Marketing has been transformed in the past ten years. And the pace of change is only increasing. The Economist Intelligence Unit surveyed 478 high-level world-wide marketing executives, more than 80% say they need to restructure marketing to beer support their business, 29% believe the need for change is urgent. THE RISE OF THE MARKETER Source: The Economist Intelligence Unit’s report FOUR MARKETING TRENDS HOW MARKETING SEES ITS FUTURE MARKETING AS REVENUE DRIVER MARKETING’S ROLE IN THE CUSTOMER EXPERIENCE MARKETING-TECH ECOSYSTEM CATCHING THE NEXT WAVE IN-DEMAND MARKETING SKILLS The Truth About Marketing Now When a tidal wave appears on the horizon, do you wait to be engulfed, head for high ground or grab your suroard? Over the last decade, CMOs have faced plenty of waves. The successful ones keep their suroards within reach. CMOs almost doubled their tenure in 2006 and are keeping their positions for 45 months as of a year ago, but can still expect half the lifespan of a Chief Executive in large companies. We know why: increasing complexity, expectation from business owners, skill inflation and a higher level of accountability. A CMO who doesn’t help deliver the numbers business owners need can’t hide and won’t last. A BROAD VIEW OF CUSTOMER EXPERIENCE METRICS FOR REVENUE AND ENGAGEMENT THE TALENT HUNT SYSTEM WEBBING Across the life cycle and across channels, from inital awareness through loyalty and advocacy. Wider and more comprehensive, focusing on top-line revenue and overall engagement Ability to grasp and manage the details, combined with view of strategic big picture Multiple platforms managed through an overarching marketing system Marketing, sales, service, communications and other customer- oriented functions are evolving and commingling, and we don’t know what they’re going to look like in five years… The traditional sales function isn’t going away. But I think the ways people come to us and enter a relationship won’t look anything like it does now. Jamie Moldafsky, CMO at Wells Fargo We are shiſting money away from things like conferences, physical samples or building high-profile face-to-face exhibits and investing in marketing automation infrastructure, data and content… when we hire, we look for people with digital capabilities, who can do things like run a marketing automation platform, a data analytics function, or execute and listen to multiple social media properties John Dragoon, Houghton Mifflin Harcourt Company Risking failure is the price of success. Google runs more than 1,000 experiments each month, only 10% lead to changes in their business. For Google 100 business improvements mean 900 failed experiments. “Nearly everything fails” believes Dan McKinley at the online craſts marketplace Etsy “it’s been humbling to realize how rare it is for [features] to succeed on the first aempt”. Yet the Corporate Executive Board’s survey found 21% of Fortune 1,000 marketers disagree with the statement, “My team accepts that some experiments must fail in order for us to learn from them.” Even with small-scale experiments, failure remains toxic in many organisations. Modern thinking sees Customer experience as key to unlocking competitive advantage. Using positive, memorable experiences, com- panies engage customers, creating advocacy and loyalty. The whole company must play its part—from inventory management and packaging to finance and any person-to- person contact. The line between sales and marketing has blurred. As consumers gain power they become less reliant on direct sales, so marketing is increasingly controlling relationships. “We need to change the structure and design of our marketing organisation to meet the needs of our business over the next three to five years.” A new wave in marketing: King Canute thought he could hold back the tide, will you sink, swim or catch the wave? At almost 90%, Europeans are most inclined to agree At 72%, North Americans are least inclined to agree. KING CANUTE A significant minority of marketers are clinging to the status quo and so in danger of being leſt behind. 19% see no need for change SWIMMERS The majority are afloat but underestimate the pace of change. 52% sees need for change but not strongly SURFERS The progressive group are ready. 29% strongly sees that marketing must change its approach to beer support the business 33% TODAY 75% 3-5 YEARS Responsible for managing customer experience Responsible for end-to-end customer experience The skills marketers need are in flux. Answers to the question “What are the top three areas in which you need to develop skills in your marketing operation?” might surprise you or perhaps you’ve already retrained 0 10 20 30 40 50 39% 39% 38% 32% 27% 27% 16% Marketing Operations Tech & digital Engagement Strategy & Planning Demand Gen & Data Analysis Customer Experience Advertising & Branding Creative & Graphics Art Vs. Science Did you see the bale between art and science? Science won. Creative maers but is now a ‘legacy skill’, overtaken by digital technology and operations A New Skill Metrix Marketers must combine the technical eye of a project manager and data scientist with the big-picture view of a business strategist. The primary skills for the future are digital, technology, operations and strategy! TODAY 50% 1/3 3-5 YEARS 80% 1/3 3-5 YEARS Use data to gain insight and engage customer Will use data to beer connect with customers Of marketers will rely on technology to engage and build trust 80% Omni-channel is a derivation of “omniscient”—all-seeing. Marketers must observe and interact with customers 24/7 to understand their desires and fulfill them at any time. Don’t just see, do. Business owners see marketing as a balance between cost centre and revenue driver The scale is shiſting as marketing function migrates from cost centre to revenue. Moving 3% in the next 3-5 years. COST CENTRE 68% AGREE REVENUE DRIVER 69% AGREE MARKETING MARKETING COST CENTRE REVENUE DRIVER IN 3-5 YEARS 81% Source: The rise of the marketer: Driving engagement, experience and revenue. The Economist Intelligence Unit, 2015 SUBSCRIBE