The 5 Growth Principles that APAC Marketers Need Today
It’s all about achieving a balance between brand and demand marketing
July 1, 2020
Editor's Note: This post was co-authored by Sarah Sullivan.
As a B2B marketer, there’s a high chance you use a mix of brand and demand marketing. It’s also likely that the balance weighs in favour of demand marketing—whether by choice or circumstance—simply because of the near-term results it produces. After all, proving the value of marketing to the business has always been important, even more so in these current times.
Majority of the B2B marketers in APAC stepped back to spend more time realigning their marketing strategy, buyer’s journey and messaging when the pandemic hit the region. Or simply prioritised their short-term over mid- to long-term planning, according to interviews conducted by SiriusDecisions.
However, it’s critical for marketers to continue engaging with their audience and think about the value that long-term brand marketing brings - buyers are willing to pay premium prices for well-known brands and organisations that invest 50% of their budgets in brands see better performance.
So how should marketers approach brand and demand? How does the interplay of the two impact business results?
To find out, LinkedIn, together with the IPA, Les Binet and Peter Field, surveyed close to 4,000 B2B marketers in 22 markets worldwide and analysed large amounts of effectiveness data. What we discovered suggests that it may be time for us, as an industry, to rethink the five principles—the ‘who’, ‘what’, ‘when’, ‘where’, and ‘how’—of marketing with a renewed sense of balance.
These are the top-line findings in APAC:
Who are you pursuing: existing or new customers?
69% of APAC marketers believe that increasing customer loyalty will grow the business but research tells us that targeting both new and existing customers together creates 1.6x larger business effects.
What are your goals: awareness or fame?
We found that 77% of APAC marketers tend to run brand campaigns for six months or less. That does little to build brand awareness (or fame, which is awareness at scale) as it takes more than six months to see results. In fact, the business effects of a brand campaign steadily increase over time.
When are you engaging: short-term or long-term?
In B2B marketing, the optimal balance is to invest 46% of your budget into long-term brand marketing and 54% into short-term demand marketing. APAC marketers seem to be doing well in this regard, with our study revealing an average spend of 45% in brand marketing.
Where are you marketing: broad or narrow audiences?
While 65% of APAC marketers believe that hyper-targeting is more effective than broad targeting, it actually limits your reach. With 6.8 people involved in the B2B buying decision and 40% of professionals in APAC changing jobs once every four years, it takes a broader targeting approach to engage the full buying circle and future buyers.
How are you activating: rational or emotional ads?
APAC marketers are three times more likely to produce rational ads over emotional ads regardless of their objective, but emotional ads have been proven to be more effective in brand marketing while rational ads work better in demand marketing.
These five marketing principles can help you strike the right balance. Discover these, and more research insights, in Brand and Demand: The Key Principles of Marketing Growth.
The report is available in four editions:
- Brand and Demand in Asia Pacific
- Brand and Demand in Australia & New Zealand
- Brand and Demand in India
- Brand and Demand in Singapore