Published on October 29, 2023, 9:31 pm
Customer demand and buying behaviors have become increasingly unpredictable in recent times. The COVID-19 pandemic, supply chain disruptions, inflationary price increases, and geopolitical instability have all created a challenging business environment. In response, strategic marketing priorities have shifted to encompass innovation, customer experience (CX), and digital commerce. These priorities now transcend functional boundaries and have become complex enterprise-wide initiatives.
At the same time, traditional sources of brand value are facing pressure from new forces such as disruptive market entrants and heightened audience expectations. With the ease of digital learning about unfamiliar brands, companies must adapt quickly to remain competitive.
Ewan McIntyre, Chief of Research in the Gartner Marketing practice, highlights that CMOs facing these challenges must focus relentlessly on customer value. They need to evolve the marketing function purposefully while continually optimizing brand value. To drive growth amid ongoing disruption, CMOs must act decisively by prioritizing their investments and strategies for the year ahead.
Srinivas Gattamneni, CEO of ADA, believes that marketing should be singularly focused on driving top-line growth for brands. This outcome is crucial for every CEO and CFO as they measure success in today’s business landscape. Gattamneni expresses hope that digital platforms can deliver on their promise of better-focused marketing to facilitate this goal.
Gattamneni also recognizes a gap in marketing’s ability to keep pace with evolving consumer behaviors. He notes that marketers primarily focused on building brands while leaving distribution as a separate function. However, the rise of digital platforms has led to challenges integrating online commerce and digital marketing within organizations.
Another significant challenge lies in aligning the efforts of the Chief of Commerce, Chief Marketing Officer (CMO), and Chief Information Officer (CIO) in any given company. Gattamneni emphasizes that organizations are still defining how these roles work together effectively.
According to Gattamneni’s perspective on role division within the digital space, the CIO is responsible for the broader technology infrastructure within most companies. The CMO focuses on customer experience use cases, and the Chief of eCommerce serves as the revenue driver for the company.
Looking ahead to 2023, Gattamneni predicts several key challenges for marketers. He expects ongoing reductions in advertising spending as organizations prioritize cash preservation and resilience. Marketers will also grapple with integrating online efforts with offline initiatives, a concept known as omnichannel marketing.
Moreover, marketers will face increased pressure to justify their investments in marketing technology and demonstrate tangible results. Gattamneni believes that investments in Customer Data Platforms (CDPs) will be a priority for organizations in 2023. CDPs offer opportunities to monetize data, harmonize information, and gain a comprehensive view of consumers.
A stronger emphasis on measuring and attributing every dollar spent on advertising and marketing is also expected. Additionally, Gattamneni recommends focusing more on customer experience as a means of retention, upselling, and cross-selling to maximize existing customer bases.
In conclusion, marketers must navigate an ever-changing business landscape by prioritizing customer value and adapting their strategies accordingly. By embracing evolving technologies such as CDPs while focusing on seamless customer experiences across channels, marketers can drive growth and stay ahead in 2023’s dynamic environment.