Propelling a company forward is lonely, and TechCEOs/ founders have to make difficult decisions every day with limited time, resources and imperfect information. In our experience, we see hundreds of TechCEOs struggle with demand generation. They invest monies into marketing and struggle to get any ROI.
When I ask TechCEOs, “Is your marketing working?”, this is what they say.
“I don’t have time for marketing. I only believe in sales.”
“Tried it. Spent 100K on a team. They left after 8 months to a bigger firm leaving us high and dry.”
“I am spending a lot of money in both inbound and outbound but struggling to get meaningful ROI. I don’t know if it really works.”
“My Software OEM is pushing us to market and do demand generation. We try to ride on their marketing and sales engine.”
Does this resonate with you?
Most of the TechCEOs with an annual run rate of $2M-10M end up paying anywhere from $2500 to $15,000 per month in marketing (events, sponsorships and team salaries). After investing $15,000/month it is sad to see marketing initiatives bomb or the team leaves the company and jumps ship. Even worse, there has been no tangible ROI that they have gotten for that spend.
So the TechCEOs hire direct sales people and believe less in marketing. Not that they don’t want to but they don’t see value in it, don’t know how to make it work or have not tasted success before.
Well here is a little secret.
If you don’t understand marketing and do not have a clear plan to create awareness, drive demand and generate leads – you are stumped from day one!
The golden goose of growing your business is ‘getting the right leads and driving demand‘.
This is usually work of a well oiled marketing engine. Also here is is some good news. If you have a solid marketing plan, deploy a marketing system that is well structured and inject automation into play – you can be less reliant on marketing talent and be more in control of demand generation.
Meanwhile marketing landscape in selling Technology and IT services is always changing. If you haven’t brushed up on it recently, you may be in for a lot of surprises. If you’re looking to start taking your marketing seriously, here are 5 surprising marketing statistics and what they mean for your business.
- Over 80% of prospective clients research tech firms online prior to engagement.
- Over 45% of tech buyers source buyers using social media, third party analysts and OEM partner channel.
- Mid sized tech firms get stuck in demand generation after some time as they run out of leads!
- 67% of tech firms don’t position themselves as though leaders in their own industry and get price shopped!
- According to a recent Gartner study, 47% of TechCEOs reported that hiring/investment in marketing staff was one of the top decisions that resulted in developing new business.