We’re a Canadian-based company with Canadian and U.S.-based clients.  We use marketing tools from Canadian and American vendors. Moreover, we use a lot of Software-as-a-Service tools that securely store some of our business data and information “in the cloud”.

So, like our clients and many Canadian companies in general, we collect data from our prospects and customers that could be stored and/or processed in a foreign country.  We’re not legal or privacy experts, so you need to seek appropriate counsel when dealing with these issues in your business.

Because of our expertise in B2B marketing and automation tools, we are often asked about the significance of PIPEDA as it relates to business-to-business marketing (here’s a link to some great privacy resources for organizations on the Privacy Commissioner of Canada’s website).

We’re also asked about common and best practices with respect to the collection, processing, and storage of marketing data in the course of marketing and selling to other businesses (as opposed to consumers).

For the sake of context, one of the big concerns for Canadian companies storing or processing data in the United States is the U.S. Patriot Act. The executive summary version is that the Act permits U.S. law enforcement officials to access any personal information about any individual without that person’s knowledge or consent.  The Act would enable access to personal information of Canadian individuals if that information was physically or electronically located within the USA.

If you want deeper background reading on the subject, I recommend taking a look at the well-written FAQ page and more detailed Report on Assessment of Privacy Concerns Related to the USA Patriot Act published on the Treasury Board of Canada Secretariat’s website.

From the perspective of Canadian privacy compliance, any business collecting personal information needs to be aware of the implications of storing and/or processing that information in the USA.  Some Canadian companies seek out data management solutions that keep all personal information within Canadian borders, while others employ other risk management strategies.

Here are the key considerations for Canadian B2B marketers

Personal information, as defined in PIPEDA, does not include things like the name, title, business address or telephone number of an employee of an organization.  This is spelled out very clearly in a fact sheet about PIPEDA compliance on the Privacy Commissioner of Canada’s website.

Our advice to B2B marketing clients is typically two-fold:

1. Seek expert guidance and counsel from your corporate lawyer and privacy experts
2. Write a privacy policy for your website that includes explanations in clear, plain terms that:
   • your company is not collecting personal information which would be covered by PIPEDA
   • your company will only collect business information about an individual
   • as a matter of best practice and full disclosure (but NOT PIPEDA compliance), data collected through your website may be stored and or processed in a foreign country. (see the Privacy Commissioner’s website for more advice on disclosure)

Many B2B companies are under-utilizing technology and the Internet. They’re relying instead on tried and true methods of generating leads, including directories, vertical media, telemarketing and direct marketing.

Of course, B2B marketing managers can never forget the power and influence wielded by their own sales group, which favors solutions that work now to identify prospects and drive same-quarter sales. Risk is indeed a four letter word.

However, the B2B marketing environment is currently undergoing a radical shift, largely because of the impact of technology on purchasing behavior. Customers today expect more value, information, and responsiveness than traditional channels can deliver.

As a result, basic product data sheets and brochures are sales table-stakes that no longer create incremental demand. Lead generation is saturated with too many companies chasing prospects in those traditional channels. Buying cycles are starting earlier because there is more up-front pre-sales contact research by purchasers.

In fact, more than 85% of B2B purchases now start with research on the web, and 80% of B2B purchasers state they have directly sourced their purchase options. The increase in blogs, discussion groups, analyst reports and online media is forcing B2B brands to compete in brand new ways when providing relevant and valuable information to purchasers.

B2B companies that are not fully leveraging technology and the Internet to acquire customers are losing potential sales every day. Many of their prospects are lost because most B2B websites are brochureware (we call them ‘b-nodes’).

In fact, fewer than 3% of B2B web visitors convert to prospects, because b-nodes are not SEO-aligned with what customers are searching for during the pre-purchase phase of the buying cycle. Not only that, many B2B marketers make a sporadic and inconsistent effort to refresh or improve their websites.

The gap between what would-be customers want to know, and what B2B marketers are telling them, presents a tremendous opportunity.

Smart marketers are working with marketing firms built to service the digital marketspace. They’re technically-adroit and Internet-savvy. They provide a roster of services designed to drive sales by enhancing the alignment between B2B marketers and their customers.

B2B buyers doing pre-purchase research online might not be on your radar yet, but they’re definitely out there. They’re tapping away on keyboards just out of view, over the horizon. They’re swapping ideas on social media sites like Twitter and Facebook. Of course, they’re also looking for information on Google. About 85% of B2B purchases begin that way.

What do your prospects want to know right now? Knowing the answer to that question will increase your understanding of your potential customers and their purchase triggers. Being ‘in the know’ can guide you as you add resources to your website, packing it with the sort of timely, useful and relevant information your prospects care about most. It can also be a huge advantage for your sales team.

Turning your site into a value-packed ‘knowledge node’ on the web will elevate your company above competitors who have set up static ‘brochure nodes’. You’ve seen plenty of those. A brochure node is a website which contains information about the product or service being sold, but nothing else. Companies whose websites are brochure nodes make no effort to add fresh content about the things that prospects are actually searching for. Whatever you do, don’t be one of those companies.

Transforming your B2B website into a knowledge-node can drive your business in three ways:

1. Knowledge nodes attract prospects.  There are people searching on Google right now for something you know.  Bringing your B2B website into alignment with real-time search behavior makes it more likely that prospects will find your business online. If you’re a B2B marketer, it’s up to you to discover who those people are and what they want to know. It’s not that difficult. You can use web analytics tools to track their search behavior in real time.

2. Knowledge nodes educate. When your prospects are ‘in the know’, your sales team doesn’t have to waste time educating them. Instead, salespeople can focus on what they love to do: selling.

3. Knowledge nodes build relationships. Consistently sharing useful knowledge on the web builds authority, trust and a positive reputation for your company. Freely giving would-be customers what they want to know by transforming your B2B website into a knowledge node makes prospects more likely to buy what you’re selling.

Take a look at your website. Is it a brochure node? Or is it a knowledge node?