Relationships are an important aspect of all B2B marketing and sales. However, with business-to-government (B2G) sales, relationships are the key to success. No matter the nature of the business, cultivating meaningful relationships with top decision-makers in federal, state, and local government agencies can make all the difference in sales outcomes.
The public sector operates differently from the private sector, often with stricter regulations, longer timelines, and a myriad of stakeholders with different concerns. But it’s not immune to the trends that impact the marketing landscape and the future of business relationships.
Here are the biggest trends and predictions in B2G relationship marketing over the next decade.
Data Security and Privacy
Historically, the government has been slow to innovate. However, while government agencies have been moving toward digital transformation over the last decade, improving efficiency and delivering better services to citizens, that comes with additional complexity.
As governments embrace more digitization, data security and privacy are pressing concerns. Government databases create threats to privacy by allowing excessive surveillance and exposing information to cybercriminals.
In the B2G relationships, it’s crucial for businesses to not only prioritize robust cybersecurity measures and compliance with evolving data protection regulations but understand the unique challenges of individual government clients. Government agencies are vulnerable to their own cybersecurity risks and those of their third-party vendors.
Emphasis on Subject Matter Experts
Subject matter experts are vital for establishing brand trust, demonstrating thought leadership, and humanizing content. However, the standards set for subject matter experts is constantly rising.
With the influx of subject matter experts, brand differentiation is essential. Timeliness, authenticity, relevance, and innovation are key to setting a brand apart, which can be done using credible platforms like respected publications and professional associations.
In addition, subject matter experts need to address pain points instead of product-benefit narratives, especially for government agencies that may not see the real-world value of the product or service. Engaging storytelling that puts products in context can better illustrate the benefits for multiple government audiences and stakeholders.
Public-Private Partnerships (PPPs)
Public-private partnerships (PPPs) are a collaboration between a government agency and a private-sector company to fund, construct, and operate projects like parks, public transportation networks and Next Generation 911. Typically, PPPs allow projects to be completed at a faster rate – or in some cases, get the project off the ground.
The tradeoff with PPPs comes from the combination of private sector technology and innovation with public sector incentives to stay on time and on budget. These partnerships are long term, often 20 to 30 years or longer, and distribute the project risks between the public and private partners.
PPPs have become an increasingly popular way to get major infrastructure projects built, and that’s only expected to ramp up over the next decade with urban renewal and downtown economic development.
The growth of PPPs is also fueled by digitalization and technology integration. PPPs in sectors like digital healthcare, smart cities, and high-tech transportation systems are likely to grow as AI, IoT, and other technologies see increased adoption and innovation.
Sustainability and Social Responsibility
Like major corporations, governments are placing greater emphasis on sustainability and social responsibility. In fact, government focus and actions on corporate social responsibility can provide support to the private sector.
With that, governments seeking vendors in the private sector will have higher standards for environmental and social objectives. Aligning these values will become crucial to secure B2G contracts, so companies will need to demonstrate their commitment to initiatives like diversity, equity, and inclusion, sustainability practices, and other types of social responsibility.
The Emergence of GovTech
GovTech, or government technology, stands to disrupt traditional B2G dynamics – especially among agencies that have been slow to innovate. GovTech startups and vendors can digitize government processes while providing robust cybersecurity to save money, enable efficient operations, and allow agencies to deliver better services to citizens.
The emergence of GovTech offers new opportunities for businesses to provide value to government clients, such as with CAD integration, but it also increases the challenges in B2G sales and partnerships. Facing greater competition, companies must demonstrate their value to government clients and nurture strong relationships.
Purposeful In-Person Events
After the disruption of COVID-19 and a halt to all in-person sales and events. Events have made their way back into the sales process, but they need to have purpose and value for attendees to drive results.
Event marketing requires a more tailored approach with a focus on specific content and multi-touch reminders. Long lead times, increased touchpoints, and most importantly, post-event nurturing can draw the value from event appearances and networking opportunities to support B2G sales.
Revamped Content Strategy and Account-Based Marketing (ABM)
Content strategy has been an essential part of B2G marketing, but the trends in the new year may point to a shift in content approach. Upfront research and investment into top-of-the-funnel content can deliver better thought leadership and more cost-effective lead acquisition.
This also ties into account-based marketing (ABM). B2G companies have a narrower focus on government agencies than B2C or B2B companies – as well as a few key stakeholders. Ideally, ABM positions companies far ahead of request for proposals with dynamic, personalized messages, meaningful engagements, and targeted accounts and leads.
Citizen-Centric Services
Businesses across industries are prioritized customer-centric services with a greater emphasis on accessibility, user experience (UX) design, and personalized service offerings. The same is true of government agencies as they embrace digital transformation and look for opportunities to leverage software tools for success.
B2G companies with the ability to tailor their products or services to meet the evolving needs of citizens will have a competitive advantage in the market. However, it’s crucial to be able to communicate the value of a product or service to not only improve internal processes but deliver these services and experiences to citizens.
The Changing Landscape of B2G Relationships
B2G relationships are shaped by regulatory developments, technology innovation, and changing public expectations. The next decade will present both challenges and opportunities, as well as more disruptions, but companies that stay ahead of the trends can nurture valuable relationships and navigate the shifting landscape with confidence.
Author: Kevin Ruef
Kevin Ruef co-founded 10-8 Systems after exceeding multiple companies’ sales records (both domestically and internationally). With more than a decade in sales, his experience ranges from B2B, B2G, and B2C. Since the company’s start in 2019, Kevin has been responsible for business development, strategic partnerships, and business operations.
