Why tech scale-ups fail without a communications strategy
Did you know that even the most groundbreaking technology cannot guarantee the success of your tech scale-up?
It’s a common misconception that solving an industry-wide problem is enough. Yet, the reality is starkly different. Let’s dive into why a comprehensive communications strategy is not just beneficial but essential for your tech business to flourish in today’s competitive market.
The tale of missed opportunities: A closer look at Argo AI
Take Argo AI, for instance. This company was at the forefront of autonomous vehicle technology, developing advanced software, hardware, maps, and cloud-support infrastructure. Despite operating in a sector hailed as the future of transportation, Argo AI struggled to effectively communicate its ongoing value and secure the necessary funding for continued operation, ultimately leading to it being disbanded.
This example underscores a critical truth: without a solid communication strategy that aligns with your commercial goals, even the most promising tech scale-ups risk fading into obscurity.
The power of a strong value proposition in scaling your business
A compelling value proposition is the cornerstone of any successful business. It articulates why your company exists, what it does better than anyone else, and why your customers should take notice. For tech start-ups, this means not just identifying a gap in the market but owning it. Without a clear, concise value proposition, it’s challenging to communicate your potential or tailor your messaging to highlight your benefits in a compelling way.
“For me, it [EC-PR’s communication strategy workshop] brought the organisation together, and it really helped us to say, “This is what we do, this is the difference that we can make.”
Adrian Barnwell, Sales Coach at Deloitte added “You’ve got to be really clear, about what you’re going to do and what you’re not going to do. And what you’re not going to do is a lot longer list of stuff than what you will do.”
The fastest way to blow your marketing budget – ignore target client personas
Understanding your target audience might seem straightforward, but it’s often more complex than anticipated. Identifying the perfect customer profile involves more than just demographics; it’s about aligning values to create meaningful connections. When your marketing misses the mark, it not only wastes your budget but can also steer your business in the wrong direction, stunting growth and success.
“[If you] get the messaging wrong, you won’t get the responses that you’re after. It’s as simple as that. And you’ll need more money and effort to get the outcome that you require.
If your communications are poor, either in terms of the content or tone of delivery, it can also really harm your reputation.”
By meticulously crafting customer profiles and personas, you’re not just targeting; you’re engaging with real people, addressing their needs, fears, and aspirations.
Target persona example
Here’s a simplified example of a B2B persona:
- Name: Operations Olivia
- Role: Head of Operations at a mid-sized manufacturing firm
- Pain Points: Supply chain delays, sustainability targets, pressure to reduce costs
- Goals: Improve operational efficiency, source reliable partners
- Preferred Channels: LinkedIn, trade publications, industry webinars
- Buying Triggers: Proven ROI, peer recommendations, case studies
Courting your customers: messaging for each stage of the buying cycle
With a clear understanding of your value proposition and who your customers are, the next step is to communicate effectively. This means creating tailored messages for each stage of the buying cycle, ensuring that you nurture the relationship from initial brand discovery to a point where your brand is not just recognised but preferred.
“We need to nurture the connection from the point of brand discovery to the point where they are aware of your brand, they can remember your brand, and ultimately they prefer your brand.”
Is the board onboard? Creating a pathway to scale-up success
A startling finding from a recent poll during one of our webinars indicated that only 6% of tech start-ups have a board-level champion for their communications strategy. However, having this advocacy at the highest level is crucial. A communications strategy isn’t just a document; it’s a roadmap for growth, brand building, and market engagement. Board-level support signifies a commitment to not just drafting but actively implementing and living by this strategy.
Don’t leave your success to chance
An incomplete communications strategy is a ticking time bomb for tech scale-ups. Without a deep understanding of the market and a clear plan for engagement, your business is left vulnerable in a sector where innovation and visibility are key to survival.
- Prioritise developing a comprehensive communications strategy that encompasses value proposition, customer profiling, buyer personas, and targeted messaging.
- Engage a board-level champion to guide your journey to success.
2i did this and Dave Kelly, CEO reported 18 business benefits as a result. Don’t believe us? Take a look at the 2i case study.
Your tech scale-up has the potential to not just succeed but to redefine the market. The first step? Ensuring your communications strategy is as innovative and robust as your technology. Our guide, Pathway – your 8-step communication strategy, is a great resource to help you figure out what you need to do next.
If you missed our panel discussion on Your Pathway to Killer Communication that Converts – you can catch up now.
Are you ready to elevate your tech scale-up with a comprehensive communication strategy?
Reach out to us to discover how we can help your business thrive.
Your 8-Step Communication Strategy Guide
A comprehensive guide to delivering your business goals using intelligent and relevant messaging.
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