sirhq - isbm – driving excellence in b2b marketing · react slowly and you won’t see 2030....

John Martin – Trends Shaping the Future of B2B Marketing

September 2019

© SIR’s Institute for Tomorrow. All Rights Reserved 1

John W. MartinJohn.Martin @ sirhq.com

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September 2019


How to avoid being

BLOCKBUSTERED

TOMORROW MAPSM

Consum ers will choose and support green businesses.

Sustainable business practices indicate com -munity focus. Be green

or be gone.

IM PACT

SUSTAINABILITY STICKS

Find ways to dem onstrate and differentiate your com -mitment to being green. Whatever you do, don’t

“greenwash.”

IM PLICATIONPOPULATION EXPANDS

AGE SHIFTS

COMMUNITY EVOLVES

DIVERSITY RULES

HOUSEHOLDS CHANGE

MILLENNIALS DOMINATE

FRUGALITY PREVAILS

EVERYONE CONNECTS

PURPOSE REIGNS

They will reshape the work-place and the m arketplace.

Those who shift to m eet their needs will succeed.

React slowly and you won’t see 2030.

IM PACT

It is no longer enough to have a mission or vision. Now you need a stated purpose, which explains your “why”

in meaningful term s for M illennials.

IM PACT

Digital social connections will rule, and an anonym ous reviewer’s post delivers the same impact as a TV news

report. This trust shift is permanent.

IM PACT

Buying on “deal,” shopping via eBay and craigslist, shar-ing bikes, rides, bedroom s will transform m any sectors

of the econom y for years to come.

IM PACT

Each state will have pockets of growth and vast expanses

of declining populations. Most opportunities will be

around the “activity centers,” which will be m any.

IM PACT

Healthcare will keep boom-ing, but how we provide care and services for this big part of our population will create

problems and opport-unities for all.

IM PACT

All organizations, public and private, need to reflect the diversity of their com -munity. This is an expecta-

tion guaranteed to increase.

IM PACT

The key decision-maker is harder to identify, with such different household types. Organizations must connect with all households, espec-

ially those headed by women.

IM PACT

Ideas on “trust” will shift from institutions to the

crowd—based on reviews available online. Price m atters and will grow

in importance.

IM PLICATION

M onitor the prevailing sent-im ent online and actively

engage. Strengthen loyalty programs and recruit

your own onlineadvocates.

IM PLICATION

Engage them now, at work and in the m arket. Make sure you understand their collaborative mindset and

what it means for your organization.

IM PLICATION

Craft a compelling and be-lievable purpose statement for your organization. The

best are crowdsourced from within, not dictated

from the top.

IM PLICATION

Both internally in how you operate from your board

down and externally in how you com municate, reflect

m ore diversity now.

IM PLICATION

Learn what this perm anent shift m eans for your cate-gory. The wave of older

adults is im portant, but the ultim ate change is the ratio of old-to-young.

IM PLICATION

Make sure your operations are located in these centers,

if you’re trying to attract young, creative, skilled

workers. Focus sales efforts there, too.

IM PLICATION

The new m odel is that there isn’t a m odel household

definition any m ore. Look for older Boomer women to

establish new modelsby 2030.

IM PLICATION

DEMOGRAPHIC SOCIETAL/ CULTURAL

To successfully navigate to 2030 and beyond, you’ll need to understand the key trends shaping the future for your organization and industry. This Tomorrow Map identifies important demographic and societal/ cultural trends, how they impact your category,

and some ideas about what you can do now to ensure success tomorrow.More people m eans more opportunity. But growth will

be uneven across states, counties, and regions. Scale

your operation to match the population.

IM PACT

Growing population doesn’t guarantee success in the

marketplace. You’ll have to identify where growth can

be leveraged and focus accordingly.

IM PLICATIONUSA population expected to grow

from 321 million today to 358 million by 2030. Virginia’s population will grow 15%, reaching 9.6 million

by 2030.Cities and urban areas are growing as sm all towns and rural areas shrink. Future growth will concentrate in “activity centers,” which appeal to

M illennials.

Between now and 2030, the 65+ population will explode and reach 72 million –1 in 5 Am ericans will be over 65. At the same time, the ratio of old-to-young will shift forever, changing

alm ost everything.

Around 2040 the combined minor-ity populations will become the

majority, as America’s melting pot reaches a paradigm shift. Already, minority births exceed majority births. The future is coming in a

rainbow of colors.

Traditional families are the minority. M ore adults (51%) are unmarried. Now 27% live alone. Today 41% of

births are to unmarried wom en. The composition of Am erica’s house-

holds will continue evolving for years to come.

OPPORTUNITY?

