The University President: The New CMO

Why would a prospective student, faculty, donor or alumni want to live your brand? Why are you the first choice for some students? What gets your faculty up every morning? What keeps alumni connected emotionally and financially? It is the desire to be part of a unique community that shares a vision. It is participating in a differentiated experience that springs from the very soul of the institution. It is the university brand.

Administrators, faculty, and students all contribute, shape and help build a brand.   Traditionally, the university president's responsibilities have been focused on institutional planning, balancing the budget and exceeding university fundraising and endowment goals. Over time, the president has become responsible for student recruitment and retention and improving the overall student experience.

Who is the custodian of the soul of a university? Now, it has become a university president's responsibility.

On the heels of its successful generic prescription drug plan, Wal-Mart announced in 2007 that it planned to open several hundred medical clinics within its retail stores. Wal-Mart CEO Lee Scott believes the number could grow as high as 2,000 by 2014.

The model was simple. Doctors or nurse practitioners provide routine medical care - testing for strep throat or giving flu shots at a fixed rate. CVS, Walgreens, and Rite Aid were quick to follow suit, saying that they were considering similar measures.

It's a classic example of Blue Ocean Strategy. Faced with slowing revenue gains, Wal-Mart decided to curb its expansion plans and focus on deriving more income from its existing stores. Rather than battle Target or CVS and accept diminishing returns, the company set out to get ahead of the curve and launch a retail, healthcare operation.

For many CFOs marketing is the nebulous part of business. On the surface, it doesn't appear to mesh with their traditional short-term focus on improving productivity and reducing costs. The CFO is charged with prioritizing budgetary resources, balancing the needs of departments across the company, including marketing.

But is marketing effectively making its case?

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.