2) More B2B funding means more talent wars
Although venture capitalist (VC) investment globally declined for the third straight quarter in Q3’22, funding levels have remained resilient across some B2B tech sectors, including capital-light enterprises in software.
According to Earlybird Venture Capital in a McKinsey report, investors are much bolder and relentlessly invest in growth in B2C businesses in the US. In B2B, however, European start-ups are excelling due to what they see as the region’s technological advantage and the early value creation that comes from customer relationships. The report goes on to reveal that European B2B start-ups have better funding efficiency because they generate more value per invested capital.
As B2B brands continue to seek creative ways to connect to growth, their biggest challenge is finding the necessary talent to execute their objective, particularly as more funding is pumped into the B2B sector. Competition is fierce.
For instance, more than half (57%) of B2B marketing leaders have found it hard to recruit talent to work in martech or marketing operations, saying that the market needs marketers with the required martech, data, or marketing ops skills and knowledge.
This challenge will continue to intensify in 2023 as businesses compete for the best PR and marketing talent. As a result, B2B brands and their agency partners need to invest smartly in professional development and talent retention initiatives to secure the much-needed B2B professionals to build brands, creativity, and growth, particularly those that operate in specific B2B niches.
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