Addressing the Challenges of 21st Century Marketing
Peter Mouncey, Visiting Fellow at the Cranfield University School of Management, on what Inspired Him to Be a Co-author of Marketing Value Metrics
What inspired me to be a co-author of Marketing Value Metrics? Primarily, it provided an opportunity to set out solutions that address six key challenges I’d faced as a senior marketing manager, challenges that I know marketers, and boards who have to approve and monitor strategic marketing plans, commonly face on a day-to-day basis:
- Developing marketing plans that are designed to build long-term profitability
- Developing cogent arguments to protect, or increase, the investment in marketing when economic times were tough
- The need for a framework that created a good balance within marketing strategy between the needs of the customer and those of the organisation
- Developing effective strategies that engaged those outside of marketing that were crucial to delivering the promise to consumers
- Developing the right metrics to monitor progress and provide accountability
- Motivating others to be passionate about data quality, as ‘fit for purpose’ data is vital in direct, digital and CRM based marketing, and for monitoring performance against achieving the goals laid down in the marketing plan.
The first awakening that these challenges could be innovatively addressed was my being invited to join the Marketing Process Research Club, run by Malcolm McDonald at Cranfield in the mid 1990s. The first session provided a solution to solving a key challenge we faced ‘back at the ranch’, a very effective pay-back for the membership fee.
Being invited to be a co-director of what started off as the Cranfield Return on Marketing Investment Research Club (renamed the Marketing Measurement & Accountability Forum) gave me the chance to work with Malcolm and Diana Woodburn on developing and testing out the model which is at the heart of Marketing Value Metrics, a process which addressed the challenges listed above.
This book therefore provides a blend of practitioner and academic thinking. There’s been considerable debate in recent years about the wide gulf between the needs of marketers and the agenda of academics in this field, but Marketing Value Metrics is solidly based based on developing solutions to meet the defined needs of practitioners.
In developing the second edition, it was abundantly clear that the principle-based model we’d developed a few years ago was as relevant today in the digital and ‘big data’ age as it was when we first mapped it out. What was necessary was to build in the impact of digital and multi-channel marketing in a more fundamental way. We also felt that thinking on brand equity needed revisiting and our colleagues at Cranfield felt that there was a hole in the original as there were no links with the world of management accounting – filled in ‘MVM’ by a straightforward appendix of key financial metrics related to marketing.
Use Marketing Value Metrics in developing your marketing strategy. Metrics are often an afterthought, once the plans are written. They need to be built-in from the beginning, and in Marketing Value Metrics we show you how to do this in a step-by-step way. Marketing plans need to be dynamic and agile, as the world around is constantly changing, but that’s no excuse for not applying a disciplined approach that provides the board with quality feedback on performance. Marketing Value Metrics will help you do this.