The document discusses findings from a study on how business leaders manage brands. It finds that while business leaders still believe in the value of brands, there has been a significant shortening of marketing reporting cycles. Two-thirds of respondents agreed that balancing short-term and long-term marketing objectives would deliver better returns, but over half reported weak knowledge of brand-building. The study concludes there is a gap between senior leaders' control of objectives and their understanding of brands, which could negatively impact business performance if not addressed.
360 Degree Marketing: How to benefit from online and offline marketing commun...Browne & Mohan
With advent of online and mobile platforms, marketing managers now have both offline and online marketing assets to increase their brand reach and customer engagement. However, many companies do not plan and execute a marketing strategy that meshes assets available on different media. Moreover, companies do not use an extensive embellished strategy to keep in continuous touch with customers. In this white paper, Browne & Mohan consultants show how to integrate offline and online marketing assets systematically and build a strong extensive content strategy to develop from low cost low information intensive assets to costly high information intensive assets.
Sales is an area where many companies find the outcomes belie investments and outcomes. Many companies attempt sales transformation in a piece-meal fashion. In this paper, we discuss the framework for sales transformation and five fundamental levers of sales transformation.
Aftermarket audit to Gain Competitive leadership Browne & Mohan
Industry experts opine that OEM’s and their dealers may be losing $9-15 Billion unqualified sales annually to competitors. Return after repair is a grouse which happens with the iconic brands at dealer level and OEM’s do not have complete visibility. OEM’s and dealers can bill billions of dollars more only if they knew how to constantly manage revenue leakages and manage cost of operations. In this paper, Browne & Mohan management consultants share aftermarket audit framework that can be used to assess current costs of service and operations and identify areas of improvement.
360 Degree Marketing: How to benefit from online and offline marketing commun...Browne & Mohan
With advent of online and mobile platforms, marketing managers now have both offline and online marketing assets to increase their brand reach and customer engagement. However, many companies do not plan and execute a marketing strategy that meshes assets available on different media. Moreover, companies do not use an extensive embellished strategy to keep in continuous touch with customers. In this white paper, Browne & Mohan consultants show how to integrate offline and online marketing assets systematically and build a strong extensive content strategy to develop from low cost low information intensive assets to costly high information intensive assets.
Sales is an area where many companies find the outcomes belie investments and outcomes. Many companies attempt sales transformation in a piece-meal fashion. In this paper, we discuss the framework for sales transformation and five fundamental levers of sales transformation.
Aftermarket audit to Gain Competitive leadership Browne & Mohan
Industry experts opine that OEM’s and their dealers may be losing $9-15 Billion unqualified sales annually to competitors. Return after repair is a grouse which happens with the iconic brands at dealer level and OEM’s do not have complete visibility. OEM’s and dealers can bill billions of dollars more only if they knew how to constantly manage revenue leakages and manage cost of operations. In this paper, Browne & Mohan management consultants share aftermarket audit framework that can be used to assess current costs of service and operations and identify areas of improvement.
Phenomenon conducted a research study across 250 marketing and sales executives (C-Suite, Presidents, Vice
Presidents, and Leaders) across enterprise (1,000+) and medium-sized (250-999) businesses to assess obstacles
teams are facing and their primary go-to-market challenges, and analyze the differences in perception across
organizational function and executive level.
Tom Lawrence of Meta Pharmaceutical Services LLC, a solution provider company at the marcus evans PharmaMarketing Summit 2012, on marketing mature pharmaceutical brands.
Interview with: Tom Lawrence, Chief Executive Officer, Meta Pharmaceutical Services LLC
Many brands become stale and loose their sheen over years if they can't connect and keep pace with changing customer preferences and market dynamics. Many iconic brands lose their market share and relevance. In this presentation, Browne & Mohan consultants share what is required to resurrect a stale service brand. Resurrecting a service brand must go beyond logo change and consider a complete rehaul of service design, customer experiences, product/service mix and consumption environment.
Elevate your enterprise cfo role reportCor Ranzijn
Companies in virtually every industry are undergoing a secular change to new, platform- based businesses. To thrive, organizations need to digitally reinvent their enterprise business
and operating models. CFO"s continue to be instrumental in providing the analytical insights to help the enterprise invest capital into new opportunities. Essential to this process is a highly collaborative, in-synch C-suite. The CFO’s newest mandate – to help steer the strategic direction
of the enterprise and do so iteratively – requires changes to their finance organizations. Startlingly, nearly half of CFOs report their own finance organizations fall short of what’s required.
A CEO is ultimately responsible for the growth of a company as evidenced by its financial performance, its capacity for self-renewal, and its character. The only way you can measure character is by reputation.
So, how do Lebanese Marketers view and develop their brands? Is Branding in Lebanon Healthy ?
-A thorough study for marketing and non-marketing professionals on the current status of branding in Lebanon and the opportunities it brings with upgrading branding and brand management practices.
-One of the interesting findings is the lack of knowledge related to brand’s economic value creation and to brand’s relation to business strategy.
-Another interesting finding is that Lebanese Marketers' behavior is not always in line with their perceptions and attitudes.
2019 The annual report on the world's most valuable and strongest apparel brands.
Nike continues to dominate as the world’s most valuable apparel brand, with a brand value of US$32.4billion
+ Zara and Adidas move up the ranks as H&M’s brand value decrease pushes it down to 4th place
+ Uniqlo is the fastest-growing apparel brand in the top 10, up a whopping 48% year on year
+ Rolex is the strongest brand in the sector, posting an elite AAA+ brand strength rating
+ Luxury brands account for 7 out of the top 10 strongest apparel brands, showing importance of brand strength in the segment
Reputation: How It Is Built and Maintained, and The Role of PRMSL
Businesses are becoming increasingly conscious of the importance of corporate reputation. They have found that it is customers’ perception of a company that drives purchases. It is also what attracts talent and assures partners that they are doing business with somebody they can trust. Ultimately, it is not just the end users that corporations are looking to impress; they are striving to connect with all stakeholders, which include employees, vendors, the community and the government.
MSLGROUP in India and Eikona PR Measurement today announced the launch of their co-authored report, ‘Reputation: How It Is Built and Maintained, and The Role of PR’ which analyses the growing importance of reputation management and its impact on the PR industry.
Reputation: How it is built and maintained, and the role of PR - A report by ...Ashraf Engineer
Businesses are getting increasingly conscious of the power of reputation. It is customers’ perception of a company that drives purchases. It is also what attracts talent and assures partners that they are doing business with somebody they can trust.
So, it’s not just the end users that corporations are looking to impress; they are striving to connect with all stakeholders, which include employees, vendors, the community and the government.
For the public relations (PR) industry, this is a unique opportunity. Its scope is widening from the narrow media relations space to leading the overall brand building and maintainance function. It is now up to the PR industry to evolve from second fiddle to advertising to the leader in the marketing communications ecosystem.
MSLGROUP in India's latest report, co-authored with Eikona PR Measurement, analyses the growing importance of reputation management and its impact on the PR industry.
Some of the points the report makes:
• Reputation is an intangible asset, but its effects are real. It is an invisible, yet powerful influence that can help or hinder a company as it strives to meet its objectives.
• From credit terms to employee retention, reputation has a serious impact.
Reputation management report msl group and eikona pr measurementVikram Kharvi
MSLGROUP in India and Eikona PR Measurement release the executive report – ‘Reputation: How it is built and maintained and the role of PR’
MSL India and Eikona PR Measurement had recently launched a co-authored report titled, ‘Reputation: How it is built and maintained and the role of PR’.
The report analyses the growing importance of reputation management and its impact on the PR industry. Some of the points the report makes:
• Corporate reputations are the sum total of the beliefs held by individuals about companies’ past actions and future potential. It is stakeholders’ collective actions and sentiments – whether to purchase a product, buy shares of the company’s stock, or recommend the company to others – that determine every company’s ability to stay in business.
• Reputation is an intangible asset, but its effects are real. Indeed, reputation is acting on companies all the time — an invisible yet powerful influence that can either help or hinder a company as it strives to meet its objectives.
• From credit terms to employee retention, reputation can have a serious impact. Like gravitational pull, reputation makes it easier or more difficult for your company to get where it needs to go.
Normally, most product categories’ presence in the annual advertising calendar does not exceed four months. On the other hand, PR support for the same products stretches to at least eight months of the calendar, which is a unique opportunity for the PR industry. Its scope is widening from the narrow media relations space to leading the overall brand building and maintenance function. It is now up to the PR industry to evolve from being second fiddle to advertising and corporate communications to becoming the leader in the marketing communications ecosystem.
