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October 09, 2024

David Randolph

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Senior Vice President of Strategy

In 2022, Alloy delivered research that redefined the customer lifecycle conversation for B2B tech brands. Our post-pandemic survey highlighted a key shift: B2B tech companies were prioritizing their existing customers over chasing new business, with 73% accelerating revenue goals for current clients and 41% reducing their focus on acquiring new ones. We predicted this change would reshape the way global tech brands approach sales and marketing.

Now, two years later, the landscape has evolved further. With challenges like increased regulation, the AI boom and political uncertainty, we revisited the conversation to see how these factors are influencing today’s customer lifecycle.

1. All eyes are still on the customer

We found that the focus on existing customers remains as strong as ever, with 91% of respondents confirming that they’re still emphasizing customer retention—a slight dip from 93% in 2022. Industries like fintech, banking, cybersecurity, and enterprise IT are even more dedicated, with up to 100% of companies in these sectors prioritizing their current customer base.

However, the motivations behind this focus have shifted. There’s less emphasis on upselling new products—14% fewer companies are looking to sell new solutions compared to two years ago. And, while competition is still a concern, it’s no longer the main driver. Instead, the slowdown in net new sales has placed increasing pressure on customer success teams to protect existing revenue.

2. Customer satisfaction takes center stage

In 2024, customer satisfaction has officially outranked acquisition as the top priority for B2B tech brands. When asked to prioritize their customer lifecycle goals, brands overwhelmingly placed "customer satisfaction/NPS scores" above "customer acquisition," signaling a deeper commitment to delighting current clients.

This focus is also reflected in revenue objectives. While 61% of companies are still increasing their goals for growing existing customer revenue, that’s a 12% drop from 2022. But for the companies that remain committed to this strategy, they’re doubling down—30% are reducing their emphasis on net new sales, up from 25% in 2022.

3. We are in our digital engagement era

The pandemic has forever changed how brands engage with customers, and in-person contact is still not back. Digital channels have taken the lead, with websites, customer portals, email marketing and content marketing ranking as the most effective tools for building customer engagement and loyalty. These digital platforms are where companies are pouring their budgets, with 76% planning to increase spending on these channels in the next year.

Certain industries are leading the way—fintech, enterprise IT, and clean tech brands, along with 100% of cybersecurity companies—significantly ramping up investments in digital engagement.

4. What this means for B2B tech

Our 2024 findings make one thing clear: the customer lifecycle remains at the core of B2B tech strategies. Companies are investing more heavily in digital engagement to retain their existing customers and focusing on satisfaction over acquisition. The future of B2B tech is customer-first, and the key to success lies in mastering the digital channels that drive loyalty and engagement. Now more than ever, tech brands must evolve to meet these demands or risk being left behind in an increasingly competitive landscape.

At our core, we understand brands and their goals, but more importantly, we understand buyers. By helping you be on-brand, all of the time, we deliver results—from identity and interface to corporate comms and media relations. Need help with this evolution? Contact us.