Due to the coronavirus pandemic, BtoB companies have semi-forced a shift from offline to online customer acquisition. As marketing and sales activities move more and more online, DX in BtoB marketing is attracting attention.
This time, we will introduce the details and steps to tackle DX in BtoB marketing.
What is DX?
DX
is an abbreviation for digital transformation. The “Guidelines for Promoting Digital Transformation (DX)” compiled by the Ministry of Economy, Trade and Industry in 2018 defines it as follows.
In response to rapid changes in the business environment, companies are leveraging data and digital technology to transform their products, services, and business models based on the needs of customers and society, while also changing their operations, organizations, processes, and corporate culture. – Transforming the culture and establishing competitive advantage.
Citation:
https://www.meti.go.jp/press/2018/12/20181212004/20181212004-1.pdf
This refers not only to the digitization of existing operations for the purpose of improving operational efficiency, but also to business transformation and process transformation that utilizes big data and cutting-edge digital technology.
Although many companies recognize the importance of DX, the current situation is that it is not being implemented as expected due to problems with existing systems and resistance on the ground.
In the report “DX Report – Overcoming the IT system ‘2025 cliff’ and full-scale deployment of DX” compiled by the “Study Group for Digital Transformation” established by the ministry, the existing systems that hinder DX If we are unable to resolve the issue and carry out a review of our operations,
After 2025, there is a possibility that economic losses of up to 12 trillion yen/year (approximately three times the current amount) will occur (2025 cliff)
Citation:
https://www.meti.go.jp/shingikai/mono_info_service/digital_transformation/pdf/20180907_02.pdf
DX has now become an urgent issue that Japanese companies must address.
Impact on BtoB marketing during the coronavirus pandemic
BtoB
marketing has also been greatly affected by the coronavirus pandemic. Due to the deterioration in corporate performance, the number of new leads and business negotiations has decreased, and the customer consideration process has moved online.
With the spread of remote work, face-to-face marketing measures such as exhibitions and seminars, as well as traditional sales methods such as walk-in sales and cold calls, have become impossible, limiting channels for acquiring new leads.
Additionally, face-to-face sales activities were not possible during business negotiations after acquiring leads, resulting in a decrease in the number of business negotiations and a decline in the conversion rate. As a result, traditional marketing and sales methods have become a bottleneck in the entire customer acquisition process.
However, as the customer review process has moved online, marketing strategies have shifted to alternative lead acquisition methods such as white papers and requests for materials, web exhibitions and online seminars, content marketing through SEO, and lead acquisition through advertising.
In sales activities, we are now able to conduct online business negotiations using online conferencing tools, and with the introduction of MA tools and SFA, we can now manage and approach customers online.
Advancement of online and digitalization, and realization of DX beyond that
Many companies are progressing in the digitalization of marketing and sales, creating an environment that makes it easier to promote DX. Furthermore, we will introduce methods to realize DX below.
① Realization of marketing DX
<br/> There are two ways to achieve marketing DX: business transformation through digitalization and process transformation. Digitalization provides new added value, restructures processes, and creates new business.
In addition to introducing the IT tools mentioned above, it is also possible to utilize cutting-edge digital technologies such as IoT, AI, and big data, and analyze data collected from digital tools to make speedy improvements and increase efficiency. can.
② Steps to promote marketing DX
The necessary steps to promote marketing DX are data aggregation and process data integration.
a. Data aggregation
We aggregate and unify the data collected through marketing activities and maintain advanced data.
First, we aggregate and centrally manage data on business partners and leads, transaction results, visit history, web access, and inquiries/complaints that can be collected through marketing activities.
According to the “Survey Report 2019 on Customer Information Management and Utilization in BtoB Companies” conducted by Database Marketing Landscape, there is data that 44.3% of BtoB company representatives answered that there are problems in managing customer and prospective customer information. .
Some companies may have multiple pieces of customer information with different company names, and they may need to start by integrating them into one company data (name matching).
Next to data aggregation and centralization, we prepare advanced data such as attribute data of client companies and personnel, service usage data, organizational data, attribute data of lead companies and personnel, behavioral analysis data, and in-house. We will change the form to suit our marketing activities.
b. Process data integration
<br/> Bring all your marketing and sales processes online and capture data automatically.
Execute marketing measures and sales based on data acquired and integrated from all processes, including digital touchpoints such as websites and emails, touchpoints such as telephone calls and emails, and sales touchpoints such as business negotiations. changes the process of executing a deal.
If all customer-oriented processes can be brought online and data acquired, it will be possible to build a demand center and implement ABM.
For more information on ABM, please see this column.
BtoB marketing DX
Through data aggregation and process data integration, you can implement new marketing initiatives and conduct marketing to build stronger relationships with your customers.
However, data aggregation and process integration cannot be achieved overnight. We are steadily working to create a state in which we can work toward DX, such as by introducing digital tools to collect data from each process while consolidating data that is scattered across various locations. It’s important.
summary
- DX means not only the digitalization of existing operations, but also business and process transformation using big data and cutting-edge digital technology.
- During the coronavirus pandemic, BtoB marketing has been greatly affected, with the number of new leads and business negotiations decreasing due to deterioration in corporate performance, and the customer consideration process moving online.
- The steps to promote marketing DX include a. Data aggregation and maintenance, and b. Data integration in all marketing and sales processes.
- Data aggregation and integration cannot be achieved overnight, but it is important to work steadily with the aim of creating a state in which DX efforts can be made.