In India, we are already seeing movement on this. Many corporations are working communications objectives into CEOs’ and other key spokespersons’ key result areas. Corporate communications executives are spending more time with CEOs and MDs. PR is increasingly being acknowledged as a brand-builder on par with other tools.
Jaideep Shergill, CEO, MSLGROUP India, said: “Communicators are calling this the ‘Reputation Economy’, and rightly so. Reputation management could be the fuel for your business’ growth. Through this report, we wish to highlight the importance of reputation on the long-term future of businesses and also that the PR industry in India is uniquely geared to provide the strategic thinking required to build and maintain corporate reputation.”
Phenomenon conducted a research study across 250 marketing and sales executives (C-Suite, Presidents, Vice
Presidents, and Leaders) across enterprise (1,000+) and medium-sized (250-999) businesses to assess obstacles
teams are facing and their primary go-to-market challenges, and analyze the differences in perception across
organizational function and executive level.
Tom Lawrence of Meta Pharmaceutical Services LLC, a solution provider company at the marcus evans PharmaMarketing Summit 2012, on marketing mature pharmaceutical brands.
Interview with: Tom Lawrence, Chief Executive Officer, Meta Pharmaceutical Services LLC
Many brands become stale and loose their sheen over years if they can't connect and keep pace with changing customer preferences and market dynamics. Many iconic brands lose their market share and relevance. In this presentation, Browne & Mohan consultants share what is required to resurrect a stale service brand. Resurrecting a service brand must go beyond logo change and consider a complete rehaul of service design, customer experiences, product/service mix and consumption environment.
Elevate your enterprise cfo role reportCor Ranzijn
Companies in virtually every industry are undergoing a secular change to new, platform- based businesses. To thrive, organizations need to digitally reinvent their enterprise business
and operating models. CFO"s continue to be instrumental in providing the analytical insights to help the enterprise invest capital into new opportunities. Essential to this process is a highly collaborative, in-synch C-suite. The CFO’s newest mandate – to help steer the strategic direction
of the enterprise and do so iteratively – requires changes to their finance organizations. Startlingly, nearly half of CFOs report their own finance organizations fall short of what’s required.
A CEO is ultimately responsible for the growth of a company as evidenced by its financial performance, its capacity for self-renewal, and its character. The only way you can measure character is by reputation.
So, how do Lebanese Marketers view and develop their brands? Is Branding in Lebanon Healthy ?
-A thorough study for marketing and non-marketing professionals on the current status of branding in Lebanon and the opportunities it brings with upgrading branding and brand management practices.
-One of the interesting findings is the lack of knowledge related to brand’s economic value creation and to brand’s relation to business strategy.
-Another interesting finding is that Lebanese Marketers' behavior is not always in line with their perceptions and attitudes.
2019 The annual report on the world's most valuable and strongest apparel brands.
Nike continues to dominate as the world’s most valuable apparel brand, with a brand value of US$32.4billion
+ Zara and Adidas move up the ranks as H&M’s brand value decrease pushes it down to 4th place
+ Uniqlo is the fastest-growing apparel brand in the top 10, up a whopping 48% year on year
+ Rolex is the strongest brand in the sector, posting an elite AAA+ brand strength rating
+ Luxury brands account for 7 out of the top 10 strongest apparel brands, showing importance of brand strength in the segment
Reputation: How It Is Built and Maintained, and The Role of PRMSL
Businesses are becoming increasingly conscious of the importance of corporate reputation. They have found that it is customers’ perception of a company that drives purchases. It is also what attracts talent and assures partners that they are doing business with somebody they can trust. Ultimately, it is not just the end users that corporations are looking to impress; they are striving to connect with all stakeholders, which include employees, vendors, the community and the government.
MSLGROUP in India and Eikona PR Measurement today announced the launch of their co-authored report, ‘Reputation: How It Is Built and Maintained, and The Role of PR’ which analyses the growing importance of reputation management and its impact on the PR industry.
Reputation: How it is built and maintained, and the role of PR - A report by ...Ashraf Engineer
Businesses are getting increasingly conscious of the power of reputation. It is customers’ perception of a company that drives purchases. It is also what attracts talent and assures partners that they are doing business with somebody they can trust.
So, it’s not just the end users that corporations are looking to impress; they are striving to connect with all stakeholders, which include employees, vendors, the community and the government.
For the public relations (PR) industry, this is a unique opportunity. Its scope is widening from the narrow media relations space to leading the overall brand building and maintainance function. It is now up to the PR industry to evolve from second fiddle to advertising to the leader in the marketing communications ecosystem.
MSLGROUP in India's latest report, co-authored with Eikona PR Measurement, analyses the growing importance of reputation management and its impact on the PR industry.
Some of the points the report makes:
• Reputation is an intangible asset, but its effects are real. It is an invisible, yet powerful influence that can help or hinder a company as it strives to meet its objectives.
• From credit terms to employee retention, reputation has a serious impact.
Reputation management report msl group and eikona pr measurementVikram Kharvi
MSLGROUP in India and Eikona PR Measurement release the executive report – ‘Reputation: How it is built and maintained and the role of PR’
MSL India and Eikona PR Measurement had recently launched a co-authored report titled, ‘Reputation: How it is built and maintained and the role of PR’.
The report analyses the growing importance of reputation management and its impact on the PR industry. Some of the points the report makes:
• Corporate reputations are the sum total of the beliefs held by individuals about companies’ past actions and future potential. It is stakeholders’ collective actions and sentiments – whether to purchase a product, buy shares of the company’s stock, or recommend the company to others – that determine every company’s ability to stay in business.
• Reputation is an intangible asset, but its effects are real. Indeed, reputation is acting on companies all the time — an invisible yet powerful influence that can either help or hinder a company as it strives to meet its objectives.
• From credit terms to employee retention, reputation can have a serious impact. Like gravitational pull, reputation makes it easier or more difficult for your company to get where it needs to go.
Normally, most product categories’ presence in the annual advertising calendar does not exceed four months. On the other hand, PR support for the same products stretches to at least eight months of the calendar, which is a unique opportunity for the PR industry. Its scope is widening from the narrow media relations space to leading the overall brand building and maintenance function. It is now up to the PR industry to evolve from being second fiddle to advertising and corporate communications to becoming the leader in the marketing communications ecosystem.
In India, we are already seeing movement on this. Many corporations are working communications objectives into CEOs’ and other key spokespersons’ key result areas. Corporate communications executives are spending more time with CEOs and MDs. PR is increasingly being acknowledged as a brand-builder on par with other tools.
Jaideep Shergill, CEO, MSLGROUP India, said: “Communicators are calling this the ‘Reputation Economy’, and rightly so. Reputation management could be the fuel for your business’ growth. Through this report, we wish to highlight the importance of reputation on the long-term future of businesses and also that the PR industry in India is uniquely geared to provide the strategic thinking required to build and maintain corporate reputation.”
Each year, Tenet Partners analyzes the data in
the CoreBrand Index (CBI) to determine the US
economy’s Top 100 Most Powerful Brands based on
high awareness and positive brand perceptions. 2015
marks the eighth year of the report. The report is
unique because it is based on a single, data-driven
score that assesses each brand’s familiarity and
favorability. We call this BrandPower. Powerful Brands build and nurture their brands and in turn, their create and make it
competitive – by making investments in
innovation, R&D and strategic partnerships
to drive customer-centric experiences
Most corporate boards are completely in the dark about their.docxmoirarandell
Most corporate boards are completely in the dark about their
companies' marketing strategies. A simple series of management
reports can give them the light they need.
M ISGUIDED MARKETING STRATEGIES have de-stroyed more shareholder value - and probably
more careers-than shoddy accounting or shady fiscal
practices have. In almost every industry - telecom-
munications, airlines, consumer products, finance - it
is easy to point to poor marketing as a major cause
of low growth and declining margins.
If marketing were simply the sum of advertising
and promotion, as some marketers seem to believe,
this would he a douhtful claim. But marketing is a lot
more, as the famous "four Ps" (product, price, place,
and promotion) suggest. Classical marketing encom-
passes all the activities organizations engage in to hear
and respond to their customers-from market research
into the Boardroom
by Gail J. McGovern, David Court, John A. Quelch,
and Blair Crawford
70 HARVARD BUSINESS REVIEW
ll - I M . I I ( I c c i i l I'
) Ji-rd tiof (liiii
71
B r i n g i n g C u s t o m e r s i n t o t h e B o a r d r o o m
to product development to customer management to
sales. Marketing discovers what customers want, drives
the creation of products that meet customers'needs, and
ideally generates profitable relationships. Indeed, a com-
pany that excludes marketing from its product develop-
ment may build faster, lighter widgets, but it could miss
what customers really want - widgets that have longer
battery life.
