What CFOs are Saying About Marketing (MASB CFO survey)
Marketing,Marketing Measurement CategoryThe 2010 CFO Marketing with Accountability and Standards Board (MASB) survey of Fortune 50, 100, 500 & 1000 companies revealed some interesting expectations of marketing from the financial side of the table.
When it comes to brand value, it can be hard to measure, the CFOs said. The best approach involves transparency and mutual understanding. They also felt it was important to:
- Look at lifetime customer value
- Build a brand in a sustainable way
- Balance long-term brand equity with short-term tactics
Regarding the partnership between marketing and finance, they felt it was essential that marketing plans included a financial element. They said it was key to establish a strong link between marketing and finance on a daily basis, so that when a program is presented, it’s been thoroughly reviewed. By working with the finance department, there is greater credibility and reliability behind marketing’s numbers, they said. Other key thoughts from the CFO survey include:
- The best cases start with the broader company strategy and are integrated across the business.
- There should be a clear demonstration that marketing is driving growth, share improvement and profitability or return.
- Advertising is the lifeblood of our business and feeds our brands and has enabled us to grow successful brands over time.
- A successful marketing organization will find the connection with consumers and point of uniqueness.
When it comes to marketing proving its worth, CFOs are still underserved. When these CFOs were asked: “What bugs you?” They responded: “When marketing says I want to spend 100 million because last year we spent 90 million.” And “blank stares when we ask marketing ‘how will you know if this program is going to be successful?’ ”
