About 6 in 10 CMOs rate their company’s marketing excellence as “strong” or better, while just 1 in 10 rate it as “weak” (8%) or “very weak” (2.3%), according to [pdf] the latest installment of The CMO Survey, conducted by Duke University’s Fuqua School of Business. On a 7-point scale of excellence (with 7 being “excellent, one of the best in the world”), marketers gave their organizations a mean rating of 4.5, slightly up from 4.4 in the prior edition of the survey, released in August 2012.
That slight uptick may be related to their perception of marketing ROI. According to the study, CMOs on average said that marketing ROI had grown by 3.3% in the previous 12 months, inching up from 3.2% growth in the August 2012 study. ROI has generally grown since August 2010 (2.2%), peaking at 3.5% in the February 2012 survey.
As with ROI, brand metrics are fairly flat from the August 2012 survey, while demonstrating some patterns when looking further back. For example, customer acquisition growth stood steady at 3.3% in February, but is up from 2.6% in August 2009. And while customer retention growth dipped by 0.1% points from the August survey to 1.9%, it’s up overall from 1.4% in August 2009.
The only brand metric to weaken for the second consecutive survey is brand value, down to 3.2% growth, from 3.4% in August 2012 and 3.8% in February 2012.
- B2C service companies report the fastest growth in ROI (4.2%), while B2C product companies report the slowest (2%) growth.
- B2C service companies also report the fastest growth in brand value (3.6%), with B2B product companies (2.8%) trailing in this metric.
- While CMOs reported 3.3% growth in ROI over the prior 12 months, they’re shooting for 5.5% growth in the next 12.
- CMOs are aggressive in their projections of customer retention growth, with a goal of 4.7% growth in the next year, compared to their 1.9% growth in the past year.
About the Data: The CMO Survey is conducted online twice a year. The latest survey was fielded from January 22 to February 8, 2013. 468 CMOs responded to the survey, of which 95% were VP level or above.