When marketingactivitiesare tightly aligned with cor-
porate strategy, they drive growth. But in too many com-
panies, marketing is poorly linked with strategy. Market-
ing may seem to be performing well according to
standard metrics, like the number of repeat purchases
customers make, but i f t h e company's strategy is to, say,
build market share, simply boosting
repeat purchases isn't enough. In
many organizations, marketing ex-
ists far from the executive suite and
boardroom. Marketing managers
are rarely held accountable for ROI
and rarely expected to explain, ex-
actly, bow what they do supports
corporate strategy. This isn't a case
of dereliction; most companies are
struggling to make their marketing work.
Rather, it's a case of myopia. No one in the organization
sees the relationship between marketing and strategy
well enough to diagnose the problem and begin to fix It.
The failure of marketing strategy is a crisis that requires
attention at the highest levels of the organization-from
the corporate board itself. Here we provide a simple set of
tools that can bring companies' marketing performance
into focus, help directors gauge how well marketing sup-
ports corporate strategy, and allow boards to direct re-
pairs tbat can revive their companies' growth.
Mismanaged Marketing
To understand how marketing fails, it's helpful to look
first at a success. After tbe events of September n . South-
west Airlines swiftly agreed to grant refunds to ali cu ...
Purpose of Assignment You may be familiar with personal to.docxmakdul
Purpose of Assignment
You may be familiar with personal torts such as negligence; however, business torts are different as
they are being committed not against the person but rather against its intangible assets. Think about
what this means and how each aspect of your work might result in a business tort being committed.
Assignment Steps
Resources: Legal Environment of Business: Online Commerce, Business Ethics, and Global
Issues: Ch. 5, Ch. 6 and Ch. 7; Legal Source database located in the Week 3 Electronic Reserve
Readings
Scenario: In the midst of the ongoing rhetoric and movement to achieve Tort Reform, business tort
liability must be acknowledged and planned for as a reality. As the manager of legal risk and
corporate governance for a major multi-national pharmaceutical corporation, the board of directors
has commissioned you to work alongside your CEO and General Counsel to prepare a report
regarding this liability and the exposure it creates for the organization.
Create a maximum 1,050-word report, excluding title and reference pages.
Address the following in the report:
• Evaluate the impact of business tort liability on the pharmaceutical industry in general.
• Determine the growth of business tort liability in the pharmaceutical industry and discuss
where and why tort reform is needed.
• Assess the impact of business tort liability on corporate liability under the Alien Tort Statute.
• Explain how business tort liability can be reduced through the implementation of the risk
management process.
• Analyze how business tort liability can escalate to criminal liability.
Cite a minimum of two references for the five content areas taken from a business or legal resource.
One reference must be from the University Library.
Format your paper consistent with APA guidelines.
http://phoenix.libguides.com/LAW531r12/w3
http://phoenix.libguides.com/LAW531r12/w3
New Thinking, Research in Progress hbr.org
PHILANTHROPY 26
Consumer initiatives
can drive engagement—
when done right
DEFEND YOUR
RESEARCH 30
People don’t like anything
moving toward them
VISION STATEMENT 32
Which jobs will
grow fastest over
the coming decade?
Putting Sales at the Center of Strategy
How to connect the C-suite’s grand plans with the field realities
your salespeople face by Frank Cespedes
EXECUTION
Daily Word Search
or many years Document Security
Management (a pseudonym) had a
thriving business in retrieving and
shredding or securely storing organiza-
tions’ documents. Executives and their as-
sistants loved its one-stop-shopping value
proposition, and the sales force cultivated
deep relationships with them. By the early
2000s, however, it was clear that cheaper
digital storage technology, especially the
cloud, would disrupt the company. So DSM
introduced its own cloud-based storage
and directed the sales force to bundle it
with traditional services.
The results were disastrous. Many
of the sale ...
The marketing and advertising arms race to create emotional appeal, generate buzz and move up brand valuation league tables, is creating a widening gap between brand strategy and business strategy. In this environment some of the once coolest and iconic brands are faltering at a game they once dominated. The key question for businesses today, is how to expose such strategic blind spots and remain relevant in the face of an evolving marketplace? This article explores one methodology and framework into just how that can be done.
Seven Steps for Revitalizing Your BrandR. Jay Olson
If the time has come to re-energize your brand, follow this proven framework to get your CEO and executive team behind you to mobiliize your initiative, and ensure your company's investment drives profitable long-term growth and asset valuation.
A distinguishing symbol, mark, logo, name, word, sentence or a combination of these items that companies use to distinguish their product from others in the market. Once a brand has created positive sentiment among its target audience, the firm is said to have built brand equity. Some examples of firms with brand equity - possessing very recognizable brands of products - are Microsoft, Coca-Cola, Ferrari, Sony, The Gap and Nokia.
'Anatomy of Effectiveness’ is a white paper for brand marketers and advertising agencies alike, highlighting five key priorities for brands seeking greater impact. It will change the way brands and agencies market and will drive better consumer engagement.
Premium MEAN Stack Development Solutions for Modern BusinessesSynapseIndia
Stay ahead of the curve with our premium MEAN Stack Development Solutions. Our expert developers utilize MongoDB, Express.js, AngularJS, and Node.js to create modern and responsive web applications. Trust us for cutting-edge solutions that drive your business growth and success.
Know more: https://www.synapseindia.com/technology/mean-stack-development-company.html
Company Valuation webinar series - Tuesday, 4 June 2024FelixPerez547899
This session provided an update as to the latest valuation data in the UK and then delved into a discussion on the upcoming election and the impacts on valuation. We finished, as always with a Q&A
Understanding User Needs and Satisfying ThemAggregage
https://www.productmanagementtoday.com/frs/26903918/understanding-user-needs-and-satisfying-them
We know we want to create products which our customers find to be valuable. Whether we label it as customer-centric or product-led depends on how long we've been doing product management. There are three challenges we face when doing this. The obvious challenge is figuring out what our users need; the non-obvious challenges are in creating a shared understanding of those needs and in sensing if what we're doing is meeting those needs.
In this webinar, we won't focus on the research methods for discovering user-needs. We will focus on synthesis of the needs we discover, communication and alignment tools, and how we operationalize addressing those needs.
Industry expert Scott Sehlhorst will:
• Introduce a taxonomy for user goals with real world examples
• Present the Onion Diagram, a tool for contextualizing task-level goals
• Illustrate how customer journey maps capture activity-level and task-level goals
• Demonstrate the best approach to selection and prioritization of user-goals to address
• Highlight the crucial benchmarks, observable changes, in ensuring fulfillment of customer needs
Discover the innovative and creative projects that highlight my journey throu...dylandmeas
Discover the innovative and creative projects that highlight my journey through Full Sail University. Below, you’ll find a collection of my work showcasing my skills and expertise in digital marketing, event planning, and media production.
The world of search engine optimization (SEO) is buzzing with discussions after Google confirmed that around 2,500 leaked internal documents related to its Search feature are indeed authentic. The revelation has sparked significant concerns within the SEO community. The leaked documents were initially reported by SEO experts Rand Fishkin and Mike King, igniting widespread analysis and discourse. For More Info:- https://news.arihantwebtech.com/search-disrupted-googles-leaked-documents-rock-the-seo-world/
Personal Brand Statement:
As an Army veteran dedicated to lifelong learning, I bring a disciplined, strategic mindset to my pursuits. I am constantly expanding my knowledge to innovate and lead effectively. My journey is driven by a commitment to excellence, and to make a meaningful impact in the world.
In the Adani-Hindenburg case, what is SEBI investigating.pptxAdani case
Adani SEBI investigation revealed that the latter had sought information from five foreign jurisdictions concerning the holdings of the firm’s foreign portfolio investors (FPIs) in relation to the alleged violations of the MPS Regulations. Nevertheless, the economic interest of the twelve FPIs based in tax haven jurisdictions still needs to be determined. The Adani Group firms classed these FPIs as public shareholders. According to Hindenburg, FPIs were used to get around regulatory standards.
2. THE BOARD-BRAND RIFT
2
Contents
1. Context
2. Executive summary
3. Findings
i. Belief in brand value
ii. Control of objectives and balance
iii. Brand-building know-how
iv. Contribution of creativity
4. Recommendations
5. Appendix
The Board-Brand Rift
3. THE BOARD-BRAND RIFT
3
Context
Business leaders rely on brands. As well they should.
A recent study demonstrated that intangible assets
now contribute 84% of the market value of S&P 500
businesses and on average the brand contributes 25% of
that. In the 1970s, in contrast, 80% was accounted for by
tangible assets1
.
