CMG.Ebook.CMOsChallenges
0 likes171 views
1) The document discusses how adopting an Agile for Marketing (A4M) approach can help CMOs address common challenges they face including understanding customers better, coping with rapid change, aligning marketing with company goals, fostering experimentation, and measuring marketing performance. 2) With A4M, marketing plans are broken down into shorter two-week cycles of planning, execution, and learning to allow for flexibility and rapid adjustment to change. 3) A4M also emphasizes clear priorities, transparency, accountability, and an iterative test-and-learn process to help marketing better demonstrate results and value.
CMG.Ebook.CMOsChallenges
- 1. How Agile for Marketing drives better performance Conquering Top CMO Challenges
- 2. “ What keeps YOU up at night?” To Understand Customers Better To Cope with Rapid Change To Align with Company Goals To Foster More Experimentation To Measure Marketing Performance page oneWhat Keeps You Up at Night? page twelveThe Agile Answer 2 4 6 8 10
- 3. “ What keeps YOU up at night?” www.cmgpartners.com Page 1 Marketing hasn’t just changed. Marketing is in a state of constant change. As such, the role and responsibilities of the CMO are also in flux. While still suffering shorter tenure than other C-level officers, CMOs are expected to do more, know more and impact more of the business. Delivering greater impact on an organization, managing a higher volume of work, and juggling the multitude of demands on today’s marketer require new ways of working. To achieve the step-change in performance of the marketing team can’t be about doing what you are doing better or faster. It has to be about operating differently to drive increased efficiency and effectiveness. Marketers need to adopt a more data-driven, disciplined approach to marketing operations that is centered on a test-and-learn culture, enabling companies to iterate and have the flexibility to manage change. This E-Book shows how a new approach to marketing operations and culture, Agile for Marketing (A4M), can begin to address many of these modern challenges. DATA DISCIPLINE DRIVING ROI
- 4. “ What keeps YOU up at night?” www.cmgpartners.com Page 2 To Understand Customers Better . . . Asked ‘what keeps you up at night?’ CMOs top answer: ‘Creating sustainable and engaging customer relationships and improving customer experience.’ - Korn Ferry Institute We recommend CMOs BECOME A CHANGE AGENT FOR CUSTOMER CENTRICITY; equip and empower the marketing group to drive this agenda across the organization. - CMO Council The biggest mistake by B2B marketers is that they don’t know their customers well enough. – Forrester B2B Benchmark
- 5. The CMG Way www.cmgpartners.com Page 3 { } Walk a Mile in Their Shoes The number of CMOs and lead marketers who insights become the backbone of the work to be done to grow segments, achieve marketing KPIs, and set priorities that will drive value for the customer and the business. The objective is to assure that marketing efforts will meet (or anticipate) the customer at each touch point along the buying journey. As part of the A4M discovery process, agile teams work to define the customer accurately through reviewing customer data, interviewing both external customers and internal stakeholders, as well as reviewing survey data to help map out what they know about the customer and to identify gaps. One of the first A4M projects may be creating an analytics solution to use thereafter. name customer insight and understanding as a key challenge is staggering. We often hear about all the data available today, but marketers still struggle with making that data valuable on a customer level. Analysts foresee marketing getting more and more personalized; but to get there, we simply have to do better at understanding and addressing each customer in a personalized manner. Agile for marketing (A4M) starts with the customer front and center with a customer discovery process that works through the customer motivations, personality and buying process to develop a clear understanding of the personas, customer journey, and how to best influence the customer to take the next step with your product or service. These
- 6. “ What keeps YOU up at night?” www.cmgpartners.com Page 4 To Cope with Rapid Change . . . “The digital world is moving so fast—I can’t seem to keep up with all the change and its impact on resources.” – CMOs in TrinityP3 Survey Top issues in next ten years: Real-time marketing – responding to customers and changes in the marketplace faster. DEALING WITH SPEED IS A BIG CHALLENGE and a big opportunity. - Gartner Digital Marketing Hype 81%of marketing leaders surveyed said their role will change in the next three years. - Adobe Summit
