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25 & 26 MARCH 2020


Five Steps to create a Marketing Effectiveness culture

Marketing effectiveness measures how businesses are benefiting from the amount of investment spent on marketing and the ROI in terms of brand awareness, loyalty and profits. Marketing effectiveness measurement can guide an organisation in terms of the impact the marketing campaign made on the customers and how the product reach improved after the effort. The marketing department in different companies are known to handle exclusively the marketing function excluding the other departments. Businesses with a strong marketing effectiveness culture are fitter and better able to deliver targets.


The five methods or behaviours practised by successful organisations are Collaboration, Language, Process, Toolbox and Capability.


Collaboration- Marketing investment decisions are made through collaboration between marketing and finance departments. Such cultural changes are occurring from the realisation that existing organisational rules & routine can be an impediment to growth. Another is the realisation among the marketing teams of the financial impact of their activity and the inclination among the finance teams to better understand the marketing principles. A new culture of shared responsibility for budgets and success is guiding organisations. The availability of reliable datasets have improved the communication between different functions.

Language- Marketing has to be the core of growth or success stories as far as a organisations are concerned. So the language and phraseology related to marketing which are used to describe the commercial benefits of value brand building and customer metrics needs to changed/reframed to be better understood by the financial teams. For example terms like Non working media, Management information, Brand health can be changed to Asset creation, Business Intelligence, Future share protection respectively.

Process- Make effectiveness part of the early stage of the marketing process and not at the end of the process. The accent has to be on the effectiveness of the marketing activity and not on the execution of the process itself. Effectiveness has to be measured from start of the journey and not at the end of the journey. There is a need to have a shared view of the customer and of the business priorities. There needs to be a consensus on what data needs to be captured and what needs to be measured and thus a common definition for effectiveness. There is need to have a consistency on which metrics to be measured and a correct formulation on exactly which metrics to be measured. Finally a feedback and learning loop is necessary to maximise the effectiveness culture.

Toolbox- Toolbox refers to the metrics, measures and processes which are currently used by businesses to measure the marketing effectiveness. Businesses are increasingly integrating the strategy and planning processes into their models and integrating datasets which make predictive analysis easier. Datasets are being automated and integrated. The integration of datasets means there is much more focus on finding the metrics that matter. The Mature businesses tend to have short term,long term brand health and consumers metrics into their models. Businesses are increasingly using econometrics and media mix modelling to deal with the complexity of channels and remain more strategic and holistic.

Capability- Capabilities for evidence based,data-driven decisions are increasing,expanding the influence of marketing teams. The use of staff training and use of agency resource as short term measures is increasing. Financial literacy is lesser among the marketing teams so through training programmes such skills can be acquired.

Conclusions- Agencies need to put effectiveness more into their day-to-day operations. The agencies need to find the metrics that drive their businesses forward and need to focus their efforts upon those will be crucial. The marketing investment decisions are made increasingly by teams cutting across different departments, the agencies can benefit by including them in their planning and review process. So effectiveness makes an organisation stronger, fitter and able to deliver its targets.




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