But the power of brands to deliver long-term value
and growth appears to be under threat. An Enders
Analysis report revealed that over the past 16 years,
direct response has accounted for over 70% of growth
in annual UK advertising spend. This period has seen
a shift in annual advertising budgets of over £2bn – at
2016 prices – from brand-building to performance
campaigns2
.
Furthermore, there is evidence that effectiveness from
advertising – the cornerstone in the creation of many
brands – is in long-term decline3
and consumer trust in
brands is also waning4
.
This is all occurring despite the existing, and growing,
body of evidence that shows optimal growth and
profitability come from implementing a different
balance between short- and long-term marketing.
With this study, the Financial Times (FT) and the
Institute of Practitioners in Advertising (IPA) are setting
out to understand the factors contributing to these
changes in marketing investment horizons and to
establish what can be done to deliver a more profitable,
sustainable equilibrium.
The Board-Brand Rift Report reveals the level of belief
in brands among a global group of business leaders.
Some are marketers but most are not. It also explores
how they manage brands and their understanding of
brands’ contribution to core commercial objectives. The
report concludes with a series of recommendations both
for senior marketing leaders and for the wider business
community.
Our sample is drawn from over 500 FT readers of whom
43% are c-suite and 36% list marketing, advertising or PR
as their core function. The study is global in scope and
includes respondents from the UK, the Americas, CEMEA
and APAC. More detail on the sample is described in the
Methodology section in the Appendix.
1. Source: Ocean Tomo LLP / Value of the brand typically equates to approx 25% of the value of intangible assets, though this varies between 5% and 45% dependent on the sector
2. Enders Analysis ‘Mounting risks to marketing effectiveness’
3. Hall and Partners and Binet and Field have both reported on declining advertising effectiveness
4. Edelman Trust Barometer 2018
4. THE BOARD-BRAND RIFT
4
Executive Summary
1. The concept of the ‘brand’ still permeates
boardrooms across the globe. 83% of business
leaders believe that brands continually deliver to the
bottom line and almost three quarters claim they
understand how they do that.
2. Marketers rightly associate strong brands with
growth and the creation of new revenue streams, but
only 20% think strong brands are ‘very important’
for ‘increased profitability’ – one of the top priorities
of 70% of our respondents. A significant financial
opportunity appears to exist if the industry can
educate the broader management team on the full
commercial potential of brands.
3. Globally we are seeing a significant shortening of
marketing reporting cycles. Where our respondents
have seen changes, in three quarters of cases these
have been to shorter timescales.
4. Business leaders know instinctively that too much
focus on the short-term is bad for business; two
thirds of our sample agreed that a better balance
between short- and long-term marketing objectives
will deliver a greater return. This is now being seen
in practice, with 62% of business leaders taking steps
to address this. These steps range from developing
simpler, credible brand metrics, to involving the
board in brand discussions and looking externally for
help with data integration and insight.
5. Over half of business leaders rate their knowledge
of brand-building as average to very poor. Critically,
this lack of knowledge has a significant effect
on attitudes to the benefits of long- and short-
term balance in marketing. Under half of those in
organisations with weaker brand understanding
at board-level agree that such a balance delivers
better performance. This compares with 83%
among those whose brand-building knowledge is
‘good’ or ‘excellent’. Despite this, those who confess
to knowing little are still in control of marketing
objectives – and particularly long-term objectives
which is the domain in which brand-building
primarily sits.
6. This lack of knowledge is apparent when
comparing those channels which are perceived to
be the most effective at brand-building, with those
that the evidence tells us actually deliver against
these objectives. Over half of business leaders rank
social media as one of the most effective channels
for brand-building – coming second only to word-
of-mouth – when the evidence places it bottom of
the list.
7. Though 60% of all our leaders stated they believed
in the power of creativity, this rose to 74% among
those who used brand health data and dropped to
55% among those organisations who tended to use
solely sales KPIs. This latter group are also more
likely to believe reach is more important than the
creative message.
5. THE BOARD-BRAND RIFT
5
Taken as a whole, the picture we see emerging here is
that of a fissure opening within business. Senior leaders
continue to have faith in the power of brands and are
in control of long-term marketing objectives for their
business. Nevertheless, they are fixated on short-term
measures and are not investing in the creation and
maintenance of brands or measuring their strength on a
consistent basis.
We believe that as a result of this, the skill of brand-
building, a fundamental creator of value, has been
declining. In turn, the effectiveness of creative work
is diminishing. Commercially, this is likely to mean
businesses across a wide range of sectors are not
performing to their potential.
Over half of the organisations are already starting
to address the issues highlighted here. However,
by implementing the knowledge and process
recommendations listed at the end of this report, we
believe businesses will realise more of the core value
inherent in powerful brands.
7. THE BOARD-BRAND RIFT
7
Belief in the value
of brands
This section of our study explores business leaders’
attitudes towards brands and their understanding of,
and belief in, how they deliver a financial return for
their businesses.
Use of the term ‘brand’ still permeates in business.
There was widespread use of the terms ‘brand value’,
‘brand health’ or ‘brand strength’ as can be seen in the
disagreement with the statement in Figure 1.
Where ‘brand’ wasn’t used, there were references to
‘reputation’ or ‘value’ and, to a lesser degree ‘trust’
and ‘perception’. However, substitutions also included
‘product quality’ ‘profile’ and ‘stakeholder engagement’
which suggests that the clarity and understanding of the
term is still an issue for some.
Leadership teams also believe in the commercial return
of brands, at least conceptually. Most felt strong brands
contribute to the bottom line of their business and,
importantly, almost three quarters also claimed that the
team understood how a brand delivered this contribution
(see Figure 2).
FIGURE 1. THE USE OF THE TERMS ‘BRAND HEALTH’ ‘BRAND STRENGTH’ ‘BRAND VALUE’ IS EXTENSIVE
We do not use the concept of ‘brand value’, ‘brand health’
or ‘brand strength’ in our organisation
6% 14% 25% 28% 25%
Strongly agree Agree Neutral Disagree Don’t knowStrongly disagree
2%
8. THE BOARD-BRAND RIFT
8
Brands do move commercial needles. But what specific
commercial contribution do business leaders believe
brands are making? In fact, they believe brands deliver
against a broad range of commercial objectives as
seen in Figure 3 overleaf. There is evidence to suggest
that strong brands contribute considerably to all of the
business priorities on this list – although some are more
core to the role of brands than others.
FIGURE 2. BUSINESS LEADERS BELIEVE STRONG BRANDS DELIVER TO THE BOTTOM LINE
As a leadership team, we understand how a strong brand continually contributes
to the bottom line of the business
28% 48% 18% 4% 2%
Strongly agree Agree Neutral Disagree Strongly disagree
9. THE BOARD-BRAND RIFT
9
Among our sample, the leading net important measures
that respondents believe strong brands contribute
towards are the ‘establishment of new revenue streams’
and ‘enterprise growth’. Brand strength is less associated
with business objectives such as risk reduction and
future cash flow. Worryingly, margin improvement
and profitability, arguably two of the most important
deliverables of strong successful brands, are lower down
the list.
Interestingly, two of the business objectives listed –
‘reduction in customer price sensitivity’ and ‘business
resilience’ – both related to risk, profit, margin and cash
flow. But described in different language, they come
significantly further down top business leaders’ ‘very
important’ brand benefits list. Could this be an issue of
language? In the IPA Reports ‘Culture First’ and ‘Building
Bridges with Finance’ Fran Cassidy highlighted the
importance of language when describing marketing
deliverables and how these can be transmuted into
business-focused benefits. Whatever the language used,
there is a clear and urgent need to inform and provide
credible evidence to the broader senior management of
the value of brands to business fundamentals such as
margin improvement and profitability. Indeed, in pure
financial terms, academic Tim Ambler went so far as to
state that marketing could be re-defined as “the sourcing
and harvesting of cash flow.”
Among the marketing respondents one can see that
whilst they have a higher agreement level across all
these commercial objectives, and the generation of price
premium is higher, one might have expected a greater
number of ‘very important’ scores from this group across
the board.
In general, how important do you believe brand strength is for driving
each of the following in an organisation? (Very important/important)
FIGURE 3. IMPORTANCE OF BRAND STRENGTH TO DELIVERY OF BUSINESS OBJECTIVES
62%Reducing customer price sensitivity
58%Margin improvement
49%The level of future cash flow
41%Risk reduction
64%Business resilience
64%Increased profitability
70%Establishment of new revenue streams
68%Enterprise growth
10. THE BOARD-BRAND RIFT
10
It is the level of importance that we should focus upon
here. The reality is that brand strength has the potential to
be a fundamental driver of margin improvement, as it does
to many of the rest of this list. The further significance
of these findings is then amplified when we asked our
sample which of the list were their current key priorities –
seen in Figure 5 overleaf.
