Insight for marketers: measuring the worth of your marketing
Here’s a good article from McKinsey Quarterly.com titled Measuring Marketing’s Worth.
It’s hard to dispute the fact that you can’t spend wisely unless you understand marketing’s full impact. To this point, the three McKinsey authors state that they are consistently struck by the power of asking five seemingly basic questions that cut to the heart of the quest to drive returns on marketing spending. They find that marketers who have good answers to these questions are better equipped to do battle for the effectiveness of marketing (via C-suite alignment) and to win the war for growth.
Here are the five questions executives should ask (detailed within the article) to help maximize the bang for their bucks:
1. What exactly influences our consumers today?
2. How well informed (really) is our marketing judgement?
3. How are we managing financial risk in our marketing plans?
4. How are we coping with added complexity in the marketing organization?
5. What metrics should we track given our (imperfect) options?