Marketing is one of the most important departments of any tech company. Apart from solving a target audience's issue(s), the main reason why companies exist is to make money. Thus, businesses must employ proven marketing strategies if they want to attract or retain customers.
In most cases, IT and tech companies that cannot come up with working advertising techniques lose out on clients and eventually collapse. Successful tech companies avoid marketing mistakes that could negatively impact their sales.
Your marketing efforts may not be bearing any fruit, and you're probably wondering what you're doing wrong. Let's talk about tech companies' top 5 marketing issues and how you can solve them.
1. Complex Products
You may have fantastic products but not realize that the majority of your target audience doesn't understand them. Or you may assume that a prospective client knows about a particular product when they don't have the slightest clue.
When it comes to tech services, buyers want to understand the details. Before they decide to part with their money, you need to explain your product to them in a simple language, focusing on how they can use the product and how exactly they're going to benefit.
Buyers won't say when they’re finding it difficult to understand your product. They'll find a different company that offers the same product and see if their salesperson will adequately explain the product. So, try as much as possible to make prospective clients understand your products.
2. Long Sales Cycle
The sales cycle starts when a prospective client comes into contact with your product and ends when you close the deal. In most tech companies, the sales cycle usually takes longer because of high-ticket items.
It happens where a customer wants a product there and then but steps back when they see the price. This doesn't mean they have lost interest. Eventually, some will buy after several days, weeks, or even months.
How do you tackle this? Before you begin generating leads, you need to create a buyer persona(profile of your ideal client). The following are some questions to help you out:
· What problems are they facing?
· Where do they hang out?
· How does their typical day look like?
· Where do they do their research? If online, on which platforms?
· What's their role at their job/workplace?
This way, you will increase the number of qualified leads. Next, be with the customer at every stage of the sales cycle. In addition to that, automate some marketing functions such as social media posting so you can focus on generating leads. It's also crucial to exercise some patience because it usually takes longer to close deals involving big-ticket products.
3. Tendency To Talk About The Product
Most tech companies make this mistake. They won't stop talking about how great their product is and how users will see excellent results once they use it. Unfortunately, this puts off many potential clients. When you overhype a product like this, people will start doubting if they do what you claim.
Prospects usually reach out when they have a problem your product can fix. First, acknowledge that you understand your customers' pain points, so you're on the same wavelength. Once you've done that, convince them that your solution will help them solve that issue.
If the product you're selling has multiple features, explain to your customers how those features will tackle the challenges they are facing. This way, a prospective buyer will tell that you are genuinely interested in helping them. When you do this, you will start closing deals much faster than before.
4. Competitors Have Deep Pockets
How do you compete with bigger and more established tech companies? It will always be difficult, considering that these companies have way more clients, make more profit, and allocate hefty amounts to their marketing department.
Many SMEs and start-ups do not have the financial muscle to outcompete more established brands. But this doesn't mean you shouldn't claim your chunk of the market share. When you are financially limited, you have to be smart.
Start by reviewing the big brands' marketing techniques. What's their tone and style when communicating with their customers? How do they present their calls to action? What kind of demographics do they focus on? By examining such factors, you will get insights into creating a unique marketing strategy.
You may even decide to focus on a niche that you have noticed the big brands don't pay much attention to. It's vital to develop an irresistible USP -something that will turn the customer's heads in your direction. This should show in all your marketing endeavours.
On paid advertising, do your research before paying for anything. Learn all you can about your target audience so that when you run campaigns on a tight budget, you will get good results.
5. Prospects Are Always In A Contract
The nature of services provided by tech companies means contracts are typically involved. So, prospects are probably in contract with a competitor. You will have to wait until their contract with the other company ends to work with them.
The time between contact and end of the contract with a competitor is what you should use to promote your services to potentials. Connect with a decision-maker from the target company and learn all you can about the product they are using.
Find out any challenges they're having with the product and determine how long the company's been working with your competitor. You can go ahead and ask when the current contract ends to determine how much time you have to convince them about your services.
When you have all the information you need, tell them how your product can solve the problems they're having (focus on the challenges they have with your competitor's product). If you play this game well, your company will get the next contract.
The issues discussed above have hindered the growth of hundreds of tech companies over the years. Fortunately, IT and tech companies can overcome these problems by understanding their target market and offering a solid USP.