Probably one of the most important observations
from this chart is that only 20% of non-marketers feel
brand strength is ‘very important’ in driving ‘increased
profitability’ – when it is the top business priority for this
group. There is clear potential for transformation in the
financial performance for some brands if they understood
more about the benefits of building brand equity and
maintaining the health of the brand/s.
FIGURE 4. IMPORTANCE OF BRAND STRENGTH TO DELIVERY OF BUSINESS OBJECTIVES
In general, how important do you believe brand strength is for driving
each of the following in an organisation?
(Very important/important)
74%
68%
Establishment of new revenue streams
62%
63%
Increased profitability
51%
48%
The level of future cash flow
47%
38%
Risk reduction
71%
62%
Reducing customer price sensitivity
65%
54%
Margin improvement
70%
67%
Enterprise growth
67%
64%
Business resilience
Marketers Non-marketers
OF NON-MARKETERS STATE BRAND
STRENGTH IS ‘VERY IMPORTANT’ FOR
INCREASED PROFITABILITY
20%
11. THE BOARD-BRAND RIFT
11
Whilst brands are seen to deliver against priority
objectives such as new revenue streams and growth,
other brand delivery points such as ‘reduction in price
sensitivity’ – which was considered the biggest brand
benefit according to non-marketers (as seen in Figure 4) –
are perceived as having lower priority at the current time.
Conversely, a key current priority such as future cash flow
is perceived as one where a strong brand contributes
much less. Whilst the definition of ‘cash flow’ could
potentially relate more to areas such as liquidity and
working capital, there is no doubt that a consistent base
level of sales generated by a strong brand contributes to
the greater certainty of revenue and therefore ‘cash flow’
is certainly an additional brand benefit.
FIGURE 5. DEGREE OF ALIGNMENT BETWEEN THE OBJECTIVES BRANDS ARE PERCEIVED TO DELIVER AND
CURRENT BUSINESS PRIORITIES
70%
69%
Establishment of new revenue streams
64%
72%
Increased profitability
49%
71%
The level of future cash flow
41%
53%
Risk reduction
66%
55%
Reducing customer price sensitivity
59%
63%
Margin improvement
68%
69%
Enterprise growth
65%
73%
Business resilience
Perceived benefit of strong brand Current business priority
(Very important/important)
13. THE BOARD-BRAND RIFT
13
change was particularly acute in APAC, where 44% of
respondents are experiencing shorter marketing cycles.
The verbatim responses as to why shorter reporting
cycles were being experienced referred in general to the
speed of the market changes – a need to keep up with
external pressures. This was being driven by availability
of data, automated processes and shorter product
life cycles as well as general uncertainty. Interestingly,
in the verbatims there were very few references to
the word “digital” although launching campaigns was
remarked as being “easier and faster”. Respondents
had different attitudes to this shift. For some, increasing
data availability was seen to be a positive and enabled
accelerated decision-making:
FIGURE 6. WIDESPREAD SHORTENING OF MARKETING REPORTING CYCLES
Would you say that your reporting cycles for marketing performance are
getting longer or shorter in your organisation? Why is that?
9%
34%
Americas
12%
44%
APAC
12%
36%
Marketers
15%
34%
CEMEA
12%
33%
Global
13%
28%
UK
Longer Shorter
Control of objectives
and balance
This section of our study examines how businesses go
about setting the objectives for long-term and short-
term marketing and the impediments to achieving a
more balanced approach to the two.
As stated at the top of this report, one of the key
objectives of this project was to examine the issue of
short- and long-term objective setting within a broader
management group, not just marketers and consequently,
their agency partners. The results from our sample
reveal that among those who have seen a change, three
quarters of those changes have been to shorter cycles.
Interestingly, there was no significant difference between
the views of marketers and non-marketers on this. The
14. THE BOARD-BRAND RIFT
14
“We are able to gather
information from all business
decisions across various
locations in a timely manner.
Ease of communication ensures
quicker reporting of market
performance. We analyse
marketing information through
an automated process.”
“Every metric has been
shortened… time to value is
critical.”
“We are going through volatile
times even for the stable markets
in which we operate.”
“Much more anxiety generally
and need for as much info as
possible reviewing marketing
spend.”
“In-house reporting mechanisms
in place, backed up by strong IT
and analytics infrastructure.”
but most felt additional pressure and/or found the
change concerning:
“More pressure to see sales
results by quarter yet most
brand-building programmes are
longer – so funding is shifting
to sales support with shorter
cycles.”
“More data is available more
quickly but we lose the long-
term outlook.”
“Stakeholders have been
seduced by the immediacy of
the internet and expect near
instantaneous analysis and
feedback. This trend has been
exacerbated by cloud resident
big data and the associated data
lake analysis tools.”
“Focus on quarterly y-o-y
metrics for external reporting
purposes has shortened the
cycle of reviewing marketing
spend.”
“The amount of information
available is much greater which
accelerates the adoption of new
initiatives and new approaches.”
“Better and faster data allows
the evaluation and correction
process to accelerate.”
15. THE BOARD-BRAND RIFT
15
Those who referred to their marketing reporting cycles
getting longer refer mostly to internal strategic shifts and
process changes, rather than external forces:
“(Longer reporting cycles were)
sadly underestimated in the
past, leading to rushed decision-
making and too frequent
changes of marketing direction.”
“We’re focusing on a major brand
perception shift, which requires
cultural change within the
organisation.”
“Recognition that key measures
take a long period to show
meaningful change rather than
volatility caused by noise in
the data.”
“In the short-term there is too
much fluctuation and change.
This forces us to think long-
term.”
However, the good news is that two thirds of business
leaders do believe that a balanced approach to long-
and short-term marketing objectives will deliver better
commercial results:
There is however, a slight difference on the level of this
belief between marketers and general management,
indicating that marketers may need to work harder to
communicate the commercial benefits of better balance
if they wish to persuade their peers and colleagues to
release investment for long-term marketing approaches.
Our Board understands that a balanced approach to
short- and longer-term marketing objectives will deliver a
stronger commercial performance
FIGURE 7. A LARGE MAJORITY OF BUSINESS
LEADERS BELIEVE THAT A BALANCED APPROACH
TO SHORT- AND LONG-TERM OBJECTIVES
DELIVERS BETTER RETURNS
26%
40%
24%
4% 6%
Strongly agree Agree Neutral
Disagree Strongly disagree
16. THE BOARD-BRAND RIFT
16
Awareness of the balance benefits is of course hugely
important, but the control and the setting of those
objectives and timescales is the key. Not surprisingly,
senior management are in control of the objectives and
timescales for long-term marketing strategy. Given the
increasingly collaborative nature of decision-making, this
is not surprising, and, depending on the role of marketing
within the company, this is as it should be. Though one
might have expected shorter-term decisions to be more
in the hands of marketers.
Our Board understands that a balanced approach to
short- and longer-term marketing objectives will deliver a
stronger commercial performance
(Strongly agree/agree)
FIGURE 8. NOTABLE DIVERGENCE IN BELIEF OF
BOARD UNDERSTANDING OF THE BENEFITS OF
A BALANCED APPROACH BETWEEN MARKETERS
AND NON-MARKETERS
73%
60%
Marketing Non marketing
SENIOR MANAGEMENT LAYS DOWN THE RELEVANT
OBJECTIVES AND TIMESCALES FOR LONG TERM
MARKETING STATEGY IN MY ORGANISATION
SENIOR MANAGEMENT LAYS DOWN THE RELEVANT
OBJECTIVES AND TIMESCALES FOR SHORT-TERM
MARKETING STATEGY IN MY ORGANISATION
THE MARKETING DEPARTMENT DECIDE THE TIMECALES
OF THEIR ACTIVITIES, WHICH ARE THEN DISCUSSED /
AGREED AT A SENIOR LEVEL
FIGURE 9. MARKETING TEAM KEY TO OBJECTIVE
SETTING BUT SENIOR MANAGEMENT LIKELY TO
SET LONG-TERM MARKETING OBJECTIVES
78%
57%
63%
(Strongly agree/agree)
17. THE BOARD-BRAND RIFT
17
So if senior management are aware of the benefits of
a balance between short- and long-term campaigns,
and they are the leaders, in the main, for both of these
objectives and timescales, why are we seeing the
imbalance in favour of short-termism and the reduction
in support for brand-building?
Lack of credible brand health metrics was cited as the
greatest impediment to long- and short-term balance
– seen in Figure 10 below. This was agreed across both
marketing and non-marketing groups. The fact that
this was an even greater impediment than ‘shareholder
pressure’ for ‘short-term financial performance’ was
particularly interesting. Also ranked high in impeding the
balance was the need for greater understanding of the
commercial benefits of brand health. This clearly links to
the lack of metrics mentioned previously.
