The Human-centric Approach in B2B Marketing for Engineered Companies. Why Is "Technical and Functional" Communication No Longer Enough?

B2B marketing (Business-to-Business) for engineered companies has undergone significant transformation in recent years. Organizations are no longer asked to provide technical data and product specifications to attract customers; instead, they are increasingly embracing a human-centric approach, emphasizing the human  in business relationships. In this article, we will explore the importance of the human-centric approach in B2B marketing for engineered companies and how it can be successfully integrated into a corporate environment.

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The Transformation of B2B Marketing

When it comes to engineered companies, one can immediately picture those organizations focused on technical products, requiring detailed specifications and a rational communication of activities. In fact, until recently, B2B marketing in these sectors mainly involved communicating the features, functionalities, and the mere advantages related to products’ usage.

However, changes in purchasing behavior and evolving customer expectations, even in B2B, where the customers are literally other businesses, have pushed these companies to reconsider their marketing approach. They are now moving toward a more ethical, methodological, and communicative approach that values the people who populate their strategies and processes.

This shift represents a profound change, both in corporate culture and working methods. While in the past, organizations aimed to reach broad customer bases through impersonal communication and standardized customer profiles, today's technological innovations enable a much higher level of marketing personalization and refinement. 

B2B decision-makers can now engage in meaningful relationships with their suppliers, who now want to feel understood, supported, and connected on a personal, human level.

Are we perhaps suggesting that technical information is no longer necessary? Definitely we don’t. However, the point is that nowadays it is no longer sufficient.

If we focus on the traditional priorities of an industrial or manufacturing company, we can conclude that adopting a personalized marketing strategy undoubtedly requires a dual capacity. On one hand, there is the need for technical expertise, which is specific to the industry sector. On the other hand, in a constantly evolving context like the one we are witnessing, there is a growing necessity to address emerging and inescapable needs at the individual and subjective levels of stakeholders effectively.

A B2B marketing approach that is "future-ready" understands how to adapt to the dynamics of this significant era, based on what we refer to as a "holistic approach."

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The Human-Centric approach in B2B marketing: An "Outward" Vision 

Desires, aspirations, and goals, these core human needs, remain unchanging. What does evolve are the methods we employ to meet them. Even within the most technical sectors, human beings play a role, each with their distinct emotions and personal attributes. Human-Centric marketing redefines the conventional roles of seller and consumer, even within the B2B context where the customer is another business entity. Consequently, it is no longer a matter of addressing mere "roles," but engaging with individuals who have emotions, motivations, and personal objectives to fulfill.

"Placing people at the center" means adopting an "outward" vision: ensuring that values and empathy are not eclipsed by communication that solely centers on economic and profit-driven objectives, which can divert strategies from the needs, interests, and expectations of those on the receiving end. While it is a fact that the primary aim of any company is to boost sales, it's crucial not to conflate the objective with the most appropriate methods for accomplishing it.

After all, isn't this the hallmark of any good marketing strategy?

Implementing a human-centric approach in B2B marketing for engineered companies means:

• Creating personal connections with an authoritative but never cold or impersonal style. Authentic interactions, personalized communication, and the ability to address the needs of stakeholders are key. The keyword is "trust," the fuel of any (good) business relationship;
  
  
• Making the business process an opportunity to "create value", not only on a material level (through the provision of high-quality products/services) but also on an ethical and relational level. Today, a company's credibility comes from the continuous care of people. This includes internal services, training programs, and support for those involved in the processes. It also involves providing opportunities for listening, receiving feedback, and understanding customer desires and experiences, whether positive or negative;
  
  
• At the outset, framing organizational opportunities and projects through active listening and a vision as free as possible from false assumptions about the target's desires. The needs of users and/or customers are the starting point for any strategy. It's crucial to intercept, analyze, and evaluate how the buyer (even potential) aligns with our commercial strategy. Is the customer already aware of what can help solve their problem? Or are they still unable to recognize they have a problem? Are they already looking for a supplier, or are they still in the stage of comparing different solutions?
  
  
• Measuring the success of processes and strategies while considering relevant parameters for users, customers, or the broader stakeholder community.

 The profile of users and customers is always dynamic. For B2B marketing, this awareness is an absolute priority. You must be able to intercept preferences and ever-evolving needs.

To achieve these goals, it is crucial to create a virtuous connection between marketing and the sales network, overcoming traditional siloed separations and working synergistically towards the perfect consumer profile. This is why investing in inclusive teams and departments with cross-functional skills is an essential component of any mature human-centric approach. Diversity guarantees a flexible perspective on corporate strategies and greater openness to "out of the box" thinking.

It should always be remembered that even in the most rigid and structured production environments, people interact with other people. Maintaining consistent and authentic communication through all marketing and sales channels also means ensuring that personnel are trained to interact with customers based on this premise. This demonstrates a long-term commitment oriented toward customer success, with clearly noticeable benefits.

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The Benefits of the Human-Centric Approach

Here are some few examples of engineered companies that have successfully adopted a human-centric approach, resulting in significant improvements in their performance:

IBM

IBM is an example of a highly-engineered company that has embraced the human-centric approach, shifting its strategy from a focus on products to personalized solutions for customers. This change has led to increased revenue and the creation of stronger customer relationships.

Caterpillar

Caterpillar, a leading manufacturer of heavy machinery, has adopted an approach based on customer needs by developing personalized maintenance and support services and offering targeted technical consultancy. This evolution has contributed to improved customer satisfaction and a strengthened market position.

General Electric

General Electric has implemented the human-centric approach through the digitization of its services, using the Internet of Things (IoT) and data analytics to offer more efficient and personalized solutions to industrial sector customers. This has increased profitability and contributed to better customer retention.

Siemens

Siemens has revolutionized its marketing strategy by focusing on the human aspect and innovation. A co-design program with customers was created, involving them directly in the creation of products and solutions. This has led to improved customer loyalty and increased profitability.

In summary, the benefits of a human-centric approach in B2B marketing for engineered companies can be summarized as follows:

• Customer loyalty: strong and personal relationships can lead to greater customer loyalty and repeated sales over time;
  
  
• Competitiveness: a relationship-based approach can differentiate a company in a crowded and highly competitive market;
  
  
• Enhanced feedback: understanding customer needs at a deeper level allows companies to continually adapt and improve their products and services;
  
  
• Shortened sales cycle: personal connections can expedite the sales process, as customers are more likely to trust and make quicker decisions.

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And this is why the human-centric approach in B2B marketing for engineered companies has become essential to thrive in today's business world. Placing people at the center of marketing strategies, understanding their needs, and establishing personal connections can lead to stronger relationships, greater customer loyalty, and long-term success. This approach not only meets the expectations of modern customers, but also positions itself as a primary distinguishing factor for the company in a highly competitive market. With greater chances of success and sustainable growth.

"We must constantly remember how important the human factor is in building great teams, working effectively with our clients, and creating extraordinary organizations. Being aware of the psychodynamics of change and transformation is fundamental to the long-term success of a company".

Ronald de Jong, Member of the Executive Committee of Royal Philips, MIT Sloan Management Review (2020).

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SOURCES

• B2B Connect (2024), The Top 10 Digital Transformation Trends in B2B
• De Jong R. (2020), MIT Sloan Management Review 
• Clark C. in MIT (2023), Do Consumers See Your Business as a Force for Good?
• AA.VV. (2022), Outlook on human-centric manufacturing towards Industry 5.0
• PWC Global Innovation Survay (2013), Rethinking innovation in industrial manufacturing
• IBM (n.d.), Building a Human-Centred organization