Charles Darwin’s writing had a clear message for today’s marketers: evolve or die. And here’s how they need to evolve: start acting as if marketing is a business. Business today is unprecedented in structure, organization and discipline. Companies excel by focusing on numbers and metrics, and gaining measurable competitive advantage.
Most businesses today are failing to turn big data into valuable customer insights and new value. That’s because most businesses have no clear idea of who owns the customer, and who’s in charge. In business, here’s the bottom line value of big data: to figure out why someone is willing to take their limited amount of money and purchase your products or services, and what will prompt them do it more in the future.
In conversations with Fortune 500 CEOs, they often express frustration about marketers’ inability to prove the bottom line. One of them noted that investing in marketing should be just like investing in stock: you expect to see a return on investment. The fact is, marketing is either delivering ROI – incremental profit – or it isn’t.
Professional basketball is a highly competitive game, played by teams. Marketing is the exact same thing: highly competitive, played by teams. And the goal of both games is to win. The problem with marketing today is that it’s played as if by individuals, rather than a team sport. Marketing tends to be played in silos, such as email, social media, and search, rather than focusing on the team: the enterprise or business as a whole.
Marketing analytics is perhaps the most powerful business tool ever invented. Unfortunately, most businesses are failing to reap the benefits. Here’s why: most marketing analytics today are used to justify the work of marketers, rather than discover valuable predictive insights.
Marketing: art or science, gut or data? Marketers who make data their cornerstone make smarter, more profitable decisions. For example, CMOs who track return on marketing investment report 50% more profit growth than those who don’t, according to a CMO survey. These statistics prove that marketing performance improves significantly when data is at the core. These marketers can also quantifiably prove their contribution to the businesses financial bottom line, rather than just pointing to hits or clicks.