The surprising 10 ‘decisions drivers’ that factor into B2B software deals

Business Business may be getting a tad personal as B2B buyers put “I feel safe signing a contract with them” at the top of their decision criteria

Dentsu, a global creative agency, is out with a new study about B2B buying decisions. The report is partly based on 3,528 interviews – and more than 14,000 interviews since 2021.

Among the findings are that buyers have more companies on their “short list,” more decision-makers are involved in the purchasing process, and being the incumbent vendor on the list is no guarantee.

Like other recent studies, it also found that sales cycles are getting longer. Dentsu put the average time to close a deal at 379 days. That up 54, days or about a month and a half, since 2022.

It also bears a warning sign for B2B marketers: buyers don’t understand how your product is different.  For example, the study found that 71% of B2B marketers interviewed believe their marketing is “communicating a distinct brand position” or a strong unique selling proposition (USP). By contrast, 68% of buyers indicated that’s not true.

If buyers have to spend more time figuring out what you do and why your product is unique then one of two things will happen: they won’t or it’s going to take them a while to understand the difference – which adds time to the decision-making process.

The good news is the study says businesses can shorten the sales cycle by as much as 27% by delivering a better overall experience:

“Our research shows a strong correlation between a better buying experience – measured by strong performance on the top decision drivers for B2B buyers – and commercial impact.”

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Business The top 10 ‘decision drivers’ in B2B procurement

It’s those ‘decision drivers’ that stood out the most. When you look at the top drivers, some of these are quite personal. That might seem at odds with conventional wisdom. Quips like ‘it’s not personal it’s just business’ might not ring so true anymore.

Those top 10 drivers – in order of precedence – with a commentary follow below.

1. “I feel safe signing a contract with them.”

Move over nostalgia, personal safety is at the top of the list for B2B buyers. It’s reminiscent of the old trope “Nobody got fired for buying from Big Blue.”

How do you make people feel safe? You communicate – and communication requires a feedback loop – with them honestly and do it consistently over time.

That builds trust. It’s also the foundation of a brand.

2. “Is known as being a good employer.”

This is one for 2023. It’s an employer’s market right now. Big tech companies are reporting fat margins, and then laying off thousands of employees. The human resources horror stories circulating right now are mind-numbing.

There’s a risk to this and would-be customers know it. If you treat your employees poorly, then prospective customers don’t want to do business with you.

3. “Active thought leaders in their category / sector.”

If you are a B2B technology company, thought leadership isn’t optional, it’s the biggest marketing lever you have. There is no cheap and cheerful path to thought leadership. Good thought leadership is not easy; if it was, everyone would do it. Don’t skimp here.

4. “Comply with regulations, law, industry standards & ethical practices.”

This seems obvious. Two areas to watch for ethics and regulations are a) privacy and b) generative artificial intelligence.

5. “Takes care of its suppliers, business partners and communities.”

This goes hand in hand with treating employees well – and it’s the sort of perception that’s formed over time. If you treat your partners poorly, then customers assume you’ll treat them poorly too.

6. “Is a brand that aligns with my personal values and ethics.”

This one has slipped a bit. It was third on the list last year – and for most companies – my sense is this is on the way out. Personal values and ethics quickly give way to partisan politics – and my own scientifically valid survey research shows it’s a fool’s errand. Stay in your lane, take care of your people, be a good corporate citizen, and only weigh in on issues that have a clear and direct influence on your business.

7. “Meet my company’s minimum quality / functional needs.”

I was surprised this one is so low on the list – but I suppose solving a business problem is table stakes. You’ve got to do that much just to make the shortlist.

8. “Support us with expertise.”

Thought leadership isn’t just about new sales – it also helps keep customers. Other studies of thought leadership show that incumbents risk losing a customer if someone new does a better job with such content. This Dentsu study seems to reinforce that idea.

9. “Offer enough variety and choice.”

You don’t have to do it all, but you do have to do enough.

10. “Provides the support, information and expertise we need.”

Businesses often talk about “partnering with customers” – and as it turns out they really mean it.

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 I first read about this study in MarketingWeek. The full study is freely available for download here: The Superpowers Index (opens in PDF) by Dentsu.

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