How do you measure success differently in B2B and B2C marketing?

Don’t try to sell shampoo to a bald person! In highly competitive industry like us where resources are limited, we have to be very mindful on where these resources are invested. As a part of lead generation, one should make sure that the customer pool we are targeting is well segmented and categorised to maximise the chance of conversion.

Para ter qualidade muitas vezes temos que ter menos quantidade. Por este motivo, é importante gerenciar muito bem os custos e receitas geradas por cada lead/cliente, e estruturar o “funil” de vendas com metas claras para aumentar as taxas de conversão e otimizar o processo de vendas B2C e B2B. Assim recomendo duas principais estratégias: - Segmentação: personalize suas campanhas de marketing com conteúdo que seja relevante ao público-alvo; - Utilize um sistema de pontuação (Lead Scoring) para avaliar a qualidade dos leads com base em critérios de interação com conteúdo (como download de e-book), reunião agendada, reunião realizada e ativação de cliente;

How you treat good leads vs bad leads in b2b and b2c is fundamentally different when talking about inbound (not outbound). In b2c, you are likely to evaluate leads based more on demographics, whereas in b2b, you are more likely to lean towards the behavior, meaning lead actions. I like how Pardot solved this by pushing marketers to think of Lead Scoring (behavior) and Lead Grading (demographics) as completely parallel things. Also, most importantly in b2b many marketers don't focus on leads at all, but focus on accounts (buying groups) which is a fundamental difference

In B2B marketing, lead quality is crucial. Ensuring potential customers align with your offerings involves tracking both lead volume and fit with your ideal customer profile. Lead scoring is a common practice, assigning value to leads based on behavior and demographics to assess quality. The objective is to prioritize resources on nurturing leads with the highest likelihood of conversion, optimizing efficiency and increasing the chances of securing paying customers.

Street on Point: On B2C: measured by sales volume, brand awareness and customer satisfaction. On B2B: lead generation, return of investment and effectiveness of nurturing relationships with big and values companies.

When comparing B2B and B2C and measurement of success , one of the differentiators is that in B2B there is often more marketing touches needed along a buyer journey. Marketing (and other channels) therefore should not just look at marketing initiated /sourced pipeline but also at marketing touched pipeline to accelerate deal cycles or increase deal value over time.

The problems in B2B are much more complicated, and therefore the solutions are also more complicated. This leads to deeper discussions to discover what are the needs and what are the solutions. This also implies that the amount of stakeholders involved in the decision is much higher, as well as the price points are much higher. Last but not least, in terms of the implementation of the solution, that typically requires a lot more time and resources than in B2C. In my experience, one key metrics is the conversion rate between the different stages of the sales funnel and the speed of these conversions when you. If you make YoY comparisons, you can start seeing how you're evolving your performance

The longer B2B sales cycle means that marketing impact needs to be measured in terms of progress through that cycle. Your marketing should move customers closer to the sale, but measuring that incremental progress is rarely obvious or objective. One way I dealt with that was to use sales pipeline reporting. The report noted the size and likelihood of a sale by customer, so the idea was that if a client went to our event and was now more likely to buy, the incremental likelihood was our progress. This underscores an added benefit of measuring progress to sale... It aligns Sales and Marketing objectives and sets you up for closer collaboration.

In the labyrinth of B2B sales cycles, understanding lead progression is like mastering navigation through uncharted waters. By deciphering the intricate factors at each stage, marketers unveil insights to boost conversion rates. It's not just about tracking leads; it's about orchestrating a symphony of value propositions that resonate with decision-makers, forging lasting connections, and driving meaningful business outcomes.

In my experience in B2B, we track the average sales cycle length, aiming to shorten it for efficiency as much as possible. Metrics like lead-to-customer conversion rates and customer acquisition cost (CAC) help us refine processes. In B2C, the main focus is on quick conversions and high sales volume. Success is many times measured through the speed of customer journeys, repeat purchase rates, and immediate engagement metrics. This approach ensures rapid transactions and customer satisfaction in a shorter timeframe.

In B2C, it's common that the customer purchases more frequently than B2B. However, because of the value of the average transaction, the lifetime value of a customer is much higher in B2B than it is in B2C. It is for this reason that it's important that once you acquire a customer that you do not lose that customer to your competition. It's also important that once you acquire a customer that you put in the effort to increase the share of wallet with that customer. All these activities naturally develop stronger relationships between suppliers and customers that sometimes include long term agreements or even partnerships.

It helps to see the global picture of your strategy. For example, if you need some expenses from your side to close the deal. But thanks to CLV you can see the future opportunities better and in numbers, which is crucially important. It helps with forecasting, helps to keep focus on retention and increase profit from 1 deal.

In B2C marketing, Customer Lifetime Value (CLV) success metrics assess the total revenue a customer generates over their relationship with the company, factoring in acquisition and retention costs. B2B CLV metrics evaluate the long-term profitability of client accounts, considering repeat purchases, contract renewals, and upsells. Both sectors analyze CLV to understand the return on investment in acquiring and retaining customers, guiding strategic decisions and resource allocation.

