give buyers what they want - results from itsma’s how buyers consume information survey

Results from ITSMA’s How Buyers Consume Information Survey | 1 February 2013 | E130201 | © 2013 ITSMA. All Rights Reserved. | 1

David MunnPresident & CEOITSMA

Give Buyers What They WantResults from ITSMA’s How Buyers Consume Information Survey

Paul Writer Great Indian Marketing Summit | 1 February 2013Leela Palace, Bangalore


ITSMA works with marketing leaders and their teams to

provide research and insight on marketing practices;

advice and guidance on key initiatives; peer sharing opportunities with other

marketers; and professional development to advance knowledge and impact.

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ITSMA’s 2012 How Buyers Consume Information Study explored the preferences of Social and Traditional Buyers

Survey invitations were emailed to Business and IT Executives during September/October 2012

299Executives completed the survey from the US, UK, France, Germany

Marketers responded to the Huunu Gamification invite

ITSMA Analyzed the Data Seven WaysBy Social Media UseBy CountryBy AgeBy Job Role

By TitleBy Size of CompanyBy Industry


There is a

disconcerting lag

between

changing

buyer behavior

and marketers’

perceptions,

budgets, and

programs

Buyer behavior is changing so fast that it is hard to keep up


Last year’s ITSMA buyer research uncovered surprising revelations about the changes in buyer behavior

2011• The rise of the B2B social buyer

• The decline of traditional peer influence

• The elevation of solution provider credibility


With the 2012 ITSMA buyer research, we now have validated trends

Solution providers are a credible and influential source of information, even more so than peers

B2B social buyers and traditional buyers do consume information differently

2011

2012


New in 2012

Buyers rely on sales at allstages of the buying process

Stage 5.

LOYALTYStage 4.

CONFIDENCEStage 3.

INTERESTStage 2.

AWARENESSStage 1.

EPIPHANYKeeping up with

industry/technology news

and events

Learning more about potential solutions and

solution providers

Identifying a shortlist of

solution providers

Evaluating and selecting a

solution provider/ Making the final

decision

Building ongoing relationship with solution provider post-purchase


Three topics for today

Marketers’ perceptions vs. buyer behavior

B2B social buyers vs. traditional buyers

The new 70%


1.Marketers’ Perceptionsvs. Buyer BehaviorThere is a gap between

actual and perceived

buyer behavior


We asked 86 consulting and technology services marketers to “predict” buyer behavior

1 Management consultants (e.g., McKinsey, Bain, boutique firms)

2 Universities, research institutes, think tanks

3 Sourcing advisors (e.g., Everest, TPI)

4 Peers/colleagues

5 Industry analysts (e.g., Gartner, Forrester, IDC)

6 Technology or solution provider sales people

7 Technology or solution provider subject matter experts

Which of the following

SUBJECT EXPERTS will be the most

influential source of

information in the IT

purchase decisions

during 2013?


Marketers say…

Which of the following SUBJECT EXPERTS will be the most influential source of information in IT services

and solutions purchase decisions during 2013? (Marketers’ perceptions of buyer behavior)

Peers


29

27

27

23

21

12

10

Technology or solution provider subject matter experts

Technology or solution provider sales people

Peers/colleagues

Industry analysts

Management consultants

Sourcing advisors

Universities, think tanks

Buyers say…

Source: ITSMA, How B2B Buyers Consume Information Study, 2012

What were the first three sources of information you turned to when you began your information search?% of Respondents (N=299)


1. Solution provider websites

2. Solution provider subject matter experts

3. Web search

4. Solution provider sales people

5. Peers/colleagues

36

29

28

27

27

Peers are also no longer the #1 source of information during the early stages of the buying process—solution providers are!

Source: How B2B Buyers Consume Information Study, 2012

Q. What were the first three sources of information you turned to when you began your solution research? % of Respondents 2012 (N=299)


To some, solution providers are more credible than peers

Which of the following sources of information are most credible? (Rank order 1st, 2nd, 3rd) % of Respondents (N=299)

Technology or solution provider subject matter expertsTechnology or solution provider websites

Industry analysts (e.g., Gartner, Forrester, IDC)Technology or solution provider sales people

Peers/colleaguesManagement consultants (e.g., McKinsey, Bain, boutique firms)

Web search (e.g., Google, Bing)Focused industry/professional online communities

Focused industry or trade mediaUniversities, research institutes, think tanks

Industry events/trade showsSourcing advisors (e.g., Everest, TPI)

General business mediaLocal or national professional trade associations

Social media/networksBlogs

3328

2726

2422

2119

16161515

1211

95 1st 2nd 3rd

Note: Respondents were asked to rank order top three. Source: ITSMA, How B2B Buyers Consume Information Study, 2012


Buyers want access to your subject matter experts—

make them accessible



INDUSTRY resources

will be the most



purchase decisions

during 2013?

1 Technology or solution provider websites

2 General business media

3 Focused industry or trade media

4 Industry events/trade shows

5 Local or national professional trade associations


Marketers say…

Which of the following INDUSTRY resources will be the most influential source of information in the IT

purchase decisions during 2013? (Marketers’ perceptions of buyer behavior)

???


