“After unprecedented precipitation, the Ohio River in Cincinnati rose to its all-time high on Jan. 26, 1937. It was a natural disaster than spanned the entire length of the 981-mile-long river. Michael Nyerges.” Read more.
One of the founders of our agency, Edmund Strauchen, did the above illustration for the Enquirer that day.
Industrial marketing is different for machine tools and chemical processing equipment, but it’s even stranger for engineering, architectural or construction services.
I learned of the Society for Marketing Professional Services (SMPS) back in 2005 when I asked Pete Strange, the president of Messer Construction, how I could get clients in building materials, construction and architecture. He said that SMPS was the best way to learn. I joined and served several years on the board of the local Cincinnati Chapter. The Certified Professional Services Marketer is the most valuable thing I have received from SMPS. It’s a body of marketing knowledge and methods that is nothing like selling lipstick or rebar for that matter. Here’s link to SMPS.org and a study guide to the certification.
B2B Sales Conversion Rates’ processes are complex, with myriad stakeholders and prolonged decision cycles. That’s why it’s hard to know from the top of your head what’s working and what’s not. Fortunately, we have Salesforce, where we can track lead sources all the way to closing the deal.
At Implisit, we analyzed anonymous aggregated lead data from hundreds of companies to see what works and what doesn’t. Results are surprising: some channels are better at creating opportunities, but those opportunities are less likely to close; in other channels, it’s harder to create opportunities, but these opportunities are more likely to close.
Lead to opportunity—13%; Opportunity to deal—6%
Overall, our analysis shows that on average, 13% of leads convert to opportunities and the average time for conversion is 84 days. Conversion rate from opportunity to deal is even lower — only 6% of opportunities convert to deals, but it takes only 18 days, on average, to convert.
The most important metric, leads to deal, shows one clear winner. 3.6% of employee and customer referrals convert to deals, higher than any other channel. This is followed by the company website and social. Among the worst performing channels are lead lists, events and email campaigns with less than 0.1% lead to deal conversion rate.
Another important insight is that employee and customer referrals, company websites and social also tend to have the fastest progression from lead to deal. It takes only 40 days, on average, to convert a lead coming from social to a deal. Website leads take around 75 days, and referrals take 97 days to convert. Lead lists, email campaigns trade shows, and webinars have the lowest conversion rate and the highest lead-time.
Webinars: only 2.5% opportunity to deal conversion rate
When we break the conversion rate into two parts — leads to opportunities and opportunities to deals — we see a few surprises. Webinars, for example, have the third-highest conversion rate from lead to opportunity (17.8%); however, it has one of the lowest conversion rates from opportunity to deal (only 2.5%). The company website has the highest conversion rate from lead to opportunity (31.3%), probably because sales reps are very optimistic when inbound inquiries are coming from the website. However, only 5% of website opportunities actually end up as closed-won.
Company Events: mostly closed-lost opportunities
Another interesting insight is the ratio of closed-won versus closed-lost opportunities. It seems that some channels deliver opportunities that consistently fail to convert to deals. Less than 20% of company events, lead lists, and partner referrals end up as closed-won. This is especially surprising — sales reps only open opportunities after they qualify leads. Still, even after qualification, it seems that these channels hardly produce opportunities with the potential to close.
In the complex B2B sales process, some channels deliver consistently better performance than others. The global winners are employee and customer referrals, company websites, and social. Outbound channels such as lead lists, company events, and email campaigns tend to have the lowest performance. It seems that closing a deal is as much about where the lead came from as it is about salesmanship.
About the Author:
Gilad Raichshtain is the founder & CEO of Implisit. Intel recruited Gilad who, at 16 was their youngest engineer at the time. Concurrently, Gilad completed his computer engineering studies at Technion, Israel’s Institute of Technology. After 6 years at Intel, Gilad joined the Israeli Prime Minister’s Office and founded several startups. Gilad received his MBA from the Wharton School of Business, where he also managed Wharton Ventures. Additionally, as Genacast Ventures’ investment team member, a Comcast partnership, Gilad supported several portfolio companies, three of which were later acquired—two by Google and one by Adobe.
Consumer media is getting very fractured, but industrial content driven marketing is still led by a few quality publishing houses.
Sure you can spend hundreds of thousands of dollars on full page ads every month in your industrial trade publications. But you wouldn’t be taking advantage of the invitation to supply educational and application articles to the publication as well. Industrial marketing is a partnership between you and the industrial publishing houses. And that includes trade shows as well. The best publishing companies also have the best shows.
Branding lessons from Deloitte and 195,000 brand managers, by Carlos Martinez Onaindia & Brian Resnick.
For our last post of 2016 we’d like to update one of our most popular blog posts ever. This book still stands out as the best B2B Branding Lessons we have ever seen. Get in touch if you would like a free copy.
(Thanks to Bob for another insightful post. Just last night I did a process equipment marketing review of Chemical Processing’s ads for Readex and reviewed the Emerson ad for “Project Certainty.” Eye catching ad but I can’t believe their claims. What could possibly “look differently” at my rock crushing plant project and replace the 1000 years of experience going into its design. Not to say modern analysis capabilities maybe could help but they are going to have to tell me a little bit more than, “innovate.” Plotting the human mind work flow was impossible just a few years ago. Mainly because what ever idea we came up with was proved wrong by science. Now the science is catching up. Look out, someone’s going to find out that we only work half the time!)
It was built to reflect the look and feel of Roto-Disc‘s product catalog about as closely as could be done with a website. It matched Roto-Disc‘s catalogue so very well that the site itself felt like well-designed and well-planned literature.
Pages were designed, not as a whole in cookie-cutter fashion, but for their purpose. Much like a printed brochure, everything was cohesively-branded as one well-collected work – yet each individual page was custom-tailored to best-present the products and services on that page.
