how predictive is revolutionising b2b sales &...

© BrightTarget Ltd 2017

How Predictive is Revolutionising B2B Sales & Marketing

Glen Westlake, CEO & Co-founder

@GlenWestlake

@brighttarget

© BrightTarget Ltd 2017 © BrightTarget Ltd 2017

Who to target?

When to target them?

What proposition to offer?

Predictive Sales & Marketing takes all the

Available Data about the Organisations you sell to

and the People you engage with

and applies Data Science & Artificial Intelligence

to advise…

INTRODUCTION TO PREDICTIVE MARKETING

brighttarget.com © BrightTarget Ltd 2017

© BrightTarget Ltd 2017 © BrightTarget Ltd 2017 brighttarget.com

1 Size of Opportunity & Complexity

Predictability

Breadth of Data

Ability to Influence Your Customer

2

3

4

WHY B2B IS GREAT FOR PREDICTIVE

@brighttarget


Data-Driven Marketing

MARKETING EVOLUTION


Lead & Contact

Management

Direct Mail

List Brokering

Campaign

Management

1990’s

Telesales

Segmentation

CRM

2000’s

eRetail

Email Marketing

Self Service

Product

Recommendations

Personalisation &

A/B Testing

Mobile

Digital

Today

Twitter

Facebook

Demographic

& Firmographics

Environmental

Signals

Internet of Things External

Customers

Prospects 2010’s

brighttarget.com

Early Days

Product &

Supply chain

Management

Financial

Management

Human Resource

Management

Operations

MARKETING EVOLUTION


SYSTEMS OF ENGAGEMENT

CRM Digital

Customers

Prospects

External Operations

From fragmented and

complex ‘systems of

record’…

to the new world of

‘systems of

engagement’…

brighttarget.com


Positioning in Marketing Technology Eco-system

7

Marketing

Automation CRM

Sales

Automation Mobile /Apps Web

Systems of

Engagement

Systems of

Insight

Enterprise

Data Social

Data

Company

Firmographic

s & Financials

CRM ERP Internal

External Sales

Automation

Web

Analytics Marketing

Automation

Actionable

Predictive Insights

…who to target?

…with what message?

…when?



QUESTION PREDICTIVE READINESS

@brighttarget

How aware of predictive marketing are you? 1. Not aware 2. Aware and researching 3. On our roadmap/ planned 4. Already using predictive


89% OF B2B MARKETERS NOW HAVE PREDICTIVE ON THEIR ROADMAP

@brighttarget

BrightTarget outdoes the competition by predicting which customers

will deliver the most lifetime value, not simply who’s likely to convert and

when. Incorporating unique information, such as invoice history,

service records… BrightTarget helps business executives (not just

marketers) calculate their customer base’s current value …

We think BrightTarget’s straightforward, elegant UI – along with

services that help customers hone-in on optimum segments and use

cases – stand to boost their chances of success.

B2B marketers with a wanting to drive sustainable business growth

through marketing and sales efficiency – especially those

headquartered in Europe -- should take a look at BrightTarget to help

drive revenue across the entire customer lifecycle.

See our stand for copies of this

Forrester analysis


BrightTarget is one of only 22 Global Vendors, of which only 3 in

Europe and 2 of these were acquired by Sidetrade last year.

Analyst Reviews

@brighttarget


Predictive Analytics (and Machine Learning) combine a collection of statistical

techniques to analyse the past, to predict what is going to happen in the

future.

PREDICTIVE

MODELLING

TECHNIQUES

SV

M

En

se

mb

le

Clu

ste

ring

Asso

cia

tion

R

ule

s

Regre

ssio

n

Dee

p L

ea

rnin

g

Mo

de

lling

Orc

he

stra

tion

Data Pre-

Processing

Data Threshold

Monitoring

SCORING

TRAIN & TEST

INTERNAL +

EXTERNAL

DATA

PREDICTIVE

INSIGHTS

PREDICT an

outcome in a future

period

T+1

TRAIN model on

historic signals

TEST model on

historic

outcomes

T – 1

Data Scientists actually spend 80%

of their time preparing data (2016 CrowdFlower survey of about 80 Data Scientist’s)

HOW DOES PREDICTIVE WORK?

Today

Is a customer

going to churn

next month?

© BrightTarget Ltd 2017 www.brighttarget.com

5 Key Steps for Success from AI

12 © Copyright – Sidetrade 2017

Step 4. Process Integration & Delivery

Step 1. Mass Data Collection

Step 2. Predictive Modelling

Step 3. Prescriptive / Actionable Insights

Step 5. Model Monitoring & ROI


HOW DO YOU USE PREDICTIVE?

@brighttarget


Full-Suite Predictive Sales & Marketing

© Copyright – Sidetrade 2017 14

Run targeted product or

segment focussed campaigns

Focus on segments with

biggest opportunity to grow

long-term value

Find hidden Upsell & Cross-

sell opportunities

Find more Prospects (net-new) that

look most like your best customers

Focus on your best Prospects and

generate better leads for sales

Prioritise your Leads on

those most likely to close and

be of highest future value

Grow

Acquire

Customers

Focus all activity on highest

value or potential accounts

Re-activate your

best lost Customers

Highlight key Engagement

opportunities

Identify active Customers

most at-risk of Churn and

optimise retention strategy

Retain

Enrich data from various

external sources

Load Customer

& Prospect Data

Understand

Combine interaction & transaction

data from multiple sources

Segment customers by

Behaviour, Value and Product

Optimise for Product Substitution

of higher value products or services


UNDERSTAND CUSTOMER BEHAVIOUR & CLV

984

£105M

1,906

Number of Customers

Total Lifetime Value (£) future predicted profitability (over next 2 years)

£21M £16M £11M £5M £3M £3M

1,874

3,117 3,330

2,339

1,326

Frequent Purchasers

Mainstream Product X

Mainstream Product Y One Off

Purchasers

Loyal Returners New

Purchasers

Key Accounts

Segmentation highlights a clear differential in how customer behave (purchase and interaction)

65% of total value from just 7% of customers in ‘Stretched Accounts’ segment

Opportunity to develop a marketing strategy to influence different customer behaviour. E.g. how do we persuade ‘Loyal Returners’ to buy more product, more often?


