Highlights and Insights                    February 2012www.cmosurvey.org                   © Christine Moorman
About The CMO Survey         Mission             - The CMO Survey collects and disseminates the opinions of top marketers ...
Survey Methodology         Survey Sample             - 3401 Top U.S. Marketers at Fortune 1000, Forbes Top 200, CMO Club c...
Overview of Results      Topic 1: Marketplace Dynamics                    5-10      Topic 2: Firm Growth Strategies       ...
Topic 1:Marketplace Dynamics                       55
Marketer optimism for overall U.S. economyrebounds to highest level in 3 yearsMarketplace         Growth          Spending...
Optimists outweigh pessimists 8 to 1Marketplace         Growth            Spending              Performance Social Media  ...
Marketer optimism for own companies  exceeds expectations for overall economyMarketplace       Growth         Spending    ...
Customer metrics forecast strong rebound:   Increase in number of customers entering markets, purchase volume   and likeli...
Customer priorities to shift from  low price to serviceMarketplace       Growth     Spending        Performance Social Med...
Topic 2:Firm Growth Strategies                         11                          11
Growth strategies expected to shift to product/service development & diversificationMarketplace         Growth        Spen...
Growth strategies vary by sectorMarketplace        Growth     Spending       Performance Social Media     Jobs    Organiza...
Stable patterns of growth strategies overall;  sector differences significantMarketplace         Growth        Spending   ...
International sales to continue upward  trajectory in next 12 monthsMarketplace       Growth        Spending    Performanc...
Which international market is your highest  revenue growth market?Marketplace           Growth         Spending      Perfo...
20% sales revenue increase in top international market in last yearMarketplace       Growth        Spending      Performan...
Topic 3:Marketing Spending                     18                      18
Growth in marketing budgets remains high:  B2B-Product companies expect 2x-4x growth of other industriesMarketplace       ...
Marketing spending on traditional advertising  expected to plummet further (-161%)Marketplace         Growth            Sp...
Investments in building marketing  knowledge remain strongMarketplace       Growth      Spending     Performance Social Me...
Marketing spending increases further to   account for 10.4% of overall firm budgetsMarketplace        Growth           Spe...
Size of marketing budget varies by   company sector, sales, and internet salesMarketplace       Growth    Spending        ...
Marketing spending as a percent of firm   revenuesMarketplace       Growth    Spending         Performance Social Media   ...
Topic 4:Financial and MarketingPerformance                          25                           25
Company performance on financial metrics  shows significant improvementMarketplace       Growth      Spending         Perf...
Companies build key customer and brand  assetsMarketplace       Growth         Spending         Performance Social Media  ...
Firm performance goals skyrocket: 40%-110%  increases over current performanceMarketplace       Growth     Spending       ...
B2B-Service companies top most metricsMarketplace       Growth      Spending       Performance Social Media          Jobs ...
Flat company performance on social and environmental indicatorsMarketplace    Growth            Spending          Performa...
Topic 5:Marketing and Social Media                             31                              31                         ...
Social media spending growth continues:  Expected to be 19.5% of marketing budgets in five yearsMarketplace       Growth  ...
Sector differences in social media spending;   B2C-Product companies lead al industry sectorsMarketplace       Growth     ...
Social media integration gap not closingMarketplace       Growth       Spending        Performance Social Media           ...
Social media employment doubles inside  and outside the companyMarketplace       Growth        Spending           Performa...
Topic 6: Marketing Jobs                          36                           36
Marketing employment remains positive but  growth slowsMarketplace       Growth    Spending     Performance Social Media  ...
Outsourcing of marketing flattens with recoveryMarketplace       Growth       Spending      Performance Social Media   Job...
Topic 7:Marketing Organization                         39                          39
Size of marketing groups double during  economic recoveryMarketplace       Growth       Spending     Performance Social Me...
External focus levels off as recovery  strengthensMarketplace                    Growth               Spending            ...
Topic 8:Marketing Leadership                       42                        42
Marketing leaders retained through economic  crisis; B2C-Product lowest retention levelsMarketplace            Growth     ...
