Marketing Myth #1: Demand generation is king

Buying into a myth illustration


Marketing Myth #1: Demand generation is king

Focusing on demand gen and pipeline creation spurs business growth, right? Not so fast, say the data science experts at the Ehrenberg Bass Institute. In fact, relying too much on B2B demand gen – at the expense of brand marketing – can actually stunt growth.

The odds are against you
Recent analysis shows only 5% of companies – 1 in 20 – are in a buying window in any given quarter.1 Clearly, trying to drive demand from that one company, especially if they’re unfamiliar with your brand, has its limitations.

Change your marketing mix
Brand marketing may be a smarter way to grow your business. Why? Because when companies do enter the market, they’ll already know you and be more likely to buy from you. A study of highly effective B2B campaigns suggested the optimal allocation to brand marketing below.2 As you can see, many B2B companies are falling far short of it.

Why are B2B marketers skeptical of brand marketing?
One big reason may be how they’re measuring its value. LinkedIn found 96% of B2B marketers measure ROI within a 3-month window.4 Deloitte discovered almost two-thirds of CMOs track brand equity value almost never or only when needed.5 As they say, what gets measured gets managed.

Is adherence to the B2B demand gen myth holding your company back? Time to rethink your marketing investments? Let’s talk ›

1 Ehrenberg Bass Institute and LinkedIn B2B Institute, Advertising Effectiveness and the 95-5 Rule, 2022
2 Les Binet and Peter Field, in collaboration with LinkedIn’s B2B Institute
3 Boston Consulting Group, Why B2B Brand Marketing Matters, Nov 2021
4 LinkedIn, Brand and Demand: The Key Principles of Marketing Growth
5 Deloitte, The CMO Survey, Aug 2021

Marketing Myth #2: Cutting marketing budgets is wise in a recession ›
Marketing Myth #3: Customer loyalty beats customer acquisition ›
Marketing Myth #4: Well-known brands don’t have awareness problems ›
Marketing Myth #5: B2B campaigns should be rational, not emotional ›
Marketing Myth #6: The purchase funnel is still a thing ›
Marketing Myth #7: Marketing is secondary to sales in B2B ›
Marketing Myth #8: Repeating what works will keep on working ›


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