In an environment where the B2B buying process is lengthy and fragmented across target and hidden buyers, being front of mind and on the ‘day one’ list is critical. Differentiated, insightful and resonant thought leadership is the ultimate platform to build brand presence and credibility with your audiences.
The branding deficit
Recent research shows that B2B marketers currently spend around 69% on short-term performance marketing [1] and only 31% on long-term brand building. [2]
This is considerably out of whack with the recommended activity splits drawn from Binet and Field’s seminal research, produced in partnership with the LinkedIn B2B Institute.
The chart below recommends a typical B2B split across all sectors.
- 54% spend on short-term ‘activation’ marketing
- 46% on strategic longer-term branding comms.
That figure for brand building is around 50% more than the current applied norms. What’s more, the recommended spend on brand building comms increases to 80% for the financial services sector!
The variances of figures across the sectors can be attributed to solving for product/solution differentiation. Corporate banks or asset managers can (broadly) provide the same products in terms of function, thus increasing the importance of differentiating on brand.
And, unlike the fluid world of B2C, it is generally accepted that only about 5% of a B2B audience are in market at any given moment.[3] Thus, selling is more of a marathon than a sprint; staying in the race long enough to capture the remaining 95% when they move into buyer mode.
And that’s when thought leadership becomes a major brand play.
Are they in buyer mode?
B2B buyer cycles are long and complex and B2B buyers are continually educating themselves about the opportunities and threats to their business.
The importance of your thought leadership being seen by your buyers before they enter buyer mode is illustrated by the fact that buyers are already between 57-70% of the way through the decision-making process before they contact a vendor [4] and 95% of new contracts are won by a vendor on the buyer’s ‘day-one’ list of potential suppliers.[5]
Brands that show up during the research phase with genuine expertise and new thinking get a head start on the competition. And great thought leadership can even generate demand by identifying new needs and thus establishing the criteria that potential vendors will be judged on.
According to Edelman and Linkedin [6]
According to WBR [7]
B2B brands are built on thought leadership
There are three reasons why thought leadership is vital for brand building in B2B:
- Buyers trust content that teaches over content that sells.
- Equally, in commoditised markets like financial services and law, where we specialise, how you think is a bigger differentiator than what you sell.
- Point of view-driven content (not just educational content) signals confidence and attracts buyers who share your worldview
These three attributes – trust, differentiation, and a shared worldview – are what makes a successful brand. If you were planning an ad campaign, these are what you want your ads to achieve.
But where an ad might grab a second or two of attention (and I’m not dismissing ads, brand advertising is a critical but often overlooked part of the brand-building mix), thought leading content grabs minutes. It gives you proper engagement. It allows you the time and space to demonstrate the breadth and depth of your thinking. It makes your brand real.
If you need further persuasion that successful B2B brands are build on thought leadership, look at some of the biggest sector leaders – Hubspot, Salesforce, McKinsey, EY – are all prolific thought leadership engines.
More reasons to up your thought leadership game
Good thought leadership is uniquely full-funnel. Our mantra at Editions is cut-through, build trust, drive action and that’s what good thought leadership does.
At the top of the funnel it should grab attention with a unique point of view, uniquely delivered. Your audience should know your point of view at the same time as they learn your name.
Mid-funnel your using your thought leadership to build trust. This can take time, but with only 5% of your audience in market, you have time. Here’s where an always on strategy keeps you top of mind.
At the bottom of the funnel, your converting trust into contact by giving your frontline the tools to use your thought leadership to drive conversations.
Often overlooked, but existing customers consume thought leadership too. It reinforces that they made the right choice, keeps them engaged with your brand beyond the product or service, and turns them into advocates who share your content with their networks. This feeds new people back into the top of funnel.
Good thought leadership compounds.
It brings audiences back. It encourages bookmarking and subscription. What other form of marketing gives an open invitation to share your expertise?
Good thought leadership gets you rankings.
Nowadays, to be discovered organically, you need to optimise for SEO, GEO and AEO. One thing that they all have in common is a need for credible, consistent, respected thought leadership to call on. EEAT is still the aim – content that demonstrates: Experience, Expertise, Authority and Trustworthiness.
In today’s self-serve information age, having thought leadership that cuts through, builds trust and drives action has never been more imperitive.
Kevin Hearn
Director of Strategy