Improve performance and demonstrate business value
The playing field for the global marketer is changing rapidly. And a new efficiency mind-set is needed to handle:
- Globalisation, digitisation and evolving customer sophistication
- New technology, channels and media
- Procurement and financial constraints
Drive efficiency and show business value
To address these and align with CEOs and CFOs, it is important for global CMOs to focus on how to demonstrate business value and ROI to secure a strategic role.
This requires a systematic link of marketing investments to business value outcomes. And an understanding of how the business creates value, as well as how to drive efficiencies within an organisation and with external partners.
Because of this, the CMO has to respond to short-term demands to drive revenue, still keeping the lens on strategic customer segments and growth opportunities while maintaining a focus on brand promise.
Generate business impact
Historically there has been too much focus on qualitative outcomes. To earn a seat at the table, CMOs are expected to talk less about the “soft things” and more about how marketing investments directly impact the pipeline and the P&L.
Marketing data can be much more than a tool for developing budgets and tracking campaigns. Relevant performance data provides the C-suite with the confidence to invest in marketing and thus in the strategic growth of the company.
The issue is not just about making the most efficient use of resources. It’s also about speeding up the process of finding what works in one place and make it work everywhere
Expectations from the CEO
Based on research findings, CEOs expects their CMOs to address the following:
- 77% find that CMOs keep talking about brand, brand values, brand equity etc. rather than revenue, sales, EBIT and so on
- 74% find that CMOs focus too much on the latest marketing trends without demonstrating how these trends can generate more business
- 73% find that when CMOs are asked to increase marketing ROI they understand this as a cost-cutting process with third parties instead of top-line growth generation
- 72% find that CMOs are always asking for more money, but can rarely explain how much incremental business this money will generate
- 70% find that they bombard their stakeholders with marketing data without relating it to the company’s P&L
Source: The FournaiseTrack June 2011
From these findings it is clear that there is a new agenda for the contemporary global CMO, and their focus should be around:
- How to drive growth (revenue and profit) and create visible results
- Creating a leaner organisation and reducing chain of command
- Optimising processes and the marketing mix to improve ROI
- Improving market impact and performance documentation
All in all, more focus on the P&L language and tracking of business effectiveness.
AdPeople solutions
AdPeople has for a decade worked with these issues and we have developed solutions to help solve these challenges – namely:
- A centralised setup and process
- Generation of global creative ideas
- Localisation model for multiple markets
- Workflow transparency for monitoring and auditing
- Standardisation and automation of repetitive processes
- Documentation and performance measurement of all activities









