Editor’s note: Join GovExec’s Frank Salatto and ACS’ Stephanie Holland for a webcast on Thursday, June 24 at 1pm ET as they share How to Build a Scalable Content Marketing Studio. Free for AM&P Network members, register here.
“I’m looking for ideas. Every time I call a publisher, I hear about their rate card—that’s not what I want. I will never read your rate card.”
That’s a direct quote from Jason Abbate, VP of Strategic Accounts at B2B agency Stein IAS, at a joint publisher/marketer event hosted by AM&P Network and ANA Business Marketing shortly before the pandemic turned the world upside down.
Abbate summarized both the opportunity and the challenge facing B2B media and association publishers. Marketing services revenue—including content marketing, native advertising, advanced lead gen—has grown faster than digital display advertising for several years now but jumped to the forefront last year as advertisers shifted budgets away from canceled live events to digital solutions.
Now, as events start to return, publishers need to keep the momentum they’ve developed with digital solutions and solve the biggest challenge with building a robust marketing services and content marketing business—the shift from selling products and placements to selling ideas while creating a model that scales profitably.
Strategy Before Story
American Chemical Society (ACS) created a content marketing lab several years ago, which positioned the association well for the pandemic.
“Because events went away, how do our advertisers get revenue and leads?” said Stephanie Holland, ACS Director of Advertising Sales and Marketing, at the recent Reset, Reinvent, Revenue conference. “A lot of our advertisers became publishers on their own. We had to contend with that. With our publishing studio we could partner with them to recoup some marketing dollars.“
When it comes to selling ideas, not products, Holland and her team prioritize four points in making a pitch:
- Strategy before story
- Solution-based selling, not tactics
- Understanding the advertiser’s goal
- Know what success means to your client
Because costs can quickly spiral out of control, ACS keeps a close eye on project margins, including the development of pricing tools to determine the level of effort required before a proposal is issued and mapping to that document throughout the project execution.
A successful marketing service business requires publishers to break out of the siloes in which they may normally operate. “The projects transcend groups internally,” says Holland. “Our goal is to ensure the scope is clearly communicated before the project begins.”
Marketing Services Driving Overall Growth
Marketing services has always been tied closely to events for GovExec (which recently rebranded from Government Executive Media) but in 2020 came to the forefront by helping customers meet their event objectives when live events came to a standstill (and finished the year with revenue up 43 percent as a group while helping to drive 20 percent topline growth for the overall company).
“It wasn’t just about helping customers achieve their event objectives with us but their event objectives writ large,” says Frank Salatto, Vice President and General Manager of Marketing and Communications at GovExec. “Honestly, we were part of the conversation with clients like never before in how to rebuild their event programs.”
GovExec transitioned quickly to an all-digital environment by turning large live events into multi-part integrated digital programs and using content as the connector to drive audience from one touchpoint to another.
“Digital events were part of that but it’s a series of digital events that would allow you to recreate what you would get with a live event but in between those you need additive content that keeps the conversation going,” says Salatto.
Data collection and diverse capabilities helped GovExec keep revenue whole for all but one live event booked prior to the pandemic.
“There is opportunity in the data that you can collect,” says Salatto. “That’s always been a pain point for live events. But in digital we know what customers are interacting with across a much longer time-period and we know more about them including how interested they are and how ready they are to buy.”
Branded websites proved to be a winner for GovExec last year and continue to be a key product in 2021. “That turned out to be a great vehicle for brands to tell their story and drive sustained engagement over time but also a way for us to have a center piece for really large, long term programs and have tack-on revenue beyond the initial build,” says Salatto.
GovExec is looking to capitalize on its stable which includes branded microsites, immersive articles, video and audio, digital event integration and data visualization.
“We believe this is sustainable and there’s room to grow,” says Salatto. “The net of this is that 14 out of our 15 top clients have marketing services central to the program they bought with us. We are not a huge piece of the revenue pie as an individual unit but we are a driver of topline revenue and a significant part of the pathway to bigger revenue programs.”