Many who are now 50 and 60

years old will be highly coveted experienced

professionals in just a few years – and even

head hunters will be keenly interested in them.

Consequently, it is absolutely worthwhile to

think about the perspectives and continued

education opportunities a company should

offer its older employees today. The aspect

that targeted employer branding also has the

perfect potential of boosting, for example, the

quality within the entire company significantly.

Various campaigns have demonstrated that

companies who have high employee motiva-

tion levels profit from results such as better

products and improved processes. Values

change simultaneously, which increases the

motivation levels of every individual staff

member. Hence, the corporate culture

becomes a deciding factor as far as a compa-

ny’s competitive edge is concerned.

Global brand management is an eco-social and cultural balancing act

Enterprises who have identified the globaliza-

tion of the markets not only as the playing field

of new competitors from industrial nations

emerging at lightning speeds, such as China

and India, but also as one that offers new sales

opportunities will enjoy optimum chances to

participate in the prosperity of the future.

Those targeting sustainable success will not be

able to bypass the topic of global brand man-

agement and should definitely not shy away

from it. Current reports indicate that there is

hardly any demand for cars made in China in

Western Europe. This proves that the premium

quality delivered by nations such as Austria

and Germany is still a very important sales cri-

terion. Industrial companies here will have to

continue to make a huge impression based on

this value. Most importantly, they will have to

achieve this feat around the globe.

An actual real life example: An Asian auto-

maker is planning to place a product sourced

from a supplier – “Made in Austria” – into the

center of the company’s worldwide new car

launch communications with the objective of

underscoring a clear quality advantage and to

do justice to a new premium quality claim. The

supplier and the supplier’s product are named

clearly and prominently in the respective com-

munications concept. As a result, the product

is established as a bona fide sub-brand – and

this has an immensely positive impact on the

supplier’s brand in general. Ingredient brand-

ing will make a highly relevant contribution to

the brand creation process of suppliers.

However, those who are venturing out into the

international terrain should also keep their

eyes trained on all economic, ecological, social

and cultural differences. A concept may work

very well in the German-speaking regions, yet

it might turn out to be a complete flop in the

other parts of the world if implemented in

exactly the same manner. Intricate details will

have to be taken into account and the concept

may have to be adapted to meet the require-

ments of the new target market. To be able to

do this, you do of course have to know the tar-

get market. Or you will have to have communi-

cations partners who know the market inside

out.

Storytelling: relevant copy and video content

“Nobody will even bother to read the copy,” is

probably one of the worst false assumptions

made in the current communications era. In

fact, it would be impossible to familiarize one’s

target groups with the complex topics covered

in B2B marketing if it were not for well-written

copy.

The fact is: People will read what truly interests

them. Time and again, this may just be adver-

tising copy or a cleverly produced brochure.

What counts is the content and its relevancy:

Do I as the reader find myself confronted with

nothing but uninspiring exposes covering

Page | 3

“NOBODY WILL EVEN BOTHER TO READ THE COPY, IS PROBABLY ONE OF THE WORST FALSE ASSUMPTIONS MADE IN THE CURRENT COMMUNICATIONS ERA. IN FACT, IT WOULD BE IMPOSSIBLE TO FAMILIARIZE ONE’S TARGET GROUPS WITH THE COMPLEX TOPICS COVERED IN B2B MARKETING IF IT WERE NOT FOR WELL-WRITTEN COPY.”Gerhard Preslmayer Managing Director

sps-marketing.com

product and service benefits? Or will the writer

surprise me, for instant with interesting facts I

did not know before or with a brief story that

addresses my own needs and therefore

enthralls me right away?

A related example: On the Internet and in

their image brochures, most businesses refer

to themselves as leaders within their sector or

segment. Next, we get to read the typical buzz

words – “innovative” and “International.” It is

almost impossible to distinguish one company

from another. Ultimately, the question “Why

should I work with this specific company?” is

not even answered. In fact, such communica-

tions do not make any attempts to create an

emotional affinity. The truth is – no one will

read this type of copy in its entirety.

A change of perspective will make your storytelling riveting: How would the cus-

tomer assess the product or service? What are

his needs? What is hoping to find? What makes

or breaks the deal for him? Two percent

improvement will frequently not be enough.

This is especially the case if this tiny increase

requires significant investments. A look at

some of the messages the consumer brands

are communicating can be helpful: Haribo

does not just sell sweets; it makes life fun-filled

for everyone. Apple does not must manufac-

ture computers; it helps creative brains make

their dreams come true.

How much of an impression well-written copy can make, is evident in motion pic-tures: Relevant messages integrated into ani-

mations that speak for themselves or into

authentic brief video clips quickly make their

way into the relevancy mindset of the target

group. Of course only if the content is perfectly

on message, the presentation is compatible

with the company and the esthetics have dif-

ferentiation potential. Moving pictures play a

dominating role in the race for customer

attention – and it has to be used everywhere:

During road shows, on the Internet, at trade-

shows and in your own reception area.

Tradeshows: A real touch point for customers

In our virtual world of customer-supplier inter-

actions, tradeshows are increasingly becoming

events that actually cement relationships!

They create a sense of reality where otherwise

associations are the only option. They build

trust where frequently the only concept cus-

tomers have of a business is a distorted one.

Tradeshows become real touch points that

have the potential to bring emotions to life.

