Marketers are aiming to improve their effectiveness cultures by over a third by 2020, boosting their current average rating from 6 out of 10 to almost 8 out of 10. This is one of the key findings from a comprehensive IPA study, carried out in association with ISBA, which will be shared at today’s IPA Eff Week conference (9 October).
The research combines the insights of over 60 brand companies from all sectors, 60 agencies, 100 marketers and finance professionals and 120 agency management, to assess all aspects of ‘Marketing Effectiveness Culture’. Bringing together both quantitative data (responses to 80+ questions) and wide-ranging perspectives (400+ comments), the study explores what companies are doing to assess the impact of their marketing activity and how they are doing it.
According to the study, over half of marketers rate their current marketing effectiveness culture at just 6 out of 10 or below (with 10 as excellent). However, by 2020, 61% are expecting to see a 2-point or higher increase, with 75% expecting to be at 8 or above, and a third at 9 or 10.
To improve their marketing effectiveness cultures and increase the recognition of the value of marketing expenditure, the report highlights three key recommendations:
1) Integrate longer-term measures into the short-term demands
The focus, for the majority, is primarily on marketing’s short-term impact. There are ongoing efforts to integrate and balance long-term strategic aims, within the context of campaign and channel specific results, but the business pressures place an emphasis on the immediate term.
2) Formalise, align and agree metrics upfront, across the business
The various stakeholders, internal and external, rarely establish the measures of marketing’s success together, at the outset.
3) Recognise that Marketing Effectiveness is increasingly a shared responsibility requiring collaborative working and integrated resources
Marketing Effectiveness is a business priority and no longer the remit of marketing alone; a quarter state it is the responsibility of Insights and Analytics, and 22% feel ‘it is no one business area but a shared responsibility’. However, the survey suggests that the many resourcing, operational and cultural shifts needed to support this changing dynamic are not consistently in place.
Says Janet Hull OBE, Director of Marketing Strategy, IPA: “This comprehensive study provides a definitive benchmark on the current state of play in client businesses, and provides some invaluable pointers on how marketing clients and agencies can work together to develop marketing effectiveness processes and behaviours.”
Says Clare O’Brien, Head of Media Effectiveness and Performance, ISBA: “The findings reveal valuable data for our members and the industry widely. In particular, for ISBA’s Insight & Effectiveness Steering Group, representing the UK’s biggest marketing budgets, it addresses the question of how we develop stronger integral understanding of marketing-generated data throughout the business operation. The numbers uncovered provide the evidence to develop shared responsibility across business teams for the collection and deployment of marketing data to better optimise all aspects of the business.”
Says Libby Child, Founding Partner of Greengrass Consulting, who carried out the study “The depth, detail and variety of responses highlight the complexity of the challenges facing marketers and their agencies as they strive to develop effective solutions, together, for the short and long term. There is certainly a will, but the way is not so easy. ”
These top-line findings were presented by Libby Child, Founding Partner of Greengrass Consulting, at the cross-industry Eff Works conference today (9 October). The slides can be downloaded from the Effworks website. This will be followed by a deep-dive session into further findings on 31st October. Join the conversation on Twitter #EffWeek @EffWorks