Marketing ROI: If It Ain’t Financial, It Ain’t Functional

In the past three issues of Calibrero INSIGHTS, I offered some tips on what to look for when selecting a viable marketing ROI solution. To recap, so far they were:

1. Make sure marketing ROI covers Return on MARKETING Investment
2. Marketing ROI Effectiveness = Metrics x Methods x Mindset
3. Make Sure Marketing ROI Is 360°

In this blog post, I will offer one final tip:

Make Sure Marketing ROI is 360°

Marketing ROI Effectiveness = Metrics x Methods x Mindset

In the previous issue of Calibrero INSIGHTS, I shared my first tip on what to look for when selecting a viable marketing ROI solution. In this issue, I want to discuss the key success factors that marketers should focus on when they seek to increase Marketing ROI Effectiveness.

The formula, Marketing ROI Effectiveness = Metrics x Methods x Mindset, is a variation on a valuable formula that is widely used in the consultancy community: E = Q x A (Effect = Quality x Acceptance). To me, there is no better way to be reminded that for every improvement

Make Sure Marketing ROI Covers Return on MARKETING Investment

In the next series of articles, I offer some tips on what to look for when selecting a viable marketing ROI solution. There are many consultants and solution providers out there offering marketers their expertise to fulfill pressing Marketing ROI needs. However, a simple online search on Marketing ROI reveals that the label means different things to different people. And with so many different and oftentimes clashing Marketing ROI philosophies going around, it can be difficult to find the right solutions for your company.

About Soft Marketing ROI and Vegetarian Meat

In one of my previous blogs, I mentioned the dreadful Wanamaker quote. You know, the one about half the advertising budget being wasted but not knowing which half. It’s a dreadful quote because it’s been over-used. Nevertheless, the point of the quote is that it isn’t always easy to measure marketing value. In my last blog, I explained that it is no longer an option for marketers to NOT measure their added value. Marketing’s stakeholders demand it! The problem is that there is a category of marketers that are convinced you cannot quantify marketing value. So what’s a marketer to do when he must quantify marketing’s value, while he’s convinced it can’t be proven?

Sense and Nonsense Of Measuring Marketing ROI

There is a lot of debate going on, online and offline, about the sense and nonsense of measuring Marketing ROI. This debate is centred around the question how marketing can raise companywide recognition for its role as a profit driver.The opponents of measuring monetary marketing value state that it isn’t possible to (directly) link marketing activities to company profit. How, for instance, do you measure the incremental profit generated by a single print advertising? Furthermore, they point out that marketing is an art, not a science. And art cannot be measured.

Shifting the Marketing ROI Paradigm

Consider this situation: Many marketing stakeholders need to better understand marketing’s value. So far, marketing has not quite succeeded in providing these insights to them. Sales and Business Development still wonder why they shouldn’t do ‘marketing stuff’ themselves. The Board and Finance are only interested in P&L – profit & loss. This, of course, refers to the aforementioned departments that not only have a cost-budget, but also a revenue-budget. Putting it more bluntly: “no revenue-budget, no board attention” (other than the attention prompted by cost cutting motives…).

Ultimately, business is about the bottom-line, the numbers. It is about your company generating more revenue than the costs it incurs. This may explain why a department that doesn’t have more to show for than a cost-budget (as many marketing departments think they do), forces itself into the role of business support. This may be fine for some departments, but to get the most out of your marketing-euro,

5 Clues Marketing Needs More Commercial Focus

Why do some marketing organisations seem to have it all? How come, they actively help drive their company’s strategy? Why do Sales and Business Development depend on them? And, oh by the way, why do they get the marketing budgets they ask for – or at least, get close enough to it?

Well, these marketing organisations “have it all” because they are driven by a commercial focus. They are committed to constantly maximising their company’s commercial effectiveness. Consequently, they are one with the commercial process. Equal partners amongst their commercial peers