Author Archives: Scott Hornstein

An Edge in ABM for both Marketing and Salestest

When we are focused on one company, on one set of executives, I’ll take every advantage I can get. This time, the edge is coming from a different discipline.

I’d like to suggest a new way of understanding and customizing communications, which has the potential to make every interaction, from content to a sales call, more specific and effective. This insight can bring us measurably closer to the way customers and prospects listen, process information, and learn.

My colleague, Dave Kaiser, principal of H2H Dynamics, is a former Chief Learning Officer, former Naval Aviator, and has been in the human performance field for over 25 years. He also led a three-year research study for the US Air Force to improve human performance even further.

This has led him to some unique insights.

How people experience the world, process information, and learn.

Marketing seeks to educate and influence. Sales’ is to build trust and rapport. I think we can all do a better job. Here’s how:

The insight that Dave will share is basically that the ways people learn differ significantly, and by easily identifiable groups, Thus, if communications are aligned with executives’ learning preferences, each will gain a extra level of effectiveness.

The corollary is, of course, that current marketing and sales efforts may be underachieving by making it more difficult for some executives to listen and learn.

What is really powerful is that these are skills we can learn to be able to decode human behavior “on the fly” just by observing their language behaviors “second by second”. This will allow us the ability to accurately identify those segments.

Dave, please provide the background.

A famous researcher named Dr. Taibi Kahler, a Behavioral Psychologist, discovered that there are six distinct and unique human “Perceptions” that filter how each of us view and interpret the world around us. What he discovered was so profound and validated that he was the recipient of the Eric Berne Memorial Scientific Award for the most scientific discovery in his field of psychology.

NASA’s lead psychiatrist for manned space flight used Dr. Kahler’s communication process in the selection and training of the space shuttle astronauts. Since then it has been used very effectively by a past U.S. President, Fortune 500 CEOs, and even by Pixar Studios for both their leadership and their development of their animated character personas that both children and adults easily connect with.

Dr. Kahler discovered that everyone views and processes the world around them in at least six different ways – each called a Perceptions;
1. Thoughts
2. Emotions
3. Opinions
4. Inactions (reflections)
5. Actions
6. Reactions (likes and dislikes)

“Each of us has a primary Perception or preference as to
how speak, listen and learn.
A person is either born with this base Perception or
developed it very early life (before six months of age),
and it remains with them their entire life.”

Here’s where I see the potential for ABM:

Early in our go-to-market process, we create new Prospect Personas to better understand significant segments of our target market. Going forward, let’s add two things. During the “voice of customer” research interview, let’s also listen for how people express themselves – the words they use.

In analysis, we discover that a particular customer is consistently using phrases such as, “I think…”, “What options…”, “Does that mean…”, Who…”, “What…”, “When…”, “Where…”, “…facts”, “…information”, “data”, “time frames”, etc.?

This indicates that this person’s primary Perception is that of Thoughts. They value facts and the way they process and learn is by identifying and categorizing people and things. They prize data and information. Logic is their way to get through life.

With this information you can craft your messaging and interaction so that that it “connects’ through their Perception of Thoughts. To make a significant communication connection, give this persona the information that they crave such as;
• Logic
• Facts
• Data

These individuals love to take in facts and ideas and synthesize them. Give them a chance to digest the information. They also value time. Give them the space they need, and do not take more of their time than necessary.

Many high achievers may have the Perception of Thoughts.

Not everyone has the Perception of Thoughts – it represents only 25% of the North American population. However, they are internally motivated and therefore are typically high achievers. Being internally motivated typically means they are likely to rise to the rank of a decision maker.

A cautionary note.

The corollary of this process is that we each tend to communicate in our own, favored Perception, which can mean that we are consistently mis-communicating with a majority of our audience, generating content which, to an extent, does not speak their language, and from which they cannot easily learn.

Breakthrough?

This is new and heady stuff, but it can easily be incorporated. Just as those with the Perception of Thoughts are likely to become decision makers, we may learn exactly which type of content, information, and messaging they need and when in the consideration journey. Influencers are likely to have other Perceptions and require different content, information, and messaging at other points in the journey.

What B2B Marketers Need to Reach Millennialstest

When asked what will impact marketing the most in 2018, “73% of marketers think it’s artificial intelligence or a technology dependent on AI.” That’s the conclusion of a recent survey of 350 marketers, CEOs and influencers published by Mobile Marketer.

Put some PI in your AI

While I certainly agree that AI holds superior promise if you are marketing a B2C commodity, I think marketers need both AI and PI (prospect intelligence) when it comes to B2B marketing of high-consideration products and services. Here, the advantage lies with real insight into and empathy with the people who inhabit our classifications of prospect and customer.

Especially if they are Millennials, which may seem counter-intuitive. Given their immersion in technology, a technological solution seems like a no-brainer. I think that to be truly effective, we’ve got to start with the person.

Let me provide some context.

Reference the Cohort

The Pew Research Center offers a cohort perspective. At a high level, they counsel that studying the needs and preferences of a cohort, or generation of individuals, seeing how they change over time, and comparing them to other cohorts, provides a deeper understanding of the individuals within the cohort.

The implication for us is that by including cohort, or generation, into our persona and marketing process, we are better able to empathize with, and communicate with our prospect.

“An individual’s age is one of the most common predictors of differences in attitudes and behaviors.” And, I would add, a key to how they learn, what sources they trust, and how they communicate with colleagues and other members of the buying center.