- 7. The CMG Way www.cmgpartners.com Page 5 { } The rapid pace of change in our world is the new normal. The immediacy of digital interactions with customers and the ease with which any news—good or bad—can be shared around the world have raised the stakes for all brands. A4M helps you manage these challenges by breaking down your planning and delivery into shorter time frames that give the team the ability to adjust. With A4M, annual and quarterly plans are broken down into two-week plan-execute- learn cycles. CMOs and their teams plan for EXECUTE Be Flexible in Planning marketing effort doesn’t perform – the teams can easily change course for the next sprint. Each quarter is kicked off with clear goals and objectives and budget estimates, but how those goals are attained is flexible and can shift until you reach the optimal result. PLAN LEARN the year only at the highest level with their vision and top-line goals. Teams then break the work product down to items that can be delivered in short time frames so you can get them into market and learn. Shorter time frames give the team the ability to re-assess and adjust as they go. Work is prioritized, but if those priorities change, the market changes and you need to react, or your
- 8. “ What keeps YOU up at night?” www.cmgpartners.com Page 6 To Align with Company Goals . . . “Companies with strong marketing and sales alignment achieve 20% annual revenue growth vs. non-aligned which have a 4% decline.” – Aberdeen Research “43% of CMOs surveyed (the overwhelming top answer) said that the inability to align department strategies and priorities was a hurdle to success.” – Korn Ferry CMO Survey “32% surveyed report dysfunction and friction over priorities across the company as A BARRIER TO BEING THE MARKETER THEY WANT TO BE.” – Adobe Digital Roadblock Survey
- 9. The CMG Way www.cmgpartners.com Page 7 { } 1. 2. 3. 4. 5. 6. 7. A4M helps your organization set priorities for the long and short term to place the most important work at the front of the line. The process helps drive alignment across departments and silos about which products, segments,andgeographiesaremostimportant to the growth of the company. When strategic priorities are clear, marketing can be much more effective and efficient for you and your team. With clear direction, they can be more proactive in doing the work that will help grow the business versus reacting to the work requested by the rest of the organization. Marketing is notorious for fire drills. A big customer, an executive, or a sales manager can run to marketing with an “emergency” that takes over the workday and disrupts the Make Priorities a Priority team. A4M imposes a discipline that holds the team and leadership to the agreed upon priorities. In other words, A4M helps you value things that matter over things that are urgent. When teams don’t prioritize their work, the long-term initiatives that may be more innovative and create more meaningful advancements may never get off the ground. The agile process also introduces a level of transparency that most organizations are not used to. With A4M, marketing’s work stack is clear, the rest of the organization knows what marketing is working on, and marketing is reporting out every two weeks on what they learned and where they are heading next. This transparency helps drive conversations about priorities and aligns marketing with wider organizational priorities.
- 10. “ What keeps YOU up at night?” www.cmgpartners.com Page 8 To Foster More Experimentation. . . “Over 50% of lead marketer respondents said that marketing should take more risks, but only 30% consider themselves risk takers.” – Adobe Digital Roadblock Survey “A full 80% of marketers tap into multiple methods—TESTING & EXPERIMENTING— LESS THAN HALF THE TIME.” -Adobe Digital Marketing Optimization Study “65% of marketers say they are more comfortable adopting new technologies once they become mainstream.” – Adobe Digital Roadblock Survey
- 11. The CMG Way www.cmgpartners.com Page 9 { } Most marketing leaders recognize they need to build a more experimental test- and-learn approach to marketing delivery and management. By embracing a culture of experimentation, marketing teams will be able to assess efficacy on a smaller scale and then adjust to improve and/or scale up more broadly. The smaller bets and short time frames of Agile for Marketing enable less risky trials of new technologies, new messaging or new creative. A4M is about mitigating the risk in spending too much time and effort on something when the payout is unknown. Try, Try and Try Again RAPID CYCLES With the need to deliver aspects of work every 2 weeks (sprint), larger projects are broken down into smaller work product that can be delivered, put in market, and learned from more rapidly than is done today. This enables companies to test new approaches and get quick market learning that will help inform how to best proceed with the initiative. FORMAL REVIEWS We refer to our A4M sprints as “rapid learning cycles” because each sprint ends with two meetings, the Review and the Retrospective, which serve as opportunities to present work, share results and re-confirm priorities. Teams present how a trial activity has gone, if and how to improve it, and whether or not to scale it. If something new was tried and failed, the amount of money and time expended are limited. RAPID LEARNING CYCLES Agile marketing fosters experimentation in two keys ways:
