Should more mentorships be given to budding start-ups and would this improve the face of the performance marketing industry long-term?
Considered by some still as a fledgling industry, the performance marketing sector has had its share of stigmas; from bad practices and fraudulent behaviour, to short-lived endeavours and get rich quick operations.
However, as the strength of the industry grows and scores of successful players and companies continue to thrive globally, more businesses are now looking at helping others get a foot on the ladder.
American B2B company IDS Technology Marketing, has this week announced that it will provide marketing, sales and lead generation mentorship to 20 technology start-ups and entrepreneurs.
By teaming up with the Tallwave High Tide scheme, a competition which offers promising start-ups a place on its renowned accelerator program, IDS will take on sponsorship of the semi-finalists.
Scott Salkin, IDS founder and CEO of the Arizona-based lead generation and marketing agency, dedicated to helping technology companies and start-ups grow, said the company is best placed to share its knowledge on lead nurturing and marketing automation, channel marketing, lead generation and more.
“As a marketing agency that focuses on technology companies and start-ups, this is a unique opportunity for us to lend our experience and expertise to a programme that's developing the kind of innovative entrepreneurs that will continue to build Arizona's economic engine,” Salkin said.
The aim of the High Tide scheme is to discover the next generation of innovators and market leading companies. The coaching will help the participants take their products and services to market and build their demand engines.
Devious-Intended Will Not Survive
Executive director of the California-headquartered Performance Marketing Association, Rebecca Madigan, said mentor schemes and incubator-type opportunities are good for the industry as they allow for a concentrated effort and focus on the industry.
Although, on the question of whether more mentorships would serve to stamp out bad practices and poorly run start-ups, Madigan said companies succeed and fail for many reasons. She said ‘there is no magic formula or guarantees’ and that bad practices and poorly run start-ups are found in every area - and are not unique to the performance marketing space.
Madigan said: “The winners will be market-driven. They will solve consumer problems or business problems, they will create new commercial opportunities and they will move the industry forward. The poorly conceived or devious-intended won't survive and investors need to be savvy to place their investments wisely.”
More to Come
Bundy said the subject of mentoring and incubator schemes for start-ups is a ‘fascinating topic’, and one that will continue to get more attention over the next few years.
It was only recently that Bundy herself met with Brent Holliday, founder and CEO of Vancouver-based Garibaldi Capital, which focuses on exactly this - investing in smart tech start-ups with innovations that are going to give larger companies huge competitive advantages.
“I believe incubator-type schemes, mergers and acquisitions will become more of a booming industry in itself within the performance marketing space, and we encourage investors to come in and help drive the industry forward,” Bundy said.
“Performance marketing brings a level of technology, creativity and global presence that is hard to find elsewhere and I'm happy to see more companies getting involved in sponsorship and incubator style investments that the industry can benefit from.”
Aaron Goldman, chief marketing officer from US Global marketing platform Kenshoo Social, echoed Bundy’s thoughts and said that formal mentor and incubator programs can be great for start-ups in any industry, but especially performance marketing where the rules of the game are changing daily.
“With the proliferation of new technologies, many start-ups get tunnel vision chasing product innovations and can use coaching around creating sustainable business practices,” Goldman said.
Interested in more of the latest developments in performance marketing across the globe? A huge array of delegates from global programme managers and directors, to vice presidents and C-level executives, will be attending the Performance Marketing Insights Conference in New York this March. The two-day event takes place at the prestigious Crowne Plaza Hotel in central Manhattan from March 12-13. For more information visit Performance Marketing Insights.