Client networks and mental partnerships have

long become givens in the customer-supplier

relationship and have wiped out the boundar-

ies forever. This melding has resulted in a

never before seen shifting of priorities. In

many industries the customer is already a part

of something whole – belonging has become a

central factor. This “mimetic” marketing does

not leave any room for boisterous grandiosity,

for the opening of the information floodgates

or frontal presentations.

What is in demand today are tradeshow con-

cepts that make it possible to touch, to com-

municate closeness and create excitement.

Listening is more important than talking things

to death. Interaction and taking care of people

and things is better than imposing on one

another.

In a nutshell: Tradeshows are worlds of

adventure that captivate and fascinate the

customer.

New growth segments thanks to Service Design

Few companies develop their services with the

same commitment that they dedicate to their

technical innovations, although it has long

been proven that product innovations do not

drive the economy by themselves anymore

and that intangible services are just as impor-

tant. Already more than 70 % of Germany’s

workforce work in the service industry, while

the gross value generated has also reached

about 70 % and this trend continues to rise.

These are clear indicators that this segment

must be given the attention it deserves. For

quite some time around-the-clock availability

has been anything but manifest only in estab-

lished services.

However, most companies have placed the

responsibility for services into the hands of

business development staff, while dedicated

departments or inter-departmental initiatives

remain the exception.

Prof. Birgit Mager, in charge of the “Service

Design” classes at the Vocational College in

Cologne, describes the status quo quite elo-

quently: “The customers whose wishes and

needs are to be satisfied by the tool called

organization, do not even appear in most orga-

nization charts.”

The idea of service that pays attention to the

needs of the customer is nothing new – but the

thought process is completely novel. The Ser-

vice Designer takes executives and employees

on an emotional customer journey, walks in the

customer’s emotional shoes and contemplates

the contact points as key factors. The insights

gained as a result provide fertile ground for

the continued evolution.

Contrary to technical innovation, Service

Design demands much in terms of relational

skills and the ability to perceive what people

expect. Businesses with a strong consumer

focus – i.e. everyone from McDonalds to

T-Mobile – have been making investments into

Service Design products for many years. In the

B2B segment, Service Design still has a huge

growth and brand creation potential.

Pricing policies in sales: Benefit driven pricing as the secret for success

More than 80 % of all B2B businesses compute

their sales prices based on costing or on what

the competition is charging and as a result,

leave valuable profit potential for their enter-

prises on the table. This is where value ori-

ented marketing takes a different approach:

Benefit driven pricing.

CURRENT TRENDS IN B2B-MARKETING AND B2B-COMMUNICATIONS

Besides managing customer benefits, cost and

price management are the benchmarks for

value generation in a business – for both, the

customer and the enterprise. The benefit the

product offers to the customer is the core ele-

ment for the determination of the price. To be

able to make maximum use of the customer’s

willingness to pay, the product offered must be

such that it offers the customer the best pos-

sible benefits. Next, the value of the offer will

have to be made transparent for the customer

through the use of pertinent communications

and sales tools. The intended price point must

be secured. This means that the actual value

has been realized.

The basis for benefit-driven pricing is the

knowledge what the customer benefit is or

how much its components (e.g. various prod-

uct features) contribute to the overall benefit.

Using conjoint measuring methods, it is possi-

ble to determine, which features deliver the

maximum benefits to the customer. In addi-

tion, this method, in conjunction with price-

sales functions, can be used to calculate the

price for a product that yields the optimum

profit for the manufacturer.

Page | 5

THE TRENDS AN OVERVIEW:

1

2 3 4

6 5

Employer branding that aims to improve or safeguard the

competitive situation

Global brand management as an eco-social and cultural

balancing act

Relevant copy and video content

Tradeshows: A real touch point for customers

Pricing policies in sales: Benefit driven pricing as the

secret for successNew growth segments thanks to Service Design

sps-marketing.com

SPS MARKETING GmbH | LinzJaxstraße 2-4

A-4020 Linz

Phone: +43 (0) 732 - 605038 - 0

Fax: +43 (0) 732 - 605038 - 60

E-Mail: agency@sps-marketing.com

Member of the International Agency Network

E3: www.e3network.com

SPS MARKETING GmbH | StuttgartZettachring 6

D-70567 Stuttgart

Phone: +49 (0) 711 - 49 097 - 471

Fax: +49 (0) 711 - 49 097 - 470

E-Mail: agency.stuttgart@sps-marketing.com

Gerhard Preslmayer Managing Director

Norbert Schrangl Managing Director

Claudia Gilhofer Creative Director Member of the Management Board

Christian GrimmCreative Director Member of the Management Board

The driving force

in B 2 B

The mission: first class communication solutions for products and services that have to be explained

Scratching the surface simply is not enough if

you want to make the most of a brand. This is

why we immerse ourselves deeply into the

companies of our customers – even if the task

at hand may be dirty, dusty or sticky. One clear

promise is unconditionally linked to this

commitment: businesses who work with

SPS MARKETING boost their communicative

level and competitive edge. The client list of

those who place their trust in this promise

includes ATEC, Bosch Rexroth, Demag Cranes, EVGroup, Fraunhofer IAO, GREENoneTEC, KML, LINZ AG, LISEC, MAGNA, Miba, PLANSEE SE, Siemens VAI, Sandvik, transaktionssysteme austria, voestalpine.