Are Social Media Right For All Manufacturers? Maybe Not
Social Media these days may not be worth it for some manufacturing niches and their industrial marketing needs. At least not yet.
I’ve just read an article that eloquently and accurately explains the dramatic differences between industrial marketing and marketing for the consumer sector. It’s so good, that I wish I’d written it myself. I don’t care if you’re a small manufacturer in the heartland, a massive capital equipment OEM on the West Coast, an industrial marketing consultant that serves ’em, or anyone involved in the industrial manufacturing genome – stop what you’re doing:
Read it. Now. Because it’s great.
Great articles often transcend their initial concepts and take us to unexpected topics and conclusions. And this one does that. But more about that in a minute.
Mike Collins is an author and consultant. His article ‘Industrial Marketing Is Not Consumer Marketing‘ delivers an important message, because it goes to the heart of why most manufacturers have such difficulties with marketing.
Mike’s premise is that we need more industrial marketing in our colleges to prepare marketers and sales for the unique qualities inherent in capital equipment and other buying cycles in the industrial space. His reasoning – which is spot on – points out that simply replicating the techniques, strategies and tactics that are used to market to consumers just won’t work for manufacturers. And there sure is a lot of THAT going around in the industrial space these days.
I’m not so sure I agree with Mike’s solution of handing this off to academia – at least not traditional institutions. Those environments don’t offer the industrial & technical environments that enable the kind of experience & skills necessary to serve prospects in extended technology buying initiatives. But it’s a small point to nitpick on in an otherwise remarkable article.
Mike points to 7 main differences between industrial and consumer marketing: Product complexity; Industrial buyers; Bids and quotations; Advertising and promotion; Market information; Industrial market research; and Product range.
The gist of these 7 issues is that buyers, engineers, sourcing cats and purchasing teams are assessing complex technology purchases that are integrated into even more complex symphonies of innovation. These complexities equal much longer & more intricate buying cycles that require approval across an entire enterprise. And add to that the dispersion of niches in manufacturing (food, aerospace, pharmaceutical, discrete parts, die/mold, chemical, raw material, etc.), and the game changes so drastically that many of the rules that drive consumer marketing could be down-right ineffective for industrial applications.
Simply put – buying a horizontal machining center, for example, involves behaviors & considerations that significantly transcend discovering and trying a new toothpaste. And you don’t have to be Fellini to figure out that branding, leads, messaging, customer service, promotion, and conversations are just plain different for a technology buy.
As I read Mike’s article, I realized it also provides compelling reasons why Social Media – despite its extraordinary adoption rates and promise – just aren’t up to the task of serving as many of the marketing requirements in industrial as they do today for consumer marketing.
Here are 3 weaknesses of social media when used primarily to serve the manufacturing & industrial buying cycles:
- Serving Discovery – There’s an old media adage that says, “Push media introduce buyers to things they didn’t know they needed. Pull media help buyers find information about things they already know they need, but don’t know where to find it.” While Social Media seem to be strong ‘push’ channels, they aren’t really – due mainly to slow adoption by manufacturers. Also, the effort and resources necessary to ‘push’ messages with the cadence necessary to possibly connect with someone receptive to your product or services at the right time and in context are prohibitive.
- Building/Sustaining Your Brand – Building an industrial brand – regardless of the size of the business – requires a focus often not experienced in consumer marketing. Here again , Mike’s words ring true: “… if you are a manufacturer of a machine that stacks 50-lb sacks of cheese whey, you will have to identify the market niches to succeed. The food industry has 23,000 plants in the U.S., but the buyers who would be interested in your machine are a niche of a niche, of a niche, of a niche. How you find these buyers is totally different then selling cell phones to young adults using television.” Or following the techniques that Social Media in their infancy provide, for that matter. Sure, you CAN brand via Social Media. But the traction manufacturers will see using these tools alone to do that will likely be disappointed because an industrial branding message won’t find large samplings of the right buyers on current Social Media platforms.
As Mike sums it up, “Marketing strategies change drastically with the type of product, length of the sales cycle, product size, and the number of decision-makers. For example, the selling, promotion, and pricing strategies used to sell low-unit-price standard motors to known accounts are fairly straightforward. On the other hand, capital equipment designed for production lines is usually large, complex in design, and has high unit prices that must be justified in terms of returns to the company and approved by the board of directors.”
Cookie-cutter approaches often don’t work. Not in marketing, and certainly not in the industrial spaces. And in most cases, one channel doesn’t cancel another. Expecting Social Media to offer discovery, serve research, or brand is like dancing about architecture.
Look, no one is more high on the potential of Social Media’s reach, adoption and potential than I. Heck, I’m on Twitter more than Anthony Weiner. (Albeit with, I hope, loftier intentions.)
But you must scrutinize your Social Media Strategies to play to your strengths and the real value to your prospects & customers, not those that you see or hear consumer marketers claim to be “all that.”