Marketer influence in firms holds during  economic recoveryMarketplace       Growth       Spending     Performance Social ...
Marketing leadership increases on key strategic activitiesMarketplace     Growth            Spending      Performance Soci...
Best Practice from Marketing Leaders                               www.cmosurvey.org/cmo-insights/Marketplace       Growth...
Topic 9:Marketing Analytics                      47                       47
Spending on marketing analytics to  increase 60% in three yearsMarketplace       Growth     Spending      Performance Soci...
Size of marketing analytics groups to  increase as wellMarketplace       Growth            Spending   Performance Social M...
Most decisions fail to use marketing analyticsMarketplace       Growth      Spending     Performance Social Media        J...
Marketing analytics not formally evaluated  in most companiesMarketplace       Growth      Spending      Performance Socia...
The 2012 CMO Survey Award for     Marketing Excellence – Overall Winner   Participants were asked to nominate a company in...
The 2012 CMO Survey Award for   Marketing Excellence – Industry Winners      Participants were asked to nominate a company...
Preview        Next survey:          The CMO Survey will be administered again in July 2012        To participate:        ...
Upcoming SlideShare
Loading in...5
×

The CMO Survey Highlights and Insights February 2012

3,770

Published on

Published in: Business, Technology
0 Comments
3 Likes
Statistics
Notes
  • Be the first to comment

No Downloads
Views
Total Views
3,770
On Slideshare
0
From Embeds
0
Number of Embeds
5
Actions
Shares
0
Downloads
48
Comments
0
Likes
3
Embeds 0
No embeds

No notes for slide

The CMO Survey Highlights and Insights February 2012

  1. 1. Highlights and Insights February 2012www.cmosurvey.org © Christine Moorman
  2. 2. About The CMO Survey Mission - The CMO Survey collects and disseminates the opinions of top marketers in order to predict the future of markets, track marketing excellence, and improve the value of marketing in firms and society. Survey Operation - Founded in August 2008, The CMO Survey is administered twice a year via an Internet survey. Questions repeat to observe trends. Special topics are introduced for each survey. - The February 2012 survey was the eighth administration of The CMO Survey. Sponsoring Organizations Founder and Director - Professor Christine Moorman, T. Austin Finch, Sr. Professor of Business Administration© Christine Moorman 2
  3. 3. Survey Methodology Survey Sample - 3401 Top U.S. Marketers at Fortune 1000, Forbes Top 200, CMO Club companies, and Top Marketers who are AMA Members or Duke University Alumni and Friends - 269 responded for a 7.9% response rate Survey Administration - Email contact with four follow-up reminders - Survey in field from January 31-February 16, 2012 - 91.2% of respondents VP-level or above Results Interpretation - M = sample mean; SD = sample standard deviation - B2B = Business-to-Business firms; B2C = Business-to-Consumer firms© Christine Moorman 3
  4. 4. Overview of Results Topic 1: Marketplace Dynamics 5-10 Topic 2: Firm Growth Strategies 11-17 Topic 3: Marketing Spending 18-24 Topic 4: Financial and Marketing Performance 25-30 Topic 5: Marketing and Social Media 31-35 Topic 6: Marketing Jobs 36-38 Topic 7: Marketing Organization 39-41 Topic 8: Marketing Leadership and CMO Insights 42-46 Topic 9: Marketing Analytics 47-51 The CMO Survey Award for Marketing Excellence 52-53 Preview of the Next Survey 54© Christine Moorman 4
  5. 5. Topic 1:Marketplace Dynamics 55