Buyers say…


Technology or solution provider websites

Industry events/trade shows

Focused industry or trade media

General business media

Local or national professional trade associations

36

19

14

13

9

% of Respondents selecting information source as one of first three would use during the purchase process (N=299)

Solution Provider Websites!


Buyers wantto find relevant information on your website—

create a customer-centric web experience



SOCIAL marketing

tools will be the most



purchase decisions

during 2013?

1 Web search (e.g., Google, Bing)

2 Blogs

3 Social media/networks (LinkedIn, Twitter, Facebook, SlideShare, YouTube, etc.)

4 Focused industry/professional online communities


Marketers say…

Which of the following SOCIAL marketing tools will be the most influential source of information in the IT

purchase decisions during 2013? (Marketers’ perceptions of buyer behavior)

Communities



Web search (e.g., Google, Bing)

Focused industry/professional online communities/social networks

Social media/networks

Blogs

28

17

8

6

% of Respondents selecting information source as one of first three would use during the purchase process (N=299)

Buyers say…

Web Search


There is a gap between actual and perceived buyer behavior

Most important: Marketers Say… Buyers Say…

Subject Experts Peers Solution Provider SMEs Solution Provider Sales Peers

Industry Resources Inconclusive Solution provider websites

Social Marketing Tools Communities Web search

Use for Social Media Source New Ideas Build Relationships

Keep up with industry news and events

Are marketers out of touch?


B2B Social Buyers vs. Traditional Buyers

B2B social buyers and traditional buyers

consume information differently

2.


The market has divided into B2B social buyers and traditional buyers

Note: Mean rating based on a 5-point scale where 1=not at all useful and 5=very useful.Source: ITSMA, How B2B Buyers Consume Information Study, 2012

How useful are social media channels and networks such as LinkedIn, Twitter, Facebook, SlideShare, etc., during the purchase process? % of Respondents (N=299)

Not at All Useful1

2 3 4 Very Useful5

12 13

28 27

19

Social Buyers: 46%Traditional Buyers: 54%


B2B social buyers are young senior executives with clout

18–34

35–44

45–54

51

36

14

31

33

36

Traditional Buyer (N=160)

B2B Social Buyer (N=139)

Decision maker

Evaluator

Influencer

83

13

4

53

25

22

IT

Business

73

27

51

49

Age*

Manager

Director/Assistant VP

VP/Senior VP/Head

C-level, GM, President

19

17

25

40

31

19

22

28

Job Title*

Job Role*

* Indicates a statistically significant difference. There were no significant differences found by size of company, industry, or gender.Source: ITSMA, How B2B Buyers Consume Information Study, 2012

Purchase Involvement*


Both types of buyers have robust appetites for information, but the B2B social buyers spend more time consuming content

Average number of hours spent each week keeping up with the industry and/or technology:


6.5hours

4.3hours

TraditionalBuyer(N=160)

B2BSocialBuyer(N=139)


B2B Social Buyer (N=139) Traditional Buyer (N=160)

Both types of buyers consume the majority of content online, but the B2B social buyers are shifting more of that time to mobile platforms

* Indicates a statistically significant difference.Source: ITSMA, How B2B Buyers Consume Information Study, 2012

62

38 OnlineOffline

63

37

67

33 PC

Mobile device

77

23

Time spent online vs. offline

Time spent online accessing information from a

PC vs. a mobile device*



The B2B social buyer is more “hands on” and less likely to delegate during the early stages of the buying process

When you have a business problem that requires a technology solution, what percentage of the time would you say you or your staff initiate research and find appropriate solution providers versus they contact you first? % of Respondents

* Indicates a statistically significant difference.Source: ITSMA, How B2B Buyers Consume Information Study, 2012

I do the research and find the appropriate solution providers*

My staff does the research and finds the appropriate

solution providers*

The solution provider contacts me first

The solution provider contacts my staff first

38

36

14

12

49

23

17

11

Vs.



28

29

23

1072 2

24

15

17

11

13

136

B2B social and traditional buyers use different methods to access their peers

Note: Differences are statistically significant.Source: ITSMA, How B2B Buyers Consume Information Study, 2012

How do you typically reach out to the peers and colleagues whose counsel you typically rely on most about technology solution providers? % of Respondents

68%89%

24

15

17

11

13

13

6 Via blog commentsVia public communities such as

LinkedIn, Facebook, Focus

Via a membership-based or private online

community website

At a tradeshow, seminar, or other event

Personal telephone callIn person

(other than a tradeshow, seminar, or other event)

Personal email



Beyond research reports, B2B social buyers and traditional buyers favor different marketing vehicles

Note: Respondents were asked to rank order top three channels.*Indicates a statistically significant difference.Source: ITSMA, How B2B Buyers Consume Information Study, 2012

2825

221919

17171717

15131312998

66

Research reports Social media*

Email newsletters* In-person seminars/conferences/tradeshows*

Print journals/magazines Virtual seminars/conferences/tradeshows*

Webinars Sales calls or private briefings

Digital magazines Videos

Website copy Blogs*

White papers Brochures (hard copy)/datasheets

eBooks Direct mail

RSS Feed or other newsfeeds Podcasts

Which information delivery channels or formats do you typically prefer?

