Red Ten NYC: 70% of CEO’s Do Not Trust Marketer’ Ability to Deliver Growth
New York based firm, Red Ten NYC have expressed concerns that there is doubt regarding the marketers ability to deliver growth for developing businesses.
A November 2012 Marketing Week article from Rosie Baker discusses the Fournaise global report, which revealed that 70% of CEOs have lost their trust in the marketers ability to deliver growth, to which Red Ten NYC agree.
Red Ten NYC have noted an increased demand for direct sales and marketing services, as their face to face approach and directly speaking to the consumer makes it very easy to measure the return on investment.
Direct marketing allows the development of a more personal relationship with clientele, rather than indirect marketing methods that favor communication channels such as television where results are difficult to measure.
Red Ten NYC’s success in the last 12 months is a prime example of direct marketing being the preferable solution for many CEO’s, as they recently reported engagement levels through direct marketing led to an increased sales and marketing ROI by 18%.
Liz Miller, a contributor for the Marketing Week article has voiced her opinions regarding the report’s findings. As vice president of programs and operations at the CMO Council, a global organization that represents senior marketers, Miller declares that the poor business perception is as much the marketers fault as it is CEOs:
“Many CEOs and CMOs still live with an out of date perception of what marketing and the CMO should be doing. Our definition of a CMO is to be the lead marketer driving business strategy, owning customer experience and translating the brand into business. Some CMOs stop at the brand but they must instill that culture of customer centricity in the organization.”
A fellow CMO, Pete Markey of RSA, also recommends that a chief marketer must balance a “trinity” of skills to be viewed taken seriously in business: “CMOs have to be part artist, part scientist and part politician – sometimes we fail by being too artistic”
Miller responds that marketers must tackle this oversimplification of the CMO role and become the CEO’s “trusted advisor” to earn a seat in the boardroom. She concludes that, “if an organization does not centre itself around customers, if we continue to run organizations around finance and only look at shareholders, bottom line P&L, no forward looking strategy other than stock price and cost saving we will never reach an era of customer centricity and marketers will always be spinning in their wheel.”
Baker reports that the Fournaise report also found that CEOs would like marketers to be more ROI focused, when their communications improve.
As more businesses look to outsource agencies to develop direct sales campaigns, Red Ten NYC are likely to further progress in the business world particularly since they have the ability measure ROI and guarantee results.