When we asked over 300 marketing leaders in the U.S. to identify the activities they find most challenging, the number one thing they reported, by a wide margin, was “demonstrating the impact of marketing actions on financial outcomes.”
This is a longstanding challenge for marketers. They want to demonstrate financial impact so that they can show accountability for business results, gain the respect of other business leaders, and secure future investment — but the measurements of marketing are often less precise than the measurements of other business activities.
How can marketers overcome this challenge? We have consulted on both sides of this issue: with CMOs seeking to demonstrate their financial impact and with CFOs, COOs, and CEOs seeking to make effective decisions about marketing investments. Based on that dual perspective, we think these eight steps can help.
Authors: Christine Moorman, Nikita Avdiushko, Paul Magill
Source: Harvard Business Review
Subject: Marketing / Sales