J501-PTS Electronics-Final Presentation-linkedin

05/01/2023 Developing strategic capabilities – J501 project 1

J501 – Developing Strategic Capabilities

Pragnya Balamurukesan

Armaan Choudhary

Rishikesh Muchhala

Prajakta Patil

Project presentation for ABC* Electronics*Name changed in order to maintain anonymity of client


AgendaIntroduction

Recommendations

Timeline

Appendix

Risks and mitigation strategies

Next Steps


Our understanding

ABC electronics operates in the

electronics repair industry and has

resumed operations in January 2016

ABC needs to re-establish the

relationships with past retailers and partners

to increase their consumer outreach

and sales

What sales and marketing strategy can ABC adopt to exceed a

conversion rate (by sales) of 1.4%

(industry standard)?


A three pronged sales and marketing strategy will help ABC Electronics achieve the desired growth

Exceed a conversion rate of 1.4 % (industry standard)

Convey a strong value proposition by using a content marketing strategy and improving online presence through SEO

ABC Electronics Sales and Marketing Strategy

Build stronger relationships through a sales team to increase responsiveness of leads and get referrals

Assess gaps in the services being provided to current customers to evaluate current performance

Source: https://www.klipfolio.com/resources/kpi-examples/digital-marketing/online-conversions-metric


Convey value proposition through a strong digital media presence

Incorporate a documented content marketing strategy to articulate and refine ABC’s value

proposition

Creating content Delivering content

Content marketing Value proposition

Reduced sales budgetReduced sales cycle Higher conversion rate

Webpages: TestimonialsWebpages: Case studiesSearch Engine Optimization

Content planning and content promotion can help you leverage the incredible power and longevity of content

marketing and SEO

Source: http://searchengineland.com/content-marketing-seo-bigger-picture-219796


Industry research shows using content marketing can increase conversion rate by 6 times

“When content marketing adopters and non-adopters are compared, the adopters have conversion rates that are nearly six times higher than their competitors”-Content Marketing Institute

Source: 2016 B2B Content Marketing Trends—North America: Content Marketing Institute/MarketingProfs

“72% of marketers worldwide said relevant content creation was the most effective SEO tactic ”- MarketingProfs

48%

32%

16%

4%

Percentage of B2B Marketers WhoHave a Content Marketing Strategy

Yes, but it is not documented

Yes, and it is documented

No

Unsure

Extremely Valuable

Very Valuable

Somewhat Valuable

Not Very Valuable

Not At All Valuable

0% 5% 10% 15% 20% 25% 30% 35% 40%

How B2B MarketersPerceive the Value of Internal Content Marketing Meetings

54%Say Meetings are Valuable


SEO increases percentage leads converted to sales in B2B marketing by 10%

Socia

l Med

iaEm

ail

Blogging

SEO

Direct

Mail

Trade S

hows

Telemark

eting

PPC0%

2%

4%

6%

8%

10%

12%

14%

16%

18%

16%

11%

9% 9%

6% 6%5%

4%

13%

11%

7%

15%

7%

10%

8%9%

Time Allocation Above - Average Sales Conversion

ABC electronics - Big Commerce marketing dashboard SEO improvement - Percentage leads converted to sales

Direct Search Search optimized Referrer Subdomain Social $-

$100,000.00

$200,000.00

$300,000.00

$400,000.00

$500,000.00

$600,000.00

$700,000.00

0.00%

2.00%

4.00%

6.00%

8.00%

10.00%

12.00%

Projected

Source: http://www.business2community.com/content-marketing/content-marketing-worth-investment-0820523#WOGtJqcKhLYS04bi.97Source : ABC electronics – Big Commerce marketing dashboard


Employing a sales representative will enhance customer relationships and response rate

• Prospecting• Meeting with prospects and customers• Meeting follow ups• Response to proposals• Create and send quotes/ contracts• Keep a continuous sales pipeline & generate leads• Trend and competitor analysis• Account planning/ upselling opportunities

