Professional Documents
Culture Documents
(Presentation of results for a commissioned study conducted by Forrester Consulting on behalf of American Business Media)
Agenda
What do B2B marketers believe are the most effective marketing vehicles? How effective are online marketing vehicles? How is the B2B marketing mix changing?
Survey Background
American Business Media commissioned Forrester Consulting to conduct a survey of B2B marketers Survey fielded July August 2005 to a screened subset of members of eRewards panel
Definitions
When the respondents completed the survey, they used the following definitions: Business-to-business / trade marketing efforts: targeting large, small, or medium-sized companies, small offices or home offices, retailers, wholesalers, or distributors General business magazines and newspapers: publications that cover broad business issues and economic topics (e.g., Wall Street Journal, Business Week, Forbes, etc) Industry-specific / trade magazines (business-to-business/trade): publications that focus on news and trends affecting a specific industry (e.g., Progressive Grocer, Medical Economics) Web-based events: product demonstrations, briefings, or presentations on clients, product/services, and/or industry topics conducted for customers and/or prospects on the Internet using services like Webex, etc. In-person events: trade shows, conferences, product demonstrations, or presentations on industry topics conducted for customers and/or prospects held in-person at a hotel or other meeting facility. Online marketing: e.g., ads, search, email, directories, and sponsored Web content.
Fewer marketers will use general business magazines, direct mail, and newspapers, and those using these media will only minimally increase spending, implying a shift of marketing budget allocation toward digital media. 48% of B2B marketers use online marketing today, and spend 24% of their budget online
(On a scale of 1 to 6, 1 being very ineffective and 6 being very effective, the chart reflects the percentage selecting 5 or 6) Confidence interval: + / 3.3 percentage points
Entire contents 2005 Forrester Research, Inc. All rights reserved. (Base: 867 US B2B marketers; Source: Forrester Consulting Survey for ABM)
Online is more effective than TV, general business magazines, and newspapers
(On a scale of 1 to 6, 1 being very ineffective and 6 being very effective, the answers reflect a combination of 5 and 6) Confidence interval: + / 3.3 percentage points
Entire contents 2005 Forrester Research, Inc. All rights reserved. (Base: 867 US B2B marketers; Source: Forrester Consulting Survey for ABM)
Direct Mail 9%
Industryspecific/trade magazines are viewed as more effective than general publications, but receive a smaller share of budget.
(Base: 867 US B2B marketers; Source: Forrester Consulting Survey for ABM)
Industryspecific/trade sites are viewed as more effective than general sites, but receive a smaller share of budget.
General sites includes portals such as Yahoo!, search sites such as Google, and general business sites such as Forbes.com
Entire contents 2005 Forrester Research, Inc. All rights reserved. (Base: 406 US B2B marketers using online in 2005; Source: Forrester Consulting Survey for ABM)
Industry-specific/trade magazines
Custom publications TV Public relations General business magazines Newspapers Printed newsletters Radio Printed directories
24.8 26.8 35.6 35.1 33.0 35.3 37.7 38.6 41.3
41.6
2008 2004/5
46.9 43.5
10
Entire contents 2005 Forrester Research, Inc. All rights reserved. (Base: 867 US B2B marketers; Source: Forrester Consulting Survey for ABM)
In-person events Television Direct mail Newspapers Industry-specific / trade magazines Your companys Web site* Custom publications General business magazines Printed newsletters
4.52 3.37 3.31 4.20 4.25 2.81 2.18 1.83 1.83 6.44 5.80 5.70 5.06 8.58 5.82 12.20 7.77 9.90 7.42 8.98
16.34 14.37
8.22
10.09 7.73
6.75
Radio
Public relations Printed directories Other* Online Advertising Other Online Marketing
0.17
0.00
Note: Offline marketers are defined as those who indicated they are not using any online marketing vehicles in 2004 or 2005. *Adjusted for offline marketers.
11
Entire contents 2005 Forrester Research, Inc. All rights reserved. (Base: 867 US B2B marketers; Source: Forrester Consulting Survey for ABM)
Online Marketing Will Be More Important Than Direct Mail and General Business Magazines
How much of a role will the following marketing tactics play in your B2B/trade marketing budget in 2008? Experimental role
Your companys Web site TV In-person events Public relations Other online marketing Online advertising Industry-specific/trade magazines Printed newsletters Custom publications Direct mail General business magazines Newspapers 1.00 1.50 2.00 2.50 3.00 3.49 3.46 3.50 4.00 4.50 5.00 5.50 6.00 4.60 4.50 4.39 4.16 4.14 4.10 4.02 3.80 3.79 5.18
Major role
(Mean rating on a scale of 1 to 6, 1 being experimental role and 6 being major role)
12
Entire contents 2005 Forrester Research, Inc. All rights reserved. (Base: 867 US B2B marketers; Source: Forrester Consulting Survey for ABM)
Discussion Points
What is your mix of industry-specific vs general business marketing vehicles? How important is online marketing in your plans? What role does it play currently?