To underline this still further, when we asked
respondents to choose the greatest impediment to
balanced objectives from the list, the lack of metrics still
emerged as the key issue, with understanding on brand
health benefits as third in importance. The combined
effect of these two related statements mean that 44%
(see figure 11, overleaf) of our sample cited commercial
contribution from brand health – either metrics or
understanding – as the most important issues to solve,
from the list they were given.
SOURCE: Fig 10. IPA Study 2019
FIGURE 10. LACK OF CREDIBLE BRAND HEALTH METRICS AND LACK OF UNDERSTANDING OF ITS VALUE
ARE IMPEDING A BETTER SHORT/LONG-TERM BALANCE
Which of the following do you think impedes a balanced approach
to short- and long-term marketing activity?
50%
39%
29%
27%
27%
22%
5%
39%
Lack of metrics which measure brand health
that are credible to senior management
Shareholder pressure / a business-wide focus on
short-term financial performance
Need for more robust financial understanding
within the marketing department
The case for longer term investment in brands
is not being made
The marketing department using language that is
not clearly understood
The need for stronger brand-building skills
in the marketing department
Other
Need for more understanding in our organisation on how
brand strength and health delivers commercial value
18. THE BOARD-BRAND RIFT
18
For those in the marketing community committed to
promoting better balance, we believe these are, in many
ways, reassuring and positive charts. Both the evidence
on the commercial benefits of brand health and credible
metrics on its measurement are more available now than
ever before. Wider promotion and distribution of them,
and to the right audiences is the key. Furthermore, these
are both generally in the marketing community’s control.
Also encouraging is the fact that when asked, 62%
(nearly two thirds) of respondents are already taking
action to address the balance issue.
FIGURE 11. LACK OF CREDIBLE BRAND HEALTH METRICS IS THE KEY IMPEDIMENT TO BETTER
SHORT/LONG-TERM BALANCE
In your opinion, which of the following impedes a balanced approach
to short- and long-term marketing activity the most?
27%
23%
7%
7%
7%
4%
17%
Lack of metrics which measure brand health
that are credible to senior management
Shareholder pressure / a business-wide focus on
short-term financial performance
Need for more robust financial understanding
within the marketing department
The marketing department using language
that is not clearly understood
The need for stronger brand-building skills
in the marketing department
Other
Need for more understanding in our organisation on how
brand strength and health delivers commercial value
8%
The case for longer-term investment in brands
is not being made
19. THE BOARD-BRAND RIFT
19
Our respondents told us that the steps being taken
include (and note the reference to better data):
“Working with outside provider to develop metrics.”
“Brand analysis to see which brand has a long-term
future. Ad expenditure being reviewed so we
concentrate on brands which give long-term value to
the company.”
“The board has become actively involved in the
strategic discussions.”
“Cross-organisation and stakeholder research to
understand the perceived values within the
brand as a way to identify improvement opportunities.”
“More business-orientated language.”
“Articulating to the board, senior management
and investors the importance of brand. Needs to
be supported by credible, verifiable and simple to
understand information.”
“Linking brand health to NPS scores and conversion
rates and tracking over time with BI tools.”
“Data visualization tools, training for marketers.”
“Managing internal finances to allow for cyclical revenue
variation.”
“Changing the culture and trying to get shareholders
on board.”
Over the last few years increasing evidence has been
brought to light that the pursuit of short-term sales
activation and the decline of brand strengthening for
long-term growth is real. The data also demonstrate the
decline in overall effectiveness and direct profitability
of campaigns (see Binet and Field’s IPA Reports
‘Effectiveness in Context’ and ‘The Long and the Short
of it’). As Peter Field has stated “Brand building relies
on the creation of emotional memory structures, which
take time to create and reinforce”. The effect is resilient
and the benefits, including those of price perception, and
therefore profitability, build over time. These datasets
and others need to be distributed to a broader senior
management base, as well as throughout the marketing
community.
It may not be surprising that senior management cite the
need for more data to support decisions for long-term
investment in brands. The ever-greater availability and
speed of online channel data, means decision support for
sales activation marketing activity has, in theory, never
been easier. Whilst there is now abundant evidence to
support the commercial benefits of brand investment,
the c-suite are likely to be looking for similar levels of
evidence as that available for short-term marketing. This
is challenging as linking valuable brand health data to
sales is more complex than shorter-term direct response
campaign performance metrics. It takes time and the
analytics involved are multifaceted.
If, as it would appear, marketers do not have sole charge
of the timescales of their activity, they need to persuade
others who do not have their knowledge or insight. This
is not to say that senior marketers should be subservient
to a rising “arithmocracy”, but maybe marketers
should practise a balance of their own and accept,
if not welcome, the rigour demanded. This research
demonstrates that leaders need to be shown better
evidence on how both activation and brand building
investment can work in synergy to create value, by
building both a sustainable marketing asset and provide
short-term cash flow with higher margins.
“Brand building relies on the
creation of emotional memory
structures, which take time to
create and reinforce”
Peter Field
21. THE BOARD-BRAND RIFT
21
Brand-building
know-how
This section examines how our business leaders
rate their own knowledge of brand-building and
the creation of those assets, as well as that of their
boards. It also explores the measurement of brand
health and strength in their organisations.
One reason that business leaders may be looking for
more data on brand metrics is that over 50% rate the
knowledge and understanding of their boards on how a
strong brand is built and maintained as average to very
poor. This is concerning, considering it is this group that
is setting long-term marketing objectives, of which brand
is a key component.
This data echoes a recent Forbes study of S&P 1500
boards over six years. It found that boards with members
who had marketing experience tended to have better
total shareholder return – in fact a 3 percentage point
increase. However, this group represented only 2.6% of
the study’s 65,000 board members1
.
In our study a third of marketers themselves rated their
own knowledge and understanding of brand-building and
FIGURE 12. KNOWLEDGE OF BRAND-BUILDING IS PERCEIVED AS AVERAGE TO POOR IN OVER 50%
OF BOARDROOMS
How would you rate the knowledge and understanding of how strong brand is built
and maintained at board level in your organisation?
8% 41% 39% 10%
Excellent Good Average Poor Very poor
3%
1. Source: https://www.forbes.com/sites/kimberlywhitler/2016/01/19/why-few-marketers-are-invited-to-join-boards-of-directors/#28ea8fae24a4
maintenance as average to poor (see Figure 13). This
should prompt the business community to ask whether
it, and specifically the marketing industry, is losing this
critical skill.
22. THE BOARD-BRAND RIFT
22
Not surprisingly, when either the respondents themselves
or the organisation they work for have better knowledge
of how brands are built and maintained, this has a positive
effect on their belief in the power of brands across all the
questions in our study.
And as one might expect, the reverse is also true – those
who admit to knowing less are less likely to link brand
strength with commercial objectives.
FIGURE 13. ONE THIRD OF MARKETERS NOT CONFIDENT IN THEIR BRAND-BUILDING KNOW-HOW
How would you rate your knowledge and understanding
of how a strong brand is built and maintained?
21% 47% 28% 4%
Excellent Good Average Poor Very poor
1%
FIGURE 14. THOSE WHO ADMIT WEAKER BRAND KNOW-HOW ARE LESS LIKELY TO LINK BRAND
STRENGTH WITH COMMERCIAL OBJECTIVES (VERY IMPORTANT/IMPORTANT)
Low brand understanding High brand understanding
58%
79%
Establishment of new revenue streams
55%
71%
Increased profitability
40%
57%
The level of future cash flow
29%
51%
Risk reduction
57%
73%
Reducing customer price sensitivity
49%
66%
Margin improvement
56%
79%
Enterprise growth
48%
78%
Business resilience
(Strongly agree/agree)
23. THE BOARD-BRAND RIFT
23
Critically, lack of knowledge of how brands are built and
maintained also has a significant effect on the agreement
figures for the benefits of long- and short-term balance.
As can be seen below in Figure 16, under half – 49% – of
those organisations with weaker brand understanding
at board-level agree that a balanced approach to
marketing horizons delivers commercial success. This
compares with 83% of the sample whose brand- building
knowledge and understanding is ‘Good’ or ‘Excellent’.
Whether the feeling that brands do not play an
important commercial role means that brand-building
knowledge is not sought or the reverse, the call to action
for education on what brands do and how they are built
and maintained among the wider business is paramount.
FIGURE 15. WEAKER BRAND KNOW-HOW MEANS
BRANDS CANNOT DELIVER ON CORE PRIORITIES
CITED BY THIS GROUP
INCREASED PROFITABILITY
BUSINESS RESILIENCE
84%
85%
(Moderately important/important/very important)
24. THE BOARD-BRAND RIFT
24
The lack of knowledge does not affect control over
objective-setting, however. 70% – over two thirds – of
this group are still setting long-term objectives for the
marketing teams and over half are setting short-term.
