0906 CEOs Marketing Team

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Chairman’s Series on Growth Asia Pacific Edition The CEO’s Marketing Team: Spearheading Profitable Growth June, 2009

description

This presentation will take us through the marketing function, starting with challenges within the marketing career itself, considering marketing best practices, our own research plans in this area and some best practice case histories, as well as touching on the role of the CEO’s growth team.

Transcript of 0906 CEOs Marketing Team

Page 1: 0906 CEOs Marketing Team

Chairman’s Series on Growth

Asia Pacific Edition

The CEO’s Marketing Team:

Spearheading Profitable Growth

June, 2009

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Today’s Presenters

Craig Baty

Global VP, IT Practice

Frost & Sullivan

Today’s Moderator:

Hwee Har Tan

Marketing Manager, Asia Pacific

Frost & Sullivan

Michael Buchholz

VP Marketing, Asia Pacific

Frost & Sullivan

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Agenda

1. Poll Results from Last Months AP CSG

2. Overview: Where We Are in the Series

3. Challenges to the Marketing Career

4. Marketing’s Role on the Growth Team™

5. Case History: Marketing Best Practices

6. Marketing Best Practices Thought Leadership Model

7. Serious About Growth: Next Steps

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Polling Responses from April APAC CSG

Does your company currently have a culture focused on Growth, Innovation and Leadership?

Yes

66.6%

No

33.3%

What challenge(s) does your CEO and/or management team face in developing and creating a culture of Growth, Innovation and Leadership?

The CEO doesn’t have the required leadership skills

66.6%

Getting the entire team on the same page

33.3%

Eliminating the ‘not invented here’ or the challenge of evolving silos

66.6%

Lack of visionary skills to develop a powerful growth strategy

33.3%

Lack of time to engage in the required growth workshops

66.6%

Lack of budget to travel to GIL and or invest in long term growth

33.3%

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The Growth Acceleration System

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CEO's Growth Team Building Teamwork and A Culture of Growth Innovation & Leadership

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Internal Challenges for the Marketing Function

Operational issues dominate the agenda - Soft ROI – budget constraints; undervalued by

CEO and executive team

Lack of goal alignment between marketing and

sales

- Combative relationship – weak integration with

sales goals

Lack of integration with R&D - Higher risk product strategy – miss market

demand

Lack of input to growth pipeline - Growth pipeline is overly dependent on new

product development for growth

Marketing’s insular focus and reactive behavior relegate it to a highly

operational role that provides minimal value to the CEO’s Growth Team.

Situation Resulting Challenge

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External Challenges for the Marketing Function

Technology of marketing is accelerating - Increased pressure on marketing to leverage

Best Practices for growth

Changing economic and political landscape -

-

Assess future growth pipeline

Puts your current growth strategy at risk

Increasingly competitive markets -

-

Offer comprehensive picture of competitive

landscape

Prepare company to address competition

Smarter customers with shorter attention spans - Build accurate audience profiles with effective

messaging

Situation

Without a 360 Degree Perspective, Marketing can provide minimal value

to the CEO’s Growth Team.™

Resulting Challenge

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Marketing: Relationship with Leaders

Marketing Role CEO’s Role

• Responsible for generating growth opportunities

and ideas

• Instrumental in communicating growth strategy

and vision to internal team

• Communicates to Growth Team™ on progress

of vision

• Facilitates strategic communication within

Growth Team™

• Supports growth implementation

• Open-minded, willing to explore, nurturing of

innovation

• True collaboration with marketing

• Supports GIL (Growth, Innovation and

Leadership) Culture, open forum

• Clearly communicates objectives and vision

• Provides time and budget for long-term strategy

• Inspires, nurtures and unifies Growth Team™

to create and achieve vision

CEO/Leadership

CEO

Marketing

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Marketing: Relationship with Competitive Intelligence

Marketing Role CI’s Role

• Drives Competitive Intelligence programs to

ensure successful growth opportunities

• Ensures CI is aligned with Growth Team™

on competitive landscape for growth

• Expands CI to all roles on Growth Team ™

and all projects

• Best Practices within CI function

• Proactive not reactive

• Supports diversification opportunities

Competitive Intelligence (CI) Marketing

CI

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Marketing: Relationship with Market Research

