Page 5 - GLOBAL STRATEGIC MARKETING

people who buy their products and services. In the future, these companies will
need to reshape when and where they interact with customers.

Rethinking brand portfolios and tackling channel migration are of course just two of
the challenges that the proliferation of segments, brands, messages, media, and
channels poses for marketers.

CMO owns the growth agenda

http://www.mckinseyonmarketingandsales.com/cmo-owns-the-growth-agenda

January 2013

In 2013, marketers emerge as the rightful owners of the corporate growth agenda. To make it
happen, marketers need to harness analytics to measure performance and guide decisions that
drive real growth. Armed with big data and advanced analytics on all their spending — from TV to
digital to sponsorship — marketers are in position to show the CEO or CFO how much value
marketing is able to deliver. Our experience shows that improved analytics results in an average
savings of 10-20 percent. Applied to a global marketing spend of $1 trillion, and we're talking
$100-$200 billion in global reinvestment potential.

Last year was about experimenting, but in 2013 marketers will be under enormous pressures to
move beyond that to demonstrate the worth of their spend. Marketers will need to answer tough
questions about the value of a "fan" or "follower," which they can do by making thoughtful use of
analytics such as social GRP, for example. While experimentation remains critical for innovating
and spotting opportunities, 2013 will be about implementing much more systematic test-and-learn
programs that require actively evaluating experiments, doubling down on successes, and learning
from then jettisoning failures. Marketers will need to develop a test and learn program that
functions like a conveyor belt so they can systematically innovate to find those winners that will
deliver growth.

View all the 2013 Outlook articles