Key findings from the Forrester report, entitled "Driving SMB Revenue in a Tough Economy."

1. Driving Revenue In A Volatile
Economy (DRIVE)
Atri Chatterjee
www.act-on.com | @ActOnSoftware

2. Agenda
• About this study
• Key Findings
• Recommendations
www.act-on.com | @ActOnSoftware

3. Basics of the Study
WHAT 1,000 to
2,499
• Study of small and mid-sized businesses
employees
22%
50 to 249
conducted by Forrester for Act-On employees
48%
• Survey completed in August and September 2012
500 to 999
employees
WHO 14%
• 208 companies in North America 250 to 499
employees
• B-to-B and B-to-B-to-C 16%
Executive
WHY 1% Head of
arketing
17%
• Understand the effects of the economic Manager
of
slowdown on SMB marketing Marketing
45%
• Understand how SMBs are marketing and
compare them to larger companies Senior
• Determine any differences between Top Individual
manager
in
Performers & the rest contributor Marketing
37%
0%
www.act-on.com | @ActOnSoftware

4. Industries & Performers
Computers, aeros
pace, automotive,
Transportation, etc.
banking, insurance, • Participation from various types of
etc. Other
30%
industries from manufacturing to
Manufacturing
40% service
• Respondents across all major
Business
verticals
Consulting, accounting, Services
construction, 30%
professional services, etc. Performance to Plan
• Respondents reported how they performed Below or Above
against revenue plans over the last 12 months at Plan, Plan,
44% 56%
• Very Bottom Performers = 20%
• Very Top Performers = 35%
www.act-on.com | @ActOnSoftware

5. Agenda
• About this study
• Key findings
• Recommendations
www.act-on.com | @ActOnSoftware

6. The Tough Economy Has Impacted All SMBs,
1
but Some Have Done Better
Everyone has been impacted
• Establishment deaths > births by 37%
• 70% of respondents have cancelled or delayed any business
expansion
• 71% of respondents have either reduced or kept marketing
expenses stagnant since the recession began
Top Performers have been opportunistic while Bottom
Performers have struggled
Category Top Performers Bottom Performers
Cut expenses during recession 33% 56%
Increased investment (mktg) 27% 15%
Invested over 5% of revenue in mktg 40% 25%
www.act-on.com | @ActOnSoftware

7. SMBs are Spread Thin and More Focused
2
on Traditional versus Digital Marketing
SMBs are spread too thin
• Over 50% are using 13 or more marketing techniques (traditional
and digital)
SMBs still gravitate to traditional techniques
• Top 5 tactics are traditional and hard to scale (Ex:
networking, tradeshows, in-person events, print ads)
SMBs lag behind enterprises in use of digital marketing
• SMB use of webinars is 53%; in enterprises it is 93%
• SMB use of marketing automation is 19%; in enterprises it is 45%
SMBs don’t understand social marketing
• Although 69% are marketing on social networks, more than 1 in 3 do
not know how to measure if it is working
www.act-on.com | @ActOnSoftware

8. Top Performers are Using Better Techniques
3 and Technologies
Top Performers have made technology a key piece of their
marketing and sales strategy
Strategic use of technology Top Performers Bottom Performers
CRM 61% 46%
Marketing automation 28% 5%
Top Performers are using sophisticated techniques to measure
and improve results
Technique Top Performers Bottom Performers
Measuring lead quality & sales acceptance 32% 17%
Optimally nurturing leads (1-3 months) 56% 32%
Over 71% of marketing automation users are Top Performers
www.act-on.com | @ActOnSoftware

9. Agenda
• About this study
• Key Findings
• Recommendations
www.act-on.com | @ActOnSoftware

10. 7 Habits of Top Performers
1. Emphasize online versus offline strategies
• Top Performers see online marketing as a game changer
• Almost 3 out of 4 marketing automation users are Top Performers
2. Focus on new business leads and
customer lifetime value over
reducing costs
• Top Performers are spending more
to get new customers while Bottom
Performers are trying to eke out more
from existing customers and their budgets
3. Use digital to its fullest
• Go multi-channel
• Combine email, webinars, content and social
www.act-on.com | @ActOnSoftware

11. 7 Habits of Top Performers
4. Use advanced techniques like
lead nurturing
• More than 50% of Top Performers
nurture leads for between 1 and 3
months
5. Measure the things that count
• Top Performers analyze everything
while 44% of Bottom Performers are
not measuring anything!
6. Increase collaboration between
sales and marketing
• Plan objectives together and measure
results together
www.act-on.com | @ActOnSoftware

12. 7 Habits of Top Performers
7. Maintain marketing budgets even
during a tough economy
• Almost 2 out of 3 Top Performers maintained
or increased marketing budgets during the
great recession
“Be fearful when others are greedy.
Be greedy when others are fearful.”
–Warren Buffet
www.act-on.com | @ActOnSoftware

13. For More Information….
For more information on the Forrester Study
and the eBook on 7 Marketing Habits of Highly Effective SMBs,
go to:
www.act-on.com/DRIVE
www.act-on.com | @ActOnSoftware