Few CMOs report using sophisticated multi-channel attribution methods, impacting their abilities to measure the effectiveness of their campaigns and optimize their strategies, according toÂ [download page] a new report from the CMO Club and Visual IQ. Indeed, only 1 in 5 believe that they are good at quantifying the impact of one channel’s performance on another, and roughly 1 in 4 feel confident in their abilities to quantify the impact of offline and online channels on each other. Not surprisingly, few feel good about their ability to find the optimal mix of marketing touches.
The survey asked respondents to assume that there is an optimal mix of marketing touches (channels, campaigns, and tactics) for converting specific audience segments, questioning them on their ability to measure which combination of touches would generate the greatest performance from each segment. Just 1 in 4 described their ability as very good (6.7%) or good (19.7%); a majority 55.3% felt their abilities are “fair.” In terms of tailoring their combination of touches to specific audiences, even fewer described themselves as at least good (19.7%), with most (55.8%) feeling that they are only fairly good at doing so.
The results point to difficulties with the implementation of sound omni-channel strategies. Asked what obstacles stand in the way of implementation, CMOs most commonly cited:
- Customer data and customer interaction data being unavailable or spread across many “data silos” (85.8%);
- Lack of appropriate tools or technologies required for omni-channel (84.6%);
- Inability to measure cross channel performance or ROI (82.2%); and
- Lack of in-house talent with the necessary skill set required to implement and maintain omni-channel marketing (80.3%).
- Last-touch attribution remains the most commonly used method among respondents (47.1%), consistent with other research.
- 1 in 10 respondents use the same key performance indicators across all channels.
- About 1 in 3 respondents are very (13.9%) or completely (18.8%) confident in their organization’s ability to identify the combination of channels and tactics that produce the highest value customer segments.
- The two most important marketing priorities this year for respondents are mobile commerce/advertising and harnessing big data.
About the Data: The survey was fielded in October 2013 and received 223 responses from CMOs and heads of marketing. Almost 9 in 10 respondents spend more than $5 million per year on digital marketing, while 4 in 10 spend more than $50 million. Respondents came from a variety of industries.