TLDR: Getting a new tool often seems like an attractive solution to a pain point, but without careful planning and an audit of the solutions in your stack and on the market, another tool to manage = another problem to solve.
Why bring in new tech When your team has a pain point or stress-inducing process to iron out, adding a new tool to your stack often seems an attractive solution. Perhaps leadership brings experience of using a certain tool to solve the problem at hand. They might know of comparable companies using a piece of tech and benchmark your stack against theirs. Or, they’re excited by the promise of results — ‘plug-and-play’ accessibility, increases to revenue and productivity that justify the investment.
How to assess new tech: Beyond the hype, however, these flashes of inspiration alone aren’t solid enough reasons to adopt another new tool. As we write in the Martech Optimization White Paper, careful planning, evaluation, and an audit of what’s currently in your stack are crucial to identify the most sensible solution for your business. Without these, more tools can easily add complications, go to waste, or run counterproductive to what you’re trying to achieve.
What’s in this article for you? In this Tough Talks Made Easy, we’ll help you influence a more critical approach to tool adoption to maximize the return on your dollars and your time. You’ll learn how to:
➡️ Assess new technology adoption
➡️ Understand the demands and challenges of a new tool
➡️ Evaluate your current tech stack and the options on the market
Sometimes, leadership will advocate for a tool they’ve used in previous companies.
While the solution may have the correct capabilities to solve the problem at hand, selective experience with a tool can cause decision-makers to view it through rose-colored glasses.
If they only began to use the tool after the implementation or ramp-up period were completed, they’re likely unaware of the more challenging elements of getting off the ground. You need to ensure the solution that leadership advocates for has the correct capabilities to solve the need at hand.
👉 Downplayed complications during sales process: During the sales cycle, the complications of running a tool are often downplayed. Vendors might portray a solution as “out of the box” with minor setup, or demo a version of the tool with features, integrations, and reporting already well-established. In reality, the baseline you see in demos won’t be there when you first configure the tool. Ramp-up periods can be prohibitive, and 6 to 12 months down the line, you might be miles off achieving the results you were promised.
👉 Stagnation in your tech stack: When the effort involved in managing a tool far outstrips expectations, and you haven’t planned to inherit the responsibility, that tool can sit in your stack gathering dust. Before leadership takes the plunge, advise them to wait until you’ve gathered feedback from current customers—get a real shot of truth about what it takes to onboard, implement, ramp up, maintain, and get results from the solution.
👉 Assessing impact and viability of new tools: Leadership needs to know if any shift in headcount occurs from using the tool, whether customers are using it to accomplish what you’re aiming for, and the renewal vs. churn rate past the initial contract. Before your CMO reaches a decision, they should be able to answer key internal questions: What are the hours involved with adopting this tool? Who’s responsible? Do we have the budget to give that person additional compensation or to hire someone new to run point? Given our investment, what kind of revenue and productivity lift can we expect?
Tools are vehicles for results – to get anywhere, you need a driver.
Getting a handle on the practicalities will help leadership identify if a tool is right for your needs or viable for your resources.
Mid-to-large organizations often lack a deep understanding of what’s in their tech stack.
When departments have the size and autonomy to buy their own tools, there might be significant overlap between the functionalities of tools owned by different teams.
If this is the case, leadership should explore the possibility of adopting a solution that your organization already uses.
Start by reviewing any documentation that outlines the tools in your workplace. If your organization already owns the functionality you’re after, speak with the tool owner and spend some time using the solution to get a sense of how appropriately it addresses your needs.
An important point for leadership: You might find a tool that facilitates what you’re looking for, but not in the most competitive or sophisticated way.
For any internal or external tool you assess, establish where it stands in the market
👉 Is this solution best-in-class or tertiary in its lane?
👉 Can this tool evolve with your business and perform long-term?
C-Suite’s are after the greatest possible ROI, and that comes by choosing the tool you’ll need five years from now.
Confidence in how a tool’s functionalities and integrations work is crucial to making that assessment.
If there’s a risk of integrations or data flows breaking down between updates, for instance, flag this to leadership. Any manual processes or convoluted workarounds a tool introduces compromise your ROI. Conversely, a tool that’s less adept at generating revenue might save the team significant amounts of time — productivity gains that prove ROI.
The martech boom shows no signs of slowing down, which means plenty of noise to cut through.
✅ Be intentional with martech investment to work smarter and achieve more.
✅ Balance your current and long-term needs.
✅ Size up the options in your stack and on the market.
✅ Determine the ROI from adding a new tool into the mix.
✅Plan carefully for how you’ll use it.
For any guidance on evaluating your tech stack or the martech landscape, Revenue Pulse is here to help.
P.S. Want more ideas for improving your tech stack? Get a copy of our MarTech Optimization White Paper