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Appendix
1. Study Objective and Methodology
2. Marketing Goals
3. Online Marketing Data by BIN
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15
Objectives
As digital marketing becomes more mainstream, ABM members wonder how it will impact their business. But most research on digital marketing only addresses consumer marketing, not B2B. ABM engaged Forrester Consulting for an independent analysis of the trends in B2B digital marketing spend across 21 categories of B2B marketers. Specifically, the project addressed the following questions: What percent of marketing spend do B2B marketers allocate to digital media?
What is the value proposition of digital marketing and how big a role will it play in the future?
What are the perceived strengths and weaknesses of each element of the B2B marketing mix? How will spending on digital marketing change in the next three years and where will the money come from? For each of the 21 categories of B2B marketers, what percentage of the budget is currently being spent on digital media and how important will digital media become in the next three years?
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Methodology
Forrester developed research and screener questions for an online survey jointly with the American Business Media to address the current and future state of business-to-business digital marketing.
Forrester fielded screener questions to a predetermined portion of the eRewards panel to identify qualified respondents.
Membership into the eRewards panel is by invitation only. Potential panelists can request an invitation through an eRewards sponsor (i.e., American Airlines, Hilton, Hertz, etc.). Once the potential panelist completes an online profile and the request is accepted, panelist will then receive a notification via email.
Members can earn up to $1 in e-Rewards for each e-mail they receive, and much more for providing their opinions on periodic research surveys. Once sufficient currency has been accumulated, members can then redeem their e-Rewards for rewards from companies like American Airlines, BLOCKBUSTER, Hertz, Hilton, IBM, Omaha Steaks, and e-Bags.
There are over a half million active business panelists.
Forrester fielded the entire survey (including screeners) to qualified eRewards panelists and received a total of 867 respondents within 21 various industry areas.
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18
4.7%
5.3%
18.7%
31.1%
23.4%
19
Entire contents 2005 Forrester Research, Inc. All rights reserved. (Base: 867 B2B US marketers; Source: Forrester Consulting Survey for ABM)
16.3%
9.0%
19.8%
38.2%
20
Entire contents 2005 Forrester Research, Inc. All rights reserved. (Base: 867 B2B US marketers; Source: Forrester Consulting Survey for ABM)
Respondents By Title
President or CEO 17.0%
6.9%
VP of Marketing or Advertising
11.3%
VP of Sales Director of Marketing, Online Marketing, or Advertising Director of Sales Manager of Marketing, Online Marketing, or Advertising Manager of Sales Individual contributor to Marketing or Advertising
7.0%
17.6%
8.1%
15.9%
9.6%
6.6%
21
Entire contents 2005 Forrester Research, Inc. All rights reserved. (Base: 867 B2B US marketers; Source: Forrester Consulting Survey for ABM)
22
Review the statements below and indicate which advertising option, if any, in your opinion best matches the statement
The best medium to reach decision makers The best medium to reach senior executives that approve purchases The best medium to reach other purchase influencers The best medium to reach the highest percentage of prospects for my companys products/services The best medium to raise awareness of my companys products and services
23
24
25
Marketing Spend
Less than $1 million
2005
