Message to CEOs: You Can Measure Your Marketing Now
With the B2B customer journey being almost 70% digital, marketing program results can be measured more than ever before. But what’s curious to me is that most CEOs are not insisting on showing how a company’s investment is paying off. Manufacturing is measured, sales is measured, customer service is measured. But measuring marketing and its impact on revenue is not standard fare.
Most CMOs can tell you how many leads their organization generated last month or last year. But most can’t tell you what happened to those leads. They can tell you how many Website hits this month and whether the number of interested parties is growing or shrinking. But CMOs often don’t know how that activity is connected to revenue. Many CMOs can tell you how a nurture campaign is working to drive new leads but they can’t tell you if the quality and quantity is sufficient or whether sales has done an effective job in following up and developing sales from the leads.
Mostly I think this is a lag in technology adoption. Here’s how I see it.
In the beginning there was Mad Men. Marketing was all about the next great advertisement, the pitch or the jingle that was so clever that most people could quote the slogan and sing the tune. But with the invention of the Internet and all the new cloud applications, while we still need Mad Men advertisers and their creative teams, we can now measure marketing effectiveness. The Internet did really change everything – especially for marketing.
Now companies have adopted Salesforce.com in droves and recently we’ve seen a new wave of adoption of marketing automation applications such as Eloqua, Exact Target and Marketo. Marketing is discovering that technology can help the team be more effective. And the customer journey going largely over the Internet, we can now measure most of marketing’s demand generation activities.
So CEOs and boards can now insist on getting information about how the marketing budget is impacting revenue.