According to DCS analysts, the discretionary budget allocation this year is substantially higher as a percentage of new project spending than in years past, indicating that buyers are in a wait and see mode about the economy, allocating as little as possible up-front in order to remain more agile to capitalize on growth opportunities, efficiency improvements or competitive investments.
Because much of the new project budgets will remain up for grabs in 2012, there is a unique opportunity for sales and marketing to consultatively and proactively convince the buyer that:
- A need exists and it is a priority,
- If the need is solved, it could return tangible and significant financial and competitive reward,
- The proposed solution, is viable and can deliver significant return on investment (ROI) and fast payback.
Another significant trend revealed in the survey is that buyers are more empowered, skeptical and frugal than ever before, a condition called Frugalnomics. The survey reveals that buyers are:
- Taking charge of the buying process, using more resources and spending more time to research opportunities and potential solutions,
- Demanding more financial due diligence on each solution option, making sure it will deliver tangible return on investment, fast payback and superior competitive value,
- Relying more on peers and live case studies to help validate their decisions.
The Frugalnomics trend means that sales and marketing needs to proactively:
- Deliver content to help buyer’s adequately research opportunities and solutions,
- Provide financial justification and business case tools to prove return on investment (ROI),
- Provide live customer testimonials and advocate communities to help buyers learn from peers the best way to solve opportunities with the proposed solutions.