CEOs Give Marketing a Failing Grade
A recent survey showed that only 17 percent of executives and marketing professionals felt their CEO would give the company's marketing an "A." When asked why, marketing executives said it was because they didn't show their work.
CEOs are not ones to take performance on faith; they need hard numbers to justify spending to a results-driven board and investors. That sentiment was echoed by CEOs; 48 percent felt marketing was only marginally effective.
CEOs are not ones to take performance on faith; they need hard numbers to justify spending to a results-driven board and investors. That sentiment was echoed by CEOs; 48 percent felt marketing was only marginally effective.
Even those CEOs who felt that marketing had some impact believed that 75 percent of marketers couldn't prove the extent of the contribution. That's a problem. CEOs weren't alone in doubting that the marketing department is doing an adequate job of measuring results. Eighty percent of CMOs gave themselves a six out of ten for their ability to track marketing performance.
If executives inside and outside the marketing department believe they should be doing better, why aren't they? Organizations are struggling to understand how to evolve into more performance-driven companies. But Marketing is still often left out of strategic planning. Therefore, marketing executives don't always understand how to, or have the resources to connect marketing performance to business goals.
And maybe there is a lack of Marketing follow-through as well. While 63 percent of marketing executives claimed that tracking market share results is a priority; only 37 percent actually report their performance regularly.
Corporations need to improve communication between the CEO and CMO and establish clearly defined goals and reporting metrics. The CEO should understand the information that the CMO will be tracking and why this information is critical to the success of the company...and visa versa.
CEOs want to believe that their marketing has value. It's one of their last legal competitive advantages. But they still need to justify the expense. By working directly with the CEO, marketing can establish benchmarks, both hard and soft, that directly connect to the company's goals.
If executives inside and outside the marketing department believe they should be doing better, why aren't they? Organizations are struggling to understand how to evolve into more performance-driven companies. But Marketing is still often left out of strategic planning. Therefore, marketing executives don't always understand how to, or have the resources to connect marketing performance to business goals.
And maybe there is a lack of Marketing follow-through as well. While 63 percent of marketing executives claimed that tracking market share results is a priority; only 37 percent actually report their performance regularly.
Corporations need to improve communication between the CEO and CMO and establish clearly defined goals and reporting metrics. The CEO should understand the information that the CMO will be tracking and why this information is critical to the success of the company...and visa versa.
CEOs want to believe that their marketing has value. It's one of their last legal competitive advantages. But they still need to justify the expense. By working directly with the CEO, marketing can establish benchmarks, both hard and soft, that directly connect to the company's goals.
Leave a comment