In an age where it’s harder to attract and retain profitable customers, marketers are being asked to clearly demonstrate the value of their marketing efforts. Still, only 1/4 of marketers can answer the question, “What is marketing’s impact on the business?” Is this a case of bad marketing, bad marketers or a little bit of both?
When it comes to developing mobile apps, creating products for new devices, and unifying the customer experience cross-channel, less than one quarter of companies report they “always succeed,” while more than 60 percent “often or sometimes fail” according to a Forrester study. Among the biggest challenges organizations face in digital marketing is finding talented digital marketers.
With consumers now communicating with brands through an increasing number of channels, it is essential that marketing systems are properly integrated to ensure that customers are addressed with consistent messages and offers, whatever the channel. For this to happen, marking needs to consult closely with IT to ensure this integration.
While brands are planning to up their digital marketing spending there are some signs that perhaps it might be better to get back to basics in online marketing. The latest shot is Yahoo firing their number two executive after spending a lot of money to recruit him. Ms Mayer’s tenure, which began in July 2012, has yet to deliver meaningful profit growth to Yahoo as the company has failed to keep pace with broad gains in digital advertising spending. There is plenty more to come.
According to David Aaker, the vice chairman of Prophet and the author of Brand Relevance: Making Competitors Irrelevant, a serious threat facing most brands in dynamic markets is the loss of relevance because the category or subcategory they are serving is declining. Customers are no longer buying what the brand is perceived to make. New categories or subcategories emerge as competitors’ innovations create “must haves.” This dynamic can happen even if the brand is strong; customers are loyal; and the offering has never been better, thanks to incremental innovations.