Our inaugural study focused on six B2B product categories—Business Intelligence, B2B AI, CRM, Cybersecurity, Database Management and Marketing Automation—to identify themes across B2B Products. The study began with a simple prompt to thousands of B2B buyers across these categories: Given these three market leaders by market share, “Which companies/brands do you see challenging these leaders over the next 5-10 years?” The findings resulted in a relationship between overall brand perception and brand momentum.
Brand ranking is king
Our findings were eye opening. The initial study identified a critical determinant of purchase behavior: brand ranking. Overall brand ranking within the product vertical was the strongest single indicator of present and future purchase intent. By evaluating the brand’s current position and tracking its trajectory over time, we discovered a new measure—”brand momentum.” This momentum, if positive, serves as a predictor of future category leadership or, if negative, as an explanation for anticipated decline in growth. When looked across this spectrum, a much clearer picture emerged for each product category. Overall brand ranking and brand momentum were a better predictor of valuation premiums for earlier stage companies and explained stalled growth or profit declines for publicly listed entities.
One product category that was profiled was Database Management, where SAP, a leading incumbent, is actively challenged with AWS as a strong example of a challenger changing perspectives.
What the Index answers is what is driving that weak score from the end-customer’s perspective. SAP has negative brand momentum, led by a large share of brand detractors across every measure, influencing purchase intent and use—it is not just one thing impairing SAP, it is across the board as reflected below.