Across each customized map, we will identify

opportunities for your industry or organizat ion.

© 2015 SIR Research, Inc. All rights reserved.Tomorrow Map is a registered trademark of SIR Research.

To get a customized Tomorrow Map for your organization, contact [email protected]

OPPORTUNITY?



OPPORTUNITY?

Across each customized map, we will ident ify

opportunit ies for your industry or organization.

OPPORTUNITY?


opportunit ies for your industry or organizat ion.

OPPORTUNITY?



OPPORTUNITY?


opportunit ies for your industry or organization.

Eight out of 10 people now thinks or acts “green.” This sustainability

mindset now brings more scrutiny and pressure on organizations to

embrace sustainable practices.

The Great Recession has brought a new norm al—spending less, saving more,

reducing personal footprints. Con-sum ption patterns will change, bartering will bloom , and the

sharing economy will boom.

The largest dem o in US history, their view of what’s im portant, what’s fair, and who is responsible differ from the

mindsets of prior generations. It is they who will shape culture

going forward.

Social m edia has birthed a new collaborative consum ption ecosystem, embraced by all ages. The collective makes decisions and recomm enda-tions, not the expert or authority.

Power rests in the hands of everyone.

With answers to any question in the device you’re holding, the role for

organizations is changing. In our wide open society, where everything about

anything is a click away, there’s a growing need to know “why”

an organization exists.

Tomorrow Mapsm

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September 2019


TECHSHIFTS

TALENTSHIFTS

TODAY

TOMORROW

The Two Major Forces Conspiring To Disrupt the Future of B2B Marketing

CAPABILITY KEEPS DOUBLING EVERY

1-2 YEARS

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September 2019


Quantum Computing

20+ years of research and billions of dollars to develop

We solved an equation in 3 minutes 20

seconds that would take the fastest

computer on the planet 10,000

YEARS to crack.- Google

Source: The Verge; https://www.theverge.com/2019/9/23/20879485/google-quantum-supremacy-qubits-nasa – September 23, 2019

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September 2019


Google expects the power of quantum computers to expand at

a “double exponential rate,” whereas traditional computers

have long been pegged to Moore’s Law.

MILLENNIALS1983-2001

18-36

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September 2019


16 34

MILLENNIALS Median age:

25

20 30 50 70

IT’S BECOMING THEIR WORLD NOW…

10 40 60 80

35 52

GEN XMedian age:

44

53 71

84,000,00074,000,000 74,000,000

TODAY:

21 65

US Census

BOOMERSMedian age:

62

24 42

MILLENNIALS Median age:

33

20 30 50 70

THEY WILL DOMINATE IN 2025…

10 40 60 80

43 60

GEN XMedian age:

52

61 79

87,000,000

69,000,000 70,000,0002025:

21 65

US Census

BOOMERSMedian age:

70

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September 2019


THE CHANGING WORKPLACE

Gen XMillennials

Boomers

15%

46%30%

Gen Z

9%

Gen X

MillennialsBoomers

32%32%

33%

Silent<2%

Workforce Ages 20-74. Source: Bureau of Labor Statistics , WSJ. http://on.wsj.com/1tv0n1O

TODAY: 2025:

How Will Tech & Talent Shape the Future of B2B Marketing?

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September 2019


B2B Marketing LeadersWill Shift From Managing Employees To Managing

TALENT

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LIVE toWORK

BOOMERS:

WORK TOLIVE

MILLENNIALS:

Perspective On Work

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September 2019


MAKE ALIVING

BOOMERS:

MAKE ADIFFERENCE

MILLENNIALS:

Career Goals

Source: Future Workplace

91%of young people (18-35) expect to stay in a job for

less than three years.

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September 2019


Source: Future Workplace

15-20JOBS ACROSS THEIR

WORKING LIFE

LESS LOYAL

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September 2019


Work no longer TIED TO PLACE

It’s a FREELANCE

world

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September 2019


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September 2019


The GIG Economy by the numbers

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34%

1of3millionUS workers are 1099

of the workforce has a second job

Millennials freelance

Source: https://www.upwork.com/i/freelancing-in-america/2016/

The GIG Economy by the numbers

80M projected by 203050% of the Workforce

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September 2019


Internal - Work On Building and Cultivating a

MODERN WORKPLACE

CULTURE

TO DO

10 KEY TRAITS OF WINNING WORKPLACES

1. PURPOSEFUL

2. STORY-ORIENTED

3. DIVERSE & INCLUSIVE

4. AGE & GENDER-NEUTRAL

5. COLLABORATIVE

6. CREATIVE

7. FLEXIBLE

8. OPEN & TRANSPARENT

9. LEARNING & SUPPORTIVE

10. SAFE & TRUSTWORTHY

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September 2019


External - Embrace a Freelance

TALENT MANAGEMENT MODEL & TOOLS

TO DO

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September 2019


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September 2019


B2B Marketing Will Shift from General Account

Relationships to Technical Support

Relationships

2

CUSTOMER NEED:

Less Social. More Technical.

