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“99% of people are running on the wrong path, and only 1% of people calm down and find the right direction.”
When it comes to promoting To B (business to business) and customized categories, the biggest fear is not insufficient budget, but the wrong direction.
Many business owners invest heavily in advertising and online promotion , only to find that the ROI (Return on Investment) is pitifully low, sometimes even worse than not investing at all.
This is a typical example of "working hard in the wrong direction is more terrible than not working hard at all". So, how can we promote accurately and avoid detours? Let's talk about this topic today.
1. Key indicators are unclear and there is no sense of direction
When promoting To B and customized products, the core indicators are actually very simple, just three:
- Number of consultations(Are there any customers coming to you?)
- Consulting costs(How much does it cost for each customer to find you?)
- Inquiry conversion rate(Of those who came, how many transactions were completed?)
These three metrics determine the effectiveness of a promotion. Inquiry volume and cost per inquiry are related to advertising placement and operational strategies; inquiry conversion rate depends on the capabilities of customer service and sales.
But many people don’t see it this way. They only focus on “how much advertising did I put in and how much revenue did it bring?”
If promotional activities do not revolve around these three core metrics, then all efforts will be in vain!
2. If you don’t know how to calculate, ROI becomes a “metaphysics”
The most typical layperson's approach is to focus on the return on investment (ROI) to see if advertising should be increased.
If a large order comes in one day, the ROI will be particularly good, and everyone will try to increase their investment; if the order amount on that day is small, the ROI will not be good, and the budget will be cut immediately.
This is like losing weight by staring at the numbers on the scale. If you eat one less meal today, you will feel that you have lost weight tomorrow. This does not grasp the core at all.
3. Accurate accounting method: stability + periodic returns
So, how do we judge whether an advertisement is effective? The key lies in two points:
- Is the volume of consultations stable?(Only when traffic is stable can conversion be predicted)
- Are the consulting costs acceptable?(Don’t let single-day fluctuations affect your judgment)
When calculating ROI, it's advisable to look at the return over the entire cycle rather than short-term data . This is because the decision-making cycle for B2B orders is long; it can take weeks or even months for a customer to go from initial inquiry to placing an order. Short-term ROI may not accurately reflect the true situation.
Only by looking at the overall returns over the long term can we accurately calculate the "maximum affordable consulting cost".
4. Break down promotion actions around key indicators
The growth in performance is not achieved by a single link working alone, but is the result of the cooperation of multiple aspects such as product, advertising, and sales.
What the boss needs to do is to analyze which link needs to be optimized the most:
- The product is good, but the number of inquiries is low? This indicates that there is something wrong with the advertising and promotion strategy.
- The number of inquiries is good, but the conversion rate is low? This indicates that the sales and customer service capabilities are not good enough.
- High consulting costs and low ROI? Maybe you didn’t choose the right advertising strategy.
If you can't analyze the problem and can only make decisions based on gut feeling, then a low ROI is inevitable.
5. The core logic of promotion: focus on the number of consultations and costs
For B2B and customized product categories, the core logic of our current strategy is stable advertising + intelligent planning + precise control.
Often, we don’t deliberately pursue short-term explosive growth, but rather focus on:
- Are the volume and cost of consultations stable?
- Is the overall ROI within an acceptable range?
As long as these two core points are stable, the investment can continue.
6. How to expand a product after it is stable? Copy it!
Many people mistakenly believe that if a single product becomes a hit, they should drastically increase the budget. This is not the case. The volume of individual products in the B2B/customized product category is usually limited, and it is difficult to make a large profit from a single product.
The correct strategy is:
- Multi-category layout(Different customer needs, matching different products)
- Multi-store operation(Increase coverage and reduce competitive pressure)
- Multiple price strategy(Different price ranges to attract different customer groups)
We don’t pursue single product hits, but rather pursue single product ROI to maximize overall profits.
7. Can it be further optimized? Extreme segmentation!
To achieve an even higher ROI, you can also target specific regions, industries, or niche markets.
such as:
- A single link directly to a province(Jiangsu, Guangdong, Zhejiang, etc.)
- Targeted delivery to specific industries(Medical, Education, Manufacturing, etc.)
The more precise, the higher the ROI, and the benefits are magnified by quantity.
Summary: Promotion methodology for To B/customized categories
- Focus on core indicators: consultation volume, consultation cost, and inquiry conversion rate
- Don’t make decisions based on investment and production, look at long-term ROI
- Promotion, operation and sales form synergy
- The core logic of advertising: stabilizing the number of consultations + controlling the cost of consultations
- After the single product is stable, the replication strategy is expanded
- Extreme segmentation to improve ROI
The B2B/customized product category is still a relatively "blue ocean" market. As long as the product has an advantage and the operation is slightly better than the competition, it is possible to achieve a "lower dimension attack".
Many people complain that Taobao , Baidu, and information flow ads are changing too fast, but isn't that an opportunity?
The smart choice is to be fast, strategically plan, and fleece your competitors! 🚀
Hopefully, the article "To B/Customized Product Category Online Promotion Strategy: How to Avoid Pitfalls and Achieve Precise Breakthroughs?" shared on Chen Weiliang's blog ( https://www.chenweiliang.com/ ) will be helpful to you.
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