  6. 6. Marketer optimism for overall U.S. economyrebounds to highest level in 3 yearsMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Figure 1.1. How optimistic are you about the overall Figure 1.2. Optimism for U.S. economy by sector U.S. economy on a 0-100 scale with 0 being the least optimistic and 100 the most optimistic? 65 64.1 Marketer Optimism about Overall Economy 63.5 100 62.1 90 60 80 58.3 70 63.3 63.4 54.5 55 56.5 57.8 60 55.6 52.2 53.3 47.7 53.1 50 50 40 February August February August February August February 48.0 2009 2009 2010 2010 2011 2011 2012 45 August 2011 February 2012 B2B-Product B2B-Service B2C-Product B2C-Service© Christine Moorman 6
  7. 7. Optimists outweigh pessimists 8 to 1Marketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Figure 1.3. Are you more or less optimistic about the overall U.S. economy compared to last quarter? More Optimistic No Change Less Optimistic 80% 68.8 70% 63.3 62.1 59.0 60% 50% 57.4 50.7 38.9 % of 40% Respondents 32.0 28.9 28.3 26.0 27.7 30% 35.2 25.5 17.3 20% 26.0 14.9 10% 15.0 9.0 5.7 8.5 0% February August February August February August February 2009 2009 2010 2010 2011 2011 2012© Christine Moorman 7
  8. 8. Marketer optimism for own companies exceeds expectations for overall economyMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Figure 1.4. How optimistic are you on a 0-100 scale with 0 being the least optimistic and 100 the most optimistic? Overall Economy Own Company Revenue Growth 100.00 90.00 80.00 73.20 72.80 70.00 66.70 67.80 66.44 59.64 60.00 63.30 63.40 52.92 57.78 56.45 55.60 50.00 52.20 47.69 40.00 February August February August February August February 2009 2009 2010 2010 2011 2011 2012© Christine Moorman 8
  9. 9. Customer metrics forecast strong rebound: Increase in number of customers entering markets, purchase volume and likelihood of buying related offeringsMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Figure 1.5. Customer Metrics – Forecasted Customer Outcomes in Next 12 Months 70% 64 62 62 60% 56 52 53 50 50% 48 52 Increased customer purchase volume 50 44 % 39 40% 43 37 Increased customer price per unit of Respondents 39 41 33 35 Customer will buy more related products 30% and services from my firm 25 My firms ability to retain current 20% 17 customers has increased Increased entry of new customers into 10% the market August August August February 2009 2010 2011 2012© Christine Moorman 9
  10. 10. Customer priorities to shift from low price to serviceMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Table 1.1. Rank order your Customer’s Top Priority in Next 12 Months Aug-11 Feb-12 % Change Low Price 24.1% 16.4% -32.0% Quality 24.1% 26.3% +9.1% Innovation 13.7% 10.0% -27.0% Service 13.7% 21.4% +56.2% Trust 19.3% 18.9% -2.1% Brand 6.8% 7.5% +10.3%© Christine Moorman 10
  11. 11. Topic 2:Firm Growth Strategies 11 11
  12. 12. Growth strategies expected to shift to product/service development & diversificationMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Types of Growth Strategies Table 2.1. How Growth Spending is Expected to Change* Existing New Actual Expected Products/ Products/ Percent Spending in Spending in Services Services Strategy Change Past 12 Next 12 Expected Months Months Market Product/Service Existing Market Penetration Development Markets Penetration 56.7% 50.2% -11% Strategy Strategy Strategy Market Development 15.5% 15.6% +1% Market Strategy New Diversification Markets Development Strategy Strategy Product/Service Development 19% 23.8% +25% Strategy Diversification 8.2% 10.5% +28% Strategy * % of spending across growth strategies© Christine Moorman 12
  13. 13. Growth strategies vary by sectorMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Table 2.2. Expected Change in Sector Growth Spending Notable shifts in Next12 Months Relative to Prior Year • Less market penetration: B2B-Product (-17%) B2B B2B B2C B2C Products Services Products Services • Greater focus on new markets/new products: B2B-Services (+126%) and B2C-Products (+82%) Market Penetration Strategy -16.9% -11.5% -6.2% -7.2% • Greater focus on new services: B2C-Services (+27.5%) Market Development Strategy +17.0% +22.9% +21.6% +12.1% • Greater focus on new markets: B2B-Services (+23%) and B2C-Products (+22%) Product/Service Development Strategy +17.7% -32.4% -2.0% +27.5% Diversification Strategy +28.2% +125.6% +81.6% -28.2%© Christine Moorman 13