FIGURE 16. WHERE BUSINESS LEADERS DON’T UNDERSTAND HOW BRANDS ARE BUILT, THEY DON’T
BELIEVE IN THE BENEFITS OF A BALANCED APPROACH TO MARKETING
FIGURE 17. HOWEVER, BOARDS WITH WEAK BRAND KNOWLEDGE ARE STILL SETTING LONG- AND SHORT-
TERM MARKETING OBJECTIVES
Senior management lays down the relevant
objectives and timescales for short-term
marketing strategy in my organisation
(Strongly agree/agree)
Senior management lays down the relevant
objectives and timescales for long-term marketing
strategy in my organisation
(Strongly agree/agree)
100%
75%
50%
25%
70%
51%
0%
Our board understands that a balanced approach to short- and longer-term marketing
objectives will deliver a stronger commercial performance
(Strongly agree/agree)
100%
75%
50%
25%
49%
83%
0%
Low brand understanding High brand understanding
25. THE BOARD-BRAND RIFT
25
We also asked our respondents about what they thought
were the most effective promotional channels for
brand-building. Figure 18 reveals that online channels
such as social media and digital display advertising,
alongside word of mouth, are perceived to be the key
brand-builders. However, this is not reflected in the
effectiveness studies of marketing industry bodies such
as the IPA and The Marketing Society or commentators,
such as Les Binet, Peter Field and Professor Mark Ritson.
FIGURE 18. PERCEPTION OF THE MOST EFFECTIVE CHANNELS FOR BRAND-BUILDING IS NOT ALIGNED
WITH THE OBJECTIVE EVIDENCE AVAILABLE – SEE FIGURE 19
Socialm
edia
Advertising
-print
Affiliate
Direct-em
ail
Telephone
Advertising
-TV
Other
6%
10%10%
13%
16%
21%22%22%
24%
32%
38%
54%
65%
W
ord
ofm
outh
Search
Direct-m
ail
Contentm
arketing
Advertising
-outdoor
Advertising
-onlinedisplay
26. THE BOARD-BRAND RIFT
26
Figure 19 below is from Ebiquity ‘Re-Evaluating Media’
report. It shows the results from the study, which
examined a wide range of primary research on the
effectiveness of different communications channels for
various marketing objectives, including brand salience.
The report was conducted among marketing and media
industry individuals and looked at the gap between
perception of effectiveness of individual channels
against a range of objectives. The chart highlights
how, outside TV, traditional media is undervalued and
the effectiveness of online channels can be overrated
in delivering brand salience – the closest to the same
question used in our own project.
This study did not look at all promotional channels, but
Figure 19 does demonstrate the high esteem in which
some channels are held among the marketing and
media industry – an esteem which is not warranted by
the evidence. In addition, one could conjecture that it
may also be a reflection of the general availability of
data supporting them. We should not be that surprised,
therefore, that a sample of broader general management
displayed in Figure 18 has similar perceptions. The
worrying issue is that by over-investing in online
channels, brand-building objectives will not be reached
and the practice of brand-building itself as an objective
will seem ineffectual. This will not be because of it
doesn’t work, but it needs real skill, creativity and
evidence to do well.
FIGURE 19. SOME CHANNELS HELD IN HIGH REGARD BY THE INDUSTRY WITHOUT SIGNIFICANT
EVIDENCE. SOURCE: RE-EVALUATING MEDIA, EBIQUITY / RADIOCENTRE
What the evidence says
1 TV 10
2= Newspapers 8
2= Magazines 8
2= Radio 8
5= Direct mail 5
5= Online video 5
7 Out of home 5
8= Cinema 4
8= Online display 4
8= Social media (paid) 4
What advertisers and agencies say
1 TV 4.6
2= Out of home 3.8
2= Cinema 3.7
2= Social media (paid) 3.4
5= Magazines 3.4
5= Online video 3.3
7 Radio 3.1
8= Newspapers 3.0
8= Online display 2.7
8= Direct mail 2.6
EVIDENCE: Secondary research on brand salience. Scoring based on average rank from multiple
comparative studies. See Appendix 3 for full details on how this ranking has been calculated
PERCEPTION: Mean score. Q. Using a scale of 1-5 where 5 is ‘very good‘ and 1 is ‘very poor‘, please rate
each medium for its ability to increase brand salience. Base: n=19.
27. THE BOARD-BRAND RIFT
27
We have already seen that one of the key impediments
to better marketing balance is perceived to be the lack of
credible metrics. This was further underlined when asked
whether ‘brand health’ KPIs were reported and examined
at board-level. As seen in Figure 20 below, only 27% of
organisations agreed; clearly brand health and strength
is not a board KPI for most. Although for those whose
boards understood brand-building and maintenance,
the figure was much higher at 41%. There is clearly a
correlation between greater understanding, greater
focus, and a recognition of the importance of the issue to
commercial performance by senior management.
Those who use brand health metrics at board-level also
indicated differences in organisational culture. They
were more likely to believe in marketing balance (82%)
compared to those who focused on sales KPIs (62%).
This one might expect, but importantly, their objectives
were also made collaboratively; 75% of this group set
their marketing objectives alongside their finance and
strategy teams compared with 55% of those who used
only sales KPIs. That shared objective-setting will also
help with credibility across the c-suite.
To be used at board-level, credibility of brand metrics
is key. Furthermore, positive brand metrics can not
only be used internally but externally. Sharing such
datasets to external stakeholders can be central to the
communication of a company’s ability to create long-
term value and build sustainable competitive advantage.
FIGURE 20. ONLY 27% OF BOARDS USE BRAND HEALTH KPIs. THIS IS NOT ENOUGH.
6% 21% 28% 26% 10% 9%
Strongly agree Agree Neutral Disagree Don’t knowStrongly disagree
My company has specific ‘brand health’ focused KPIs (as opposed to ‘sales performance’ KPIs)
that are reported and examined at Board level
28. THE BOARD-BRAND RIFT
28
“I think when analysts ask
questions about brand they
want to know why you have
an amplifier in your numbers
(and why) your CAGR is going
to be different from somebody
else’s… they want to know about
it and that’s why this relationship
between sales and A+P comes
into its own.
… But Marketing Directors need
to convince CEOs (of the value
of those metrics) and it has to
be on our balance scorecards in
the Board Room before CEOs
will stand up and talk eloquently
about it outside the business.”
Ronan Dunne, Former CEO, Telefónica O2
As the Former CEO of Telefónica O2
Ronan Dunne said:
30. THE BOARD-BRAND RIFT
30
The contribution
of creativity
The final section of our research explores the
attitudes of senior business executives – both within
and outside marketing functions – towards creativity.
Evidence has never been greater that the power of
the creative message, alongside balance of short- and
long-term objectives, is pivotal to the effectiveness of
marketing communications campaigns. Who manages
and controls that creativity is therefore a crucial lever
in the delivery of successful commercial performance.
Peter Field’s new IPA report ‘Crisis in Creativity’ details
not only the multiplier effect of strong creativity, but the
damaging effect of the drift away from brand-building.
The percentage of budget allocated to brand-building
amongst creatively-awarded campaigns has fallen to
FIGURE 21. BUSINESS LEADERS SAY THEY UNDERSTAND THAT QUALITY OF CREATIVITY IN MARCOMMS
LINKS TO BETTER RETURN
Senior Management in my organisation understand that quality of creativity
links directly to the quality of commercial performance
16%
44%
29%
8%
3%
Strongly agree Agree Neutral Disagree Strongly disagree
just 66% over the last 4 years, around 10 percentage
points below optimum. Creativity brings little value
to short-term sales activation, so the trend to short-
termism is likely to reduce the value it is able to bring.
Our study reveals that business leaders in general do
claim to understand that the quality of creativity in their
marketing communications links directly to the quality
of commercial performance, with 60% agreeing with the
statement.
31. THE BOARD-BRAND RIFT
31
SOURCE: IPA Databank, 2008-2018 creatively awarded long-term cases
They are right to believe this. Using the Effectiveness
Award case studies within the IPA Databank, Peter
Field’s report demonstrates high-performing creative
cases are eight times more effective than low performers
in terms of the number of business effects they
generate, as seen in Figure 22 above.
One of the critical business effects it drives is growth.
Not only this, but high performing brands’ impact
on pricing power is more than twice that of low
performers. They not only drive greater growth, they
do so at greater profit margin. In fact, they are almost
16 times more likely to generate very large profitability
improvements – seen in Figure 23 on the next page.
