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Building the Just In Time Marketing Organization

accenture
accenture

Mass marketing is proving less and less successful. Companies are faced with rapid market change and consumers that gather robust information and seek “better, faster, cheaper” above brand loyalty.

Building the Just In Time Marketing Organization

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Building the Just-in-Time
Marketing Organization
May 2016
Research highlights the practices of
effective marketing organizations
2
“AWARENESS MARKETING” IS LESS RELEVANT TO CONSUMERS
Marketing content gets old fast—new solutions are needed
Copyright © 2016 Accenture All rights reserved.
Mass marketing is proving less and less
successful. Companies are faced with
rapid market change and consumers that:
Consumers said the number
of brands they consider before
making a purchase has increased
significantly over the past 10 years*
Consumers more likely
to switch providers today
compared to 10 years ago*
Source: Just-in-time marketing CMO survey, Accenture 2015
56%
46%
Gather robust information
about any product or
service of interest
Seek “better, faster,
cheaper” above brand loyalty
3
REACHING THE RIGHT CONSUMER—RIGHT TIME, RIGHT MESSAGE
Just-in-time marketing tackles overproduction and wasted effort
Copyright © 2016 Accenture All rights reserved.
Our survey of chief marketing officers found:
Marketing waste is quantifiable,
represents more spend than
you think and needs to be
tackled urgently
Top tier marketing
organizations address
marketing waste far more
effectively than their peers
Just-in-time marketers
tend to grow faster than
their peers
Just-in-time marketers
behave and operate
differently from their peers
4
EXTENT OF WASTED MARKETING EFFORT IS WORRYINGLY VAST
Marketing waste is quantifiable, represents more spend than you think and needs urgent action
Copyright © 2016 Accenture All rights reserved.
Source: Just-in-time marketing CMO survey, Accenture 2015
Fewer than 20% of the
individuals that marketers
reach are the right
customers for the product or
service on offer
20%
Hundreds of billions of dollars
may be wasted annually on
out-of-market customers
worldwide
US$600 billion
Companies around the
world collectively spent
an estimated US$600 billion
on advertising in 2015
5
TOP TIER MARKETERS BETTER ADDRESS MARKETING WASTE
Just-in-time marketers exhibit “waste-conscious” attitudes and mind-sets
Copyright © 2016 Accenture All rights reserved.
Over the long term, these
inefficiencies can cost money
and customers. So I make sure to
put a lot of effort in to fix this.
CMO, large UK-based retailer*
Which of these statements best represents your attitude
towards inefficiencies incurred by various marketing activities?
Source: Just-in-time marketing CMO survey, Accenture 2015
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
Just-in-time marketers Everybody else
Make a large
effort to minimze
Eliminating is one of
my highest priorities
Make a large
effort to minimize
Eliminating is one of
my highest priorities
What sets just-in-time marketers apart?
• More customer knowledge
• Better channel capabilities
• Greater marketing agility
6
JUST-IN-TIME MARKETERS TEND TO GROW FASTER THAN THEIR PEERS
Effective and efficient marketers gain a competitive advantage
Copyright © 2016 Accenture All rights reserved.
% reporting greater than 26%
1-year growth than peers
0%
5%
10%
15%
20%
25%
30%
35%
40%
Just-in-time marketers Everybody else
% reporting greater than 26%
3-year growth than peers
0%
5%
10%
15%
20%
25%
30%
35%
40%
Just-in-time marketers Everybody else
Just-in-time marketing relates to improved financial performance and better business outcomes.
Source: Just-in-time marketing CMO survey, Accenture 2015
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Building the Just In Time Marketing Organization

