The numbers are in – and they’re not pretty: As per SPI Research’s most recent “Professional Services Maturity Index,” consulting firms are rating the effectiveness of their marketing functions at a mere 62.5 percent – or three stars out of five.
Should marketers be content with this? And how could they improve their function’s effectiveness if they were to try?
In this post:
- The stats behind three stars
- But… why push to improve?
- 4 steps to high effectiveness
- The tl;dr (our conclusion)
The stats behind three stars
First, let’s review the data: The report is very clear about how the state of marketing in the professional services sector, while not entirely terrible, still leaves much to be desired.
The benchmark found that the – self-reported – effectiveness of firms’ marketing efforts has been declining: from 3.25 points (out of 5) in 2018 to a mere 3.12 in 2021.
Even worse: While over a third of respondents considered their campaigns to be effective or very effective, almost as many believed their campaigns to be ineffective or very ineffective – or, in short:
1 in 3 firms thinks their marketing is a waste of money.
But… why push to improve?
Aren’t firms growing regardless?
Well, yes, they do. But how much faster could they do so (and how much more profitably!) if their marketing efforts were much more effective?
The stats in the SPI Research report indicate just how strongly marketing effectiveness correlates with better business metrics:
Firms that reported higher marketing effectiveness also reported a 40% stronger sales pipeline, a 20% higher win rate, and twice as many billable hours per project than their peers with low effectiveness scores.
So, do we have a case here, or what?
4 steps to high effectiveness
If “yes,” then let’s discuss the steps you could take to increase marketing effectiveness… per our view here at client-friendly.
Spoiler: some of them are not even about “marketing,” but about business strategy and alignment… But let’s go through them anyway?
Here’s what we tell clients who ask us to help them improve:
#1. Push for closer business and marketing alignment
In many firms, marketing’s struggles begin with the very foundation, i.e., with the definition (or: lack thereof!) of the function’s ‘job’ within the firm, its objectives, then pretty much everything after that.
Think about it: If you were to ask three to five business executives in your firm about their view on how marketing contributes to the firm’s success… how many different answers would you get?
If your answer is like ours (“three to five, minimum”), then it points directly to the first step you should take: Clarify your function’s role and objectives, plus the expectations around it.
Start with a definition of marketing’s job, then clarify which numbers could be used to measure whether the function does said job well… or not. You’ll be surprised at how much this exercise alone will help you!
#2. Refine segmentation, positioning, and targeting
In other words: refine your go-to-market strategy. Most firms are still very bizdev-driven, which, among other things, means their marketing efforts are too self-centered, salesy, and confusing to work.
These firms’ strategies are designed around way-too-broad market segments, come with way-too-generic (and often: firm-centric) messaging, and use mediocre “commodity content” that doesn’t help their prospects to drive behavior which they haven’t clearly defined.
The results? Declining impressions, lackluster engagement, and disappointing conversion rates… and rising costs, of course.
If your firm struggles with these issues, review – and revise – all the elements mentioned above: Interview existing clients and companies which don’t work with your firm to get true “client insight” – then, drive a strategy process to define proper segments and to describe client issues, preferences, etc.
#3. Shape clear, client-centric stories and campaigns.
Have your strategy and inputs in place? Great! Then move to the next step, and wrestle with the issue of firm-centric messaging and “storytelling.”
This is where you work hard (and: creatively!) to ensure your firm’s messages will be highly client- and issue-specific, super-helpful, and very clear. Oh, and, while you’re at it: put in some extra time to make sure said messages also convey your firm’s culture in a distinct voice.
And once you have these messages in place, make sure they’re “dramatized” well, i.e., put into a story your ideal buyers won’t be able to ignore. Then, turn your story into a marketing plan spanning at least a year, if not two (think: editorial calendar first, channels and formats second!).
Do all of the above, and you’ll already stand out from the competition… Because many firms out there are still busy publishing either LinkedIn posts heralding their most recent “great place to work” award and similar irrelevant “me-me-me” messaging, or creating not-too-helpful “thought-followership” content written by marketers, not experts.
#4. Find new ways to distribute and deliver
And then, finally: invest some time and effort into reviewing – and revising – your marketing channels: Are you hitting the right ones, with the right strategy and the right content?
Chances are, your firm could do better in the digital space – by improving its LinkedIn strategy and execution, let’s say… or by embracing “new” channels like Instagram and TikTok. But there might be plenty of “offline opportunities” you could seize, too – around events, for example. Like, when was the last time you leveraged an in-person event not just to network and “sell,” but to drive insights and create content for your digital channels (and the entire year), too?
The simple fact is: Most firms could super-charge their results by simply improving the very “basics” of what they’re doing (think: better content and more frequent posting on organic social; new formats for new channels – think: podcasts, videos for TikTok, etc., etc., etc.).
The tl;dr (our conclusion)
If you’re serious about improving your firm’s marketing effectiveness, you’ll have to push on two things at the same time: 1) your marketing function’s role in the firm and how it helps to shape strategy, and 2) how it uses said strategy to derive new, more client-centric marketing messages, plans, and campaigns.
In our experience, the four best means to these two ends are:
- Improve business-marketing alignment
- Refine the strategic inputs which guide your marketing efforts
- Clarify your messages, create client-centric stories
- Improve campaign delivery and distribution
These steps are merely an overview meant to help you think about where and how to begin – but we’ll continue to post practical measures for how to take them in this blog very soon.
And: there are a few other, slightly smaller areas for improvements for those of you who already have already mastered these steps… and we’ll visit those, too, in a bit.
So, maybe… come back here someday?
More tips like these?
Check out the “unbillable hours” podcast with client friendly’s Florian Heinrichs – out now on Apple Podcast, Spotify, Stitcher –
or wherever you listen to podcasts!