FIGURE 22. HIGH-PERFORMING CREATIVE LONG-TERM CASES DELIVER 8 TIMES THE
NUMBER OF LARGE BUSINESS EFFECTS
Numberofverylargebusinessfx.reported
High performers Low performers
8x Effectiveness
3.0
2.5
2.0
1.5
1.0
0.5
0
32. THE BOARD-BRAND RIFT
32
SOURCE: IPA Databank, 2008-2018 creatively awarded long-term cases
However, whilst it is very encouraging that businesses
claim they understand the importance of creativity to
commercial performance, how much should business
leaders get involved in that creative process? Many
a marketing director has recounted stories of Board
members “interfering” in their final films, refusing
additional budget for better designers and claiming to
not to “understand how it will work”. Currently business
leaders in our sample still like to feel they are involved
with the creativity in their marketing communications,
and also step in if they feel that the level of creativity is,
in their view, ineffective.
FIGURE 23. CREATIVITY USED WISELY DRIVES GROWTH AT HIGHER MARGIN AND DRAMATICALLY
GREATER PROFITABILITY IMPACTS
Numberofverylargebusinessfx.reported
Numberofverylargebusinessfx.reported
Profit impacts
High performers High performersLow performers Low performers
Pricing power
12%
14%
10%
50%
45%
8%
40%
35%
6%
30%
25%
4%
20%
15%
2%
10%
5%
0% 0%
33. THE BOARD-BRAND RIFT
33
However, if senior management do not have a solid
understanding of how to build and maintain brands,
and nearly half of those outside marketing agree they
do not, then this intervention may at best, reduce the
effectiveness of the creative work, and at worst destroy
a brands’ distinctiveness and subsequent commercial
effectiveness. This is compounded by an increase in the
use of short-term objectives.
One solution might be to focus business leaders’
attention away from the creativity of the message itself
and towards the brand health metrics they actually
say they are looking for, which demonstrate what the
message is doing for the brand and for the business.
Some of the most successful brands now do not “show
the ad campaign” in board meetings, but show “what
the ad is doing for the brand” – arguably a much more
appropriate way to use board time.
FIGURE 24. SHOULD SENIOR MANAGEMENT BE THIS INVOLVED IN THE CREATIVE PROCESS IN MARCOMS?
Senior Management in my organisation rely on the marketing department
to deliver powerful creativity and do not get involved
10%
9%
41%
28%
33%
28%
13%
28%
3%
6%
Strongly agree Agree Neutral Disagree Strongly disagree
Senior Management in my organisation question the marketing department on levels of
creativity when they feel it is not strong enough
34. THE BOARD-BRAND RIFT
34
Among those business leaders whose Boards used
brand health metrics, 74% stated they understood the
importance of creativity to commercial performance.
Among those who focus more on Sales KPIs, the figure
is much lower at 55%. Their belief in creativity is also
demonstrated by the fact that only a third (34%) believe
that ‘reach’ is more important than the ‘creativity of
the message’, whereas for those who use sales as their
metrics over half (56%) believed this to be true. It appears
then that users of brand-based metrics are less likely to
focus on media channel performance to measure their
effectiveness.
This study is only a snapshot of the interest of senior
management in the creativity of their marketing
communications. In his report, Peter Field outlines
the decline in effectiveness of creatively awarded
campaigns over the last 10 years. However, if alongside
the increase in collaborative decision-making and the
tendency towards shorter-term marketing objectives,
senior management have been affecting the creative
process, they could unwittingly be exacerbating a
decline of marketing effectiveness by promoting rational
“disposable creativity” and moving away from rich,
emotional brand-building activity, instead of working out
the most profitable balance.
OF THOSE BUSINESS LEADERS WHOSE BOARDS
USED BRAND HEALTH METRICS UNDERSTOOD THE
IMPORTANCE OF CREATIVITY TO COMMERCIAL
PERFORMANCE
OF THOSE WHO FOCUS ON SALES KPIs UNDERSTOOD
THE IMPORTANCE OF CREATIVITY TO COMMERCIAL
PERFORMANCE
74%
55%
36. THE BOARD-BRAND RIFT
36
Recommendations for
general management
1. Build awareness across business disciplines of the
evidence for brands’ contribution to commercial
performance
Business leaders across the boardroom need to be
better aware of the commercial benefits of longer-
term brand-building and the contribution of brands
to financial performance. This study clearly shows
this knowledge leads to better decision-making.
2. Assess current brand metrics and where possible
link these to measures of commercial contribution
Marketing teams should be challenged to
ensure that existing brand health metrics are
fit for purpose, robust and credible. For those
organisations without them, they should challenge
the marketing function to look for reliable suppliers
for their creation, usage and integration into
existing datasets.
3. Review brand health at board-level using
appropriate metrics and commentary
Commercial value analysis will determine which
brand metrics should then be used at levels of the
organisation. However, subjective judgement will
always be needed to fill in the inevitable gaps; not
everything that delivers value can be measured.
4. Use credible brand metrics to external audiences
to demonstrate greater competitive advantage
and transparency
Those organisations with robust brand health
metrics could use those that are not commercially
sensitive externally, as well as internally. This will
help to demonstrate how longer-term decision-
making is building value and creating competitive
advantage.
5. Assess current financial reporting of intangibles,
using brand strength measures where relevant
Use of relevant brand measures should also
be used in Annual Reports and other official
documents.
37. THE BOARD-BRAND RIFT
37
Recommendations
for marketers
1. Create an evidence bank
Create an internal databank of evidence for building-
brands in relevant sectors. This should include
their contribution to the financial objectives and
the benefits of marketing balance. Industry bodies
such as the IPA and agencies can be very useful
partners for its development. Include the evidence
of the importance of creativity to commercial
value. However, senior management should also be
reminded what can and can’t be measured.
2. Promote this evidence internally and widely, but
use the heart and the head
Communicate robust and useful evidence to
peers and senior management. Use agency
partners to develop both the communication
strategies to ensure engagement with clients’
senior management. These data need to be used
with the judgement of experienced marketers who
understand human behaviour, to fill in the gaps.
Use the heart and the head.
3. Ensure brand strength metrics are fit for purpose
and get buy-in from peers
Examine current brand metrics for commercial
value, integrating them with other datasets if and
when necessary and get buy-in on their use at
senior level.
4. Analyse own plans and processes
Analyse current marketing plans and budget
allocation for short-, medium- and long-term
strategies. Create a process for analysis at the
planning stage if necessary, and ensure senior-level
sign-off. Agencies should be braver in challenging
clients on objective horizons.
5. Upskill brand building know-how
Investigate skill base in brand-building and
measurement within the marketing function. Take
action to remedy and upskill where necessary.
6. Focus on what creative work delivers
If showing creative work to senior management,
help them focus on its performance for the brand
and the organisation.
38. THE BOARD-BRAND RIFT
38
Appendix -
Methodology
An FT reader panel was used for this research called
the ‘FT Feedback Forum’. 506 respondents completed
the survey and the split mirrored the spread of FT
readership globally detailed in Figure 25 below.
The fieldwork took place over 3 weeks in May 2019. Any
‘order effect’ from option lists was removed.
All respondents were senior business decision-makers
and 43% were at c-suite level. We wanted to achieve a
representation of both marketers and non-marketers
to be able to analyse the data by specialists and non-
specialists. Of the total sample, 36% listed Marketing,
Advertising or PR as their main responsibility so we were
able to analyse this group separately. The average size of
company across the sample was 2706 individuals.
FIGURE 25. RESPONDENT SPLIT BY GEOGRAPHICAL REGION
36%
28%
20%
16%
UK CEMEA Americas APAC
39. About the FT
The Financial Times is one of the world’s leading business news
organisations, recognised internationally for its authority, integrity and
accuracy. The FT has a record paying readership of one million, three-
quarters of which are digital subscriptions. It is part of Nikkei Inc., which
provides a broad range of information, news and services for the global
business community.
About the IPA and EffWorks
Incorporated by Royal Charter, the IPA’s role is: to advance the value,
theory and practice of advertising, media and marketing communications;
to promote best practice standards in these fields; and to ensure that the
work it does will benefit the public, the wider business community and the
national economy.
EffWorks is a cross-industry, long-term, global marketing effectiveness
initiative, established by the IPA. Its ambition is to firmly position marketing
as a route to profitable growth. It addresses the issues that impact on
effectiveness and challenge the content and context of marketing outputs.
Acknowledgements
Copy: Fran Cassidy
Design: Paola Handley, Gianfranco Fagotto
Research: Enzo Diliberto, Tamara Mascarenhas
Editing: David Buttle, Kathryn Patten, Janet Hull OBE