B2B marketing is just a different beast than its B2C counterpart. B2B markets are usually smaller, with an increase of decision makers. The sales cycle is longer, and often more complicated. It is therefore imperative the B2B marketing personnel manage their sales funnel to help keep as many qualified leads in the pipeline. Marketing Sherpa reported that, “80% of B-to-B marketers surveyed last year don’t receive any feedback once a lead has been passed along.” However, businesses that integrate a fruitful internal feedback system are far more probably be successful inside their industry. In an “open loop” system, marketers generate leads and pass those leads onto sales personnel on a continual basis, however they never receive any feedback from sales on conversions of those leads into customers. If the marketers don’t know what happens to those leads, how can they know for sure what makes a qualified lead?
Knowing the status of each and every lead, where it’s in the sales pipeline, value, probability to close, estimated close date and verifying return on investment is important to investing in partner marketing. It can also be probably the most difficult element of managing partners.
Whilst having strong systems and processes set up is essential to making this happen, getting the human resources to chase people can also be required. Sales folks are focused on closing deals, and administration is a low priority.
Based on a report by the Aberdeen Group, “Companies that adopt closed-loop marketing processes are far more than 3 times as likely to report a higher than 50% return on marketing marketo support investment (ROMI) than those who do not.” That’s a significant incentive to implement closed loop reporting processes into your marketing system.
The significance of closed loop reporting is obviously articulated by Stewart White of Genroe, an Australian consulting company, “Closed loop reporting not only acknowledges the worth of, and need for the initial report, additionally it lets those who have helped create it, or the resources supporting creation, understand the significance of their actions and the results they are able to have on the outcomes. Yet again closed loop reporting empowers, motivates, and drives people towards business success.”
Marketo, a respected lead and sales management solution provider states the significance of closed loop reporting and marketing automation in a different way, “Marketing automation is both an instrument for increasing operational efficiency and a tool for driving revenue. It is all about automating the routine and repeatable tasks associated with lead management, lead nurturing, lead scoring, and creating and maintaining a marketing lead database.