Going Beyond Leads: How to Measure Place Marketing Success
Buying habits have changed significantly in the last decade-plus. Whereas individuals used to research based on discussions with others, research is now done largely on one’s own. As a result, people get further down the decision-making path before talking with a “sales person.”
Our Winning Strategies in Investment Promotion report confirms it, with 7 in 10 executives who are selecting locations saying that they don’t reach out to an IPA until at least the short-list or later. Similarly, our What Talent Wants study shows European talents rate internet research significantly over word of mouth and visiting a location in terms of influence on their relocation decision.
Combine this with recent studies that show roughly 95% of potential B2B customers "aren't ready to buy" at the point of contact, and the emphasis on generating leads in investment promotion and talent attraction starts to seem a bit excessive. Where exactly does building brand awareness, a vital part of the buyer journey, fit in?
Don’t get us wrong: We do understand the need to measure concrete outcomes in tough budgetary environments. But the pursuit of leads as the defining metric for place marketing organisations has made it difficult for brand marketing to see the light of day.
So then, what else?
Often the marketing function gets misunderstood because it’s not producing high quality leads, or any leads at all. If that’s the case, what purpose is there in investing more in something that is producing such little value?
But marketing is not sales and sales is not marketing. Expecting a marketing strategy to produce late-stage, high-quality leads shouldn’t be the objective. The buyer journey needs both functions, and they must work in concert with one another, not do each other’s job.
To win the decision regularly, one needs to win the journey. The whole journey. And that requires brand marketing as part of the mix. It’s the air cover to a ground war — sure, battles can be won on the ground only, but it is so much harder.
How to measure marketing
This question has moved from a steady simmer to a hard boil lately. It’s coming up often, which we love. It shows that there’s strong interest in marketing, even if continued uncertainty over how exactly to capture its impact.
We wish we could say there is one answer, but in an industry as nuanced and complex as place marketing, that’s just not possible. The budgets are too varied, the influences outside an investment promotion or destination marketing entity’s control too great, and the outcomes too intangible.
In fact, most of the B2B space has struggled with the concept of brand awareness and measurement for years, but it is a trend on the rise lately.
Below we offer an initial framework specific for IPAs and it has relevance to both executives and talents. It looks at what the resources are financially, and then what the timeframe of outcomes are.
The latter matters a lot, as this is a long game and those hoping for quick wins are sure to be disappointed. Perceptions take time to change when it comes to something as complex as attracting FDI leads or relocating talents. A three-month marketing campaign might score some solid leads, but it is doing little to move the needle long-term.
Dedicating few resources and expecting big results are not complementary; scale of inputs versus outcomes is part of the equation.
Place marketing measurement framework incorporating time and budget.
The above isn’t a mathematical formula and there are always factors that can shift a metric from one bucket to another, but it’s a start to show what’s possible with what’s available. We'd all love an equation that was more straight-forward, but that just isn't the case here.
What’s the value in brand marketing for places?
This could go in a lot of different directions, but we’ll keep it focused on smaller programs, since brand marketing is less valued at lower budget levels. If you have €50,000 or €100,000 of discretionary budget to spend, do you look to brand and content marketing, or instead to more traditional lead generation services to power economic growth? Good question, and the answer depends on factors like:
Do you want short-term or long-term outcomes? Beware of continually putting your efforts into the same bucket every time. Long-term transformation opens the door to metrics beyond cost-per-lead.
Is this funding one-and-done or something that will repeat year after year to drive long-term success? Truly moving the needle is hard to do without consistency over time.
Do the current dynamics (for example, a strong existing pipeline) allow you to dedicate more resources towards a future horizon rather than the one right in front of you? A strategic marketing program can take longer to wind up and generate wins, but if done right, it can also be the gift that keeps on giving for years to come, whereas business development can be more immediate when turning it on and off.
There is no one-size-fits-all. In fact, C Studios offers a variety of marketing services for this reason. We can help customize programmes to meet you where you are, because we believe there are many paths to a destination. There’s rarely only one solution, but across all, we believe heavily in making sure there’s a marketing element to warm the environment for sales.
And that’s the way to think about marketing measurement — getting your message in front of a target audience more frequently and in a credible way, so they're more likely to convert once “the sell” happens. How do you measure place marketing? Through influencing brand touchpoints, improved perceptions and eventually, with enough consistency and longevity, higher-level outcomes.
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