Read time: 9 minutes
Choosing the right demand generation vendor is crucial. Your vendor should be a partner who helps drive results and supports your strategic goals. But what happens when that relationship starts to fall short? Research from Forrester discovered that as many as 80% of buyers are dissatisfied with the vendor they chose.
This growing dissatisfaction shows how important it is to regularly evaluate your vendor partnerships. In fact, research from Accenture found that 80% of frequent B2B buyers have switched suppliers at least once within a 24-month period due to misalignment. After all, continuing to work with a vendor that isn’t delivering can be more damaging than starting fresh with someone new.
In demand gen, sticking with the wrong partner just because it’s easier is a costly mistake. The best companies regularly audit vendor performance and aren’t afraid to make changes when needed.
A smooth transition takes planning, but when done right, it’s a growth move not a disruption and ‘big names’ should not be automatically on the plan just because of their name, when their ROI doesn’t stack up.
- Will Smibert, CEO
Recognising when it might be time to switch vendors and understanding how to navigate this transition effectively are crucial steps toward enhancing your marketing performance.
In this article, we’ll discuss the signs to look out for and the best practices for switching demand generation vendors without disrupting your marketing efforts.
5 signs it’s time to switch vendors
The decision to switch vendors is not one to take lightly, but there are clear signs that it might be time to make a change. If any of the following issues are affecting your demand generation campaigns, it could be an indication that your vendor isn’t the right fit anymore.
1. Inconsistent lead quality
At the heart of demand generation is the quality of the leads you’re generating. If your vendor is failing to deliver the leads you need - whether it’s due to mismatched targeting, poor lead scoring, or incorrect data - it can derail your entire campaign.
Wisernotify claims as many as 61% of marketers say that lead quality is their biggest challenge. High-quality leads should meet your criteria, anything less can harm your bottom line. And when the leads provided don’t convert or engage as expected, it means your vendor is either missing the mark on their targeting or lacking quality assurance.
The consequences of poor lead quality go beyond just wasted budget; they also waste the time and effort of your sales team. If your vendor isn’t helping you achieve the lead quality you need, it’s a sign that it might be time to look elsewhere.
2. Lack of transparency and communication
The relationship with your vendor should be based on trust, and that’s often built through clear and open communication. If you find yourself struggling to get answers to questions, receiving vague responses, or experiencing long delays when seeking information, it’s time to be concerned. You should never feel left in the dark when it comes to critical campaign metrics, lead sourcing, or performance reports.
If your vendor is hiding behind generic reports or doesn’t provide access to the data you need to make informed decisions, they’re not fostering a healthy partnership.
If a vendor isn’t upfront about where their leads come from or how they’re optimising campaigns, you’re flying blind and taking their word for it. If a vendor isn’t willing to be fully transparent, you’re already on the back foot and you need to understand if they are the vendor you really want to be trialling.
- Will Smibert, CEO
3. Poor performance and ROI
Performance and ROI are the ultimate measure of a vendor’s effectiveness. If you’re seeing a steady decline in campaign results or if your metrics aren’t meeting agreed-upon goals, this should raise a red flag. Your vendor should not only be able to execute campaigns but also fine-tune them based on performance data to achieve continual improvement.
This could manifest in a variety of ways—whether it’s a drop in lead conversion rates, lack of audience engagement, or underwhelming outcomes despite optimisation efforts. According to HubSpot data, the average cost per lead across industries is $198. If your CPL is consistently rising without an improvement in lead quality or conversions, it’s a sign that your vendor isn’t delivering sufficient ROI.
A poor ROI can also stem from vendors who charge higher fees without delivering the expected value, making it harder to justify the expense. If your marketing investment is no longer yielding the expected results, it's time to reassess your vendor and consider a switch.
4. Inflexibility and limited capabilities
Flexibility is key. As your business grows and evolves, your B2B demand generation needs will shift. Whether it's customising targeting options, shaking up your content syndication approach, optimizing content distribution, implementing more advanced data integration, or scaling campaigns to new regions, your vendor needs to be adaptable.
If your current vendor can’t scale with you or if they’re unable to accommodate specific campaign requirements - such as suppression lists, custom targeting, or data integration with your existing CRM or marketing stack - it can create roadblocks that hinder campaign success. A lack of flexibility in adapting to new technologies or approaches can also indicate that your vendor is no longer equipped to support your growth. Vendors who offer limited capabilities or are unwilling to innovate alongside you risk jeopardising your demand generation efforts.
5. Pricing no longer aligns with value
It’s natural for businesses to want to get the best possible deal, but pricing isn’t everything. The right vendor will offer services that match the value they provide, and if you find yourself paying more without seeing a corresponding increase in service quality, it’s time to reassess.