• Expense Reports• Administrative requests/ in office tasks• Customer service requests by customers• Post-Sales Requests• Sending collateral to prospects• Set up and tear down at trade show events• Understand and research product know how• Schedule meetings and update executives

Increased delegation of selling function so top level management can focus on operation efficiency and

maintain current relationship

Increased personal touch as a part of ABC’s go to market

strategy. Increased brand awareness in the market

“ABC values personal touch in

business and envisions maintaining long term

term relationships with all our partners. ABC plans on

meeting clients to understand their needs and serve them

in the best way possible”

Core

Sel

ling

Func

tions

Non

Cor

e Se

lling

Benefits realized

Source: https://www.fourquadrant.com/go-to-market-strategy-the-cost-of-b2b-direct-selling/

Message conveyed


Customized marketing by a sales representative will increase ABC Electronics’ revenue by $519,630

In person Events

Webminars

Case stdudies

Whitepapers

Videos

Research Reports

eNewsletters

Blogs

0% 10% 20% 30% 40% 50% 60% 70% 80%

75%

66%

65%

63%

62%

61%

60%

59%Key revenue generation sources

• Acquiring new customers• Upselling/Increasing revenue from existing

customers• Different customer segments include:

Big RetailersDealersLocal Repair Shops

$49,500.00

$154,000.00

$77,000.00

54%

31%

15%

Reducing customer

churn

Acquiring new

customersUpselling to

existing customers

Small shops

Brand dealers

Big retailers

Effectiveness Ratings for B2B Tactics

Indiana: Market at a

glance• 3.3 Million TV Homes• About 109 Big Retailers• About 370 Small repair shops• About 278 Brand Dealers

Source: https://www.fourquadrant.com/go-to-market-strategy-the-cost-of-b2b-direct-selling/Source: http://www.ABCelectronicsinc.com/


Source: https://www.b2binternational.com/themes/customer-satisfaction-publications/Source: http://marketeer.kapost.com/customer-experience-marketing-stats/Source: https://blog.optimizely.com/2015/10/07/online-surveys/Source: https://www.marketingsherpa.com/article/case-study/b2b-survey-program-brand-advocates

Administer customer surveys to understand gaps in services and increase customer engagement

Financial BenefitsCustomer Surveys

Know what your customers want before investing in content marketingLearn about what your customers -• are concerned about (fears)• are curious to know• are seeking solutions for (problems)• are dreaming about having (desire)

Benefits• Increased customer loyalty• Increased brand awareness and

engagement• Increased market share• First-hand feedback from customers will

help ABC analyze current state and fill gaps proactively

Just a 5% reduction in the customer defection rate can increase profits by 25% to 85%, depending on the industry

Studies reveal that customer engagements provide a competitive advantage, in some cases doubling sales year over year

Diligently administered surveys can increase conversion rate from 12% to 30%, depending on the industry


Gain insights to determine a brand message that resonates with customers

Source: http://www.mckinsey.com/business-functions/marketing-and-sales/our-insights/how-b2b-companies-talk-past-their-customersSource: http://blogs.gartner.com/jake-sorofman/gartner-surveys-confirm-customer-experience-new-battlefield/

“Customers who are fully engaged represent 23% premium in terms of share of wallet, profitability, revenue, and relationship growth compared with the average customer : sales pass, loyalty stays - potentially - forever.”-Neosperience

“In 2016, 89% of companies expect to compete mostly on the basis of customer experience, versus 36% four years ago”-Gartner

Cares about honest, open dialogue

Acts responsibly across its supply chain

Has a high level of specialist expertise

Fits in well with my value and beleifs

Is a leader in its field

Brand theme

Top global B2B companies' stated affiliation with theme, %

Theme's contribution to perceived brand strength, %

Correlation Ranking

0

00

36

4

15

11

10

16

17

Source: McKinsey Quarterly

“Three questions whose answers may point to opportunities for improvement :• Are you telling the same story as your competitors?• Does your sales force say it is facing headwinds?• Do you deliver your brand in a consistent way?”

