Gauging the success of search engine marketing is a little more complicated for B-to-B marketers than their B-to-C counterparts, to say the least.
Chief Marketer recently talked with three search experts—Craig Macdonald, CMO of Convario; Michael Kahn, senior vice president of client services at Performics; and Aaron Goldman, CMO of Kenshoo—for ideas on how B-to-B marketers can improve their search strategy.
Tracking Search through the Sales Cycle
"In B-to-C, it's non ambiguous," says Macdonald. "You just look at what you sold, versus what you spent."
Consumers looking for a new computer might do eight or so searches before buying. They log on, and search things like "laptop" or "cheap laptop." Then, when they've found the make and model they want, they search it by name, find the best price and go to a site and buy.
B-to-C companies struggle how to attribute the value of all those research searches. But for B-to-B, the problem is multiplied because the sale is usually made online. "They struggle with how to articulate the effectiveness of their spending," says Macdonald.
"They're driving leads for a conversion that will happen online, and it's more difficult to see the impact of the search investment offline," agrees Kahn
Take a company like IBM, says Macdonald. "Their selling cycle for hundred million dollar data centers is very long. Figuring out how [to attribute] which sales to search is a complex problem."
In B-to-C, for example, if someone bought a pair of shoes and later went back to the same site to buy a shirt, ideally the SEM software would see this was the same person, says Goldman. It would credit the keyword that sparked the "shoe" sale to the shirt as well, since it kicked off the relationship.
"But in B-to-B, you're dealing with a much more narrow target and a longer sales cycle," he notes. A prospect might have been introduced to the company via search and then connected with a salesperson. Months after the initial contact via search, there are numerous meetings with possibly multiple people in the organization. The tracking falls off and months later, no one has any idea what the initial keyword was that kicked off the sale."
Insourcing Vs. Outsourcing
Companies that outsource their search efforts must make sure they have a system in place to track the performance of their agency — and make sure their search budget is being spent appropriately, notes Macdonald. And considering that the budget dollars allotted to search can number the tens of millions for large enterprises, making sure your agency is clearing the ROI hurdles is essential.
If you're automating your search strategy inhouse, you need to make sure you select the right campaign management and Web analytics systems. "Many companies underinvest in their back-end technology and tracking capabilities, and that means they're flying blind, at best," adds Macdonald. "They need to invest in the staff and time to get their system up and running properly."
B-to-B Search Automation: Quick Tips for Getting Started
Kahn, Macdonald and Goldman offered a few tips for companies getting ready to automate their search engine marketing process.
1. Choose the right tool for the job.
There's a plethora of search tools out there. Make sure the one you choose is right for your business, says Kahn. The search automation strategy that works for a B-to-B marketer of pricey security systems isn't the same as what would be perfect for a clothing retailer. Find what fits your business. Key fundamental questions to ask are:
- If I’m an enterprise-level advertiser, do the tools I’m considering have the scale to support a large-scale campaign and spend?
- Is the toolset better for a direct response advertiser or a CPG firm?
- Is it better for generating sales and leads or traffic?
- What kind of reporting does it offer up to make changes on the fly?
- Is it better for a national brand, or how can it support local distribution?”
2. Get the right metrics in place.
In search, as with any measurable marketing, having consistent metrics to gauge your success is essential, says Macdonald. Put metrics in place that are definable, and create a governance model to gauge your progress. And if you don't know what methodologies work best, go back to the tried and true golden rule of direct marketing—test. What those metrics are will vary depending on your business, sales cycle and vertical market.
3. Take your time.
A lot of people cut the integration process short just because they want to get their new automation system up and running by the holidays or in time for a big promotion. That, says Goldman, means they do things like not wait to have the site tagged properly or the marketing plan in place. Slow down, he advises. Getting it right the first time saves a lot of headaches in the end. How long will the process take? Your own personal mileage will vary, of course, depending on how long it takes you to choose a solution and vendor, and then implementation and training. Industry experts estimate anywhere from 3-6 weeks for each stage of the process.
4. People, you need people.
Technology can be a great enabler, says Goldman, but it can't do everything for you. "Even the best tools need smart people looking strategically at the business to make them work." Make sure you have a staff not only well versed in the ins and outs of the technology solutions you choose but also in how they integrate into your overall marketing strategy and your ROI goals.