Over time, prices can rise due to inflation, operational costs, or changing market conditions. However, if those price increases aren’t accompanied by better performance or expanded capabilities, it could signal that the value you’re getting from your vendor no longer justifies the cost. Additionally, if you’re aware of vendors offering similar or superior services at a better price point, it’s a clear indicator that you should switch demand generation vendor.
How to switch vendors without disrupting your marketing goals
Once you’ve decided it’s time to part ways with your current vendor, the next step is to make the transition as smooth as possible. The goal is to ensure that your marketing efforts continue to run effectively during the switch, without causing disruptions or gaps in your campaigns. Here's how to do it:
Assess and document your needs
Before you start the search for a new vendor, take time to assess your marketing strategy and document your exact needs. Ask yourself:
- What services are critical for your campaigns?
- What do you need from your vendor in terms of lead quality, communication, support and reporting?
By fully understanding your requirements and expectations, you’ll be better equipped to select a vendor that aligns with your goals. Whether it’s specific campaign objectives or performance benchmarks, documenting these needs ensures you don’t miss any key criteria in your search. Additionally, understanding where your previous vendor failed will help you avoid making the same mistakes with a new one.
Research and shortlist potential vendors
The next step is to start researching potential vendors. This is a crucial part of the process, as choosing the right vendor can make or break your campaigns. Look at vendor websites, case studies, client testimonials, and any reviews or independent assessments. Create a shortlist of vendors who appear to offer the right services at the right price, and consider their ability to meet your unique needs.
Don’t just look at the features they offer, consider their reputation, the quality of their customer support, and how well they align with your company's values and culture. A vendor who understands your business and can be responsive to your changing needs will be far more beneficial than one who simply ticks all the technical boxes.
Consider creating a checklist (or download ours!) that includes vendor pricing, lead quality guarantees, reporting transparency, and integration capabilities. This will help you compare potential vendors side by side and make a data-driven decision.
Recommended download: Demand generation vendor comparison worksheet
Test before you commit
One of the most important steps in vendor selection is testing. Instead of jumping straight into a long-term commitment, run a small pilot campaign to evaluate the vendor's performance. This allows you to see firsthand how they handle lead generation, communication, and reporting.
Use this test to assess the following:
- Are they proactive in managing your campaign?
- Do they deliver on their promises?
- Are the insights in their reporting useful and actionable?
Running a test will give you valuable insights into whether the vendor is a good fit for your business before you fully commit to a larger contract.
The wrong partner can drain budgets, slow down pipeline velocity, and frustrate sales teams with weak lead quality. Too many vendors overpromise and underdeliver, which is why testing before committing is so important. A pilot campaign shouldn’t just be a tick box, but a necessity to spot red flags early.
- Will Smibert, CEO
Break up the right way
Parting ways with a vendor can be uncomfortable, but it's important to handle the situation professionally. Review your contract for any exit clauses, notice periods, or penalties associated with early termination. Adhere to the terms of your agreement and give appropriate notice to avoid any legal or financial issues.
When informing your current vendor about your decision, it’s helpful to provide constructive feedback on why you’re choosing to move on. This can help maintain a professional relationship and even leave the door open for future collaboration should circumstances change. Keeping things amicable will make the transition smoother and ensure that both parties remain professional throughout the process.
Plan a smooth transition
Transitioning from one vendor to another can be complex, the trick is the timing. Ensure there’s no gap between the end of your old vendor’s campaign and the start of the new one. You don’t want to risk missing out on lead generation during the transition period.
Coordinate with both your outgoing and incoming vendors to ensure all necessary data, leads, and assets are smoothly transferred. Negotiate clear handover terms with your current vendor, ensuring that any remaining leads or campaign assets are fully delivered before terminating the contract. Ensure that your CRM and marketing tools are integrated with the new vendor’s systems and that you’re fully prepared to launch campaigns right away. Make sure to update your internal teams so they're on board with the transition and can be prepared for the switch.
Sometimes a break up is for the best
Switching demand generation vendors can be a difficult decision, but it’s one that may ultimately lead to better results for your business. When you recognize the signs of a poor partnership in your B2B marketing efforts and take proactive steps to transition smoothly, you’re setting your team up for success. With a strategic approach, you can find a vendor who meets your needs and drives the performance you’re looking for.
If you're considering making the switch, now is the time to evaluate your options and find a vendor who aligns with your goals. The right partner can deliver better lead quality, clearer communication, and a more effective return on investment, helping you take your demand generation strategy to the next level.