RETAIN – Optimise your Retention Strategy

16 16

3A

Customers

Churn Risk

Cu

sto

me

r V

alu

e

Low Medium

Hig

h

High

Me

diu

m

Low

2A

Customers

1A

Customers

3B Customers

2B

Customers

1B

Customers

3C

Customers

2C

Customers

1C

Customers

Focus sales time on

customers most at risk

and of high value

Benefits

Don’t waste time on

low value customers or

those unlikely to leave



Predictive Churn – Optimise your Retention Strategy

17 17

3A

Customers

Churn Risk

Cu

sto

me

r V

alu

e

Low Medium

Hig

h

High

Me

diu

m

Low

2A

Customers

1A

Customers

3B Customers

2B

Customers

1B

Customers

3C

Customers

2C

Customers

1C

Customers

Focus sales time on

customers most at risk

and of high value

Benefits

Don’t waste time on

low value customers or

those unlikely to leave


F2F Sales

Ignore

Service

Marketing

Inside Sales

Offer X

Extra Care

Re-Engage

Offer Y

Inside Sales

Make Contact

Which Channel?

What Strategy/ Message/ Offer

Strategies tailored for Behavioural Segments


Customer Success Story – Predictive Churn

18

Euromoney Institutional Investor PLC is one of Europe's largest business and financial magazine

publishers which has interests in financial publishing and event organization. It is a

constituent of the FTSE 250 Index.

Revenue: € 500M | Sector: Publishing

81% Churn Prediction

Accuracy

7% Increase in renewal rate

(of High Value / High Risk

Accounts)

34% Reduction in Sales Effort



ACQUISITION – Optimise your Sales Strategy

19 19

3A

Prospects

Likelihood to Convert

Pre

dic

ted

Cu

sto

me

r V

alu

e

Low Medium

Hig

h

High

Me

diu

m

Low

2A

Prospects

1A

Prospects

3B Prospects

2B

Prospects

1B

Prospects

3C

Prospects

2C

Prospects

1C

Prospects

Focus sales time on

best leads to increase

conversion rate

Reduce time wasted

by sales on leads that

will never close

Benefits

Optimise your

channel strategy –

send high value leads

to sales and nurture

those of lower value



Predictive Lead Scoring – Optimise your Sales Strategy

20 20

3A

Prospects

Likelihood to Convert

Low Medium

Hig

h

High

Me

diu

m

Low

2A

Prospects

1A

Prospects

3B Prospects

2B

Prospects

1B

Prospects

3C

Prospects

2C

Prospects

1C

Prospects

Pre

dic

ted

Cu

sto

me

r V

alu

e

Focus sales time on

best leads to increase

conversion rate

Reduce time wasted

by sales on leads that

will never close

Benefits

Optimise your

channel strategy –

send high value leads

to sales and nurture

those of lower value



Customer Success Story – Lead Scoring

21

44 years of innovation, development,

manufacturing and sales of high equipment and

supplies.

Revenue: € 19BN (group) | Sector:

Manufacturing

105% Increase on

Suspect to Prospect

Conversion Rate

66% Increase on Prospect to

Opportunities

Conversion Rate

3.3x Increase in Revenue

(from Marketing Generated

Leads)

Global Industrial Manufacturer



Customer Success Story – Lead Scoring

22

Sector: Business Services

38% Increase on

Event Delegate

Leads from Email

40% Reduction in Email

Volume to Achieve

Conversion

Event Management

Company 180%

Delegate Uplift from

Tele-Sales

2.8x Improved Conversion

Rate by Tele-sales



Customer Success Story – Upsell & Cross-sell

23

Sector: Building Services

3.8% Conversion Rate (to sale)

on Cross-sell Campaign

4.75x Increase on

Conversion Rate

(to Sale)

Building Supplies Company



QUESTION STRATEGIC OR TACTICAL APPROACH?

@brighttarget

Where do you think your biggest opportunity is hidden?

1. Acquisition – Net New, Prospect/ Lead Scoring 2. Customer Growth – Up/Cross Sell 3. Retention Management 4. Unsure


1 Build an Innovative Culture (Challenge the status quo)

Use AI with machine learning to predict outcomes e.g. 1st sale, additional sale, last sale, CLV, looks like ideal customer

Convert predictions to marketing actions Actionable insights with measurable ROI

Link insights to ‘Systems of Engagement’ Close the loop for continual improvement

2

3

4

KEY STEPS TO PREDICTIVE UTOPIA

@brighttarget


Understand where your opportunity is hidden

Take a more strategic approach by measuring ROI Net New + Customer Growth + Retention

Full Customer Lifecycle Approach (SCV)

Behavioural Segmentation + CLV Tracking

Prioritise campaign activity to maximise profits

Predict customer needs to personalise offer

Prioritise actions based on future potential value

2

3

WHAT NEXT? TO OPTIMISE CUSTOMER VALUE

@brighttarget

1


t. 0121 663 1990

e. [email protected]

w. brighttarget.com

BrightTarget Ltd – Four Oaks House – Sutton Coldfield – West Midlands – B74

2TZ

Get in touch…

www.BrightTarget.com

Talk to us today if you want to move

from MQL Marketing

to Revenue Marketing

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