  14. 14. Stable patterns of growth strategies overall; sector differences significantMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Table 2.3. How Firms Will Grow in the Next 12 Months* Table 2.4. Sector Use of Growth Strategies – February 2012 Strategy Aug-10 Feb-11 Aug-11 Feb-12 Organic Growth via Growth from Growth from Organic Growth Acquisition Partnerships Licensing Growth 69.5% 72.0% 70.2% 70.6% B2B Product 67.4% 13.9% 12.9% 5.8% Growth from Acquisitions 10.8% 10.6% 11.4% 11.6% B2B-Service 74.4% 10.8% 10.9% 3.9% Growth from B2C-Product 71.6% 7.5% 13.6% 7.3% Partnerships 13.9% 11.8% 13.5% 12.6% B2C-Service 78.9% 8.6% 10.7% 1.8% Growth from licensing 5.8% 5.6% 5.1% 5.2% * Percentage of spending across growth strategies© Christine Moorman 14
  15. 15. International sales to continue upward trajectory in next 12 monthsMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Figure 2.1. Percentage of Company Sales Expected to be International in Next 12 Months 40% 35% 32.4% 30% 25% 24.7% 20% 18.7% 15% 10% 5% 0% August August February 2010 2011 2012© Christine Moorman 15
  16. 16. Which international market is your highest revenue growth market?Marketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Figure 2.2. Which International Market is Your Table 2.5. Sector Differences in Key Emerging Markets Highest Revenue Growth Market? Brazil Russia India China Russia 1% B2B Product 6.8% 1.4% 2.7% 24.7% Other Western Europe Korea 20% 23% B2B-Service 5.3% 0% 5.3% 10.5% 1% India B2C-Product 10.3% 0% 3.4% 10.3% 3%Eastern Europe 2% Canada B2C-Service 12.5% 0% 0% 6.3% 16% Middle East 7% Brazil China 7% 15% New question in The CMO Survey Japan 2% Mexico 3%© Christine Moorman 16
  17. 17. 20% sales revenue increase in top international market in last yearMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Average increase across all top international markets: 19.7% (SD = 32.1) New question in The CMO Survey Figure 2.3. Average Percent Increase in Sales Revenue from Top International Market 60% 50% 48.0 40% 34.9 30% 25.3 26.3 25.0 22.5 21.0 19.8 20% 16.6 16.0 13.8 10% 5.2 0% Brazil Canada China Eastern India Japan Korea Mexico Middle Other Russia Western Europe East Market Europe
  18. 18. Topic 3:Marketing Spending 18 18
  19. 19. Growth in marketing budgets remains high: B2B-Product companies expect 2x-4x growth of other industriesMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Figure 3.1. % Change in Marketing Budgets in Next 12 Months Table 3.1. Sector Differences in Marketing Budgets Change in Marketing Spending % Change in 25% Marketing Spending 20% B2B Product 13.2% B2B-Service 6.2% 15% 9.2% B2C-Product 3.3% 9.1% 10% 8.1% 6.7% 4.6% 5.9% B2C-Service 5% 0.5% 1.1% 0% February August February August February August February 2009 2009 2010 2010 2011 2011 2012© Christine Moorman 19
  20. 20. Marketing spending on traditional advertising expected to plummet further (-161%)Marketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Table 3.2. % Change in Marketing Spending in Next 12 Months Aug-11 Feb-12 % Change Traditional advertising* spending 1.3% -0.8% -161.5% Internet marketing spending 11.2% 12.8% +14.3% New product introductions 10.4% 8.5% -18.3% New service introductions 6.6% 4.2% -36.4% Customer relationship management 6.5% 7.1% +9.2% Brand building 5.7% 7.2% +26.3% *Refers to media advertising not using the web.© Christine Moorman 20