2004
46.7%
23.3%
26.7%
26
TV 1 .5% 1
27
28
2008
2004/5
29
Marketing Spend
Less than $1 million
2005
37.50%
2004
43.80%
18.80%
34.40%
30
Online market ing 17.2% TV 16.8% Direct mail 6.1% Indust ry-specif ic/ t rade magazines 7.6% Newspapers 8.6% Cust om publicat ions 6.4% General business magazines 4.0%
31
32
2008
2004/5
33
Marketing Spend
Less than $1 million
2005 28.20%
2004
35.90%
38.50%
23.10%
34
TV 5.0%
General business magazines 5.2% Custo m publicatio ns 9.3% Online marketing 1 7.0% Direct mail 4.9% Newspapers 2.5% Industry-specific/trade magazines 9.8%
35
36
2008
2004/5
37
Marketing Spend
Less than $1 million
2005 27.70%
2004
36.20%
42.60%
19.10%
38
Other 10.4% In-person events 5.4% Online marketing 7.3% Radio 3.8%
TV 11.1%
39
40
2008 2004/5
41
Marketing Spend
Less than $1 million
2005
37.80%
2004
40.00%
40.00%
20.00%
42
General business magazines 4.0% Online marketing 10.7% Custom publications 4.6% Newspapers Direct mail 6.2% 9.6% Industry-specific/trade magazines 7.2%
43
44
2008
2004/5
45
Marketing Spend
Less than $1 million
2005
2004
43.60%
45.50%
10.90%
46
Online marketing 21 % .1
Direct mail 1 .1 1%
47
48
2008 2004/5
49
Marketing Spend
Less than $1 million
2005 16.70%
2004
35.00%
30.00%
31.70%
50
51
52
2008
2004/5
53
Marketing Spend
Less than $1 million
2005 30.30%
2004
24.20%
45.50%
30.30%
Base: N= 33 Source: Forrester Consulting Survey for ABM
54
TV 1 7.7% Online marketing 1 4.6% Direct mail 4.5% Industry-specific/trade magazines 8.1 % General business magazines 8.9% Custo m publicatio ns 1 .6% Newspapers 6.3%
Base: N= 33 Source: Forrester Consulting Survey for ABM
55
56
2008
2004/5
57
Marketing Spend
Less than $1 million
2005 25.70%
2004
25.70%
51.40%
22.90%
58
P rinted newsletters 7.1 % P rinted directo ries 2.9% Radio 5.1 % TV 1 3.7%
59
60
2008
2004/5
61
Marketing Spend
Less than $1 million
2005
39.30%
2004
42.90%
32.10%
23.20%
62
TV 1 8.7%
63
64
Base: N= 56 Entire contents 2005 Forrester Research, Inc. Source: Forrester Consulting Survey for ABM All rights reserved.
2008
2004/5
65
Marketing Spend
Less than $1 million
2005 31.60%
2004
42.10%
15.80%
42.10%
66
67
68
2008
2004/5
69
Marketing Spend
Less than $1 million
2005 23.30%
2004
20.00%
46.70%
20.00%
70
71
72
2008 2004/5
73
Marketing Spend
Less than $1 million
2005 29.00%
2004
35.50%
16.10%
48.40%
Base: N= 31 Source: Forrester Consulting Survey for ABM
74
TV 8.5%
General business magazines 3.5% Custo m publicatio ns 6.9% Newspapers 2.4% Online marketing 23.5% Direct mail 1 3.0% Industry-specific/trade magazines 7.6%
75
76
2008
2004/5
77
Marketing Spend
Less than $1 million
2005
2004
46.40%
32.10%
19.60%
78
TV 3.2%
Custo m publicatio ns 8.9% Online marketing 1 5.4% Direct mail 7.9% Newspapers 3.8% Industry-specific/trade magazines 5.7%
Base: N= 56 Source: Forrester Consulting Survey for ABM
79
80
2008
2004/5
81
Marketing Spend
Less than $1 million
2005 23.30%
2004
20.00%
40.00%
40.00%
Base: N= 30 Source: Forrester Consulting Survey for ABM
82
General business magazines 7.3% Custom publications 6.4% Newspapers 5.2% Industry-specific/trade magazines 4.7%
83
84
2008 2004/5
85
Marketing Spend
Less than $1 million
2005
26.70%
2004
53.30%
20.00%
23.30%
86
TV 8.1 %
General business magazines 1 .7% Custo m publicatio ns 5.9% Direct mail 1 .2% 1 Newspapers 5.5% Industry-specific/trade magazines 5.3%
87
88
2008 2004/5
89
Marketing Spend
Less than $1 million
2005 24.60%
2004
15.80%
38.60%
45.60%
Base: N=57 Source: Forrester Consulting Survey for ABM
90
91
92
2008
2004/5
93
Marketing Spend
Less than $1 million
2005 31.40%
2004
34.30%
51.40%
14.30%
94
95
96
2008
2004/5
97
Marketing Spend
Less than $1 million
2005
2004
44.90%
26.50%
28.60%
98
99
100
2008 2004/5
101
Marketing Spend
Less than $1 million
2005 26.70%
2004
43.30%
23.30%
30.00%
102
103
104
2008
2004/5