In B2B it's not selling through the life cycle, which a recent study I saw said cases with $50k per ticket took 6-12 months to close, it's understanding the needs of the person on the other end and working to overcome their pain points through effective communication (not pushing your point, but through equal dialogue). The relationship is built on courting then dating then marriage - not rushing to the alter.

In B2B, success is also measured by the popular phrase - your network is your net worth. It is not enough to measure success by business outcomes alone, it is also measured by your brand health, word of mouth, customers and prospects as goodwill ambassadors for your brand. It is about the intrinsic value you bring to the table and how that creates a long lasting relationship that accelerates brand awareness in the market.

In B2B marketing, success is often measured by the depth and longevity of relationships built with clients. Unlike B2C, where transactions can be one-off and impulsive, B2B focuses on fostering trust and partnership over longer sales cycles. Effective relationship building in B2B involves consistent engagement, providing value through educational content, and understanding the client’s business needs. This approach leads to repeat business, referrals, and a strong brand reputation, which are key indicators of success in B2B marketing

The number of B2B customers is relatively low, and because of the high lifetime value, there typically is longer standing relationships between customers and suppliers. It is also true that although there are more stakeholders per organization that you have to deal with overall, it's a smaller amount of people that you have to deal with. Therefore, metrics that measure the level of relationship are important and valid in the kind. of the contest would B2B.

In the realm of B2B marketing, success isn't just about transactions; it's about weaving a tapestry of trust and collaboration. Imagine it as a dance where marketers and decision-makers move in harmony, guided by the rhythm of shared goals and mutual understanding. Metrics like engagement rates and interaction frequencies become not just numbers, but reflections of the rapport and resonance between partners. In this symphony of business relationships, each note played, each gesture made, contributes to a crescendo of success where loyalty, referrals, and partnerships flourish, painting a picture of enduring prosperity in the ever-evolving landscape of B2B markets.

Complexity of message behind a B2B message is far more superior than B2C, as in B2B you are not targeting mass segment of the market. Content for B2B has to be well thought out and concise as a B2B customers don't have much. B2B content does not benefit the decision marker personally, which also lowers the appeal to the message, while B2C it mostly benefits the viewer. B2B messages should be short and concise while maintaining the highest level of accuracy in specs and features. This should always be followed by a clear call to action.

In B2B marketing, content is more than just information; it's a strategic dialogue. Success isn't about views or shares but the impact on professionals. Metrics like time spent on page and insightful comments gauge resonance, shaping B2B interactions and paving the way for lasting partnerships.

Success in content engagement differs significantly between B2B and B2C marketing. In B2B, we can focus on metrics such as white paper downloads, webinar participation, and interactions with detailed content, which indicate deep interest and high lead quality. In B2C, we gauge success through social media interactions, website traffic, and video views, reflecting immediate consumer interest and brand visibility. These tailored metrics ensure our content strategies effectively engage the right audiences according to their unique behaviors and preferences.

Because of the long sales cycle, sometimes companies provide evergreen marketing so that they are able to remain top of mind for B2B customer, even though the next purchase won't happen for years. Contrast that to B2C where you are engaging with content to generate demand and convert people into a purchase. in B2B marketing it's really about staying top of mind, for the longest period of time, with the largest amount of customers.

simple POV from me. Since B2C talks to mass, we aim to have more engagement and develop high awareness of the content. (metric : engagement & reach/impressions) While B2B needs to get the result and track the ROI. the CTA and CPC numbers become more important.

In B2B marketing, ROI remains pivotal but calculating it involves navigating a more intricate terrain. Beyond direct financial gains, it encompasses factors like brand positioning and market influence. Success lies in establishing a tangible connection between marketing endeavors and revenue growth, acknowledging that the latter might unfold gradually over an extended sales cycle.

I would add it on the 1st place. All your strategy should be build around ROI to maintain business growing and not to lose the main focus.

This is extremely hard to conduct in B2B and there is no universal way to conduct this. The best possible scenario is to at the end of the day simply measure how much you're getting back from each outreach asset you're using to get leads and how much of these leads are converting into customers. For example, if you're using Ads to get leads, you can get a clear view if these ads are profitable or not. The problem is that things are not as straightforward in B2B as they are in B2C. In order to get a customer in B2B, all funnel steps need to be aligned with each other in a perfect manner and imperfect alignment can impact your performance on certain channels. It's extremely hard to look at ROI as a real indicator of problems in B2B.

ROI analysis often creates tension between Finance and Marketing. Finance values returns in monetary terms, while Marketing emphasizes intangible sentiments, challenging to quantify financially. The cost of inaction, frequently overlooked in ROI assessments, can lead to flawed outcomes. While financial metrics are crucial, the intangible ROI in B2B contexts is equally important. Retaining customers may require engaging in less lucrative deals to prevent competitors from seizing market share. Thus, comprehensive ROI should include both tangible and intangible values to ensure accurate decision-making.

Growth of your customer base, increase in your market share within the customer, service NPS. It's harder to retain B2B customers due to the turnover within companies themselves. The person buying from you today may not be the same person buying tomorrow.

The importance of sales and marketing coordination in B2B space. It is more complex and roles sometimes overlap. It is important to have good cross-team communication here do the data and funnel right. You need everyone on the same page to get the data and the funnel right.