  21. 21. Investments in building marketing knowledge remain strongMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Table 3.3. Changes in Firm Spending on Marketing Knowledge in Next 12 Months Feb-09 Aug-09 Feb-10 Aug-10 Feb-11 Aug-11 Feb-12 Marketing research and intelligence 1.8% 3.2% 7.3% 5.6% 8.0% 6.2% 6.2% Marketing consulting services -4.5% 1.3% 2.9% 4.6% 4.7% 3.5% 1.7% Developing knowledge about how to do marketing 3.4% 3.0% 6.4% 6.6% 8.8% 6.4% 4.6% Integrating what we know about marketing 5.1% 4.1% 7.4% 8.9% 8.1% 6.0% 6.6% Marketing training 1.2% 0.7% 4.3% 3.6% 5.6% 3.1% 3.7%© Christine Moorman 21
  22. 22. Marketing spending increases further to account for 10.4% of overall firm budgetsMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Figure 3.2. How Marketing Budgets Are Changing Over Time* 16% 14% 12% 10.4% 10.0% 10% 8.1% 8% 6% 4% 2% February… August… February… *Question asked in Feb-11 for the first time.© Christine Moorman 22
  23. 23. Size of marketing budget varies by company sector, sales, and internet salesMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Table 3.4. Marketing Percentage of Firm Budget by Economic Sector B2B B2B B2C B2C Product Services Product Services August 2011 7.0% 11.1% 11.6% 12.1% February 2012 8.7% 8.2% 16.1% 16.8% Table 3.5. Marketing Percentage of Firm Budget by Company Sales Revenue <$25 $26-99 $100-499 $500-999 $1-9.9 >$10 Million Million Million Million Billion Billion August 2011 11.3% 14.6% 10% 7.8% 3.1% 6.6% February 2012 10.7% 12.3% 13.5% 4.7% 6.7% 8.8% Table 3.6. Marketing Percentage of Firm Budget by Company Internet Sales 0% 1-10% >10% Internet Sales Internet Sales Internet Sales August 2011 8.7% 7.9% 16.8% February 2012 8.4% 9.5% 18.0%© Christine Moorman 23
  24. 24. Marketing spending as a percent of firm revenuesMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics • Mean percentage: 8.5% New question in The CMO Survey • 95 percent confidence Interval around mean: 5.6%-11.5% Table 3.7. Marketing Spending as a Percentage of Firm Revenues by Economic Sector B2B B2B B2C B2C Product Services Product Services February 2012 7.3% 4.8% 13.8% 16.6 Table 3.8. Marketing Percentage of Firm Budget by Company Sales Revenue <$25 $26-99 $100-499 $500-999 $1-9.9 >$10 Million Million Million Million Billion Billion February 2012 11.8% 9.0% 14.7% 1.7% 2.8% 5.2% Table 3.9. Marketing Percentage of Firm Budget by Company Internet Sales 0% 1-10% >10% Internet Sales Internet Sales Internet Sales February 2012 6.3% 9.0% 14.4%© Christine Moorman 24
  25. 25. Topic 4:Financial and MarketingPerformance 25 25
  26. 26. Company performance on financial metrics shows significant improvementMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics % Change Figure 4.1. Firm Performance in Prior 12 Months Feb-2011 to Feb-2012 Firm sales Firm profits Marketing ROI Firm Sales 20% 6% Firm Profits 14.7% 4.8% 5% Marketing ROI 29.6% 4.0% 3.8% 3.9% 4% 3.5% Firm 3.4% Performance 3% 3.4% on Metrics 3.0% 2.2% 2.2% 2.7% 2% 1.8% 1% 0% August February August February 2010 2011 2011 2012© Christine Moorman 26
  27. 27. Companies build key customer and brand assetsMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics % Change Figure 4.2. Company Performance on Customer and Brand Metrics Feb-2011 to Feb-2012 Customer acquisition Customer retention Brand value Customer 41.3% 4.5% Acquisition 4.1% Customer 4.0% 31.5% Retention 3.5% 3.5% 3.2% 3.8% Brand Value 37.5% 2.9% 3.0% 3.2% Firm 2.5% Performance 2.6% 2.6% on Metrics 2.0% 2.2% 1.7% 1.5% 1.4% 1.6% 1.0% 0.5% 0.0% August August August February 2009 2010 2011 2012© Christine Moorman 27
  28. 28. Firm performance goals skyrocket: 40%-110% increases over current performanceMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Table 4.1. Company Performance and Goals Actual firm performance Goal in the % Increase in goal in prior 12 months next 12 months over performance Firm sales 4.8% 6.8% 42% Marketing return on investment 3.5% 5.1% 46% Firm profits 3.9% 6.2% 59% Customer acquisition 3.8% 5.7% 45% Customer retention 2.2% 4.6% 110% Brand value 4.1% 5.8% 41%© Christine Moorman 28
