How CMOs Saved Millions with a New B2B Operating Model (2X)

Case Study:

How Three B2B Marketing Leaders Reinvented Their Operating Model and Saved Millions Real-world examples of Marketing as a Service and the business benefits that can be achieved from it

How Three B2B Marketing Leaders Reinvented Their Operating Model and Saved Millions

A new path to cost savings and operational excellence

As a marketing leader, you are always looking for innovative methods to drive revenue and help your business grow while trying to save on labor expenses, scale marketing initiatives faster, and expand your marketing channel reach. And the reality is you can’t afford to fall short when delivering on these objectives because you want your department to be seen as a revenue driver, and not a cost center. This reality presents a renewed sense of responsibility and importance in the position marketing leaders hold as a driver for agility and responsiveness, which pushes them towards decentralizing their operations. However, according to Gartner’s 2019 Marketing Organizational Survey, “More than half of the survey respondents expect to deploy a decentralized organizational model by 2022, but only 20% of them have that model in place today.” Though decentralization works to speed up processes, it could result in misaligned marketing goals and a flurry of hiring in-house personnel for roles that don’t quite have enough work to justify full-time employees.

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© 2020 2X | Marketing as a Service. All rights reserved.

How Three B2B Marketing Leaders Reinvented Their Operating Model and Saved Millions

Enter Marketing as a Service (MaaS), an operating model that outsources marketing execution to an offshore team of experts in specialized marketing areas such as demand generation and campaign execution that includes functions like data analysis, graphic design, and content—work that is critical to a company’s branding and positioning—to name a few. Many CMOs today are reallocating their budget and redistributing their marketing functions leveraging this operating model, which enables them to do more with less, closes the skills gap in their operations, and helps increase marketing revenue impact. With a MaaS operating model, you can save up to 50% on run cost and allow yourself and your internal teams more capacity to build, strategize, and focus on the future of your business while the MaaS team executes your marketing to the fullest and helps you overcome operational challenges. In this white paper, we will take a dive into real-life examples of MaaS’ practical application for three of our clients and how they:

Reduced marketing labor expenses

Increased compound annual growth (CAGR)

Achieved greater business savings

These case studies will also present different scenarios that illustrate the function of a MaaS model and team for each client’s unique needs, how the MaaS model helped them overcome operational challenges, and the business benefits they achieved as a result.

© 2020 2X | Marketing as a Service. All rights reserved.

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How Three B2B Marketing Leaders Reinvented Their Operating Model and Saved Millions

Case Study 1: Enterprise software provider saves 56% on marketing headcount

Growing your business and scaling marketing while saving on headcount One of 2X’s very first clients, a leader in enterprise software solutions, was looking to expand business beyond US operations and into new markets like Europe, the Middle East, and Africa (EMEA) as well as the Asia Pacific (APAC) region. The client had its in-house marketing team but needed to scale beyond current functions and were on the lookout for options that would help achieve that without costing more. The goal was to find a way to add new marketing skillsets and functions on a lower budget. Leveraging insider knowledge of your target markets to expand your reach The client adopted a MaaS model in March of 2018. 2X was selected to deliver support for a wide range of functions, including content production, design, and campaign and marketing operations. This resulted in the company making significant cost savings on headcount by 56% on average per role—as a highly skilled team of ten offshore at 2X, including digital marketers, content specialists, and designers, can be obtained at a price equivalent to three of their US counterparts. This partnership also provided more than three times as many resources for the same budget and enabled the client to stretch said budget without compromising other services. One of 2X’s first major tasks came in the form of a campaign project—to market the client’s solutions across the entire APAC region. 2X leveraged a “campaign-in-a-box” team in Malaysia that would be in charge of handling campaign planning and execution, from conceptualization and content creation to campaign optimization. In doing so, the client would be able to expand US-based activities and focus more on strategy at home base.

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© 2020 2X | Marketing as a Service. All rights reserved.

