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Real Story on MarTech: Beware of vendor bullying

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Real Story on MarTech: Beware of vendor bullying


Let’s say you work in martech for a large, well-known enterprise. It’s a global firm, a recognized brand. Ideally, you’d want to follow a structured, test-based approach for how you bring new technology into the enterprise, and you’d expect participating vendors to follow your lead in the vetting process — out of respect, if nothing else.

Well, reality can prove itself quite different. In Real Story Group’s role as a buyer’s advocate for martech stack leaders, we’ve noticed a recurring trend where larger software companies often disrupt well-reasoned martech selection strategies through aggressive and frequently questionable tactics.

Of course, none of this is new, and perhaps vendor bullying today is more subtle than in years past — but it remains just as persistent.

A typical scenario

Imagine this scenario: You and your team go through a proper technology selection process. You do everything right. Your team comes to an educated consensus decision. Based on empirical testing, you are on the verge of selecting a platform not sold by one of the big vendors.  However, these big vendors are aggressive, publicly-traded companies, not used to getting turned down.

So they approach a board member or senior exec at your firm, trying for an end-around your process. Unfortunately, there’s a long history in software sales of “selling up the chain.”  Back in the day, this meant deals on the golf course; more recently, it’s cajoling over lunch, at executive councils, and boardroom get-togethers.

Now it might seem anachronistic to talk about a supplier bullying a customer. As the buyer, don’t you have power in this situation? But that’s just the point. Large martech vendors employ specific methods to disempower enterprise selection teams.

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How it works

Here’s what I often see:

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  1. High-ranking executives from the major software vendor demand a meeting with your boss’s boss or a C-level executive. Given that this vendor may work with other parts of your enterprise and everyone wants to maintain this relationship, they typically get the meeting. Or they have already networked with your leadership at industry events.
  2. The vendor touts traditional, one-size-fits-all analyst rankings to prove they are “a leader.” If you select anyone other than a leader, it means a risk to the customer’s business (and, by implication, valuations and careers).
  3. They belittle the enterprise selection team: “They’re not strategically thinking like you need to do…”
  4. They belittle the selection process: “They got lost in the weeds and focused too much on functionality.” (This is a particularly ugly allegation because the most bully-prone vendors tend to carry the most technical debt, so they often want to avoid test-based selection processes.)

If all else fails, the vendor may dramatically slash their pricing at the last minute as a defensive move or even give something away cheaply or for free. This isn’t exactly bullying, but it warps the process for sure. Just remember, technology is never truly free.

A tale of two enterprises

Recently, I’ve witnessed two dramatically different outcomes to these tactics taken by one of the most notorious of these vendors. (If you’re an RSG subscriber, contact me to hear the gory details.)

The vendor bullied Enterprise #1 into selecting an ill-fitting solution against the wishes of an interdepartmental selection team, persuading a senior executive sponsor that only that vendor’s array of platform offerings would prove robust enough. The implementation was so difficult and expensive that it did not launch after two years. They’re now engaged in a multi-million dollar lawsuit.

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Enterprise #2 said no to the same bully. The alternative system they selected has recently launched, and while no technology is perfect, the reception has been positive so far. The losing vendor’s calls and threats haven’t stopped completely. But when questions come from upper management, because the process was grounded in user-centered design thinking, the activation team can prove that their choice will lead to the best adoption and drive better business value.

Ultimately the fate of your enterprise is often going to depend on the strength of your leadership and, by extension, your ability to connect your decision to strategic business objectives. If you can cast your decision in terms of key metrics you’re trying to move, it becomes less susceptible to outside manipulation.

What you should do

First, recognize that often the biggest martech vendors carry the biggest risks.  That doesn’t mean you should avoid the über-players in these markets, but it does mean you have to prepare for them to try to bulldoze over you should you not tip things their way.

Since the bullying is real – and so are the long-term consequences of making bad technology decisions – you need to give your team and leadership the ammunition to push back. Let me know if I can help. In the meantime, feel free to share your experience with this phenomenon via the hashtag #VendorBullied on LinkedIn or Twitter.

Real Story on MarTech is presented through a partnership between MarTech and Real Story Group, a vendor-agnostic research and advisory organization that helps enterprises make better marketing technology stack and platform selection decisions.


Opinions expressed in this article are those of the guest author and not necessarily MarTech. Staff authors are listed here.

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About The Author

Jarrod Gingras is Managing Director and Analyst at Real Story Group, a customer-focused technology analyst firm. Jarrod specializes in DAM and Content Technologies, as well as helping large enterprises make good decisions around martech of all kinds. Twitter: @jarrodgingras LinkedIn: https://www.linkedin.com/in/jarrodgingras/

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How is the Blockchain Shaping the Digital Marketing Automation Tools?

