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10.18.12 webinar!




                  Rethinking !
                  the CMO to deliver!
                  increased value!

2012 All rights reserved!
                            Steven Cook         !
Rethinking
  the CMO!

                         Welcome!
                 I am looking forward to a
             great exchange of ideas with you
               on this important topic for all
             customer-centric brand marketers




                                                 2
Rethinking
  the CMO!




             CMO role established in early 1990s

                   SCALE … ONE TO MANY
                      •  mass market
                      •  mass media
                      •  one-way push
                      ----------------------
                      •  pre-digital
                      •  pre-social media
                      •  pre-smartphone/smart multi-screen

                                                             3
Rethinking
  the CMO!




  Accelerating pace of seismic changes have created more
  complexity … impacting the CMO & Marketing Function
  roles, accountabilities & expected delivered value
  more than any other function.
  •    shift in consumer influence & engagement with brands
  •    hyper-connectivity digital & social media enables
  •    collapse of mass marketing & mass media
  •    global marketplace … with local needs
  •    speed & transparency of information
  •    changed customer buying behavior
  •    multiple channels & platforms
  •    leveraging Big Data
  •    mobile
                                                              4
Rethinking
  the CMO!




 These changes have radically shifted key constituent’s
 needs & expectations of the CMO & Marketing Function.
 They want NEW & IMPROVED value & accountabilities.

 •  Customers
 •  CEO, C-suite, Board
 •  Enterprise internal functions & external partners/agencies
 •  NGO/3rd party stakeholders with immediate digital access, an
 activist’s passion, a free online megaphone & many followers

                                                                   5
Rethinking
  the CMO!
                                                                            1
       ‘Average Chief Marketing Officer Tenure Hits New High: 43 Months’ 	
  



                    Average CMO Tenure (months) 2004-2011




“But, when compared to the tenure average of the top C-suite
function, the CEO, CMOs still have considerable ground to
make up in this area. The average tenure of the CEOs of the
top 100 advertised brands is 111 months or 9.2 years.” 	
  
	
  
                    Greg Welch & Tom Seclow, CMO Practice, Spencer Stuart

                                                                                6
Rethinking
  the CMO!




  “The leader of the past was a person who knew how to tell.
The leader of the future will be a person who knows how to ask.”




                                                                   7
Rethinking
  the CMO!




  Differences & similarities between CMOs/Marketing Function
  from B2B vs. B2C, vertical, company dynamics & other factors.



 Comprehensive deep dive:
 •  CMOs/Senior Marketers
 •  Recruiters designing next generation CMO/Senior Marketing job specs to
 understand changing C-suite & organizational expectations
 •  Insights & trends from recently published CMO experts & related research



                                                                               8
Rethinking
  the CMO!




   	
  Why & how has your CMO/Senior Marketing role
        changed to deliver increased value to:
                  •  your customers
                      • Enterprise
                        •  C-suite


             	
  What have you & your company
                  learned from these changes?
                                                      9
Rethinking
  the CMO!                                     Experts
Average Chief Marketing Officer Tenure Hits New High: 43 Months.
Greg Welch and Tom Seclow. CMO Practice. Spencer Stuart.

10 Great Expectations: What CEOs Want From Their CMOs.                             Stephanie Overby. CMO.com

From Brand Custodian to General Manager – The new role of the CMO.
Dick Patton and Michael M. Meier. Global CMO Practice. Egon Zehnder.

CMO Habits.       Jim Stengel, former P&G Global Marketing Officer.

From Stretched to Strengthened. Insights from the Global Chief Marketing Officer Study.
IBM Corp.

How the CMO Can Take the CEO's Corner Office.                         Mike Vizard. The CMO Site.

2011 State of Marketing Study: Brand-Building in the Complex New Ecosystem of Influence.
Andrew Flynn, Jesse Purewal, and Mike Leiser. Prophet.

Ignore the Human Element of Marketing at Your Own Peril.
Bob Garfield , Ad Age columnist and Doug Levy, imc2 CEO.

Coca-Cola Marketing Shifts from Impressions to Expressions.
Joe Tripodi. EVP, Chief Marketing & Commercial Officer, The Coca-Cola Company.

2011 Edelman Trust Barometer.               Edelman.

Study: The Company Behind The Brand More Important Than Ever.                                Weber Shandwick.

2012 Social Marketing & New Media Predictions.                        Awareness.

Fast Company Social Media cover story.
                                                                                                                10
Rethinking
  the CMO!




