Marketing leaders today are caught in a Catch-22—CMO-driven revenue growth. Please find a way to make it enjoyable for modern consumers.
The Chief Marketing Officer’s role has been wholly recast. From “brand ambassadors” asking agencies for difficult-to-measure ad campaign campaigns, Big Data savvy and Smart Analytic wizards, Omni-Channel wizards, TEDTalking masters, and Omni-Channel experts, we have evolved from being “brand ambassadors.”
We are still reeling from the rebirth and trying to understand the numbers, the potential, and the higher expectations for CMO Revenue Growth.
Marketing has changed rapidly, and so has how the upper management views it.
Let’s do the math.
Most CEOs, or nearly 70%, believe CMOs should lead revenue growth.
The majority of respondents consider revenue growth their primary objective in marketing.
Another 23% feel the same, thinking marketing should be measured in revenue performance.
All this is according to a report by Deloitte and the CMO Council.
Greater Marketing Responsibility
This puts a lot of pressure on marketers to concentrate on data and use new technologies to ensure that they get solid results from marketing campaigns.
CMOs are also required to be more aware of customer experience. Our business can meet customers at every level of the customer journey. It is a difficult task, as customer experience changes at the same pace as digital trends and technologies.
Success is about being able to keep up and stay ahead of the curve. Sometimes customers even ask for it before they know what they want.
This is true even though only 8% of CMOs are actively improving their brand’s interaction with customers.
We do the simple stuff: we buy ads. Our logo is displayed on a bus, a stadium, or a golfers hat. We purchase clicks on Facebook or Google. Then we give ourselves high fives. . .
This is a huge advantage for marketers. We are better at understanding our customers than our best friends. Who initiates predictive engagements? Who can use data and new technology to improve the lives of our customers? If this is not your goal, then go home, my friend. You don’t need to do Marketing.
Take, for example, REI’s seamless integration between mobile and in-store retail. The Starbucks reward card (LOVE) can be reloaded via phone, website, or app. All channels are updated in real-time.
This allows me to load money onto my card while I wait in line for my coffee. The cashier will update the transaction when it is complete, giving Starbucks coffee drinkers the exact convenience we’ve come to expect with our Starbucks coffee.
And Greater Marketing Power
This evolution of the CMO gives us greater power if we look at it from another angle. We are driving actual business results through the abundance of tools.
Digital marketing lets marketers connect with customers and solve their problems via mobile apps.
CEOs today expect more from CMOs. The digital era has made marketing leaders more.
Marketers can gain insight into customers and make better decisions. They can also direct businesses on the best strategic routes to increase revenue.
Marketing teams must spend more time with executives to help develop business strategies. Only 16 percent of CMOs do this well at the moment.
Digital strategies are the best for teams that embrace them fully and can connect marketing with all employees.
Marketers now have more insight into customer behavior and market trends. Ian Ewart, Head of Products, Services, and Marketing at Coutts, notes, “if marketing doesn’t drive the change agenda, then either the agenda or marketing isn’t being effective.”
As well, budgets have evolved.
Practicality is the other factor influencing how leaders view the marketing role. Budgets were reduced after the global recession, which dragged on for years.
We must think of more creative ways to reach customers and increase sales—no more ridiculous advertising campaigns or reporting on impressions.
This phenomenon coincided with consumers becoming savvier about how they spend their time and their income.
Marketers have found a way to increase their ROI. They need to be more focused on analyzing the impact of every marketing dollar and using technology to create more efficient and less costly programs.
CMO Revenue Growth: The Secret
Marketers will remain creative. These creative talents are still necessary despite the increased pressure to increase revenue.
Liz Miller, CMO Council, explains that CMOs must face the realities of today’s market. It is not about letting go of the heart of marketing.
“…Our storytelling is being used in very different ways now, such as translating customer voice so we can shape brand to reflect the values of our most profitable clients,” she said.