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How is the Blockchain Shaping the Digital Marketing Automation Tools?

It is no doubt that most of us are aware of what blockchain is and how it has shaped the future of digital marketing automation. If you are reading this article, then you might be wondering what exactly is the difference between blockchain and digital marketing automation?

What Exactly Is Blockchain? The blockchain is a decentralized ledger system that records transactions between two parties. A block stores information about previous transactions, so each block contains a link to its previous transaction’s record to prevent double-spending.

The users will have their copy of the record on their device so they can keep track of all the changes made in that particular chain by any member of the network.

The Blockchain Is Creating a New World

The blockchain is a new technology. It’s based on the idea of decentralization and peer-to-peer networks, which makes it different from traditional centralized systems. Blockchain technology uses a distributed ledger to store information, making it impossible for a hacker to modify the data stored on the network.

The blockchain can get used in many ways, including cryptocurrencies like Bitcoin or Ethereum. But it also has applications in other industries such as digital marketing automation tools where marketers need fast access to information about their customers or prospects without having to go through an intermediary (like Google Analytics).

Some companies have started using this technology as part of their product offerings by providing users with access to their data through APIs that they can use however they wish (for example: visualizing trends over time).

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How Digital Marketing Automation Tools Work

Digital marketing automation tools work by task automation like sending emails, creating landing pages, and tracking the performance of your marketing campaigns. These tools can help you save time and money by automating tasks.

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For example, let’s say you want to reach out to more leads on LinkedIn but you don’t have time to send them an email every day. With a digital marketing automation tool like HubSpot or Marketo, you can set up an autoresponder sequence that will send out emails automatically so all you have to do is check-in once in a while and make sure everything’s running smoothly.

Prepare for the Future of the Blockchain Marketing

As technology continues to evolve, the blockchain will play a pivotal role in digital marketing. This is because it offers a secure and reliable platform that marketers can use to communicate with their audience. In addition, it also provides better transparency than traditional marketing methods because of its decentralized nature.

Below are some of the ways that marketers can benefit from using blockchain:

  • Security: The blockchain offers greater security than traditional methods of digital marketing since it doesn’t rely on central servers or third parties.
  • Efficiency: Using blockchain technology means there’s no need for middlemen or intermediaries when conducting transactions online. This improves efficiency by cutting out unnecessary steps between two parties looking to transact business with one another; this saves both time and money for both parties involved!

Secure Digital Marketing Tool Designed on Blockchain

A digital marketing tool designed on blockchain will be more robust and secure. Blockchain technology is a decentralized, distributed ledger technology that helps in recording transactions between two parties efficiently.

It also ensures that the records cannot be tampered with once they get recorded. This means that if you buy a product from an e-commerce website and pay for it using cryptocurrency (a form of digital currency), then no one can hack into the system and change your transaction record to avoid paying you the money.

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In general, blockchain offers marketers several benefits:

  • It allows for better data sharing and storage than traditional databases
  • It offers enhanced security features because there is no single point of failure
  • It can help companies boost productivity by integrating both humans and machines

Blockchain Protocol That Ensures Safety, Security

Don’t worry, you can still use digital advertising. You just need to trust the blockchain protocol that runs it.

Ad-blocking software has made digital advertising ineffective already and will soon make all digital advertising completely ineffective. You see, if you are using ad-blocking software on your computer or mobile device, then you’re not seeing any of the ads being served to people who aren’t using ad blockers.

This means that advertisers must pay for each impression (or view) of their ads, even when those impressions do not get seen by anyone at all!

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By adopting a blockchain protocol for their digital advertising campaigns, marketers and publishers can verify which impressions are being seen by humans and prove whether or not they were delivered effectively before paying for them.

It is worth mentioning that the benefits can be multifold as is already visible from the other spaces like the cryptocurrency markets. Numerous traders are gaining from the rising cryptocurrency prices. So, digital markets too must watch out for this technology.

The entire industry benefits because everyone is working together instead of trying to scam each other through fake views on fake websites with fake content created solely for financial gain without any real value-added back into society whatsoever!

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Digital Technology Is Changing Everything

You probably already know that digital technology is changing everything. But what you may not realize is that blockchain is one of the biggest and most important digital technologies to come out in years.

Blockchain can be a difficult concept to grasp, but it’s worth learning about because it’s changing the way we do business, marketing, and advertising—even as we speak! The best place to start learning is by understanding what blockchain means. It’s essentially a decentralized database that allows information (such as financial transactions) to be stored on multiple computers rather than in one location. This makes it more secure than traditional databases which are usually stored on just one server or computer system.

Conclusion

As you can see, the blockchain is changing the way we interact with technology. It’s also changing how we experience marketing automation tools, and how they work. The future of digital marketing will be shaped by this new technology, which means marketers need to start exploring how it can be applied to their jobs now.

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