  29. 29. B2B-Service companies top most metricsMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Table 4.2. Sector Performance Metrics for Prior 12 Months B2B-Product B2B-Services B2C-Product B2C-Services Firm sales 7.0% 7.5% 6.6% 5.2% Marketing return on investment 4.9% 5.8% 4.3% 5.3% Firm profits 6.1% 6.7% 5.7% 5.6% Customer acquisition 5.8% 6.1% 5.2% 5.1% Customer retention 4.7% 5.2% 4.1% 3.6% Brand value 5.9% 5.8% 5.5% 6.0%© Christine Moorman 29
  30. 30. Flat company performance on social and environmental indicatorsMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Figure 4.3. Firm Performance on Social and Environmental Metrics in Past 12 Months February February February 2010 2011 2012 5 4 3.2 3.2 3.1 3.0 3.0 2.9 3 2 1 0 Marketing that is beneficial for society Minimize impact of marketing on environment * 5-point scale where 1 is “poor” and 5 is “excellent” 30
  31. 31. Topic 5:Marketing and Social Media 31 31 31
  32. 32. Social media spending growth continues: Expected to be 19.5% of marketing budgets in five yearsMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Figure 5.1. Social Media Spending as a Percentage of Marketing Budgets Over Time 25% 19.5% 20% 15% Percentage of Total Marketing 10.8% Budget (%) 10% 7.4% 5% 0% Current Levels Next 12 Months Next 5 Years© Christine Moorman 32
  33. 33. Sector differences in social media spending; B2C-Product companies lead al industry sectorsMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Table 5.1. Sector Differences in % Change in Social Media Spending August 2011 February 2012 B2B - Product 4.2% 6.2% B2B - Services 8.6% 7.4% Current Social B2C - Product 10.5% 9.6% Media Spending B2C - Services 5.9% 8.4% Overall 7.1% 7.4% B2B - Product 7.0% 9.4% B2B - Services 11.5% 10.1% Social Media Spending in the B2C - Product 13.6% 15.3% next 12 months B2C - Services 9.4% 11.7% Overall 10.1% 10.8% B2B - Product 13.4% 18.5% B2B - Services 18.3% 19.1% Social Media Spending in the B2C - Product 24.0% 23.0% next 5 years B2C - Services 17.3% 19.0% Overall 17.5% 19.5%© Christine Moorman 33
  34. 34. Social media integration gap not closingMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Question: How effectively is social media Figure 5.2. How Effectively Social Media is Integrated integrated with your firm’s marketing strategy? with Strategy 7-point scale (1=not integrated, 7=very integrated) Results: Social media remains poorly integrated 25% 22.0% with marketing strategy: 18.4% 20% 17.8% • Feb, 2012: Mean = 3.8, SD = 1.9 % of 15% 14.1% 11.9% • Feb, 2011: Mean = 3.8, SD = 2.0 Respondents 10% 8.6% 7.0% Table 5.2. Integration Scores by Sector 5% Mean (SD) 0% Feb-2012 1 2 3 4 5 6 7 Not at all Very B2B-Product 3.6 (2.1) Integrated Integrated B2B-Services 3.6 (1.9) B2C-Product 4.4 (1.5) B2C-Services 4.5 (1.6)© Christine Moorman 34
  35. 35. Social media employment doubles inside and outside the companyMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Figure 5.3. Number of Employees In-House and Outsourced Performing Social Media for Company February February 2011 2012 10 9.0 8 6 5.3 4.0 4 1.8 2 0 Number of people employed in-house Number of individuals from outside vendors providing to do social media for company social media support for the company© Christine Moorman 35
  36. 36. Topic 6: Marketing Jobs 36 36
  37. 37. Marketing employment remains positive but growth slowsMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Figure 6.1. Percentage Change in Marketing Hires Planned Table 6.1. Percentage Increase in Marketing in Next 12 months Hires by Sector 25% B2B B2B B2C B2C Product Services Product Services 20% August 6.6% 3.7% 2.4% 0.1% 2010 15% February 3.7% 4.6% 5.1% 6.3% 2011 10% August 13.9% 11.3% 6.7% 2.3% 7.2% 2011 6.2% 5.2% February 4.0% 2.1% 4.5% 1.9% 4.5% 5% 2012 0% August February August February 2010 2011 2011 2012© Christine Moorman 37