12

ABC can implement a strong marketing plan in 11 months

05/01/2023

PlanningExecutionTestingBuilt-in lag time

Month 1 -2

Month 3-4 Month 4-5 Month 5-6 Month 7-8 Month 9-10

Month 11

Articulate strategy

Hire sales representative

Customer survey and requirements

Content marketing

Website enhancement (SEO)

Refine Target Customer group

In-person meetings/events

Critical success factors1. Stakeholder buy-in2. Change management3. Training and

documentation4. Motivated sales and

marketing team

Developing strategic capabilities – J501 project

Milestone

05/01/2023


Risks and mitigations

Source: http://blog.marketing.ai/3-key-risks-of-content-marketing/

Probability

Impa

ct

Inherent risk profile

2. Results of surveys conducted to find out what target customers really need may result in too few facts or erroneous conclusions due to skewed customer demographics

3. Inconsistency in perception of brand within ABC due to content marketing strategy may lead to mis-delivery of message to customers and prospects

1. Loss of revenue due to incapacity to handle a heavy influx of business as a result of marketing

Monitoring effect of marketing to enable improved planning and forecasting, will allow ABC to plan for a large influx of business and build servicing capabilities

Incentivize all customer segments to actively participate in the survey, convey goals, objectives with them and share insights received.

Have a center of content and strategy that can serve both as one source of truth for the different teams, and at the same time connects to the different channels for drafting, approvals and publishing makes it much easier to verify alignment.

1

2

3

05/01/2023 14

An effective content marketing strategy that is executed effectively to convey a strong value proposition can help ABC re-establish their foothold in the repairs industry and exceed conversion rate (by sales) of 1.4% (industry standard)

Assess customer needs by investing in market research strategies

Convey value proposition through state of the art website

Acquire new customers and deepen existing relationships by incentivizing a salesperson to take in-person meetings


Implementing a marketing strategy will improve brand awareness and re-position ABC in the industry

05/01/2023 15

Appendix


Core and adjacency model

Customer engagement

Improving SEO ranking

Social media platforms

Considerations when hiring a sales representative

References


Mapping growth opportunities using Bain’s Core and adjacency model

Core

Repair Television sets

Repair Desktops, Laptops, home appliances

Adjacency

“Too many companies leave money on the table in their core businesses. More than 80% of executives say they are not even close to achieving full potential in their core business.”-Bain & Co.

Define the core

Focus

Expand

Rede

fine

Focus on building their core business to reach full potential

Take advantage of core capabilities to expand into adjacent markets

Renew company

strategy and capabilities

Source: Bain & Co.


Strategies for strengthening the core

Define the core

Focus

Expand

Rede

fine Goals for core

1. Prevent customer churn2. Get more business from existing

customers3. Leverage existing relationships to

increase market outreach4. Reiterate and convey value

proposition

Gaps in core1. Consumer awareness2. Untapped opportunities

amongst existing customers

3. Building trust among new customers

4. Unclear value proposition


Improving SEO rankingsGoogle ranks a content based on 3 metrics1. Click through rate – Ratio of number of times a result was clicked v/s number of times it was displayed2. Dwell time – Time spent on clicked result webpage3. Pogo sticking – Frequency of users quickly clicking search results in succession

Improving number of clicks4. Identify pages with low click rate and prioritize improving them5. Improve titles and descriptions by meeting the technical requirements and making them more enticing for

users to click6. Implement rich snippets wherever possible, such as information about product, price and quality, so that they

are displayed within the search itself

Increase dwell time7. Create compelling content that is unique, credible and trustworthy written in a concise and polished manner8. Optimize speed and utility by improving load time, navigability and reducing ads and pop up’s9. Encourage visitors to explore your site by linking related content

Source: Aleh Barysevich (2016) “7+ Ways to Attract Searchers and Boost Your SEO Rankings”


Hiring a sales representative will require careful consideration from the perspective of ABC

Focus on pursuing “Qualified opportunities”

