In its most literal form, thought leadership is defined as ‘the practice of developing important new ways of thinking that influence others’ (Oxford Dictionary). It relies on high-quality information, challenging the status quo, and providing fresh, inspiring points of view. Thought leadership has become an instrumental strategy for B2B comms. Here’s why…
Standing out from the crowd
Providing consistent expert opinion puts a brand front of mind and gives it credibility. Incredibly, 64% of buyers say that an organization's thought leadership content is a more trustworthy basis for assessing its capabilities and competency than its marketing materials (Edelman - Linkedin). By demonstrating the ability to provide unique and valuable solutions, thought leadership makes a business more attractive to prospective clients. Done well, it can cut through the noise and set a company apart from its competitors.
Lead generation
In terms of lead generation, content is key, with 47% of prospectives engaging with 3-5 pieces of content before actively talking to a salesperson (Content Preferences Study, Demand Generation Report). Thought leadership is a valuable strategy when it comes to generating growth. Impressively, almost 60% of business decision-makers believe a brand’s thought leadership directly led them to give a brand their business (iResearch Services). Playing the numbers games, the stronger your content, the wider your reach and the greater the potential for new business leads.
Closing the deal
A strong thought leadership focus makes is easier to navigate the sales process. Thought leadership adds value to your offering and with a bank of content and an established influence, you have the vital resources to educate and persuade prospective clients. What’s more, over 60% of CEOs, CMOs and CFOs say they’ll pay a higher premium to the brands with a solid, clear thought leadership delivery (iResearch Services). Demonstrating a high level of knowledge provides a compelling argument – not to mention the necessary reassurance – that your business is the right fit for them.
Brand Loyalty
For companies that reach thought leadership status, client loyalty often lies with the ethos and the face(s) behind the company, not just the offering itself. Having a strong thought leader at the helm is an anchor point for clients. While inanimate and faceless products/services are easily replaceable, a respected thought leader is far harder to replicate. It’s well known that it’s cheaper to retain a client than to find a new one and, what’s more, research has shown that increasing customer retention rates by 5% increases profits by 25% to 95% (Harvard Business Review).
Driving change
As a platform for sharing knowledge, a pioneering approach can not only aid growth within the individual’s own organisation but it can influence practices within the wider market. 54% of buyers say that thought leadership is important for drawing attention to topics that news media rarely covers but are important within their industry (Edelman - Linkedin). By consistently advocating best practice, highlighting issues and delivering findings, thought leadership can be a seed for change.
Thought leadership is here to stay. However, it’s worth bearing in mind that it’s only beneficial when done well. After reading poor thought leadership content, 49% of B2B buyers claim to have had diminished opinions of a brand (iResearch Services). Poor quality information or baseless opinion can easily have a detrimental effect, emphasising the importance of having a clear strategy and vision.
