The CMO Club in partnership with IBM, conducted research among the world’s top marketers to produce Marketing is a (Buyer) Journey, Not a Destination, a CMO Solution Guide. The study features feedback from 100 leading CMO Club members and the perspectives of eight marketing executives from companies including Wells Fargo, Bally, Ticketmaster, Valspar, CNO Financial, medCPU and Goddard Schools.
We found that Chief Marketing Officers are shifting budgets — from majority spend traditionally focused on customer acquisition — towards customer retention and advocacy. The study also reveals that CMOs are increasing their budgets and allocating a greater part of their investments across the entire customer journey rather than in individual channels.
As explained in this CMO Solution Guide, marketers are demonstrating that with budgets on the rise, allocation is changing significantly. This spending shift comes at a time when consumers have begun engaging businesses from multiple channels, researching products on their mobile device, purchasing from their tablet and then picking them up in the store. As this customer journey becomes prevalent, CMOs can no longer afford to dedicate a majority of their budget to customer acquisition and allocate market spend by channel. According to this study, marketers have recognized the need and are beginning to shift priorities towards retention and loyalty and driving customer advocacy across each interaction point, from discover and learn to use and advocate.
Additional key findings from the study include:
- 57 percent of CMOs expect their marketing budgets to increase over the next 2-3 years.
- Marketers are aligning spending across every stage of the buyer journey with social and digital channels emerging as top areas of investment.
- 53 percent of respondents stated that the main reason for spreading their budgets across the entire customer journey is the need to generate higher revenue.
The CMO Solution Guide is also featured on the IBM site