How Three B2B Marketing Leaders Reinvented Their Operating Model and Saved Millions

Going to market and building awareness in a brand new region 2X’s overall aim for this campaign was to generate demand across the APAC region, particularly in Southeast Asia where awareness of the client was lowest, and to target the C-suite and high-level management. The team successfully leveraged social media channels to drive respondent take-up rate from the industry, with an ad budget split between Facebook (52%) and LinkedIn (48%). Within a span of eight weeks, 2X delivered on this task and garnered the client these outcomes:

Eight-Week Campaign Impact with MaaS

Generated marketing qualified leads (MQLs)

Lead quality of target respondents

of respondents frommain target market 60% (C-suite and high-level management)

Exceeded target of 200 , totalling up to 214 respondents

Contact and lead enrichment

Amount generated from closed-won opportunities

leads obtained in a brand-new market 214

achieved from a total of 12 closed-won deals $1.042 Million

“ ” 2X is truly an extension of our marketing team.

Chief Marketing Officer at this Enterprise Software Company

© 2020 2X | Marketing as a Service. All rights reserved.

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How Three B2B Marketing Leaders Reinvented Their Operating Model and Saved Millions

Case Study 2: Fortune 500 enterprise software company achieves 67% savings with a new marketing operating model Streamlining work and gaining visibility of marketing operations in a large organization For large enterprises with multi-tiered structures, process management and decision- making can prove to be a challenge. Add to the mix corporate hierarchy, teams working in silos, and limited communications across functional teams and you have yourself a Sisyphean task. Another 2X client, a global provider of Software-as-a-Service (SaaS) and enterprise technology solutions, faced this predicament. When it came to marketing data and analytics, the client’s situation was compounded since every marketing activity and every tech platform in the marketing stack generates data, and that comes with its own problem—each activity and platform could have different owners. The client needed to gain a clearer view of its marketing activity, funnel, and impact, and were searching for a cost saving means of accomplishing that. Achieving scale, overcoming operational challenges, and improving work quality The client had had experience outsourcing work to various vendors and thought to do the same with its marketing. 2X was employed for its MaaS operating model that offers the fundamental marketing tools, expertise, and resources at an extremely competitive price compared to that of the US market. 2X started with an offshore MaaS team of eight supporting North American operations, which helped reduce average cost of marketing headcount from almost $200,000 fully burdened per year to an average of $50,000 fully burdened per year, helping the client overcome the restrictions and limitations that arose from being a much larger enterprise. Within a year, 2X’s MaaS operating model helped fill in the gaps, doing things that the client’s teams had very little time to focus on, let alone action, including: Copywriting and editing nearly 800 requests from 59 marketing managers completed by two 2X writers Digital campaign asset production e-mail production time reduced by 20% and complex microsite build time by 58%

Account-based marketing (ABM) customized one-to-one microsites produced for key clients and prospects

Intent data management and reporting booked/won value from engaged accounts increased by four times year-over-year

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© 2020 2X | Marketing as a Service. All rights reserved.

How Three B2B Marketing Leaders Reinvented Their Operating Model and Saved Millions

Getting four times the results on the same budget By outsourcing marketing execution and placing it in the hands of 2X, the client was able to attain three to four times the results using the same budget. This also enabled marketing executives to focus on core initiatives to improve the quality of marketing, thereby delivering an increase in growth rate and profit margin for the organization. As of November 2019, the client achieved these business benefits using the 2X MaaS model:

One-Year Impact with MaaS

New sales pipeline

Audience-based marketing (ABM)

Cost savings

savings on headcount and functions hired for 67%

achieved frommultiple intent data programs $446.6 Million

• Expanded program to more accounts • Influenced $246.5 Million

in pipeline from digitally engaged ABM targets

“ ” 2X has helped us scale our marketing at outstanding economic value. VP of Demand Generation at this Enterprise Software Company

© 2020 2X | Marketing as a Service. All rights reserved.

