Although many B2B marketers have managed to weather the initial effects of the COVID-19 pandemic, new research suggests that the effects will continue to be felt in the months ahead, especially in the tech space.
LinkedIn recently published the Age of Agility global report. Statistics show that most companies (34%) intend to reduce their technology spending compared to spending before COVID-19. This suggests that it may be tougher for B2B marketers working in this sector. Only 13% of respondents said they will increase their B2B tech spend compared to before the pandemic.
Overall, 30% of companies intend to maintain their B2B tech spending compared to pre-pandemic. Only 13% of respondents said they suspend all of their B2B technology spending.
Marketing Technology Investment and COVID-19
It may surprise some that technology spending is falling, but previous research has shed light on the direct impact of the pandemic on marketing technology (martech) budgets.
Gartner conducted the “Marketing Technology Survey 2020: Cost Pressure Forces Martech Optimization and Innovation”. Data showed that most marketers (58%) were forced to cut their martech budgets due to COVID-19.
Of those who cut their budgets, about 39% tried to focus on existing vendors and in-house users to advance existing tool adoption strategies without purchasing new martechs. Almost 41% made greater use of their current martech stack to avoid investing in new technologies.