Marketing Role Market Research Role

• Identify key customer/consumer and

marketplace information gaps needed to

drive growth strategies

• Prioritise key growth customer segments for

evaluation

• Collaborate with Market Research to embed

customer insight into new product

development, marketing communications

and strategies

• Develop research agenda focused on growth

opportunities

• Synthesize disparate sources of information

to evaluate opportunities

• Generate “voice of the customer” insights

• Support decision making by Marketing with

data and insights

Market Research MarketingMarket

Research

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Marketing: Relationship with Corporate Strategy/Development

Marketing Role Corporate Strategy/Development Role

• Responsible for increasing Corporate

Strategy/Development activities

• Creates communication system to optimise

collaboration

• Aligns short-and long-term ideas

• Provide long-term growth ideas for Corporate

Strategy/Development

• Provides feedback on ideas generated by

Corporate Strategy/Development

• Generate and evaluate growth options for the

company

• Collaborates on ideas, opportunities, visions

and strategies

• Connects short- and long-term visions

• Be measurable

• Provides strong feedback

• Clear role and objectives, building together with

marketing

Corporate Strategy/ Development Marketing

Strategic Business Development

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Marketing: Relationship with Research & Development

Marketing Role Research & Development’s Role

• Supports open collaboration between

business units and R&D

• Identifies market opportunities for R&D –

Customer Perspective, Competitor

Perspective

• Communicates internally and externally the

growth potential of various R&D activities

• Open communications with other business

units

• Capabilities of development, what's possible

• Communicates through all phases of product

development cycle

• Proactive probe for marketing-driven new

ideas

• Focus on relationship and teamwork

Research & Development (R&D) Marketing

R&D

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Marketing: Relationship with Sales Management

Marketing Role Sales’ Role

• Building strategies to respond to competition

• Creates marketing communications based on

CEO’s Vision, Growth Team™ collaboration,

customers voice, brand promise and

communication channels

• Responsible for partnering with Market Research

to create customer profiles that aid the

segmented selling approach

• Drives competitive benchmarking to enhance

Sales effectiveness

• Captures measurable customer feedback

• Key 360 Degree Perspective - feedback to

Growth Team™ and marketing

• Feedback on message effectiveness

• Open communication and collaboration with

other business units

Sales Management MarketingSales

Management

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Marketing: Relationship with Investor/Finance

Marketing Role Investor’s Role

• Collaborates to identify and generate ways to

leverage 10 Growth Processes

• Provide unbiased and unhyped data from

various sources including CRM system and

customer surveys

• Collaboration and communication with

marketing and Growth Team™ on costs and

investment criteria

• Feedback on financial analysis on Growth

Pipeline

• Help prioritise growth pipeline

• Sharing ROI and IRR calculations with team

• Creates financial model of growth opportunities

• Conducts sensitivity analysis of growth models

Investor/Finance

Investors

Marketing

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Marketing: Current vs. Growth Team MembershipTM (GTM)

Today’s Marketing Role

• Consumed with Operations

• One-way Communication w/ CEO

• No Budget or Time for long term

• Little Insight into R&D Pipeline

• Adversarial Role with Sales

• Marketing not on Pipeline

• Marketing thinks Dept is at Best

Practice

• Marketing has Market Perspective

• Not Concerned with Culture

Empowerment Through GTM

• Big Picture Marketing Strategy

• 2-way Communication w/ CEO

• Fights for Budget & Time

• Drives Growth Strategy

• 100% Integration with R&D

• Partnership with Sales on

Implementation

• Source of 50% of Growth Pipeline

• Team Exposed to Best Practices

• Learning 360 Degree Perspective

• Drives Growth Innovation and

Leadership Culture Internally

Marketing Needs to Evolve to Optimise Impact

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Marketing’s Impact on the Growth Pipeline

