The Cmo Solution

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This slide deck was presented to the Seattle Direct Marketing Association in october 2008

Transcript of The Cmo Solution

a CMO, a CIO and a sales guy walked into a bar…

A Little bit about me

John Kottcamp – Chief Marketing Strategist, Ascentium

For the last twenty years, John has been thinking

strategically about customers; their experiences,

relationships and the lifetime value they contribute to

the brands with which they choose to engage. His

passion is the intersection of marketing and

technology.

Prior to joining Ascentium, John has held executive

positions with McCann Worldgroup, Gateway, T-Mobile

USA and Lufthansa. He is a frequent speaker on

Closed Loop Marketing and respected blogger at

www.thecollaborativemarketer.com , Vice President of

the Seattle Direct Marketing Organization and a

member of the Forrester Research Technology

Marketing Executive Council.

John earned his B.A. from the University of Wisconsin–

Madison and prior to settling in Seattle, has made his

home in such diverse places as Munich, Madrid,

Miami, San Francisco and San Diego.

A little Bit about Ascentium

Strategy

Design

ResearchUser

Experience

Execution

Development

CustomerMeasurement Optimization

CRM

BI

Portals

• Founded in 2001

• 600 employees

• Locations: Bellevue, Portland, Spokane,

Los Angeles, Baltimore,

London

• $80m+ annual revenue

• 23rd Largest Interactive Agency in US

(AdAge, 2008)

• Microsoft Partner of the Year, 2008

• Loyalty:

‣ Customers / 60% Recommendations

‣ Employees / 10% Annual Turnover

Connect, Engage, MeasureHow to make a CMO successful

While aligning Sales, Marketing and IT

It’s Not Easy Being a CMO in Today’s Business World

The CMO: Black Sheep or Golden Child?As CMOs continue to struggle with job security, a new study

from the CMO Council and MarketBridge reveals that stability

may be attained through measurement and definition.

A Few data points about Chief Marketing Officer s (CMOs)

• The average tenure for CMOs today is 26.8 months*

• Fewer than one-third of the companies have CMOs who have been in their posts for

three years or more

• 16 percent of the companies have a CMO position that is either vacant or there is no

such role in the organization.

• According to a recent CMO Council survey, most CEOs do not believe their CMOs

bring sufficient strategic business thinking to add value to the enterprise

What makes a successful CMO?*

Customer

Orientation

Global

Perspective

Influence &

Impact

Hands on

Leadership

Creates &

Manages

Change

Results

Focused

Risk

Taking

Strategic

Thinker

Team

Player

Technical

Expertise

*Source – CMO Council

What Keeps CMOs up at night?

“The myth of the CMO is the C part.

They don't get to be the chief of the

stuff that is really what marketing is

all about today. CAO, maybe (Chief

Advertising Officer) but not CMO.”

Today’s CMOs are faced with two overriding realities:

Everyone has ADHD

CMOs are the Rodney

Dangerfield’s of the “C” suite.

They just don’t ever

seem to get any respect

Issue # 1 - Everyone has ADHD

How to identify, understand and communicate with customers across multiple channels

There’s Been a Revolution in Marketing

1900 1950 2000 2008

The Customer Experience has exploded•Traditional Media has lost its monopoly on communication

•Customer Communications has become Digital centric

•One to Many (traditional) is becoming One to One (Digital)

Technology is the Catalyst•Digital Communications is Technology Dependent

•One to One communications is technology enabled

The Answer?

1. Pretend nothing’s happening and believe the old adage ,

“I know half of my marketing is working, I just don’t know

which half.”

2. Shift your marketing spend to online ads

“After all, it’s just like regular advertising except online,

isn’t it? And it will be cheaper won’t it?”

3. Get yourself some of that Web 2.0 stuff

“Everyone’s talking about it, so it must really work, right? Think

of all those eyeballs on MySpace.”

Or… adopt a “Left Brain” Approach to Marketing

“Left Brain” Marketing is, “A customer behavior-driven marketing planning approach

that allocates budget across marketing resources that move customers through their

purchase processes .” – Forrester Research

Start with the right questions

• Who is your customer?

• What is important to your customer?

• Where to find your customer?

• How does your customer behave?

• Where does your customer go to get

information?

• Who does your customer rely on to

make choices and decisions?

Then …

The Tools & Technology

It’s not just for The Fortune 500 anymore

Listen = Advertising, Search, Social Media

Organize = Customer Hubs, Data warehouses & CRM

Forrester Research

Customer Hub Providers

Target = Campaign Management, Lead Management

Communicate

Capture & Measure

Experience + Technology = Success

Search Optimization

(Eloqua, Aprimo)Campaign Management

Behavioral Targeting

Email Marketing(Exact Target, Eloqua)

Segmentation

Dynamic Content

Microsoft SharePoint Server System

CMS

LandingPage

Microsoft Commerce Server System

Ecommerce

(WebTrends, Omniture, Eloqua)Analytics

Web Optimization(Widemile, Optimost, Offermatica)

Web Experience

Silverlight

Video

IA

Ad Serving(Atlas)

Media Print Direct Mail

Traditional

SEM

Online Ads

Communities

RSS

Mobile

Interactive

Blogs

SEO

CRM

Issue # 2- CMOs don’t get respect

What CMOs need to do to align themselves with the rest of the enterprise

There is a lot of room for improvement in Marketing’s internal relationships

Source – Forrester Research 2007, “How To

Improve Marketing's Internal Credibility”

The Answer

1. Look at all marketing programs through business eyes

“If it can’t be measured, don’t do it.”

2. Apply the principle of servant leadership to the marketing organization.

“The problems with our sales leads is just like that old restaurant,

the food is terrible and the portions are too small.?

3. Make the CIO your best friend.

“Both CMOs and CIOs share a common challenge, to change

perception of their organizations from being simply a cost center to

being a growth center for the enterprise.

Experience + Technology + Analysis = Results

Search Optimization

BI(Performance Point 07)

(Eloqua, Aprimo)Campaign Management

Behavioral Targeting

ROI MeasurementBusiness Dashboards

Email Marketing(Exact Target, Eloqua)

Segmentation

Dynamic Content

Microsoft SharePoint Server System

CMS

LandingPage

Microsoft Commerce Server System

Ecommerce

(WebTrends, Omniture, Eloqua)Analytics

Web Optimization(Widemile, Optimost, Offermatica)

Web Experience

Silverlight

Video

IA

Ad Serving(Atlas)

Media Print Direct Mail

Traditional

SEM

Online Ads

Communities

RSS

Mobile

Interactive

Blogs

SEO

CRMClosed Loop Marketing