The conversation shed light on the profound changes brought about by the pandemic, which acted as a catalyst for digital transformation. Citing McKinsey’s report that 10 years’ worth of digital transformation took place within just two years since the pandemic, Arun observed that industries that may not have previously seen an urgent need for transformation were suddenly left with no choice. Banking, for example, had to quickly adapt its digital banking initiatives to accommodate the increasing demand for virtual interactions.

Arun discussed with the CXposé team on how the pandemic expedited digitalization horizontally and vertically across organizations. Previously, digital initiatives in banking were primarily focused on consumer banking. However, with face-to-face transactions no longer viable, wholesale banking and other lines of business had to rapidly digitize. This highlighted the need for organizations to reimagine processes and leverage automation to ensure operations continued seamlessly.

Moving from the real-world to real-time

Photo by George Milton

As digitalization accelerated, marketing strategies also evolved to embrace new opportunities. Webinars became a popular medium for engaging customers, offering interactive sessions, and replicating the experience of physical events. The transition from unidirectional webinars to virtual events with engaging elements such as exhibition booths and one-on-one meetings represented a significant shift in the industry.

Every dollar of incremental revenue growth has become much more difficult, whereas there is almost nothing like lasting, competitive differentiation.

Moreover, hybrid formats emerged, combining live events with prerecorded sessions to deliver the best of both worlds. This approach allowed for greater customization, scalability, and global reach while retaining the benefits of face-to-face interactions. The use of AI and generative AI also played a role in optimizing marketing initiatives by providing real-time feedback and automating certain tasks.

The conversation delved into the challenges and opportunities brought by AI and generative AI in B2B marketing. While AI has the potential to enhance efficiency and deliver targeted messaging, concerns around ethics and bias need to be adequately addressed. The responsibility to define and govern AI usage lies with businesses themselves, with some advocating for industry-wide regulation to ensure ethical practices.

Humanizing B2B marketing

Arun then highlighted three major changes in customer expectations. First, customers now expect to engage and be engaged across channels. “Nobody is going to walk into your office to talk to you. Customers expect that you know when they want to engage you, and you’re there across whatever you know, phone, social media website whatever else, right?”

Secondly, they expect that no customer today wants to be seen as part of a segment. As Arun puts it across plainly, “(segment) it’s a very offensive word today.” Customers want to be understood as an individual with a real life, and not just a collective, or a defined persona. Arun argues that with customers not wanting to be part of a segment, marketers need to understand a lot more about them, using and analyzing more data, and determine their needs as an individual. 

The third expectation that customers have now heard from the market years from their organizations is real time responsiveness. Gone are the days when you would pose a question and then expect customers to “come back to you in 24 hours.” The business will be with a competitor in less than that turnaround time. These are changing customer expectations. 

One challenge, Arun mentioned, for trying to meet these expectations is that marketers must discern and choose from over 11,000 MarTech solutions out there. Every dollar of incremental revenue growth has become much more difficult, whereas there is almost nothing like lasting, competitive differentiation. A business’s ability to charge a significant premium over a long period of time doesn’t exist anymore. Changing customer expectations, emphasizing personalized experiences and real-time responsiveness – these are the realities in which marketing is operating. Marketing organizations must change, even as the end game remains the same – to grow and retain every individual customer.

Preserving the artistry of marketing

Photo by Antoni Shkraba

As digitalization continues to transform the B2B marketing landscape, organizations must adapt to the changing dynamics. This requires embracing data-driven strategies, leveraging AI, and remaining vigilant about ethics and transparency. While challenges and complexity persist, the opportunities for innovation and growth in B2B marketing are immense. 

The conversation concluded with a call for ongoing education and awareness to ensure marketers are well-equipped to navigate the evolving landscape. As AI and generative AI become more accessible, organizations must strike a balance between leveraging the power of technology and preserving the artistry of marketing. With a proactive approach to governance and a focus on delivering comprehensive customer experiences, B2B marketing can thrive in the digital era.

SUMMARY

Arun Cavale, marketing veteran, reflects on the bell curve of digital transformation since the pandemic, and how customer expectations can be achieved, only if industries embrace digitalization and enable marketing strategies to move forward.