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Reality-Check Marketing Scorecard
Benchmark: What Great Marketing Looks Like |
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Marketing Is a Moving Target
The definition and practice of Marketing varies widely from industry to industry and across companies. More varied still are the skill sets, titles, and organizational standing of Marketing practitioners. Perhaps the greatest variation occurs, however, in the perception of Marketing’s importance in the business arena. What is considered the most important department, and seat of all corporate power in a Fortune 500 consumer product company, may be a low-level staff function at a technology company. What should be universal, however, is the commitment, regardless of what the Marketing organization looks like, to continuously improve.
Measurement is a Must
A company’s performance can only be as good as the management team that leads it, and enlightened executives strive to work smarter each year. Intuitively, everyone knows this to be true, yet many do not take the necessary steps to implement this improvement, nor measure how it is actually performing on a departmental level. Success in business is all about staying on top of key metrics, because “if you aren’t measuring it, you aren’t managing it.” The Marketing Scorecard provides just such a measurement tool.
A quick review of the Survey questions reveals that these are exceedingly high standards. This is by design, to help organizations get past the hype and creativity that is often associated with Marketing. Survey respondents should use the process to better understand what truly great Marketing looks and feels like. Ideally, each person on the Management team and everyone in the Marketing department should participate in the survey process, rating their company’s marketing efforts on a scale of zero to five for each characteristic. Survey data should be organized in a report utilizing bar charts to illustrate scores for each of the four themes and their five supporting questions. The “gap analysis” between the actual and ideal scores and the different respondent perceptions provides a snapshot of areas of strength and can help focus discussion on areas needing improvement. These tough standards are not meant to discourage or discredit the Marketing organization, but rather, serve as a defined goal worth striving for. In a similar vein, the survey questions can be especially helpful for non-marketers and for management to gain a sense of performance outcomes they should be looking for. Please note - performing at the highest level is a rarity; if your Marketing organization scores perfect 5’s, it may be appropriate to diplomatically ‘push back’ and revisit the logic behind the scores. Finally, a word of caution: to create a constructive dialogue, you must focus on business issues and outcomes, not on personalities or performance reviews. It may be necessary to bring in an objective outside facilitator to keep the discussions ‘on point’ and away from needless controversy.
Reality Check
It is axiomatic that in business, "if you’re not growing... you are dying". Those who are truly committed to growth recognize there is no room for complacency and no time for standing still. Too many executives get caught in the trap of projecting significant sales increases, while clinging to the same tired processes and plans used the previous year. Marketing must step up to the challenge of driving the business by proactively testing new approaches. If you have not yet undertaken a rigorous review of your Marketing Department’s operating performance and if you still do business the same way you did last year… this may be a good time for a reality-check.
Category # 1: The State of Marketing
How is Marketing viewed and valued inside your company? The answers create a baseline for future comparisons. Keep in mind that this kind of critical review can make any department, even a high-performing one, feel a little nervous about coming under such close scrutiny. Be sensitive to the anxiety this can raise, and consider performing a similar review for the other departments as well.
Category # 2: Mastery of the ‘4 P’s’
A great way to begin a productive discussion on any complex topic, including marketing, is to focus on the fundamentals – Product, Price, Place (distribution channel), and Promotion (all forms – advertising, PR, trade and consumer.) A discussion around these specific topics provides a helpful roadmap for constructive dialogue. It also helps prevent wandering in a fog of vague generalities. Recognize that some marketers develop narrow expertise in one or two areas, but do not have the experience to provide leadership in other areas that may be pivotal for the company’s growth.
Category # 3: On Top & In Touch With the Market
Never lose sight of the root word in Marketing – market. The most basic function of any person with responsibility for marketing is to shape the company’s “go-to-market” strategy. A critical challenge here is to avoid “inside-out” thinking, a pitfall into which both marketers and executives can tumble. This is a “company-centric” view of the world that results in a me-first infatuation with one’s products and services. It’s human nature to view the world in such a way, yet it creates strategic blind spots regarding the external marketplace that are extremely dangerous.
Savvy marketers understand the “4C’s of business”: Company, Customers, Consumers and Competitors. They carefully avoid the allure of the first C, (Company) in order to focus on those things that truly matter, (intermediary) Customers, the (end) Consumers, and (direct and indirect) Competitors.
Category # 4: The Business of Marketing
The last of the four categories in the Marketing Benchmark Survey represents true bottom line accountability (spelled R-e-s-u-l-t-s)! Too many marketers and top executives allow the Marketing function to become a creative haven that operates outside the rules and requirements of the business. This jeopardizes the very survival of the enterprise. What is needed is a hard-nosed mindset that focuses on achievement of objectives. Measurable outcomes, along with intelligent experimentation, careful tracking, and continuous improvement, are all crucial to the health and vitality of the company.
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