             11
Rethinking
  the CMO!



      Marissa Pick: Yes- absolutely- every role has become more involved,
      taking on new responsibilities- also adapting constantly to newer trends,
      more effective messaging... it's a challenge for all so we must evolve
      constantly to remain effective!




 Shannon Bracken: For sure. With constant change within the technological
 space, including multiple social media platforms, the responsibilities and content
 that Marketing executives are accountable for increases. Along with this, the
 measurement of the effectiveness of these campaigns also grows, forcing proper
 evaluation of where marketing dollars are spent. This is all in addition to the
 continued existence of more traditional forms of marketing and advertising, like
 print, digital, tv and radio.                                                        12
Rethinking
  the CMO!
Christine-Shimo Shimasaki: The
need to close the chasm between
marketing and sales is a strong             Ian S. Greenleigh: They're now
imperative, and our CMOs need to            expected to know everything about
be leaders of this shift within the         their customers, to use data in any and
cultures of our organizations.              all decisions, and to prove their efforts
                                            are working to the wider org.




 Eden Hensley: It's changed in terms of accountability. There's more transparency
 about how marketing and sales work together. Sales and Marketing are beginning
 to speak the same language. The new technologies require a shift from finger-
 pointing when goals are missed to collaboratively working to improve processes.
 There's no more throwing strategies over the fence. Both departments are now
 sitting down at the table together.
                                                                                        13
Rethinking
  the CMO!
         	
  Why & how has your CMO/Senior Marketing role changed
     to deliver increased value to your customers, C-suite & Enterprise?

        Focus on                                    Closer linkage with Sales.
  Revenue & Share growth.                          Direct Biz Dev responsibility.



                                                     “Traditional” (web, print,
  Constantly reinventing                             collateral, trade shows)
   brand to stay current.                               no longer working.


                                                   Digital & social media driving
Consumer behavior shifts.
                                                     consumer relationships.



 More financial metrics.                             Maximize digital & social
  More data driven.                                    capabilities & focus.

                                                                                  14
Rethinking
  the CMO!
         	
  What have you & your company learned from these changes?
   Total game shift. Cash flow,                       Continuous learning &
relevance & engagement matter.                      innovation are paramount.




Inspect all elements of value                                Need to be
  chain to identify growth. 	
                      agile, flexible & adaptable.



                                                        Continuously seek
More open communication.
                                                        Sales & Field input.	
  



                                                          Energizing entire
    Engage customers                                  organization in branding
      in innovation.                                   through Social Media. 	
  
                                                                                    15
Rethinking
  the CMO!

    More complicated.
    Hard to implement.




             Other C-Suite execs
             need same training.
                                   16
Rethinking
  the CMO!
But Steve, I am not a CMO. I am
a Marketing Manager/Director/VP.
 Do these CMO transformations
        apply to me too?

                            From my experience …YES.
                          Your CMO needs you more than
                              ever to help transform the
                                  capabilities of your
                           Company’s Marketing Function.
                            And, if you have goals to be a
                           CMO someday, now is the time
                             for you to become a thought
                          leader & innovator on where our
                               discipline is rapidly going.
                                                              17
Rethinking
  the CMO!

                     Q&A
                    @ the end




             @MarketingProfs
             @StevenCook
                                18
CMO!
                  Chief Marketing Officer
                  & the Marketing function


                    At a tipping point to develop !
                     NEW & IMPROVED roles !
so the CMO/Senior Marketer remains relevant, valued & connected…!
   & focused on the most strategic highest leverage opportunities.!
             !                    !
             •    most importantly … with customers!
             •    CEO, C-suite, Board!
             •    across the Enterprise & with Partners!
             •    NGOs/3rd party stakeholders!

                                                                      19
Rethinking
  the CMO!




 “There is no one right answer to define the CMO role. I think
 the role is very situational and influenced by Executive
 Leadership Team expectations, competitor dynamics,
 consumer needs, and the overall direction of the company.”	
  	
  

            Brad L. McLane, Managing Director, RSR Partners




                                                                      20
5
        CGAR!
Commercial Growth Accelerator !




                                  21
5
         CGAR!
Commercial Growth Accelerator !

Relationships!
Reputation!
Relevant re-imagining!
Revenues & results!
Real-time !
                                  22
5
                     CGAR!
Commercial Growth Accelerator !

Relationships!
Building high-trust relationships between the company/brands, customers & all
Enterprise functions & stakeholders … turning them all into advocates & affiliates.!




                                                                                      23
5
                      CGAR!
Commercial Growth Accelerator !


Reputation!
Building an authentic, transparent, trusted reputation for company/brand, & ensuring
that all messaging consistently reinforces this across all online & offline touch points.!




