Archive for the ‘Mktg – Management’ Category

What keeps marketing VPs up at night?

October 31, 2011

IBM, interviewed 1,734 CMOs from 19 industries and 64 countries.

Here’s their worry list:

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IBM Study Shows CMOs Fail To Monitor Digital Channels

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Maybe marketing is too important to be left to the marketing department …

October 28, 2011

History has it that David Packard (of Hewlett-Packard fame) was the first to say that “marketing is too important to be left to the marketing department”.

Hmmm.

Seth Godin – of “All Marketers are Liars” notoriety — has been echoing the Packard theme for years.

Recently, the McKinsey Quarterly published an article “We’re All Marketers Now”.  The thinly veiled message: “marketing is too important to be left to the marketing department.”

Ouch.

Since marketing was the central hub of business activities at the companies where I worked, I just shrugged off the critiques.

But, some data has come to light that supports the Packard theme.

IBM’s interviewed 1,734 CMOs in 19 industries and 64 countries to better understand their goals and the challenges they confront.

According to the report, the respondents came from a wide variety of organizations, including 48 of the top 100 brands listed in the latest Interbrand rankings.

Here’s the finding that hit me hard:

If CMOs are to be held responsible for the marketing returns they deliver, they must also have significant influence over all four Ps: promotion, products, place and price.

Surprisingly, this is often not the case.

CMOs told us they exert a strong influence over promotional activities such as advertising, external communications and social media initiatives.

But, in general, they play a smaller role in shaping the other three Ps.

Less than half of all respondents have much sway over key parts of the pricing process, for example.

Similarly, less than half have much impact on product development cycles or channel selection.

Apparently many companies have, in fact, concluded that marketing is too important to be left to the marketing department.

Bummer.image

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Outlook is Optimistic for Marketers’ Job Security

April 7, 2009

Excerpted from Brandweek, “Marketers Expect to Keep Jobs, Budgets” By Kenneth Hein, March 14, 2009

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While many reports suggest the sky is falling for marketers, a large number of top-level executives feel that their jobs and much of their staff’s jobs are safe. What’s more, the majority do not anticipate cutting their marketing budgets.

The CMO Council interviewed 659 global senior marketers online between mid-January and March 2. Overall, it found that marketers are not planning major restructuring, head-count reductions or wholesale agency terminations this year.

More than half do not feel their jobs are at risk and 20.6% simply are not sure. More than a third plan to keep their teams intact and 26% expect to add staff.

“There was not as much panic about job security that we thought there would be,” said Liz Miller, vp, programs and operations at the CMO Council. “The big story for the marketing community is it is not about budget slashing; it’s about budget reallocation. Marketers are looking to better support the sales team, drive business growth and engage the individual customer” …

“It’s not about window dressing this year … Marketers need to stop looking at how to refresh our brand, change our logo or what we mean to consumers. This year they don’t have the millions to do that. It’s how do you do it faster, better and more efficiently with less cash to waste on things that don’t work. You need to better support your sales team because they need leads, that’s the bottom line” …

Marketers top marching orders from their bosses are: Growing and retaining market share (48%), lowering costs and improving efficiencies (44%) and improving customer insight and retention (33%).

The top factors affecting marketers are customer anxiety and cutbacks (49%) and slower, more complex selling cycles (38%). The top frustrations were: Insufficient budget (43%), the organizational culture (37%) and senior management mindset (33%).

Overall, “We’re coming out of a long phase where the wind was in our favor … When they are in your favor you don’t need to be particularly smart to be somewhat successful. In these conditions, you need to be a lot smarter than before.”

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Full Article:
http://www.brandweek.com/bw/content_display/news-and-features/direct/e3idd9d6803dbe30862f19d9fb07e5dfbca

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No Surprise, Best Marketers Wal-Mart, P&G

November 7, 2008

Excerpted from Promo Magazine “Wal-Mart, P&G Still Tops for Marketing Strength: Survey” November 3, 2008

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Wal-Mart and Procter & Gamble still hold the top spots in the 2008 Cannondale Associates’ annual PoweRanking survey of both manufacturers and retailers. But their ratings…were lower than last year.

Respondents were asked to rate companies for their retail marketing competence on criteria, including clear company strategy, most innovative consumer marketing, and best store branding.

For the tenth year, Wal-Mart stood head and shoulders above the others… Among other Top Ten retailers only Kroger showed appreciable gains, boosting its rank by almost 5% to move into third place, behind Wal-Mart and Target… Walgreens hiked its composite ranking by 2.8% this year and filled out the Top Ten, right behind rival health and beauty vendor CVS…“This suggests that Wal-Mart’s low price strategy is resonating with consumers and manufacturers…It also suggests that Kroger’s strong showing in targeting its shoppers and shopper segments is paying dividends. Also, drug retailers CVS and Walgreens are effectively targeting consumers and delivering on programs.”

On the manufacturer side, four of the Top Ten moved up in standing this year, while…ConAgra, dropped out of the first rank altogether.Traditional  leaders P&G, Kraft and PepsiCo all saw their scores fall off this year. P&G’s popular vote dropped 4.2 points, although it still held the Number One slot. Kraft’s score drop of 0.3 points wasn’t enough to move it from the second slot…General Mills saw its score increase to grab the fourth spot. Meanwhile Nestle built its ranking up…and Clorox re-joined first-tier manufacturers after a two-year absence with a score increase of 1.7 percentage points.“General Mills has been given great credit for a re-focus on customer initiatives and wholly embracing the concept of working collaboratively with retailers to better develop business,’ …Nestle is being given credit for focusing on a health and wellness message that starts at the top.”“Retailers that excelled…have completed their own customer segmentation and begun to develop alternative store formats and merchandising platforms to address newly identified needs”…

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Full article:
http://promomagazine.com/retail/news/1103-walmart-pg-tops-marketing/

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