As people return to work after the holiday season, the tone from business leaders is cautious. Adjusting after several years impacted by the pandemic, ongoing geopolitical issues and economic uncertainty, companies are re-evaluating their priorities and looking carefully at purchasing decisions.
A new joint study between Edelman and LinkedIn, surveying 3,500 business decision makers, reveals that 64% have already tightened their procurement processes. Meanwhile, 44% expect to be personally less receptive to sales calls and marketing outreach as economic conditions tighten.
Sales cycles will be extended, and marketing will need to work harder to nurture conversations and cut through. The study shows that quality thought leadership can be one of the most effective tools for marketing professionals in this climate. Our research found that 69% of decision makers agree that thought leadership is one of the best ways to get a sense of the type and calibre of an organisation’s thinking, with 61% willing to pay a premium to organisations that can demonstrate both depth of thought and similar values.
Put people first: the old adage that ‘people buy people’ remains true today and is even more important during uncertain times.
As budgets are cut, 55% of executives say that products and services deemed ‘nice-to-have’ rather than ‘must-have’ will be where any necessary spending reductions come from. And because thought leadership is deemed the most effective tool for demonstrating a provider’s potential value, it offers a unique opportunity to persuade customers of a product or service’s necessity – more so than traditional advertising or product marketing.
Six ways to embrace the power of thought leadership in a downturn
Key insights on what business buyers expect from the content they consume from the research.
1. Fresh insight cuts through
During a downturn, people are hungrier for fresh insight. Over half (48%) of respondents agreed companies can move from being seen as a ‘nice-to-have’ towards being a ‘must-have’ by identifying new opportunities or trends stemming from an economic downturn. Content should focus on explaining how their organisation can help a business do well despite tough conditions (44%) and enabling executives to be more effective and successful in their job (44%). In short, thought leadership is all about helping customers to understand how a challenge can become an opportunity. Within the marketing mix, thought leadership is the natural home for providing the advice, new perspectives, and insightful data that can make this happen.
2. Embrace the power of experts
Put people first: the old adage that ‘people buy people’ remains true today and is even more important during uncertain times. With buyers more selective about responding to sales calls or marketing outreach, thought leadership is more effective than other marketing activities at focusing on your smartest experts, providing a reassuring, personal perspective and platform for sharing their knowledge and practical advice.
Bringing in trusted third parties, such as analysts, academics, policy makers, industry bodies and business professionals, who have experienced similar scenarios, can help open doors to busy decision makers who may be less responsive to other marketing activities.
The study shows that 67% of buyers want to hear the point of view of an identifiable author and are frustrated when companies simply publish content which isn’t attributed directly to an individual. Deep subject matter experts are also sought after, far more than more corporate senior executives talking in general, high-level terms about their own organisation.
3. Bite size content cuts through
Over half of respondents agree that making thought leadership quick, easy-to-consume and engaging is key (51%). High performing thought leadership strikes a balance between being authoritative and provocative yet also personal and entertaining. For busy potential buyers, this can be a key factor in whether an organisation can capture attention during tough times. Formats like podcasts, LinkedIn Live, Tik Tok for Business or serialised, ‘bite-sized’ content can also make information easier to digest while sitting alongside more in-depth analysis.
4. Data points matter
Reference robust research with strong supporting data was also key for almost half of respondents (49%). There is a risk during uncertain times that companies focus on proprietary insights from within their own organisation, reusing existing data or trying to cover too many areas within one campaign. Given customer needs are likely to change with the economy, new data, primary research and fresh insights all become more important and powerful as a result.
5. Challenge assumptions
Maintaining the status quo is not an option for brands who want to connect and cut through. The research underlines that offering provocative ideas which challenge existing assumptions (48%) is vital. The challenge with some thought leadership content is that it can often simply validate current thinking or amalgamate existing industry approaches. Fortunately, third parties and alternative voices can help here. For example, for a thought leadership campaign for our client Shell, we spoke to Audrey Tang, Digital Minister for Taiwan, about faster, more inclusive decision making by the Taiwanese government during the pandemic. Doing so allowed us to provide a unique perspective on how similar approaches could accelerate business transformation in large, complex industries.
6. Share practical advice
The research revealed that sharing concrete guidance on how to respond to industry issues or opportunities discussed is important to 45% of respondents. Business decision makers are seeking more practical advice and applied thinking that can help them: deal with immediate issues; spot opportunities emerging due to economic conditions; or protect and develop their careers during tougher times. By providing rich, informative guidance linked to topical industry issues, thought leadership can help you build an authoritative voice in your market.
As business buyers ask themselves “where to cut back, what to prioritise and who do I trust for advice”, quality thought leadership can be a powerful tool in positioning your company and its people as trusted, essential partners through 2023 and beyond.
To learn more, download the full Edelman & LinkedIn Thought Leadership Impact Report here.
A version of this piece was originally published on Creativebrief.