Building B2B growth through trust-context and community-led approach

Improving B2B conversions by minimum of 30%. Adopting a trust-context and community-led approach not only nurtures genuine relationships but also paves the way for sustained business expansion

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In the B2B world, there are different kinds of people who play a role in deciding whether to buy something. Let's look at most important of them:

1. Buyer: This is the main person who says "yes" or "no" to buying. They often look at the price, if it's worth it, and if it will help their business in the long run.

2. Influencer: Think of this person as the friend who gives advice. They might not decide, but they have a big say. They'll give their opinion on whether it's a good or bad idea to buy something.

3. User: This is the person who will actually use what's bought. They care about how easy it is to use, if it works well, and if there's help available if they run into problems.

Now, these people have different needs when it comes to buying:

1. Social Needs: It's about fitting in. Does buying this product make them look good or help them get along with others in their business community?

2. Emotional Needs: It's about feelings. How does buying this product make them feel? Relieved? Happy? Confident?

3. Functional Needs: This is the basic stuff. Does the product do what it's supposed to do? Does it solve a problem for the business?

4. Psychological Needs: This is a bit deeper. It's about how buying this makes them see themselves. Does it match their business goals or dreams?

Now, the question is,

Are there other ways we can cater to different needs of Buyer, Influencer or User, to set up the Trust-Context for speeding-up the buying process?

We look at it as…

Engaging with them before selling the product/service to set up the trust-context. This way, selling a product / service itself becomes “Upselling”, which is far easier than selling without a trust context.

For top leaders (CXOs, Founders)

• They look for Exclusive Business Networking: A chance to meet and mingle with other big shots.

• Personal Brand: Anything that boosts their image and reputation in the business world.

For the team leaders or heads:

• Exclusive Insights: Special info that can give them an edge.

• Networking Opportunities: Meeting peers to swap stories and advice.

• Closed Space to Discuss Challenges: A private zone to talk about problems without any judgement.

For the regular folks doing the work (Jr/Mid-level):

• Problem Space To-Dos: A place to list and tackle everyday issues.

• Expert Events: Get-togethers where they can learn from the pros.

• Jobs: Opportunities to move up or find new roles.

Analysing Drop-Off Points across stages of Customer Funnel in b2B

There are various drop-offs in B2B customer funnel which have been noticed over a period. Community led growth can prevent these drop offs and accelerate the conversion across each funnel step. Let’s analyse each step and take an example of a B2B AI SaaS Productivity Tool.

Acquisition:

Usually, businesses focus on individuals actively seeking solutions. But what about those who aren't actively looking? The key lies in preemptive problem-solving. Instead of only marketing to those expressing a need, Can we educate, enable and market the broader market on potential challenges, making our solution a consideration even before the need becomes dire?

For an example of a B2B AI SaaS Productivity Tool.

• Without CLG (Community-led growth): Check out our revolutionary product that can enhance your productivity by 5x using AI.

• With CLG (Community-led growth): Join our dialogue on boosting professional productivity by 5x with AI. We're creating an exclusive group of AI, Business, and Productivity leaders to discuss, brainstorm, and evaluate the top tools for AI-driven productivity.

Activation  

Activation shouldn’t just be about account creation. How can we pique curiosity to drive spontaneous product trials? Can we provide sneak peeks, engaging demos, or share captivating success stories? Can we make the initial experience so intriguing that prospects can't help but dive in?

For an example of a B2B AI SaaS Productivity Tool.

• Without CLG (Community-led growth) - Continuous mailers on "Signup for the free trial and Explore our product".

• With CLG(Community-led growth)

  • Build a productivity grader with the help of productivity leaders from the community 

  • 1:1 message to all engaged members -- "Happy to share an exclusive access to our latest technological innovation. Signup, try, and evaluate your current productivity gaps."

  • After events, content, newsletter… share the typical productivity concerns, sample reports, actionables, free trial to customize and personalize the outcome.

Retention

Lead engagement often becomes a cycle of case studies and follow-ups. Can we imagine a system where the product experience itself drives retention. Can we introduce features that users didn’t even realize they needed? Can we create self-serving portals or communities where users can share, learn, and grow, anchoring them to our product?

For an example of a B2B AI SaaS Productivity Tool.

• Without CLG (Community-led growth) - Checking with the customer team about the product experience. Help them solve their specific use-cases on productivity. Help them uncover productivity challenges and solve them through the tool.

• With CLG (Community-led growth)

  • Everything covered in "Without CLG" plus Productivity Leaders Insights, Leader Meetups on Productivity.

  • Enabling interaction with other users.

  • Recognising and Rewarding the top customers who have broken the glass ceiling on productivity.

  • Focus groups on solving specific productivity challenges, product support forum.

