On the 28th of October last year I had put up a post on this topic. If you are interested, you can have a look at it here .
The reason I felt a need to revisit this topic, came up because, I was analysing the average time it takes to get traction for a new product or service in the B2B market. If you are in the technology market space I would highly recommend you read the book Crossing the Chasm by Geoffrey Moore. It will give you a more detailed context to what I am talking.
However coming back to the B2B market – the key issue that needs to handled is corporate inertia. In most cases the people in these companies are fighting so many battles, that they don’t want to touch anything that’s not broken. Also because there’s so many approvals involved, they don’t want to risk the product / solution Not Working in their environment. Especially in case of technology solutions, most companies prefer to work with “n-1” technology because it’s stable and working. They don’t want one more fire in their hand.
The other thing which plays a role in my opinion, is that the customer wants to see your resilience. They don’t trust anyone approaching them new, for the same points as I listed above and in most cases they are already covered with an existing vendor who is providing decently good service. So until and unless the incumbent screws up some time soon, they won’t look at you.
So does it mean that you can’t get into business for the B2B segment.
You absolutely can, if you can plan for the long term. You ensure that you have enough persistence and finances to last you for a long duration. While I learnt the term marketing stamina from Dean Graziosi, I learnt the application of this idea through Dean Jackson. His thought process is like this – if you know the turnover rate of any market – say 5% – 10% of the people will change to a new vendor every year – and you have a focussed list of 1000 prospects then over the next 5 years at least 250 – 500 prospects.
Now depending on what you sell and what is the Life Time Value of a client, you will need to have the staying power to last through the 5 years with consistently reaching out to these customers. If you don’t plan for this, you will be in for a rude shock and you will do things out of desperation, which is never a good thing.
Till next time then ….build your marketing stamina before getting into a new market.