measure the effectiveness of marketing
Marketing departments at technology companies are losing influence in the C-suite, primarily because of their inability to show the effectiveness of their marketing investment. More than 80% of respondents in the CMO Council study said they were dissatisfied with their ability to prove marketing ROI.
'Particularly in technology and telecommunications sectors, the marketing role is often subjugated,' said Donovan Neale-May, executive director of the CMO Council.
Neale-May said the biggest problem is the lack of effective marketing measurement systems. 'You have to show in a very exacting way where and how marketing is impacting the performance of the company and the value of the business,' he said.
Here's how companies surveyed measure the effectiveness of marketing.
- 30% Revenue per marketing dollar
- 13% marketing mix model
- 13% common metrics across marketing group
- 13% currently creating ROI model
- 13% Not able to measure
- 9% Year-on-year programming dollars
- 4% Sales force productivity
- 4% Compare spending against competitor
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