:max_bytes(150000):strip_icc()/Term-Definitions_Risk-06261a568c7944ca974493b72806c07d.jpg "Strategy to determine and influence marketing investments")
Lauren Weinberg, Chief Marketing Officer, Square
For CMOs in particular and marketers in general, deciding where, when and how to make marketing investments remains an art and a science, even in a data-driven world.
As marketers we shouldn't expect everything to be perfect because we are always adapting based on changing social/macroeconomic conditions. But, although it goes without saying, marketers need to be able to link their investments to business results. Not all investments should be tied to short-term results, but all investments should be tied to some business results.
In other words, don't invest in any marketing strategy and strategy if you can't clearly define what success means and how it will be achieved.
My advice is to think about the balance between creating and holding interest. Create a scorecard that integrates short- and long-term success metrics, including not just immediate transactions, but product awareness and understanding, which drives long-term and sustainable financial results and metrics. This helps you and your stakeholders understand and appreciate the purpose and impact of your investment.
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There is no perfect measurement solution. Consumption patterns and the digital landscape are moving at the speed of culture, which creates new challenges for marketers who want to measure ROI accurately and absolutely, especially when it comes to measuring brand marketing where there are few defined touch points. Therefore, and in the absence of certainty, he sees improvement rather than perfection. If it was simple, all brands would understand it.
How do you do it? First, define your strategy for measuring short-term and long-term goals. Then try different technologies in your martech stack that can achieve this. Next, learn how these new technologies integrate with the existing stack, evaluate the performance of each metric, and learn how to measure and define success with each. Always keep testing, iterating, and looking for ways to improve measurement inputs and outputs.
Gaining insights from the data is where the relationship between marketing investment and business results really lies. Data-driven insights allow you to be more flexible so you can increase or decrease spending as business performance changes. Use these ideas and try to change your measurement approach so you measure what's measurable, not just what matters.
Invest in brand awareness
Effective marketing will always be important to generate leads and conversions, but performance and branding are not mutually exclusive, and long-term investment in branding is needed to increase awareness, increase awareness, build trust and create demand. By focusing only on short-term performance, you miss the opportunity to deliver the product value and differentiation needed to create long-term sustainable value.
While investing in awareness is important, there are several strategic approaches to increasing awareness and focus, each with their own strengths. The key is to enable the compound to achieve optimal growth rates and return on investment. Attract investment to increase share of voice through new and organic channels, product seeding, events and exhibitions, and earned media.
Although brand marketing is more difficult to measure, it should not limit investment strategy decisions, especially as economic uncertainty has led to more efficient media pricing. This means brands have more opportunities to invest in to capture market share.
Take basic risks
Even with a well-defined strategy, brands need to be smart enough not only to adapt on the fly, but also to create room for experimentation and trying new things. Risk taking should be in the DNA of every marketing organization.
By taking risks, you can allocate time and budget to try new strategies and tactics during planning. Creativity likes economic or other constraints. Start with small principle risks so you can learn quickly and don't invest too much in a new method that won't work. Focus on what matters most to your customers and trust the moments that matter. Some examples include investments in enablers, influencers and hyperlocal partnerships. Moving at the speed of culture requires agility and speed. Done right, these activities build trust and demonstrate your commitment to customer insight.[1]
Transparency equals propaganda.
Regular reporting of efforts and results with the CEO, CFO, and marketing organization is critical to protecting and leveraging marketing investments. It's important to not talk too much, be transparent and accountable, and educate those who don't understand marketing as well as you do. Constant updates covering goals, approaches, achievements, learning and next steps keep everyone informed. It gives everyone and your marketing an opportunity to improve, including what didn't work, what did and what was learned.
There is no "right" answer when it comes to marketing, and in today's world, brands have the opportunity to go back to the startup mindset and find new and unique ways to achieve their goals. I am developing my ability to drive marketing growth more than ever through smart and strategic investments.
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Lauren Weinberg is Square's Chief Marketing Officer, leading global marketing and communications for the $80 billion company, which provides technology and software solutions to millions of entrepreneurs around the world.
