Advertising and marketing industry changes bear fresh opportunities for new business development; they also bring fresh challenges!
The pace of industry change exceeds “evolution”. Considering only the explosive growth in marketing technology – and budgets associated with it – “revolution” could be a more accurate description.
A recent MarketingCharts post gives us a peek at what Marketers are thinking as they plan for 2017 Marketing Technology investment.
This data commands reflection, and it’s not just about the rapidly growing Marketing Technology categories, like Customer Insights and Programmatic or the plateauing categories like Social Media Management and Digital.
The pause for reflection centers on the skill set and experience needed to use and manage these technologies.
“Way back” in 2014, Harvard Business Review published The Rise of the Chief Marketing Technologist.
This article predicted that by 2017, Chief Marketing Officers would be spending more on technology than their counterparts, the Chief Information Officer.
2017 is just about here; for new business development planning purposes, it IS here!
One source, Chief Marketing Technologist, puts Marketing Technology spending this year at 33% of marketing budgets. I’ll let this chiefmartec.com article speak for itself (Whoa: marketing technology budgets are now surpassing advertising), but this number ought to stand out: $127.7 million. That’s the calculated average marketing technology spending among “large” companies with median average revenue of $3.5 billion.
Even if your average client is in a considerably lower revenue bracket, marketing technology spending is gobbling up a large portion of marketing budgets.
As we pointed out in our recent Agency of the Future series, one of the traits agencies need to “future-proof” their firms is to be a “Student of Technology”. Again, the recent Marketing Charts post highlights this rapidly growing importance.
And yet, perhaps not surprisingly, creativity still ranks at the top as an important skill for senior marketers.
Peter Caputa spoke to this in our recent interview with him, where he discussed the “table stakes” necessary for agencies to succeed as industry evolution takes us further into the realms of technology. In this interview, Peter expressed that creative remains incredibly critical, and agencies will need to be able to “out-creative the creative”.
Rapidly rising marketing technology budgets, in some cases, surpassing advertising budgets… Demand for technology and sophisticated analytical skills….Continued reign of creative….
These issues and more make for Burning Questions
Just a couple burning questions include…. what does your agency look like? …and how do you staff it to be in sync with Marketer needs?
And, from a new business development standpoint, what does your positioning say to marketers in relation to their changing needs?
Are you ready for the Marketing Evo – Revo -lution? It’s here.