  38. 38. Outsourcing of marketing flattens with recoveryMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Figure 6.2. Percentage of Company Marketing Expected to be Outsourced in Next 12 Months 25% 20% 15% 9.3% 10% 4.3% 4.5% 5% 3.2% 0% August February August February 2010 2011 2011 2012© Christine Moorman 38
  39. 39. Topic 7:Marketing Organization 39 39
  40. 40. Size of marketing groups double during economic recoveryMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Figure 7.1. Marketing Employees as a Percentage of Total Number of Employees 12% 11.0% 10% 8% 6% 4.2% 4% 2.4% 2.3% 2% 0% August August August February 2009 2010 2011 2012© Christine Moorman 40
  41. 41. External focus levels off as recovery strengthensMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Figure 7.2. Firm Outside-In Activities: Information about customers and competitors … * February 2011 August 2011 February 2012 5.4 5.3 5.2 5.1 5.1 5.0 5.0 5 4.9 4.9 Mean Value* 4.8 4.8 4.8 4.8 4.8 4.7 4.7 4.7 4.7 4.6 4.6 4.6 4.6 4.4 4.2 Is collected on a regular Is shared vertically Is shared horizontally Shapes the design Influences the Impacts the basis across different levels across different functions of firm strategies implementation evaluation of firm of the firm and business and business units of firm strategies strategies units *7-point scale where 1 is “not at all” and 7 is “very frequently”© Christine Moorman 41
  42. 42. Topic 8:Marketing Leadership 42 42
  43. 43. Marketing leaders retained through economic crisis; B2C-Product lowest retention levelsMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics ), and 2009 (34.7 months). Figure 8.1. Marketing Leader Retention Table 8.1. Sector Differences in Retention August 2009 August 2010 August 2011 February 2012 Years in current role 12 B2B Product 5.5 years 10.5 10 B2B-Service 6.1 years 9.0 8.8 8.0 B2C-Product 3.9 years 8 B2C-Service 5.2 years Years 6 5.4 4.6 4.3 4.3 4 2 0 Top marketer time in current role in the firm Top marketer time in any role in the firm© Christine Moorman 43
  44. 44. Marketer influence in firms holds during economic recoveryMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Figure 8.2. Number of Direct Reports to Top Marketer 10 9 8 7.3 7.2 7 6.0 6 Number of 4.6 5 Reports 4 3 2 1 August August August February 2009 2010 2011 2012© Christine Moorman 44
  45. 45. Marketing leadership increases on key strategic activitiesMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Table 8.2. What Marketing Percentage of Companies Stronger marketing leadership : Does in Companies Using Marketing for Activity • Brand • Social media Activity Feb-11 Feb-12 • Competitive intelligence Positioning 79% 78% • New Products Promotion 81% 79% • CRM – Customer Relationship Management Brand 81% 84% • Targeting Marketing research 73% 71% • Pricing • Innovation Social media 71% 73% Competitive intelligence 58% 62% Maintaining marketing leadership: Public relations 65% 53% • Positioning Lead generation 53% 53% • Lead generation Market entry strategies 50% 46% • Customer service New products 44% 52% Weaker marketing leadership: CRM 38% 41% • Promotion Targeting/Market selection 31% 35% • Marketing research Sales 32% 30% • Public relations Pricing 30% 34% • Market entry • Sales Innovation 33% 39% Customer service 22% 21% Small but growing leadership on managing stock Stock market performance 0.4% 1.2% market performance 45
