How To Guide

Marketing Priorities for Mid-Sized Enterprises

Executive Summary:

Benchmarking your priorities against other Marketing professionals in

mid-sized enterprises helps ensure you are focused on the right
initiatives, and have the resources you need to be effective.

This report will provide you with benchmarks for:

 Marketing Budget as % Revenue

 Hottest Marketing Skills
 Most Urgent Organizational Development Priorities
 Next Areas for Investment
 Metrics and Key Performance Indicators
 Top Measures of Marketing Performance

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Table of Contents Page

Introduction 3

CMO Council Survey Summary 4

CMO Council Survey Key Benchmarks 4

Conclusion 7

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Introduction

Marketing organizations in mid-sized enterprises need to go through a

major transformation in ideology to achieve business success in the
long-term. No longer can results be measured by instincts and trust.
Senior marketers must restructure their departments and add key skills
to address the challenges of generating demand, driving custom-
centricity, and increasing top-line revenues.

Competencies in governance, strategic planning, business analytics,

CRM, sales support, channel management, and financial modeling are
required. If these capabilities are leveraged efficiently, delivering clear
ROI, predictable revenues, and improved resource allocation will be
achieved.

Leading organizations are already working to optimize their processes,

enabling marketing automation with technology, and developing
measurement-reporting systems to provide far greater levels of
visibility, accuracy, and effectiveness for the marketing function.

This report will help you benchmark your priorities against other leading
mid-sized enterprises. Specifically, you will learn:

 Marketing Budget as % Revenue

 Hottest Marketing Skills
 Most Urgent Organizational Development Priorities
 Next Areas for Investment
 Metrics and Key Performance Indicators
 Top Measures of Marketing Performance

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CMO Council Survey Summary

CMO Council’s Marketing Performance Measurement (MPM) Study polled

over 400 senior marketing executives. The study discovered that while
90% felt that the ability to measure their marketing results was a
significant priority, 80% were unhappy with their ability to do so.
Further, just 17% had a comprehensive marketing measurement system
in place.

Summary of Key Findings:

1. Marketers want Influence, Credibility, and Respect

2. Analytics & Best Practices are Areas of Weakness
3. Alignment with Company Mission and Sales is poor
4. Performance Ratings are Low or not Measurable
5. Campaign Results are Difficult to Measure Accurately
6. Customer Data is Not Housed in Central CRM system

CMO Council Survey Key Benchmarks

Marketing Budget as % of Revenue %

Over 100M Revenue 3.3%
51-99M Revenue 2.3%
26-50M Revenue 5%
11-25M Revenue 6%
6-10M Revenue 7%
1-5M Revenue 21%
Under 1M Revenue 42%

Source: CMO Council Renovate to Innovate Survey, Nov. 2005

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Hottest Marketing Skills

Sales knowledge & experience to assist support
Interactive Online Campaign Management
Marketing Measurement & Analytics
Demand Generation

Source: CMO Council Renovate to Innovate Survey, Nov. 2005

Most Urgent Organization Development Priority %

Improve marketing analytics capability 56%
Identify & Promote Best Practices 47%
Add more internet/web resources 38%
Bring in new expertise & resources 30%
Restructure how the group operates 30%

Source: CMO Council Renovate to Innovate Survey, Nov. 2005

Next Areas for Investment %

Customer Relationship Management Software 42%
Marketing Performance Measurement Systems 36%
Organizational Restructuring & Reporting Systems 30%
External Market Research Services 28%
Conducting Brand Perception Audits 26%

Source: CMO Council Renovate to Innovate Survey, Nov. 2005

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Metrics & Key Performance Indicators %

Achieving Goals & Deliverables 70%
Campaign impact & success 48%
Strategic & Creative contributions 39%
Budget control and spend management 31%
Business knowledge & understanding 29%
Sales & Channel Satisfaction Levels 28%
Operational Process Improvements 19%
Senior Management accolades 14%
Third party evaluation & benchmarking 10%

Source: CMO Council Renovate to Innovate Survey, Nov. 2005

Top Measures for Marketing Performance %

Revenue Growth 47%
Market Share Gains 39%
Customer Value, Loyalty, Affinity 35%
Company profitability 30%
Qualified leads generated 29%
Marketing spend effectiveness and ROI 27%
Opportunities Converted 22%
Positive feedback from sales/channel 21%
Brand awareness in market 17%
Brand Value & Equity Measurement 14%
Time to market improvements 7%
Volume & Quality of Media Coverage 7%
Viral (word-of-mouth, blogs, etc) 4%

Source: CMO Council Renovate to Innovate Survey, Nov. 2005

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Conclusion

Now that you have an understanding of how you stack up compared to

your peers in mid-sized enterprises, you need to update your list of
priorities and proposed initiatives.

If there are items that you have not considered investing in, now is the
time to table the idea. As always, strong strategic planning &
governance will help you with implementing organization changes, and
go a long way to increase your credibility.

Benchmarking your priorities against others marketing professionals is

an essential exercise if you plan to keep your organization up with the
times. Don’t lose sight of your key focuses, but keep an eye on what
other companies are doing.

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(866) 947-7744