Monetisation

In a crowded market, standing out to decision-makers is tough. Instead of just showcasing features, Can we emphasise alignment with their goals, values, and challenges. Can we organize workshops or brainstorming sessions with potential clients to co-create solutions, ensuring they feel a deep-rooted connection with our offering?

For an example of a B2B AI SaaS Productivity Tool.

• Without CLG (Community-led growth) - Showing business reports, case studies, competition benchmarks, product usability and experience, trial outcomes.

• With CLG (Community-led growth)

  • Everything covered in "Without CLG" plus Existing Customer Interactions, Event Guest or Panel Member.

  • Recognition as a productivity leader amongst organisations, guest at community interview series, community-newsletter showcase

Advocacy 

Post-purchase, the relationship often turns purely transactional. To combat this, Can we continuously offer unmatched value—whether through top-tier support, exclusive content, or continuous feature updates? When customers see the relentless value, Will they become vocal advocates, creating a ripple effect of organic growth?

For an example of a B2B AI SaaS Productivity Tool.

• Without CLG (Community-led growth) - To ask customers of sharing a testimonial and feedback. To ask for referrals and the post on social media about their quality experience with the product.

• With CLG (Community-led growth)

  • To enable customers for a networking and brainstorming event with other community members. 

  • To lead the focus groups on special productivity challenges and how they solve.

Analysing Drop-Off Points across stages of Growth Journey in B2B

There are various potential customer drop-off scenarios in B2B growth journey. Let’s understand through growth curve…

As per Everett Rogers, growing a B2B venture, it's crucial to identify different audience segments. Initially, you'll entice innovators with cutting-edge solutions. Then, the early adopters come in, looking for a strategic edge. As the curve dips, the challenge is enticing the early majority—those pragmatists who wait for tried-and-tested solutions. Post this chasm, the late majority steps in, typically when the solution becomes an industry norm. Lastly, the laggards come aboard, often when they have no other choice. Recognising where each prospect fits and tailor the strategies accordingly is a mix of science and art.

Let's dissect potential drop-offs in the customer funnel that might be encountered at each customer segment  of the "Crossing the Chasm" curve:

Innovators 

- Perception that the product isn't sufficiently groundbreaking.

- The product is too mainstream or doesn't cater to the specific niche they're passionate about.

- Insufficient channels for feedback and contribution.

Question: How can we emphasize our product's novel approach and encourage open dialogue with these tech pioneers? Can a community of innovators help us build the novel approach in the product?

Early Adopters

- The product doesn't align with their strategic vision.

- Processes that don't resonate with the forward-thinking nature of this group.

- Lack of visible long-term potential in the product's evolution.

Question: Are we mapping out and communicating the transformative potential of our product? Will they be interested in joining our community of innovators to get confidence on our strategic vision and product long term potential?

Early Majority

- Insufficient proof points, testimonials, or case studies.

- The product doesn't integrate well with existing systems or solutions.

- A perception that the product is still too new or untested for broad adoption.

Question: How are we bolstering the trustworthiness of our product and ensuring it fits into the larger ecosystem of solutions? Would they be interested in joining our community and get all the required inputs to make a purchasing decision?

Late Majority

- The product seems too complex or unfamiliar compared to what they've always used.

- Concerns about the company's ability to support and guide them in using the product.

- Product pricing doesn't align with their perceived value.

Question: Are we offering sufficient transition support and aligning our value proposition clearly with this skeptical audience? How about adding community as a part of customer funnel and enable trust through customer interactions?

Laggards

- A sense that the product is unnecessary or overly complicated.

- Reluctance to move away from traditional systems or processes.

- Lack of clear incentives or value propositions that resonate with this group's conservative tendencies.

Question: How can we emphasize simplicity, familiarity, and undeniable value for these traditionalists? How about giving them exclusive access to customer events and networking with experts to share their thoughts and get required confidence?

Ways B2B companies can plan for incorporating CLG

• Building your own

• Buy existing one

• Partnership with existing one

What about mathematics of improvement in conversion outcomes?

The improvement in conversion rates from acquisition to monetisation is atleast by 30%. The community-led and trust-context helps improve the drop-offs at each stage by 5% to 10% as per the positioning and value-creation touch.

• Impact of CLG (Community-led growth) on stage in customer funnel

  • Acquisition → Increase by minimum 10%

  • Activation → Increase by minimum 10%

  • Retention → Increase by minimum 5%

  • Monetisation → Increase by minimum 5%

• Delta (33% increase) → CVR * 1.1 * 1.1 * 1.05 * 1.05 → CVR*1.33 (33% increase)

  • For example -- If earlier conversion rate was 0.7%. The new conversion rates are 0.7% * 1.1 * 1.1 * 1.05 * 1.05 → 0.93%

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