Why Should B2B CEOs “Care” About Brand?
“People do not buy goods and services. They buy relations, stories and magic.” – SETH GODIN
For one, it has been proven many times that real, measurable outcomes can be achieved from consistently delivering the b2b brand in an emotion-based manner.
The beauty of brand building for the b2b company is that, when it’s done well, it moves your organization in one direction: Up.
And it does so rapidly, with well-branded b2b organizations routinely outpacing their competitors by two times or more in terms of growth, margin and client retention. This happens in up markets, down markets and sideways ones as well.
Here are a few noteworthy findings from a study conducted by the Corporate Executive Board (CEB) in conjunction with Google. More than 3,000 b2b buyers were surveyed:
- B2B brands that connect with their buyers on an emotional level earn twice the impact over marketers who are still trying to sell business or functional value.
- Potential b2b buyers who feel a “high-brand connection” are 60% more likely to consider, purchase and even pay a premium than “low-brand connection” competitors.
- Buyers feel a much closer personal connection to their b2b brands than to consumer brands.
If you really take a functional look at T.H.E.M., they are like many other companies in the packaging industry. They provide packaging machines and contract packaging services. But the brand was positioned as anything but “common.” When we caught up with T.H.E.M. roughly 15 years ago, they had demonstrated a knack for sourcing overseas packaging innovation, and successfully transferring it to North America, for brands and supply chain partners.
We established the position “Gateway to Global Packaging” to highlight the company’s uncommon ability to serve as the world’s packaging innovation antenna, thereby giving its customers a true and distinctive competitive advantage in the North American marketplace.
The messaging, reinforced through content, trade advertising and outbound marketing, resonated well with audiences. And the T.H.E.M. brand realized substantial growth as a result, from approximately $7 million in annual sales to more than $40 million. We’ve since evolved the brand message to now align with “success.”