Under cosh CMOs still fail to sift data wheat from chaff

more data 2Marketing chiefs are so bamboozled by the volume of customer data they are collecting – with nearly all using ten or more data sources – that they risk missing out on the crucial insights of changing consumer behaviours triggered by the economic challenges.

That is according to a new study from integrated marketing data platform Adverity, entitled ”Recession, Resilience, & Marketing Data: What’s shaping the CMO’s roadmap?”.

The report, based on a survey of 300 CMOs across the US, UK, and DACH region from small to midsize, uncovers key challenges for CMOs in the current climate of accelerated change, digitalisation and uncertainty, and results indicate data handling issues are hindering efficiency.

It reveals that, while 85% of CMOs agree the capacity to make data-driven decisions is a critical competitive advantage, many are struggling to ensure effective data management.

Almost seven in ten (67%) feel the volume of marketing data available has become overwhelming, with 99% using 10 or more data sources and 52% using 14 or more.

These findings, Adverity suggests, show many businesses are at risk of missteps as the global economy declines, with unwieldy data preventing smart pivots, and distracting CMOs from the need to align experiences with shifting consumer needs.

Although nearly a third (29%) of CMOs are planning to enhance internal capabilities by increasing their data operations budget during 2022, this push towards increased spending does not translate across the board.

Nearly as many (27%) say their budget has decreased and the majority (44%) are working with the same spending pot as last year, with those identifying as “least resilient” to so-called “black swan” events in recent years more likely to cite budget reductions.

Meanwhile, lack of knowledge within the business (27%), is the most common blocker to investing in data tech. This is closely followed by the perception that adopting new tech will be too complicated (23%), while only 8% indicate the main barrier to investing in tech is securing budget.

Adverity chief marketing officer Harriet Durnford-Smith said: “CMOs have become overly bogged down by data challenges and lost sight of their core purpose: meeting the needs of the consumer.

“How they got here isn’t hard to understand. As channels and platforms have expanded, so has the quantity of incoming data about audience interactions and marketing performance.

“Failing to implement efficient systems for managing this data, however, means they are now wary of smart tools and battling to bring disordered information into order, when they should be using it to inform efforts that create consistently strong consumer connections.

“Fixing this problem is far from impossible, but CMOs need to move quickly as global market conditions worsen. Combined with an existing cost of living crisis, looming recession is spelling a gloomy financial outlook for consumers, making it increasingly critical for marketers to offer greater value, as well as demonstrating responsibility and sensitivity.

“Only with a unified supply of accurate insights can they pinpoint the best path to driving relevant, meaningful, and empathetic conversations, which fuel long-term bonds and trust.”

Related stories
Industry is facing ‘worst ever’ talent crisis, say bosses
Marketing firms among the most tight fisted on pay
Mind the gap: Marketers split on the power of data
Most fear rivals are way ahead on data and analytics
Future CMOs look to the appliance of art and science
Only loved up CMOs and CIOs make martech flourish

 

Print Friendly