B2B firms raise 2025 marketing budgets but KPIs stay flat

A new report has found that while marketing budgets are set to increase for many B2B companies in 2025, key performance indicators (KPIs) will remain largely unchanged, signalling a shift in how marketing success is being measured within the sector.

The 2025 U.S. Marketing Budgets Update: The CMO Wake-Up Call, released by 10Fold, is based on research conducted by Sapio Research and draws on input from 125 U.S.-based B2B marketing executives. The report provides updated data on marketing trends and builds on themes established in 10Fold's 2024 Marketing Spend Strategy report.

According to the report, 56% of companies indicated an increase in their marketing budgets for 2025, although these increases were generally modest at under 20%. In contrast, only 47% of respondents raised their KPI goals, while the majority (52%) kept their performance expectations flat or reduced them. This suggests companies are prioritising focused, performance-based investments, especially in emerging technologies such as artificial intelligence (AI) and automation, rather than pursuing widespread growth for its own sake.

Susan Thomas, Chief Executive Officer of 10Fold, commented, "The 2025 findings reveal a more cautious, disciplined approach to growth. We're seeing organisations invest in AI and automation - with the understanding that building new systems takes time to deliver accelerated KPIs. CMOs are now balancing the urgency to grow, with a disciplined approach to replacing old systems with new technology."

The report highlights that AI is playing a complex role in both expanding and reducing marketing investments. AI was cited as a reason for both increased (46%) and decreased (30%) marketing budgets. Among companies utilising AI, 42% expanded their internal teams while 27% reduced headcount due to gains in efficiency from AI adoption. Agency spend was also affected, with 42% reporting higher agency expenditures as a result of AI implementation.

Enterprise software companies displayed the most significant changes, with 65% increasing internal staffing and 61% raising agency budgets. In the cybersecurity arena, half of the executives surveyed said AI was a direct influence on their 2025 marketing budget decisions. The results indicate that, although AI is being used to optimise marketing operations, its impact on company structure and expenditure differs depending on how it is applied and what expectations are set.

The report identifies a disconnect between the tools chosen for investment and their perceived effectiveness. Sales enablement tools were named as the top budget priority by 77% of respondents, rising to 84% among those at companies with more than 500 employees. Despite this, just 7% of respondents rated these tools as providing a strong return on investment. By contrast, website predictive tools (20%), social influencer programmes (17%), and content development (16%) were rated considerably higher in terms of ROI.

According to the findings, there is an ongoing shift away from traditional brand awareness approaches. Nearly half (46%) of surveyed marketers reported zero expenditure on analyst programmes, and 42% did likewise for thought leadership initiatives. The focus has instead moved towards activities with clearer, measurable returns, such as regional events (58%), automation tools (56%), and organic social media (56%).

These changes suggest marketing leaders are reducing investments in broad awareness-building campaigns in favour of efforts aimed at generating prompt and quantifiable engagement.

Additional insights from the report show that LinkedIn remains the primary platform for B2B marketing, with 83% of respondents selecting it as their top choice, compared to 17% for X (formerly Twitter). Notably, 59% of businesses with revenue under USD $10 million have opted to increase marketing spending. Regional and targeted events such as user groups and local conferences are being emphasised more (58%) than larger, traditional trade shows (48%).

The report provides a detailed overview of marketing investment trends across various sectors, including cybersecurity, AI, enterprise software, and healthcare technology, with analysis by company size and industry.