The existing outline was near-perfect. Divisions between pages and topics were pretty spot-on, easy to navigate and easy to follow.
Above: The standard HTML site that was.
It was however, as sites made years ago tend to be: static in size and format, with no mobile menus or even alternate mobile version, and no CMS or other way to dynamically-generate new content – all of which we know to be a problem today for these reasons:
Google now gives better indexing for mobile-friendly sites, and penalizes sites that do not have mobile-friendly design or versions.
Engineers and other decision-makers in the Process Industry cannot easily view these sites while they are out in the field, which is about the time that needs for new equipment tend to arise or happen to be revealed.
Sites not viewed by mobile users do not get shared by mobile users, who make up for an increasingly-large percentage of internet viewers.
Sites that are blogs, WIKIS, or otherwise CMS-driven, have a sizable SEO advantage over most sites that are not. Growing content and fostering inbound links are incredibly-important to SEO. Blogs also enable a company to position itself as an industry leader, and give them the tools to build and maintain better customer relationships.
From This We Created A Short List of Initial Project Goals:
Emulate the general look and feel of Roto-Disc‘s catalog, which we had recently updated for the new product line.
Preserve the image-based menu and allow for more menu items to be added.
Make their site completely responsive and mobile-friendly.
Make navigating and reading the site easy for *all* sizes: large screens, smartphones, *and* tablets.
Build it as a CMS (WordPress in this case) for blogging, scaleable SEO, Inbound Marketing, and ease of content editing.
Include the best SEO plugins available so that the SEO approach can be updated for new search rules and algorithms.
Which Enabled Us to Build This List of Challenges:
The new catalog was rich with very in-depth charts for most every product. Some of these would require tables with at least 15 columns. Large tables are very difficult to display on mobile devices and harder still to display in a size and format that is easy to read and does not require scrolling or turning the device to horizontal view.
We wanted the image-based menu to look good on desktop systems, and did not want to lose it to a simple mobile menu at tablet and mobile sizes.
The image-based menu would require dropdowns so that viewers would have direct access to the spefic product information they were looking for.
We needed dropdown menus to work for desktop, laptop, tablet, and smartphones. Since touch devices do not have a hover state for links, we needed to make the menu expand and contract when clicked, not moused over. This was a major consideration when it came to tablet users, because the image would present somewhat like the desktop version, but with no mouseover capabilities.
We wanted to preserve the image menus even in the mobile version if possible.
Having “sticky” always-on-top navigation is always nice when it comes to desktops and laptops – We wanted to find a way to do this for both the header and standard navigation, as well as the image navigation. We wanted to do this without these items completely consuming the available viewport. We also wanted the sticky image menu to not be sticky on tablets because of limited space.
For tablet users who would lose this sticky navigation, we needed alternatives, such as an easy way to return to the navigation and/or adding navigation also to the footer of the pages.
Wide-open: The site design is based on the Brochure, but made for web, driven by WordPress, with an image menu plugin for ease of editing the image-based menu.
An Additional Consideration: For Desktop users, the image links display an instruction when moused over, letting them know that clicking will open and close the submenu (though the submenu will go also away on its own when no longer in focus).
The benefits of using a plugin and not hard-coding this aspect: All of the above menu and Submenu items can be added, removed, or edited through the control panel.
Two Sticky Menus in motion: The Image menu slides up onto the header when the page is scrolled, and stays – leaving the most important items of both sets of navigation always at the top of the screen for easy access.
Not so sticky: On smaller-sized screens not quite small-enough for the mobile menu the image menu items switch size to fall into three rows of three icons. The menu no longer sticks at the top so that content can be seen when scrolling.
Large Tables: These charts do not seem like they will fit well on a smaller screen… especially not on mobile, not even in landscape aspect. What can be done?
AHA! Jquery to the rescue: By rotating the table header text 90% and re-scaling those cells accordingly, we have a LOT more space to work with when presenting these tables on mobile devices. No scrolling necessary. Some strategic line-breaking in the product number column and Viola!
The Mobile Menu: It seems as though the image menu has been lost… and that would be sad. … but we can do better!
Huzzah!: There is that image menu again, not lost afterall.
The “Open/Close” Instructions: They are pointless here, because you cannot mouseover on a tablet or other mobile device, but they won’t be seen for this reason. Plus: They are still handy if you like keeping your browser window very small.
Tricky: Submenus on an image menu in a mobile menu. I can’t think of any place I have seen this before – actually *many* aspects of this project were something completely new.
Falling in line: Divs and most tables break apart – images set themselves to fill the viewport, and horizontal content becomes vertical in order to keep images large enough to view, also keeping text from being crammed awkwardly on the smaller screen.
Below: You’ll notice the menu does not stick to the top in mobile view. Sticky menus on mobile, especially for sites with many pages, are not a good idea. If the menu extends beyond the viewport, and does not scroll – then the only part of the menu that can be accessed is the part at the top of the screen. This will leave visitors stuck and incredibly frustrated. You can in some cases make another scrollbar just for the navigation, but if it is not seen visitors will think they have arrived at a broken site and move on.
(We sure have come a long way from the 30% cut in manufacturing in 2008. Finally construction equipment and green building marketing can get back on it’s feet and soap box. This editorial by Mike Eby, Editor-in-Chief, EC&M, sums up the good news. We’re looking forward to promoting our clients’ solar energy offerings, sustainable building certifications and Green Building marketing home tours. They launched last year and we’re alreaady booking them up this year. Learn more and register for the tours if you like. )
Lohre & Associates, Inc. is an Industrial Marketing Company, serving local companies and in business since 1934. We know industrial businesses, and we offer quality in-person service for Cincinnati-area industrial businesses.