Focus on understanding different customer segment’s needs

Focus on having an accurate sales pipeline

Have a well defined sales process documented in a “sale playbook”

Focus on getting access to decision makers

Perform rigorous competitor analysis and document what works for them

ABC Sales rep best practices

Base salary - $33,000

Compensation – 15% of ($519,630) uncapped - $77,944

Benefits – Including insurance and vacation days

Total cost of hiring a sales rep per working day – (33000+77944)/200 = $555/ day

Gas, cell phone and lunch expenses incurred from client meetings (Average - $21,025)

Other benefits same as equivalent full time employees

ABC Sales Rep sample compensation

Source: B2B business best practices

Prospecting

Qualifying

Meetings

Meeting Preparation

Meeting Follow-up

Responding to RFP’s

Developing proposals

Getting the contract signed and submitted

Responding to e-mails and voicemails

ABC Sales rep key tasks

Content creation and marketing strategies are much effective if they are aligned with more in-person events and direct selling to get the message across to a broader scope of audiences

Example based on $380k total compensation

https://www.meltwater.com/blog/20-brilliant-b2b-marketing-and-digital-business-stats-and-facts/


Analyzing results of surveysUnderstanding your company’s position in the market based on

the aggregated survey scores

Understanding your customer’s likelihood to churn based on their survey results

Select survey channel based on revenue generated by the customer

Source : https://www.b2binternational.com/publications/customer-satisfaction-survey/Source : https://www.b2binternational.com/publications/online-versus-telephone-which-is-best-in-business-to-business-market-research/


Formulating Directed Questions Aligned With ABC’ Objectives Will Help Quantify Results and Categorize Insights Derived From Responses

I like ABC for their fair and competitive pricing – Agree?

The ABC call center personnel have never disappointed me – Agree?

I find ABC’ website easy to use and intuitive – Agree?

I like ABC for their quality and defect free output – Agree?

I like ABC for their quick turnaround time – Agree?

I sometimes choose ABC’ competitors because…

I want to share contact of a friend who ABC could serve – Agree?

I am not sure if I know all that ABC has to offer – Agree?

ABC should also start offering services like…

ABC should email me about its new offers and services once a…

I can predict how often I would need ABC in a typical month – Agree?

ABC should really tie up with…

State of our core services

State of our support

functions

Our customers inherent wants

Going forward…

Evaluate our strengths and weaknesses and learn what our customers value the most in us

Understand if our support functions need to be restructured in order to align with our core services

Identify the potential reasons why we lose business to our competitors; make strategic changes to remediate that

Implement a model where business volume can be predicted in order to optimize turnaround time and balance demand and supply of orders


Market research techniques and best practices1. Market Description Surveys2. Market Profiling-Segmentation Surveys3. Stage in the Purchase Process / Tracking Surveys4. Customer Intention – Purchase Analysis Surveys5. Customer Attitudes and Expectations Surveys6. Customer Trust – Loyalty – Retention Analysis Surveys7. New Product Concept Analysis Surveys8. New Product Acceptance and Demand Surveys9. Habits and Uses Surveys10. Product Fulfillment Surveys11. Competitive Product and Market Positioning12. Brand Equity Surveys13. Advertising Value Identification and Analysis Surveys14. Advertising Media and Message Effectiveness Surveys15. Sales Force Effectiveness Surveys.16. Sales Lead Generation Surveys17. Customer Service Surveys18. Customer Service Representative (CSR) Surveys— Attitudes, Burnout,

Turnover, and Retention19. Sales Forecasting and Market Tracking Surveys20. Prices Setting Surveys and Elasticity of Demand Analysis

Types Of Marketing Researches Tips For Efficient Market Research

1. Keep the survey questions short – preferably yes/no based2. Determine the ideal frequency of these surveys based on your

customer engagement and industry standards. 3. Send them a thank you note with personalized message based on

their feedback4. Show them how you have worked on their feedback after a few

months5. Also create anonymous surveys for employees in order to take

into account their opinions and suggestions as well6. Typically, for B2B business models, the purchasing cycles are

longer. Hence seeing immediate results may not be possible7. When you’re part of a B2B market, you’re typically dealing with

complex purchase decisions, an overall smaller customer base, and heavily technical products. In such cases, it takes patience in approach to gather pertinent data

