With consumers expecting personalized communications from companies, and e-commerce on the rise, a CMO's job is becoming more and more tech-oriented. Luckily they have marketing technology to rely on.
Marketing technology, or martech, is a technological system that is used to enhance marketing processes and achieve marketing goals. There are a variety of different martech solutions and vendors available. The martech landscape is often broken up into six categories, Advertising and Promotion, Content and Experience, Social and Relationships, Commerce and Sales, Data, and Management. The growth of this technology has been substantial over the past few years.
In Gartner's 2017-2018 CMO Spend Survey they found that approximately two-thirds of CMOs are planning to increase their investment in digital advertising, and decrease their investment in traditional media forms. However, martech spending is falling compared to previous years because of the concern to manage the technology efficiently and effectively. Martech still makes up a significant portion of a CMO's budget, with 22% allocated directly to technology, but it has seen a 15% drop in 2017.
CMOs are decreasing their martech budgets because they simply can't keep up! Traditionally a CMO's position was not very technology oriented, and the transition has not been easy to learn. Many CMOs are not utilizing their martech to it's full potential, limiting its effectiveness. The large investments are not showing significant value because they are being underutilized.
Marketing departments are starting to dictate tech investments. But keeping up with martech is much easier with the collaboration of your company's CIO and IT department. The IT department should be involved in the adoption of any marketing technology from the very beginning. That way they can familiarize themselves with the systems and be able to fix any issues quickly. When the IT department is not involved in the beginning it limits their effectiveness in fixing issues that arise.
With new technology coming out so frequently, CMOs need to keep an open mind while still being selective about the solutions they adopt. There are so many options that vary slightly from one another, it can be difficult choosing which one is best for you. Marketing departments need to evaluate their strategies, goals, and ROI before investing in any technology. This enables them to have a clear picture of the exact features they need in a software. Consider your clients, performance, and team when choosing martech solutions.
Consider what your competition is using. Apps like BuiltWith, allow you to see what technology is being utilized on different websites. This might help you with your decision on what martech to adopt.
Once your marketing department, IT department, and CMO decide on your martech solution, utilize it to the fullest extent! In order to get the best ROI, everyone needs to familiarize themselves with the technology. Figure out all of the features it has that can benefit your company. Consider consulting with a digital marketing agency, like IMG Digital, to help integrate your martech seamlessly. When CMO's keep up with martech and manage it effectively it is an incredibly powerful tool. Click below to request a consultation and get help with your martech solutions today.