• Distribution Channel

• Geographic Expansion

• New Applications for Existing Technology

• Customer Segmentation Strategies

• Customer Strategies

• Sales Strategies

• Pricing Strategies

• Merger & Acquisition

• Growth Sourcing

• New Product Enhancements Driven by Customers

Marketing could fuel 50% of Growth Pipeline opportunity

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Michael Buchholz,

VP Marketing, Asia Pacific

Frost & Sullivan

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The Financial Opportunity

Profit

Time

Reduce Impact Of Industry Cycle

Sustainable Profitable Revenue Growth

Profit

Time

Reduce Impact Of Industry Cycle

Sustainable Profitable Revenue Growth

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New Strategic Capabilities

• Brand Development

• “Helping Customers Complete Their Important Construction Projects”

Growth Strategy

Operational

Efficiency

Strategic

Acquisitions

and

Integration

Market

Development

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Growth Team … a collaborative approach to growth

Market

Assessment

New Product

Development

Operational

Integration

and

Pricing

Sales Strategy

and

Account

Management

Market Research &

Analysis

R&D

Commercial Strategy

and Planning

Sales

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Case In Point: Making The Old New Again…

Old Markets… New Value

Increase Use of Cement and Concrete vs. Other Materials

• Residential

• Concrete Homes

• 30-50% ↓ Energy Costs

• Paving

• Recycled Pavements

• 66%↓Material to Landfill

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Repositioning Brand to Support Growth

Brand Development

Internal Focus

Rational

Products

Innovative Solutions Provider

Customer Focus

Rational + Emotional

Customer Projects

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Ingredients of Success

Making It Happen AND Making It Stick

• Change “Commodity” Thinking

• Develop Compelling Business Case

• Measure and Communicate Results

• Make It a “Big” Team Effort

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Specific activities performed to solve a tough

business challenge that 9 out of 10 companies are

NOT performing but SHOULD, with measurable

results proving effectiveness

Definition: What is Best Practice?

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Marketing: Best Practices Thought Leadership Models Future

Research Topics

� Building and Training the Growth Team™

� Developing the Growth Pipeline from Marketing Perspective

� The Marketing Function: Top 6 Growth Thought Leaders (GTLs)

� Which Companies, Departments and Leaders are at Best Practice Level?

� Strategic Actions for Key Challenges in Marketing

� Creating a Customer and Competitor Landscape for Growth Evaluation

� Customer-driven Marketing Strategy

� Competitive-driven Marketing Strategy

� Brand Leadership & Change

� Strategic Partnering

� Lead Generation and Management Systems

� Customer Relationship Management

� Marketing-driven Product Development Process

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www.frost.com/gilglobalGIL GLOBAL 2009A global community focused on Growth, Innovation and Leadership

October 2009

Kuala Lumpur

October 2009

Shanghai

December 2009

Sao Paulo

May 2010

London

September 2009

Phoenix, Arizona

October 2009

Dubai

October 2009

Bangalore

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Next Steps

� Request a proposal for Growth Partnership Services to support you and your team to

accelerate the growth of your company.

� Attend Frost & Sullivan Executive MindXchange best practice networking events

(http://www.frost.com/cal) to share and address strategic challenges

� Consider Conducting a 360 Degree Growth Workshop to support your long-term growth

strategy

� Join us at a Growth, Innovation and Leadership 2009: A Frost & Sullivan Global Congress

on Corporate Growth (www.frost.com/gilglobal)

� Register for the next Chairman’s Series on Growth: (http://www.frost.com/growthapac)

� Schedule a Recession Strategy Session with a Frost & Sullivan Industry consultant (email

us: [email protected])

� Schedule a One-on-One Growth Strategy Dialogue with a Frost & Sullivan Growth

Consultant (email us: [email protected])

� Register for Frost & Sullivan’s Growth Opportunity Newsletter and Growth Team

Membership e Bulletin to keep abreast of growth opportunities in your industry and best

practices in your career track. (www.frost.com)

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Contact Us

If you have questions or would like further information about anything we discussed, please send your query to the email provided below and we will get back to you shortly.

Alvin Chua

Account Manager

Automotive, Transportation & Logistics

DID: +65 6890 0997

Mob: +65 9199 4566

eMail: [email protected]