8. It takes 12 positive customer experiences to negate the poor impression left behind from one unresolved, bad experience


Social media platforms

LinkedIn

Twitter

Youtube

Slideshare

Facebook

Instagram

0% 10% 20% 30% 40% 50% 60% 70%

66%

55%

51%

41%

30%

22%

Effectiveness Ratings forB2B Social Media Platforms

Source: 2016 B2B Content Marketing Trends—North America: Content Marketing Institute/MarketingProfs

Linkedin

Twitter

Facebook

Youtube

Google+

0 10 20 30 40 50 60 70 80 90 100

94

87

84

74

62

B2B Content MarketingSocial Media Platform Usage


ReferencesConvey value proposition through a strong digital media presence• http://searchengineland.com/content-marketing-seo-bigger-picture-219796Industry research shows using content marketing can increase conversion rate by 6 times• 2016 B2B Content Marketing Trends—North America: Content Marketing Institute/MarketingProfsSEO increases percentage leads converted to sales in B2B marketing• http://www.business2community.com/content-marketing/content-marketing-worth-investment-0820523#WOGtJqcKhLYS04bi.97• ABC electronics – Big Commerce marketing dashboardEmploying a sales representative will enhance customer relationships and response rate• https://www.fourquadrant.com/go-to-market-strategy-the-cost-of-b2b-direct-selling/Customized marketing by a sales representative will increase ABC Electronics’ revenue by $519,630• https://www.fourquadrant.com/go-to-market-strategy-the-cost-of-b2b-direct-selling/• http://www.ABCelectronicsinc.com/Gain insights through customer engagement to determine a brand message that resonates with them• http://www.mckinsey.com/business-functions/marketing-and-sales/our-insights/how-b2b-companies-talk-past-their-customers• http://blogs.gartner.com/jake-sorofman/gartner-surveys-confirm-customer-experience-new-battlefield/• https://blog.optimizely.com/2015/10/07/online-surveys/• https://www.marketingsherpa.com/article/case-study/b2b-survey-program-brand-advocatesAdminister customer surveys to understand gaps in services and increase customer engagement • https://www.b2binternational.com/themes/customer-satisfaction-publications/• http://marketeer.kapost.com/customer-experience-marketing-stats/Risks and mitigations• http://blog.marketing.ai/3-key-risks-of-content-marketing/

http://searchengineland.com/content-marketing-seo-bigger-picture-219796

http://searchengineland.com/content-marketing-seo-bigger-picture-219796

http://www.business2community.com/content-marketing/content-marketing-worth-investment-0820523#WOGtJqcKhLYS04bi.97



https://www.fourquadrant.com/go-to-market-strategy-the-cost-of-b2b-direct-selling/





http://www.ptselectronicsinc.com/




http://www.mckinsey.com/business-functions/marketing-and-sales/our-insights/how-b2b-companies-talk-past-their-customers

http://www.mckinsey.com/business-functions/marketing-and-sales/our-insights/how-b2b-companies-talk-past-their-customers

http://blogs.gartner.com/jake-sorofman/gartner-surveys-confirm-customer-experience-new-battlefield/



https://blog.optimizely.com/2015/10/07/online-surveys/



https://www.marketingsherpa.com/article/case-study/b2b-survey-program-brand-advocates



https://www.b2binternational.com/themes/customer-satisfaction-publications/

https://www.b2binternational.com/themes/customer-satisfaction-publications/

http://marketeer.kapost.com/customer-experience-marketing-stats/



http://blog.marketing.ai/3-key-risks-of-content-marketing/

http://blog.marketing.ai/3-key-risks-of-content-marketing/

J501-PTS Electronics-Final Presentation-linkedin

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