32611

4220

282222

119

186

15118117

3


How do you reach the B2B social and traditional buyers?

B2B Social Buyer Social media networks Email newsletters Blogs General business media

In-person seminars, conferences, and tradeshows

Virtual seminars, conferences, tradeshows

Focused industry or trade media

But some of the preferred delivery vehicles differ:

Traditional Buyer

Both Buyers Rely OnYour website & SEO

Your subject matter experts (SMEs) Sales calls and private briefings

Research reports



The New 70%3.


According to conventional wisdom, buyers are waiting longer and longer to engage with sales

70% of the buying process in a complex sale is already

complete before prospects are willing to engage with a live

sales person. – SiriusDecisions

Research has shown that B2B buyers self-educate

during close to 70% of their buying experience,

invalidating the process salespeople have relied

on in the past to build relationships from the start.

– Ardath Albee, CEO, Marketing Interactions, Inc.

But that’s not what we found…


The New 70%

70% of B2B technology solutions buyers want to engage

with sales reps before they identify their shortlist.

–ITSMA


70%24 23 24

1614

According to ITSMA’s research results, 70% of buyers want to engage with sales reps before they identify their shortlist


Stage 5.

LOYALTYStage 4.

CONFIDENCEStage 3.

INTERESTStage 2.

AWARENESSStage 1.

EPIPHANYKeeping up with

industry/technology news

and events

Learning more about potential solutions and

solution providers

At what stage of the buying process do you find it most useful to engage with sales reps? % of Respondent (N=270)

Identifying a shortlist of

solution providers

Evaluating and selecting a

solution provider/ Making the final

decision

Building ongoing relationship with solution provider post-purchase


Stage 1: Epiphany

Provide unique perspectives on the market and solutions

Challenge my thinking

Educate me on issues and opportunities in my industry

Educate me on new issues in technology

Stage 2: Awareness

Provide me with product or service information

Tell me where on the website to find information

Put me in touch with the subject matter experts

Stage 3: Interest

Provide me with benchmarks and best practices

Help me navigate among alternative solutions

Stage 4: Confidence

Provide advice to help me make the right decisions

Provide references for me to contact

Help me build the business case

45

40

41

51

57

43

53

49

39

43

50

42

44

43

45

41

35

43

39

39

48

45

39

42

12

18

14

8

8

14

8

12

14

13

12

16

Significant Value Some Value No Value

For many, sales provides significant value at every stage of the buying process, not just the negotiation and close

When you are interacting with solution providers' sales reps during the purchase process, what value do they provide? % of Respondents (N=299)



Educate me on new issues in technology*

Provide me with unique perspectives on the market and technology solutions*

Provide me with product or service information

Provide me with benchmarks and best practices*

Tell me where on the website to find product/service information*

Educate me on issues and opportunities in my industry*

Put me in touch with the solution provider's subject matter experts

Challenge my thinking*

Provide references for me to contact

Provide ongoing advice to help me make the right decisions and avoid land mines*

Help me build the business case*

Help me navigate among alternative solutions*

Interestingly, the B2B social buyers see more value in interacting with sales reps than traditional buyers do, especially in an advisory roleWhen you are interacting with solution providers' sales reps during the purchase process, what value do they provide? % of Respondents Reporting Significant Value

*Indicates a statistically significant difference.Source: ITSMA, How B2B Buyers Consume Information Study, 2012

63

61

60

58

56

55

55

54

53

52

50

48

40

30

54

42

32

28

51

27

46

34

34

30

Traditional Buyer (N=160)

B2B Social Buyer (N=139)


Buildrelationships

withthought

leadershipselling

Buyers rely on sales, however they want to be educated, not sold to

Buyers are hungry for ideas and information that will help them gain competitive advantage or solve a business problem

Solution provider subject matter experts are the most trusted source of this kind of information

Marketing must:– Facilitate access to subject matter experts and

their knowledge– Help sales become subject matter experts in their

own right


Buyers want ideas and advice from sales reps—BT’s KAM Live enables more relevant conversations

Buildrelationships

withthought

leadershipselling


Buyers want ideas and advice from sales reps—

turn your sales reps into front-line subject matter experts

Buildrelationships

withthought

leadershipselling


Buyer behavior is rapidly changing and you need to be at least one step (if not more!) ahead of them

Solution providers are a credible source of information and to some, more credible than peers

Give buyers what they want! Relevant content on your website and access to SMEs

B2B social buyers and traditional buyers do

consume information differentlyFind the right balance in your marketing mix

Buyers rely on sales at all stages of the buying process

Enable sales to do thought leadership selling


Remember, give buyers what they want!


Thank You!David C. MunnPresident & [email protected]+1-781-862-8500, Ext. 117

give buyers what they want - results from itsma’s how buyers consume information survey

Business

b2b buyers

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information studyexplored

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buyers saywhat

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