Pew includes 5 cohorts, but for B2B marketing let’s narrow this down to 3 as these are the most likely to be participants in the buying center. In 2018:

• Boomers are 54 – 72
• Gen Xers are 38 – 53
• Millennials are 22 – 37

Some of Pew’s insights are edifying to us as marketers regarding our formation of messages and the channels we may select. We will focus on the millennials here.

Millennials Are On The Cusp

Millennials are the up-and-comers, and because of their technological orientation are likely to be strong influencers now. Also because of their immersion in technology, they are hard to reach, crouching under cover of the digital, protecting their anonymity. They carefully decide whom they listen to. Interpersonal communication and social skills do not come easily.

Millennials see technology, tweeting, social media, etc., as part of every day life and the mobile device is their primary way of connecting. The implications of growing up in an “always on” technological environment are only now coming into focus. Research is showing dramatic shifts from previous cohorts, attitudes and lifestyles, both positive and concerning.

Many came of age, and entered the workforce, at the height of the economic recession, which continues to shape their worldview. Their life experience (added by me) includes companies turning away from the “paternal organization”and the rise of executive greed.

Other influential events in the lives of Millennials:

• Talk shows / reality TV
• Oklahoma City bombing
• Busy planned lives
• School shootings
• Desert Storm
• Google

According to the U.S. Census Bureau:

• Millennials are on the cusp of surpassing Boomers as the nation’s largest living adult generation.

• Women comprise a much greater share of the career-minded Millennial workforce.

The Bottom Line is Maximizing the Impact of Your Marketing

Said differently, will a marketing campaign based on AI, A/B testing or the like outperform the baseline? Absolutely.

But to get there, we have to throw out some messaging, over some channels that turns out to be ineffective. Will understanding the people first generate better results? Absolutely. Relying on someone else’s research is a start, but conducting your own prospect persona research is much more effective.

As my good friend Stuart Taylor, SVP of Nielsen, has said (and as I repeatedly come back to), “B2B is a personal sell. Always has been.”

The Big Picture – Use Care With That Databasetest

A data-dollar spent in assiduous customer retention can be well worth it.  If you want to identify one of the most powerful tools for assuring long-term customer satisfaction, you’ll find it in your database. It’s capable of driving the most efficient and effective investment of marketing resources. Unfortunately, the database often is used for short-term objectives. It is detached from any strategic initiative measured by customer satisfaction, retention, and lifetime value. If you don’t believe me, here are two solid illustrations of how trust and respect for the customer are manifested in a database. Or not.

Customers Come Firsttest

In his second “Smart Marketing” column for the respected print and online publication, Sales & Marketing Management, marketing consultant, lecturer and author Scott Hornstein cautions that successful marketing is based on customers’ wants and needs, as articulated by the customer.

B2B Prospecting is Not What You Think. It’s Personaltest

During a research interview on behalf of a highly innovative tech manufacturer, I asked a customer, what is this company’s greatest strength. The answer – my sales rep.

B2B is personal.

It’s a tenet of my marketing belief system, and a strong competitive differentiator. The better we understand our prospects and customers as people, the better we can communicate with them about their goals and challenges.

Are we making marketing more personal, or making more marketing?

Here’s Scott Brinker’s ChiefMartec 2015 infographic of the industry’s 1,876 marketing technology vendors. Staggering, and slightly more dumbfounding when you consider that this is roughly double the number of vendors depicted in the 2014 version. Let’s put that together with Gartner’s predictions that the CMO will spend more on IT than the CIO by 2017.

Quantity vs. quality

Think about this: according to Microsoft, our average attention span has shrunk to 8 seconds. Goldfish come in at 9 seconds.

Yet, per a 2015 study by CMI and Marketing Profs, 70% of B2B marketers are creating more content than they were 1 year ago (B2B Content Marketing Benchmarks, Budgets & Trends – North America). While I can’t find statistics to support this, I don’t think there has been a corresponding rise in the number of B2B decision makers.

Perhaps the emperor is buck naked and farting into the wind.

It feels like with all our technology, we’re slip-sliding away, churning out more stuff that is wide of the mark and populating the trashcan in the cloud. There’s a distinct possibility that producing more content doesn’t make marketing and sales more successful, that instead of relishing the pasta that sticks, prospects are turned off by all they see on the floor.

Listen before you speak

There is an answer. We could actually talk to our customers and prospects, and believe what they say. The creation of Prospect Personas goes beyond the obvious and generates real insights into who these executives are, how they learn, and how they make decisions. If this stuff doesn’t go into the marketing automation at the front end, it’s certainly not going to come out of the other.

Here are three cases that illustrate my point, that these research-based Key Prospect Insights made the marketing more personal and made all the difference:

  • Looking to move from their traditional SMB market to the enterprise, Prospect Personas taught Asigra that about 1/3 of the targeted CIOs, each crucial to the decision making process, were open to their benefits but were completely turned off by their current positioning. Refocusing and rebranding opened CIOs’ ears.
  • Maxwell Technologies learned that just because their new ultra-capacitors are more powerful, smaller and cleaner than traditional batteries, no one is waiting with open arms. The road to acceptance is, shall we say, circuitous. They learned how to talk, who to talk to and the specific circumstances for “crossing the chasm” into sales, implementation, and ultimately test cases.
  • Baxter, a long-standing medical device manufacturer in the uncomfortable position having to catch up to competitors uncovered a contributor to the buying center that they had not previously identified.

It’s not going to come from automation.

According to Sirius Decisions, understanding buyers is the main ingredient to high-performance marketing, but 60% of B2B organizations admit they don’t really understand or know their buyers.

In a recent survey conducted by ITSMA, B2B marketers worldwide expect that understanding buyers will be their #1 responsibility in two years (85%).

Two years should give you plenty of time to eat their lunch.