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September 2019


“Our supplier rep has always been one that wines and dines us - to try to build a closer relationship with us. That’s been the norm forever – dinners, and all sorts of trips and socializing. But that’s the past, I don’t think that’s the future . . .”

—B2B Customer

LESS SOCIAL

“Today, the benefit of maintaining our relationships with reps is more about having a backup - when you have technical or issues questions. We don’t need them so much for selecting products and placing orders.”

— Industrial B2B Customer

TECHNICAL ADVICE & SUPPORT

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September 2019


“We now do most of our product selection without recommendations from the reps who call on us, but I still reach out to them when I need immediate information, like when I’m driving to a meeting and need to know something right away.”

-Engineer Firm B2B Customer

TECHNICAL ADVICE WHEN I NEED IT

Increase Your Investment in Online Info &

Transaction Platforms. Perfect your

HIGH TOUCH 365/24 HOUR TECHNICAL SUPPORT

TO DO

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September 2019


B2B Marketing Will Revolve Around the Power

of AI Buying Assistants.

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Artificial Intelligence (AI)

Chatbots are growing in use, but they are just the beginning of

what’s to come . . .

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September 2019


25MEcho smart speakers sold to date - engages with its AI assistant,

Alexa. This number is expected to more than

double by 2020.

AI assistant platforms will transform B2B marketing as

the value of data and AI’s predictive ability soar.

Prediction

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September 2019


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Future of B2B Marketing:Push Strategy

Getting AI platforms to carry and promote your services or products

Future of B2B Pricing

As the marketplace becomes more efficient, companies will feel pressure to offer the best deal —and accept offers that closely align with the stated

preferences as identified by the AI gatekeepers.

$

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September 2019


Increase Your Investment in Active

CONTENTCreation and Management

TO DO

Lean Into Video & Podcasts Google search rankings are skewing towards videos

IdeaCast - Harvard Business Review

Content Champion - Content Marketing Institute

Voices of Search - Searchmetrics

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September 2019


Evolve Your

OFFERSAway From Commodity Services and Products

TO DO

B2B Marketing WillShift Towards a New Trust-Building Model

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September 2019


THERE’S MUCH TO QUESTION, FEW TO TRUST

TRUST (CONFIDENCE)IN PEOPLE AND INSTITUTIONS

IS AT HISTORIC LOWS

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September 2019


TRUST/CONFIDENCE IN MANY INSTITUTIONS IS LESS THAN 50%

THE MILITARY 74%

SMALL BUSINESS 67%

POLICE 54%

CHURCH/ORG. RELIGION 38%

SUPREME COURT 37%

PRESIDENCY 37%

MEDICAL SYSTEM 36%

BANKS 30%

BIG BUSINESS 25%

NEWSPAPERS 23%

NEWS ON THE INTERNET 16%

CONGRESS 11%

Percent Saying “Great Deal/Quite a Lot” in 2018

Source: Gallup

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September 2019


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Trust in government

Source: Pew

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September 2019


Only 18% of buyers across all industries consider their sales rep to be a TRUSTED ADVISOR

Harvard Business Review, March 2017

THATMEANS

82%DON’T

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September 2019


TRUST HAS SHIFTED

INSTITUTIONAL/EXPERT TRUST

DISTRIBUTED TRUST

INDIVIDUAL

CROWD

Old Trust Model:

NEW Trust Model:

Ratings for both sides of the transaction:

SELLER AND BUYER

Examples are everywhere:

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September 2019


Where trust is headed TOMORROW

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Tala (Kenya): Uses a person’s online network to prove they are trustworthy – a blockchain-like ID system

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Traity: A Spanish insurance company that assesses risk by scoring people’s online reputations.Tala sells service to banks and landlords.

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September 2019


Actively Address All REVIEWS.

Grow All CONNECTIONS.Cultivate and support

Growing Base of ADVOCATES.

TO DO

The Internal Generational Gap (War) Will Intensify As

Millennials and Tech Transform B2B Marketing.

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September 2019


Millennial:“I want our customers to buy on our automated platform. When challenges come up, we should solve them online, too. Do we really have to talk to someone?”

Boomer:“Client contact builds closer customer relationships. You have to pick up the phone and talk to them.”

COLLIDING PERSPECTIVES

Millennial:

“We need to figure out how to deal with the over 50 crowd here. They are holding us back.”

