The Increasing Importance of Marketing Science to CMOs
- AUTHOR Josh Rosenberg
- September 18, 2013
- No Comments
I recently came across a Forbes Magazine article from a few months ago called Why CMO Job Security is Rising. Daniel Kehrer, Director at Marketshare, quoted a study that showed the average life of a CMO in 2006 was just under 2 years (23 months) but in 2013 it has risen to just under 4 years (45 months). It is great to read about this because it not only means that Marketing departments have less churn at the top but it also that Marketing as a whole is getting more recognition for the work it does in the demand generation lifecycle. The major factor for the CMO’s increased job tenure in this article is “the rise of advanced marketing analytics and data-driven marketing” and I completely agree.
The fundamental shift in how B2B marketing programs are tracked and measured has caused more companies to embrace marketing as a science, not just an art. The modern demand generation lifecycle is very complicated because most opportunities have multiple campaigns associated with them and there are far more Marketing touches across Leads and Contacts before they even become an opportunity. This complexity has lead it to be more common for Marketing departments to hire Marketing scientists, or “Ops” people, who work primarily in CRM solutions like salesforce.com or marketing automation solutions like Marketo or Eloqua to analyze campaign performance and provide that data to their CMOs. When CMOs have access to data that shows metrics like the volume, conversion rates, and velocity of all campaigns it enables them to accurately quantify Marketing’s contribution to revenue and work with Sales to clearly forecast the entire demand generation pipeline.
The bottom line is this: Marketing now has the tools to track and measure its programs and leverage big data in the same way that Sales does, which gives CMOs (and marketers in general) a lot more clout in the overall revenue discussion and also provides CMOs with a little more longevity!
Check out The Ultimate CMO Board Package Reporting Guide to get a basic framework for marketing measurement and reports to manage your day-to-day-operations.