  46. 46. Best Practice from Marketing Leaders www.cmosurvey.org/cmo-insights/Marketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Chief Marketing Officer Kim Feil discusses how she built a marketing function. From insights to accountability, she describes the organization, processes, metrics and talent management strategies important to this effort. Executive Vice President and Chief Marketing Officer Geert van Kuyck shares ideas on building the essential skill set for CMOs and the importance of defining the CMO’s mission. He discusses the use of the Net Promoter Score and other metrics to evaluate business results at Philips, touching on Philips’ engagement with LinkedIn and social media metrics. Executive Vice President and Chief Marketing Officer Stephen Quinn describes how Walmart rebuilt its customer focus. Key steps involved harnessing internal support, generating market insight, using customer-focused metrics, living the brand internally, and building marketing talent. The results have been impressive for this world-class retailer. Global Marketing Officer Marc Pritchard shares his viewpoints on how marketing contributes to P&G’s performance. He talks about how P&G learns about customers and how it is relentless in its attention to building loyal customers and strong brands in the store, on the web, and around the world.© Christine Moorman 46
  47. 47. Topic 9:Marketing Analytics 47 47
  48. 48. Spending on marketing analytics to increase 60% in three yearsMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Figure 9.1. Percent of Marketing Budget Spent on Marketing Analytics Table 9.1. Firm Size Differences 12% In Next 3 Current years 10% 9.1% <$25M 4.8% 7.3% 8% $26-99M 4.2% 11.3% 6% 5.5% 7.6% $100-499M 5.7% 4% $500-999M 2.8% 8.8% 2% $1-9.9B 7.1% 10.2% 0% $10+B 7.3% 10.8% Current Levels In Next 3 Years© Christine Moorman 48
  49. 49. Size of marketing analytics groups to increase as wellMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Figure 9.2. Number of People Employed in Company Table 9.2. Firm Size Differences in Marketing Analytics In Next 3 8 Current years 6.9 <$25M 1.1 1.3 5.8 Number of 6 $26-99M 1.1 1.4 Company Employees $100-499M 1.8 2.9 4 $500-999M 1.4 2.5 $1-9.9B 9.1 10.1 $10+B 26.4 32.4 2 Current In Next 3 Years© Christine Moorman 49
  50. 50. Most decisions fail to use marketing analyticsMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Figure 9.3. Percentage of Projects Company Using Marketing Analytics 70% 63% 60% 50% 37% 40% 30% 20% 10% 0% Uses analytics Do not use analytics© Christine Moorman 50
  51. 51. Marketing analytics not formally evaluated in most companiesMarketplace Growth Spending Performance Social Media Jobs Organization Leadership Analytics Figure 9.4. Does Your Company Formally Evaluate the Quality of Marketing Analytics? 80% 70% 67% 60% 50% 40% 33% 30% 20% 10% 0% Evaluate quality Do not evaluate quality© Christine Moorman 51
  52. 52. The 2012 CMO Survey Award for Marketing Excellence – Overall Winner Participants were asked to nominate a company in response to the question: Which company across all industries sets the standard for excellence in marketing? Apple, Inc.© Christine Moorman 52
  53. 53. The 2012 CMO Survey Award for Marketing Excellence – Industry Winners Participants were asked to nominate a company in response to the question: Which company in your industry sets the standard for excellence in marketing? Procter & Gamble Google General Electric Retail (Consumer Packaged Goods) (Services) (Manufacturing) (McDonald’s)© Christine Moorman 53
  54. 54. Preview Next survey: The CMO Survey will be administered again in July 2012 To participate: Sign up at http://www.cmosurvey.org/participate/ Media: Will be posted to http://www.cmosurvey.org/category/news/ Feedback: Send your thoughts to moorman@duke.edu© Christine Moorman 54
  1. A particular slide catching your eye?

    Clipping is a handy way to collect important slides you want to go back to later.

×