Boomer:

“Everything I know about working in this industry I learned from experience, but for the younger folks, their knowledge tends to be internet-based which can be risky. They need to slow down.”

COLLIDING PERSPECTIVES

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September 2019


Work to Make Your Marketing Department

AGELESS

TO DO

Generational Mindsets:

OUTLOOK

WORK ETHIC

VIEW OF MONEY

VIEW OF LEADERSHIP

MEDIUM

Optimistic

Driven

Spenders

Pay your dues

Work is Life

TV

Self-centered

Skeptical

Free Agent

Debtors

Competence

Work to Live

Computer

Self-reliant

Confident

Goals

Savers

Egalitarian

Integrated

Mobile

Collective SelfORIENTATION

BOOMERS GEN X MILLENNIALS

WORK/LIFE BALANCE

© 2017 SIR’s Institute for TomorrowSM. All rights reserved.

Americans come in all shapes and sizes, races and religions, education levels and income brackets. Each of those attributes has an influence on how people view the world. But the most profound indicators are generational.

Members of the same generation, by definition, have shared many of the same formative experiences that set them apart from other generations. Did they live through times of war, or times of peace? Did they come of age in an era of prosperity and rising expectations, or a period of economic turmoil and broken dreams? Were their families large or small? Were the heads of most households a mom and dad, or did most have some combination?

Did the dominant media in a generation’s childhood consist of network television, Cable TV, or YouTube and Facebook? Did their cultural icons include the Rolling Stones, grunge, hip hop, or Grace Vanderwaal?

While coming-of-age experiences make each generation distinct, so does a generation’s stage in its life cycle. Since the dawn of time, every generation has traveled the same path of youth, young adult, midlife and old age. Each stage is associated with predictable priorities. Youths are concerned about establishing themselves in the world. At midlife, they reach the peak of their earning power and status. Old age brings less interest in material items.

The interaction of generational and lifecycle influences is complex — and the story for a given generation won’t be fully written until the last member leaves. This primer gives you a starting point for better understanding Boomers, Gen Xers, Millennials and the next generation on the horizon, the yet unnamed Generation “Z.”

Protective

Self-taught

Frugal

Pluralistic

TBD

VR?

Self-aware

GENERATION “Z”

Generational Mindsets:

OUTLOOK

WORK ETHIC

VIEW OF MONEY

VIEW OF LEADERSHIP

MEDIUM

Optimistic

Driven

Spenders

Pay your dues

Work is Life

TV

Self-centered

Skeptical

Free Agent

Debtors

Competence

Work to Live

Computer

Self-reliant

Confident

Goals

Savers

Egalitarian

Integrated

Mobile

Collective SelfORIENTATION

BOOMERS GEN X MILLENNIALS

WORK/LIFE BALANCE

© 2017 SIR’s Institute for TomorrowSM. All rights reserved.

Americans come in all shapes and sizes, races and religions, education levels and income brackets. Each of those attributes has an influence on how people view the world. But the most profound indicators are generational.

Members of the same generation, by definition, have shared many of the same formative experiences that set them apart from other generations. Did they live through times of war, or times of peace? Did they come of age in an era of prosperity and rising expectations, or a period of economic turmoil and broken dreams? Were their families large or small? Were the heads of most households a mom and dad, or did most have some combination?

Did the dominant media in a generation’s childhood consist of network television, Cable TV, or YouTube and Facebook? Did their cultural icons include the Rolling Stones, grunge, hip hop, or Grace Vanderwaal?

While coming-of-age experiences make each generation distinct, so does a generation’s stage in its life cycle. Since the dawn of time, every generation has traveled the same path of youth, young adult, midlife and old age. Each stage is associated with predictable priorities. Youths are concerned about establishing themselves in the world. At midlife, they reach the peak of their earning power and status. Old age brings less interest in material items.

The interaction of generational and lifecycle influences is complex — and the story for a given generation won’t be fully written until the last member leaves. This primer gives you a starting point for better understanding Boomers, Gen Xers, Millennials and the next generation on the horizon, the yet unnamed Generation “Z.”

Protective

Self-taught

Frugal

Pluralistic

TBD

VR?

Self-aware

GENERATION “Z”

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September 2019


The Younger Generation Will Ultimately Win

Gen XMillennials

Boomers

15%

46%30%

Gen Z

9%

Gen X

MillennialsBoomers

32%32%

33%

Silent<2%

Workforce Ages 20-74. Source: Bureau of Labor Statistics , WSJ. http://on.wsj.com/1tv0n1O

TODAY: 2025:

John W. MartinJohn.Martin @ sirhq.com

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sirhq - isbm – driving excellence in b2b marketing · react slowly and you won’t see 2030....

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