The good news is that in many organizations this change is already underway. Spurred by the declining effectiveness of cookie-based retargeting efforts early in the pandemic, b-to-b organizations have spent the last 18+ months looking for new ways to reach target audiences.
One area that marketers will rely heavily on in 2022 is “walled gardens,” such as LinkedIn and Facebook, platforms that can leverage their vast amounts of first-party data for effective ad targeting. . Until alternatives to third-party cookies are solidified, B2B technology marketers will use these platforms to reach garden visitors with the right messages, often in great detail, and at the right time in the buying journey.
Marketing Leaders Will Double Net Revenue Retention
Winning new customers is hard work. For most companies in most industries, the hardest sale to make to a company is the first one. For companies selling multiple products or services, leveraging relationships developed during the first sales cycle can shorten future cycles and increase success rates.
When businesses lose existing customers, they also lose the faster and more likely to close cross-sell and up-sell opportunities within them. The path to profitable growth is facilitated by retaining these hard-earned new customers and the cross-selling and up-selling opportunities they represent.
The most common measure of a company’s performance with existing customers is Net Revenue Retention (NRR), which tells us how much revenue is generated from existing customers. The NRR is a measure of a company’s health that investors and markets obsess over. In fact, a survey of private equity firms and strategic buyers found that NRR is the most important metric for the overwhelming majority of investors when evaluating a company.
In 2022, marketers will leverage improved product interaction and usage data to increase their NRR. By understanding what their current customers want and where the opportunities lie, marketers will have the information they need to become more creative and effective in their customer marketing efforts. Ensuring that existing customers are satisfied, engaged and informed of all relevant offers ensures that they continue to buy and increase that ever-increasing NRR rate.
Product-Driven Growth Strategies Will Hit Business Segments
Another three-letter acronym, for product-driven growth, was everywhere in 2021 and will become even more important in 2022. PLG is the philosophy that taking the product as far into the sales cycle as possible will allow the product to sell. . Historically, this has been accomplished with freemium or free-trial models, but these options don’t work for all b-to-b technology solutions, and they’re especially difficult in large enterprise transactions.
In 2022, even companies that aren’t purely PLG will start using PLG strategies that focus on individual user acquisition. For organizations that offer solutions that can be used by individuals, acquiring individual users inside accounts adds another strong signal of need and interest to the arsenal of signals available to marketers. .
By tapping into this array of signals, marketers will strengthen their ability to identify and prioritize business leads, deliver a better customer experience, and drive revenue.
If the past two years have taught us anything, it’s that the future is unpredictable. But one thing is clear: marketers will need to continue to anticipate and adapt to change in order to keep their businesses competitive.
Forward-thinking marketers must be prepared to grow in all three of these areas (cookie-proof digital marketing, focus on retaining bottom line revenue, and adopting product-driven growth strategies in the enterprise segment) to stay ahead of the competition.
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