From hidden champion to digitally invisible? Small and medium-sized enterprises (SMEs) need to rethink their sales and digital strategies – Image: Xpert.Digital
Digital Visibility: The New Challenge for Hidden Champions
Invisible online? How SMEs can connect
While many German SMEs are global market leaders in their niche markets as "hidden champions," they are increasingly at risk of becoming invisible in the digital sphere. This discrepancy between economic strength and digital presence is developing into an existential challenge. The following article analyzes why SMEs must take action, which strategies are promising, and how 2025 could become a turning point.
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The silent crisis of digital invisibility
Germany's small and medium-sized enterprises (SMEs) are traditionally the backbone of the economy, but their success story is at stake. "Hidden champions"—SMEs that are among the global market leaders in their respective sectors but receive little public attention—suffer from a serious problem: their low visibility extends to the internet and is increasingly becoming a threat to their business development.
The phenomenon is widespread: potential customers receive insufficient information about a company's offerings because they often encounter competitors instead in search engine results. In the new digital age of AI-powered search and research, complete invisibility is also a threat, particularly in the B2B sector, where up to 90% of potential customers and companies already use these AI tools.
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International job seekers too rarely receive regionally relevant information after an internet search. Even skilled workers are not adequately made aware of open positions. Furthermore, the DIHK digitalization survey reveals a worrying trend: companies currently perceive digitalization less as a driver of innovation.
Changing market conditions: New rules of the game in B2B sales
The rules of the game in B2B sales have fundamentally changed. For a long time, medium-sized industrial companies could rely on personal networks, referrals, and existing customers. But those days are over. Traditional sales channels are severely limited: trade fairs and events are losing importance, telephone accessibility is decreasing due to home office arrangements, and the classic "door-to-door" approach is no longer among the most promising sales strategies since digitalization.
The statistics speak for themselves: Between 57 and 70 percent of B2B customers have already completed their research before contacting sales for the first time. On average, B2B customers conduct twelve searches before contacting a specific company. This changing customer journey underscores the need for a strong digital presence.
The current situation of many medium-sized businesses is proving particularly alarming, as they are often affected by three key challenges:
- Dependence on the network instead of a systematic lead source
- Lack of digital visibility, no trust
- Zero control over the customer pipeline
Digitalization gap in SMEs: causes and consequences
The 2024/2025 digitalization study paints a nuanced picture of digital transformation in German SMEs. While SMEs have recognized the signs of the times and are aware of the vital importance of digitalization, a significant gap exists between awareness and implementation.
The figures are sobering:
- 82% of SMEs see digital transformation as vital for the survival of their company.
- 76% have already suffered competitive disadvantages due to a lack of digitalization.
- 71% do not have a well-developed digitalization strategy.
- 68% have difficulties with digital innovation development.
Particularly problematic: Strategic shortcomings, a lack of digital skills, and persistent legacy structures are hindering digital transformation in many companies. While a large proportion of medium-sized businesses have recognized the importance of digitalization and see it as a strategic priority, concrete implementation is often still lacking.
The year 2025 as a digital turning point
The year 2025 could indeed become a turning point for German SMEs, a pivotal moment between growth and stagnation. The B2B marketing trends for 2025 indicate that technological developments – particularly AI – on the one hand, and diverse requirements on the other, will fundamentally change the marketing landscape.
The top trends include:
- Digitalization and automation
- AI and Machine Learning
- Smarketing (symbiosis of sales and marketing)
- Hyperpersonalization and Experience
- Platform strategy
- Cross-media visibility
- sustainability
- Brand Building
- Account-based vs. performance marketing
- Privacy and tracking
Particularly noteworthy are the growth prospects for digital sales up to 2025: 40.5% of the companies surveyed anticipate growth of more than 50% in the area of "digital sales" by 2025. A further 37.8% estimate the growth opportunities at 26-50%. This underscores that 2025 will be a pivotal year.
Strategies for digital visibility and successful lead generation
Given these challenges, the question arises: How can medium-sized businesses improve their digital visibility and operate successfully in the digital space? The solution lies in a holistic digital sales strategy with targeted lead generation measures.
Building a digital sales strategy
Digital sales opens up new sales channels with customer acquisition opportunities that are customer-oriented, modern, and future-proof. A wide variety of tools and channels are used, such as websites, landing pages, social media, Google, CRM systems, and other digital sales tools.
The path to successful lead generation comprises three phases:
- Awareness phase: Raising awareness for the company and its products
- Consideration phase: Deepen interest through valuable content
- Decision phase: Leading to contact and purchase decision
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(Nice) practical measures for digital visibility (“gold but old”)
- Develop a content strategy: 81% of B2B companies report that their blog is crucial for lead generation. Through targeted content and a strong positioning as an expert or specialist, companies can build the trust of potential customers early on.
- Presence on B2B platforms: LinkedIn, in particular, proves valuable – around 80% of social media B2B leads originate from this platform. It's important to strategically target platforms where your target audience is active.
- Search engine optimization (SEO): Approximately 71% of B2B customers begin their research with a general Google search. Professional international search engine optimization enables companies to ensure they are visible to potential customers in the locations where they are searching.
- Use lead magnets: Incentives such as white papers, e-books, case studies, or blog posts attract potential customers and lead to lead generation. This high-quality content offers added value for the potential customer and facilitates establishing contact.
- Develop a domain strategy: The right domain strategy is crucial for international visibility. Companies should consider whether to work with country- or language-specific domains or use a global domain with subdirectories.
- Implementing hyper-personalization: For companies, it's no longer enough to simply adapt mailings, newsletters, and offers to customer needs. Those who want to stand out and inspire their target groups must hyper-personalize their content.
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Digitalization as an engine of innovation: From obligation to opportunity
The good news: There is enormous potential for efficiency gains, new business models, and improved customer relationships. The 2024/2025 digitalization study shows that automation and digitalization can reduce costs by 15-30% in many areas. At the same time, revenue increases of an average of 18% are possible thanks to new business models and better customer relationships.
To leverage this potential, medium-sized businesses must understand digitalization not as a necessary evil, but as a strategic opportunity. This includes:
- Investing in the brand: A strong brand identity makes all the difference, especially in times when many companies are struggling with similar challenges.
- Building digital skills: 78% of companies report a skills gap in digital abilities, while only 25% have a structured digital upskilling program. This discrepancy must be closed.
- Driving process digitization forward: 82% of companies still operate with predominantly manual or semi-automated processes. The untapped efficiency potential is enormous.
- Enabling data-driven decisions: While 82% consider data analysis strategically important, 75% lack a systematic data strategy. This gap hinders data-driven decisions and innovation.
German SMEs at a digital crossroads
German SMEs will stand at a crucial digital crossroads in 2025. On the one hand, they risk falling behind due to a lack of digital visibility and simply becoming invisible to potential new customers. On the other hand, digital transformation offers enormous opportunities for those who actively shape it.
The future belongs to medium-sized businesses that act decisively now and implement a holistic digital strategy. Digital transformation is not a matter of individual technical solutions, but a comprehensive management task that encompasses all areas of the company – from IT architecture and processes to corporate culture.
Those who cling to outdated sales structures and ignore the rules of the digital world not only jeopardize their acquisition of new customers, but also their market position in the long term.
The message is clear: Anyone who remains digitally invisible in 2025 simply won't exist for new customers. The path is rocky and requires perseverance, but it leads to greater competitiveness, innovation, and future-proofing.
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Konrad Wolfenstein
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