- 12. “ What keeps YOU up at night?” www.cmgpartners.com Page 10 To Measure Marketing Performance . . . 40% of CMOs lack the ability to prove short-term ROI, and 34% lack the ability to prove it in the long-term. – Duke Fuqua CMO Survey What’s the biggest factor for low CMO tenure? 56% answered, “…inability to directly CONNECT MARKETING EFFORTS TO TANGIBLE BUSINESS OUTCOMES.” - Korn Ferry Institute 60% of CMOs feel pressure from CEO and/or Board of Directors to prove value of marketing. 58% say that pressure is increasing. – Duke Fuqua CMO Survey
- 13. The CMG Way www.cmgpartners.com Page 11 { } Marketing has long been challenged to prove the contribution of marketing spend to business impact. While this is not new, the sheer speed of marketing, changing customer behaviors, urgency of new requests, and competing priorities has compounded the issue. Marketing leaders frequently cite a need to keep the team focused on the things that matter, to increase accountability and to drive a performance culture within the marketing team. Agile for Marketing aims to increase the marketing productivity of the team, but also the marketing performance. The iterative nature of the learning cycles focuses teams on getting better over time, measuring results, learning what is working and not working, and making adjustments accordingly. It helps align teams against clear Be Accountable First priorities to ensure that they don’t lose sight of the long-term objectives – where they need to get better and which new and innovative marketing programs to test. A4M teams build the priorities and clear definitions of what they are trying to achieve into the process so CMOs are able to drive accountability against delivery and performance. While it’s vital to have the right tools and data to prove a contribution is critical, it’s also crucial to build the operating rhythm that supports a performance-driven culture. Driving accountability within the organization is a good starting point. Prioritizing data and measurement components is something that can be done over time. One of our clients has a new measurement enhancement that is completed every sprint to incrementally get better at their measurement capability. With A4M, they have the discipline to actually use the data to enhance decision-making. The A4M approach obligates companies to stay on course with the goals to which they have committed. Teams build the priorities—and their acceptance criteria—into the process. STAY THE COURSE
- 14. The CMG Way www.cmgpartners.com Page 12 { } Brands that are nimble enough to react in real time are winning…you must now be able to ideate and execute faster and cheaper than ever in order to keep up with culture. This is a trend that will never reverse, so we better get used to it.” – Tor Myhren, worldwide chief creative officer, Grey CMG Partners is a marketing consultancy with over 17 years of experience leading companies to create more growth. When you are ready to get agile, we work with you to assess your marketing organization’sAgileReadiness.Based on that profile, we design, coach and implement a custom A4M program to fit your current needs. It’s time to perform better, accomplish more and work smarter. It’s time to be agile. Please contact our A4M experts: Garrett.Putman@cmgpartners.com Russ.Lange@cmgpartners.com The changes needed in marketing are not superficial. They are structural and cultural— one might even say transformational. It’s a big shift to address the public demands of mobile, social, always-on consumers. Customers have completely changed their methods of shopping, viewing ads, and interacting with brands. Marketing needs to respond in kind. “ More and more, marketers are looking at agile processes to help them act more quickly, respond more effectively to customers, and prove their value to the company and its goals. You may think agile is just a buzzword, but it’s actually a proven methodology that over 90% of all software developers use to work smarter and more efficiently, and now is being used globally by pioneering marketing departments. * CMOs who want to excel in today’s market will need to stop defending their territory and working the way they always have. It’s time to organize your team around clear priorities, effective ROI measurement and an data-driven customer focus. It’s time for change. It’s time for Agile for Marketing. The Agile Answer *VersionOne “9th Annual State of Agile”