Growth marketing was identified in our 2020 B2B Marketing Trend tracker as the #2 area of interest for B2B marketers in the coming 12 months… despite the fact that (as we later discovered) no one actually knows what it is! Notwithstanding this, growth marketing became the focus of a fascinating roundtable for the B2B Marketing Leaders programme, sponsored by Snowflake
What exactly is ‘growth marketing’? That was the question which was central to our latest B2B Marketing Leaders roundtable. Having scheduled this session earlier in the year, on the back of a very positive response to it in our annual Trend Tracker survey, as the roundtable date loomed closer, it became particularly apparent that a precise definition of the term was conspicuous by its absence. In short, no one seemed to really know what it was, and that included our panellists. At best, some felt they had a general sense of what it meant, but wanted to validate this by speaking to others. The whole premise of the event was suddenly feeling very shaky!
Despite this, we had a very engaging, interesting and informative discussion, ably assisted by Simon Gray from CACI (who was representing roundtable sponsor Snowflake) and Steve Kemish, B2B Marketing’s regular trainer on various related digital marketing topics. At the end of it, I think all those attending (myself included!) had a much clearer perspective on what growth marketing was and whether or not it was relevant to them.
As a starting point, I wanted to explore how growth marketing related to performance marketing, another relatively new and buzzy term, with which it appeared to have much in common. Here are some of my key takeaways and conclusions from the session.
Performance = methodology; Growth = mindset
Performance marketing is generally about acquisition marketing, whereas growth marketing is full funnel. Performance marketing emerged in B2C to describe a set of activities designed to drive conversion, typically on a short-term basis, including things like affiliate marketing or PPC. By contrast growth marketing can apply across the full spectrum of marketing’s activities, and is more of a philosophy or mindset.
Hacking, but reimagined
Growth marketing’s roots are in the tech industry in the US, which is largely (but not exclusively) focused around the Bay Area, morphing from the term ‘growth hacking’ into something more palatable for corporates. These companies have a common and very specific set of circumstances: they need to drive rapid growth from a low base, and so they (often) have the characteristics much more akin to a startup than an established entity (even long after they themselves have become multi-billion dollar organisations). That influences everything about their mindset, expectations, culture and behaviours. Marketing in these scenarios, is consequently very different in form, function, attributes and expectations. Whilst marketers outside of these environments can learn from these behaviours, they are not necessarily directly or wholly transferable.
A positioning statement – for marketing as a function or individuals
Growth marketing can be a badge that marketing or marketers choose to wear, or a definition for a type of marketing. It can distinguish them from marketers in other contexts, with different priorities, and can help set and maintain a firm or even aggressive focus on a particular outcome, and how marketing relates to other business functions in order to achieve that. At best, it can allow marketing to be on the front foot as never before. However, this isn’t always helpful – some marketers attending thought in some contexts this might create more problems than it solved, with CFOs or the wider board failing to understand the distinction. As one attendee put it: “if you’re not here to deliver growth, what the hell are you doing here?!”
Nothing new under the sun?
In many ways, growth marketing is a new badge for things that marketing has always been doing… or should always have been doing. And that was a cause of cynicism for some of those attending. However, it’s also true that B2B marketing has changed in recent years, as buyers become more self-guided in their research and invisible to vendors. This process has been re-energised by Covid, and consequently there is cause to see some of these perennial tasks and challenges in a new light. Hence a new name is still appropriate… in my view at least.
… and the verdict?
We ended the session by asking those attending if they think growth marketing is something that adds genuine value to the canon of B2B marketing, describing or defining how to meet a real challenge, or whether it’s just a hype-fuelled rebadging of something that’s always been fundamental. Opinion was split with the balance on the side of the cynics. However, for some attendees it was certainly very relevant, and even its most ardent detractors agree that there were some kernels of truth and value that we can take from it. As one said, “if it helps me to get every single marketer in my team to think about the bottom line and how they are impacting on it, then it is certainly a good thing.”
About the B2B Marketing Leaders programme
B2B Marketing is running regular roundtables to help CMOs, marketing directors, VPs and other B2B Marketing Leaders to navigate the coronavirus crisis and prepare for what comes next. For more information on the programme go to our website.
If you’d like to join one of these sessions, email [email protected]
