Wednesday 24 December 2008

The Mystery of the Marketing-Resistant CEO

Over on the Marketing Misfit blog Mayra Ruiz highlights the case of the marketing-resistant CEO. Whilst this mindset may be a real mystery to many marketers it is a very common one and not just in the small owner/operator type business. What it demonstrates is the need for marketing to market itself effectively and clearly communicate the value it creates for the business. I've noted a few of my own thoughts on this below.

Customer-relevant brand positioning
For a company that is marketing software it would seem a tragedy to discard the opportunity offered by web 2.0 tools. They could be used to support a company's positioning as dynamic, innovative, tech-savvy and responsive. All attributes that most customers would value in a software vendor.

Show the money
This also demonstrates the importance of being able to demonstrate return on investment. I suspect the sales cycle here is relatively long so this is something that is very difficult to show in the short term. Referencabillity is key here - showing results from similar businesses or ones that the CEO relates to and respects would help.

Peer-to-peer
With all due respect to the marketing manager there seems to be an issue with the CEO accepting his position. They agree in the meeting but the next day the CEO's mind is changed. Get the CEO talking to the CEO of another client - they speak the same language and identify with the same issues. You never know, they might even get some business out of it.

Write a 3 minute guide
Does the CEO really understand what web 2.0 is really about? Let's face it, there are still plenty of marketing professionals out there that haven't taken the plunge. As has been pointed out elsewhere, up to now, the social media "market" has been characterised by hype and fragmentation. This doesn't present a clear picture to your average business person. A "3 minute guide to social media" to give non-marketing execs a snapshot of what's going on would be worthwhile.

Understand the plan
This story is not just about investment in web 2.0. The CEO is resistant to investing in marketing and sales. We need to get under the skin of the company's business plan here - are they targeting new business, existing customers? Clearly new business won't come without the investment and over time revenues from existing relationships are also likely to decline. Marketing investment needs to be integrated with the business plan and the links between that investment and cash generation shown. If the investment's taken away, show the impact on revenues.

Implement incrementally
Implement new channels incrementally rather than going for a big bang/all-or-nothing approach. Starting with a blog requires little or no cash outlay. The results from this will then support further investment decisions.

Brand building
If the CEO's involved in sales he will know the difference between calling a prospect that's never heard of his company and one that has. This should convince him that investing in brand awareness is worthwhile. Awareness builds trust and a desire to learn more if the brand is relevant to the prospect's business.

In summary, as in all marketing, the currency is relevancy. The customer here is the CEO and there is a need to understand his drivers and deliver messages that are relevant. For many, particluarly in smaller businesses in the current environment, immediacy and tangibility are key.

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