  • 1. Building the Just-in-Time Marketing Organization May 2016 Research highlights the practices of effective marketing organizations
  • 2. 2 “AWARENESS MARKETING” IS LESS RELEVANT TO CONSUMERS Marketing content gets old fast—new solutions are needed Copyright © 2016 Accenture All rights reserved. Mass marketing is proving less and less successful. Companies are faced with rapid market change and consumers that: Consumers said the number of brands they consider before making a purchase has increased significantly over the past 10 years* Consumers more likely to switch providers today compared to 10 years ago* Source: Just-in-time marketing CMO survey, Accenture 2015 56% 46% Gather robust information about any product or service of interest Seek “better, faster, cheaper” above brand loyalty
  • 3. 3 REACHING THE RIGHT CONSUMER—RIGHT TIME, RIGHT MESSAGE Just-in-time marketing tackles overproduction and wasted effort Copyright © 2016 Accenture All rights reserved. Our survey of chief marketing officers found: Marketing waste is quantifiable, represents more spend than you think and needs to be tackled urgently Top tier marketing organizations address marketing waste far more effectively than their peers Just-in-time marketers tend to grow faster than their peers Just-in-time marketers behave and operate differently from their peers
  • 4. 4 EXTENT OF WASTED MARKETING EFFORT IS WORRYINGLY VAST Marketing waste is quantifiable, represents more spend than you think and needs urgent action Copyright © 2016 Accenture All rights reserved. Source: Just-in-time marketing CMO survey, Accenture 2015 Fewer than 20% of the individuals that marketers reach are the right customers for the product or service on offer 20% Hundreds of billions of dollars may be wasted annually on out-of-market customers worldwide US$600 billion Companies around the world collectively spent an estimated US$600 billion on advertising in 2015
  • 5. 5 TOP TIER MARKETERS BETTER ADDRESS MARKETING WASTE Just-in-time marketers exhibit “waste-conscious” attitudes and mind-sets Copyright © 2016 Accenture All rights reserved. Over the long term, these inefficiencies can cost money and customers. So I make sure to put a lot of effort in to fix this. CMO, large UK-based retailer* Which of these statements best represents your attitude towards inefficiencies incurred by various marketing activities? Source: Just-in-time marketing CMO survey, Accenture 2015 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% Just-in-time marketers Everybody else Make a large effort to minimze Eliminating is one of my highest priorities Make a large effort to minimize Eliminating is one of my highest priorities What sets just-in-time marketers apart? • More customer knowledge • Better channel capabilities • Greater marketing agility
  • 6. 6 JUST-IN-TIME MARKETERS TEND TO GROW FASTER THAN THEIR PEERS Effective and efficient marketers gain a competitive advantage Copyright © 2016 Accenture All rights reserved. % reporting greater than 26% 1-year growth than peers 0% 5% 10% 15% 20% 25% 30% 35% 40% Just-in-time marketers Everybody else % reporting greater than 26% 3-year growth than peers 0% 5% 10% 15% 20% 25% 30% 35% 40% Just-in-time marketers Everybody else Just-in-time marketing relates to improved financial performance and better business outcomes. Source: Just-in-time marketing CMO survey, Accenture 2015
  • 7. • Embed marketing digital and analytics capabilities and talent throughout their organizations • Leverage centers of excellence for digital and analytics skills • Independently choose or invest in their own IT solutions 7 JUST-IN-TIME MARKETERS BEHAVE AND OPERATE DIFFERENTLY Just-in-time marketers distinguish their approach to marketing initiatives from their peers Copyright © 2015 Accenture All rights reserved. What do just-in-time marketers do differently? How do just-in-time marketers operate differently? 0% 10% 20% 30% 40% 50% 60% 70% Just-in-time marketers Everybody else % reporting very high integration of digital and traditional marketing initiatives 40% difference Just-in-time marketers are more likely than their peers to:
  • 8. 8 ABOUT THE RESEARCH Accenture Institute for High Performance research Copyright © 2016 Accenture All rights reserved. We sought to quantify marketing inefficiencies and identify marketing attitudes and behaviors: INDUSTRIES REPRESENTED Source: Just-in-time marketing CMO survey, Accenture 2015 Telecommunications Electronics & High Tech Wealth & Asset Management Banking Media & Entertainment Hospitality & Travel Retail Consumer Goods & Services Insurance Utilities Spain Brazil Canada Japan Germany Italy China United States United Kingdom France India COUNTRY HEADQUARTERS REPRESENTED 532 chief marketing officers Survey conducted September to November 2015 11 countries and 10 industries, all with reported revenues of more than US$1 billion
  • 9. 9 CONTACT US Copyright © 2016 Accenture All rights reserved. RELATED READING Ivy Lee Research associate ivy.lee@accenture.com Paul F. Nunes Global Managing Director paul.f.nunes@accenture.com Joshua Bellin Research Fellow joshua.b.bellin@accenture.com Building the Just-in-Time Marketing Organization https://www.linkedin.com/company/accenture_institute https://twitter.com/accentureinst
  • 10. 10 About Accenture Accenture is a leading global professional services company, providing a broad range of services and solutions in strategy, consulting, digital, technology and operations. Combining unmatched experience and specialized skills across more than 40 industries and all business functions – underpinned by the world’s largest delivery network – Accenture works at the intersection of business and technology to help clients improve their performance and create sustainable value for their stakeholders. With approximately 373,000 people serving clients in more than 120 countries, Accenture drives innovation to improve the way the world works and lives. Visit us at www.accenture.com About Accenture Institute for High Performance The Accenture Institute for High Performance develops and communicates breakthrough ideas and practical insights on management issues, economic trends and the impact of new and improving technologies. Its worldwide team of researchers collaborates with Accenture’s strategy, digital, technology and operations leadership to demonstrate, through original, rigorous research and analysis, how organizations become and remain high performers. Visit us at www.accenture.com/institute Copyright © 2016 Accenture All rights reserved.

Editor's Notes

  1. Removed the last sentence
  2. Changed the fourth bullet. Note to design agency to make the slide different to the rest
  3. Removed the last sentence
  4. Updated the what sets marketers apart statements so they fit with the shorter options in social media. Changed the last one though (Greater marketing agility) so that it is closer to the sentiment
  5. Updated the what sets marketers apart statements so they fit with the shorter options in social media. Changed the last one though (Greater marketing agility) so that it is closer to the sentiment
  6. Updated the what sets marketers apart statements so they fit with the shorter options in social media. Changed the last one though (Greater marketing agility) so that it is closer to the sentiment