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How Three B2B Marketing Leaders Reinvented Their Operating Model and Saved Millions

Case Study 3: Major IT consulting firm reduces cost per opportunity by over 30% Stuck in a marketing rut – lacking scale and innovative resources This client, a management consulting firm specializing in IT optimization and transformation, was running on a very old website and immature digital marketing engine. Its operational teams also lacked a fair amount of infrastructure and transformative resources, especially for marketing, with emails as the primary outreach campaigns and new content production limited to every three to six months. The client’s $36 million in overall sales pipeline provided little visibility into ROI without the capabilities to measure the specific impact frommarketing activity. And on top of that, program costs were being split between nine different agencies. The client was in need of a long-term fix and looked to more cost-effective alternatives to deliver a growth plan. This resulted in the company letting go of its US-based vendors in favor of investing in an offshore marketing solution. Cutting costs and expanding marketing capabilities on a budget The client chose 2X’s MaaS operating model to help support marketing optimization initiatives for the company. The MaaS model, as well as the 2X servicing team’s efficiency and expertise, enabled these milestones by:

Transforming their website to include over 300 content items

Providing daily reports and summaries of new leads, engaged prospects, web traffic, and site visits Leveraging advanced intent data tools and marketing automation software to improve conversion rates Increasing engagement with a retooled lead generation engine that created an inbound pipeline of live deals

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© 2020 2X | Marketing as a Service. All rights reserved.

How Three B2B Marketing Leaders Reinvented Their Operating Model and Saved Millions

This was a strategic move for the client. Within two years, the company achieved 36% compound annual growth rate (CAGR), reduced cost per opportunity by over 30%, and expanded its marketing capabilities with five new conversion optimization functions — increasing time on page, growing lead rates, reducing bounce rates, enhancing mobile experience, and continuously improving content experience — all at a flat marketing budget. Here is a breakdown of the client’s other business outcomes:

Fiscal Year Impact with MaaS

Increased by $11 Million Marketing-sourced sales pipeline

Marketing revenue impact (MRI)

Marketing qualified leads (MQLs)

in one fiscal year from direct and indirect bookings $14.3 Million Achieved

• 505 MQLs generated from 2,000 contact ABM target list • 60% MQL to SAL conversion rate increase

“ ” 2X is the driving force behind our revenue growth Chief Executive Officer at this IT Consulting Company

© 2020 2X | Marketing as a Service. All rights reserved.

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How Three B2B Marketing Leaders Reinvented Their Operating Model and Saved Millions

Driving business agility with MaaS In today’s competitive, fast-changing business landscape, you need to continuously fine-tune your marketing expenses to focus on the fundamentals that make your organization great. That means keeping strategic functions in-house to ensure centralized messaging and strategy, while outsourcing execution functions to enable you to engage specialized B2B resources with cost-effective scale. Offshore outsourcing of your marketing operations to a MaaS company like 2X can help you boost your presence across industries in a big way, with the necessary agility to drive revenue impact and grow your business for the future—without having to do all the heavy lifting on your own. All you need to do is leverage the expertise of the extended team to streamline processes and deliver the marketing needs and results you are looking for. Conclusion

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© 2020 2X | Marketing as a Service. All rights reserved.

Contact us to explore how you can start your journey to cost savings and impactful B2B marketing with a MaaS operating model. ask@2x.marketing

Westlakes Three 1055 Westlakes Drive Suite 300 Berwyn, PA 19312 United States

About 2X With its global headquarters located outside of Philadelphia, PA, USA, and delivery operations based in Kuala Lumpur, Malaysia, 2X is a pioneer in B2B Marketing as a Service, which enables marketers to operate with greater impact at a significantly lower cost than the market average. Our unique operating model focuses on execution and operations, providing the agility and expertise to help CMOs solve marketing problems faster and smarter, with a world-class team of B2B marketers specializing in a variety of functions—frommarketing operations and data analytics to content creation and campaign optimization—as the building blocks to our success.

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