                                                                                            24
5
                    CGAR!
Commercial Growth Accelerator !



Relevant re-imagining!
Leading & enabling the re-imaging of what the company/brand can be to stay relevant
in a fast-paced environment with evolving expectations. !




                                                                                      25
5
                    CGAR!
Commercial Growth Accelerator !




Revenues measuring & being accountable for delivering revenues &
Identifying, developing,
                         & results!
other key company/brand metrics.!



                                                                   26
5
                      CGAR!
Commercial Growth Accelerator !




Real-time !
Building CGAR5 Team capabilities to energize the enterprise & lead all of the above
areas collaboratively across the C-suite, all functions & partners, & to dialogue with
customers, at the speed of business today.!                                              27
Rethinking
   the CMO!
                                                         2
 ‘10 Great Expectations: What CEOs Want From Their CMOs’

  “CEOs want a lot out of their CMOs—but the things they
  want may be different than what most CMOs think.”

  CEOs expect their CMOs to:

  •  run a P&L [not just a cost budget]

  •  set priorities & make trade-offs

  •  orchestrate marketing sub-disciplines

  •  be great business partners to the rest of the organization

                              Matt Blumberg, CEO, Return Path
                                                                  28
Rethinking
  the CMO!
                                                                                  3
 ‘From Brand Custodian to General Manager – The new role of the CMO’	
  



 “Marketing has changed radically in recent years – and the transformation
 is not yet complete. CMOs of large international corporations reveal the
 wide scope and complexity that this position carries today. In a growing
 number of firms, Marketing acts as the voice of the customer, initiating,
 enabling and driving market-oriented corporate governance. This often
 means that under its direction, processes and structures undergo a full-
 scale realignment.

 Marketing is becoming a driving force within the Company. This has also
 meant redefining the role of the CMO, which is expanding to include
 responsibilities & powers similar to those of a General Manager. ”

             Dick Patton & Michael M. Meier, Global CMO Practice, Egon Zehnder 	
  



                                                                                  29
Rethinking
   the CMO!
                                                         2
 ‘10 Great Expectations: What CEOs Want From Their CMOs’


“More and more, we’re seeing clients look to CMOs to be
thought leaders for the corporation, providing a broad-based
commercial perspective on the business as opposed to narrow
brand-building mind-set.

CEOs want CMOs who can set a vision, but also inspire, align,
and motivate troops. And not just in the marketing organization,
but the larger organization.”

     Andrew Hayes, CEO & CMO Practice, Russell Reynolds Associates



                                                                     30
Rethinking
  the CMO!


“More CMOs are gaining responsibility or a hand in the line operating
organization either though direct responsibility for field marketing, lead
generation, or sales strategy, or through close integration with sales.

Also, more connections to other parts of the organization, not just brand
equity and top-line advertising leadership is happening.

Companies are ensuring role clarity and putting processes in place to
enable the required cross-functional interactions and maximize the benefits
of the interdependencies.

The biggest change is adding the tools, people and analytics to manage all
the data and inputs around the business.”

	
  
       Andrew Hayes & Alan Cork, CEO & CMO Practice, Russell Reynolds
                                                                              31
Rethinking
   the CMO!
                                                         2
 ‘10 Great Expectations: What CEOs Want From Their CMOs’




“Marketing today is a delicate mix of art and science, but from
the point of view of the corner office, the ultimate focus must
always be the business.

Unfortunately, some CMOs focus too much on the creative
itself, as opposed to what’s driving the business.”

                                     Kate Sayre, BCG Partner




                                                                  32
Rethinking
   the CMO!
                                                        4
 ‘CMO Habits: The most common mistakes CMOs are making’


“Defining the role of CMO too narrowly. Too many see it as
‘MarComm’ … the key advertising and media leader. It needs to
be much more than that. The CMO role needs to:

•  ensure the consumer/customer is first in the Company

•  drive the strategy and innovation agenda

•  provide the leadership for a creative & analytical organization

•  be accountable for profitable growth”

                       Jim Stengel, former P&G Global Marketing Officer
                                                                          33
Rethinking
   the CMO!
                                                         2
 ‘10 Great Expectations: What CEOs Want From Their CMOs’




“CMOs need to invest their time in understanding the other
departments they interact with and act like a company-wide
leader. People who are too focused on the effort to market and
point their energy on new logos and campaigns are not the
long-term CMOs that CEOs need today.”

       David Cooperstein, Forrester Research VP, CMO Practice Leader




                                                                       34
Rethinking
   the CMO!
                                                         2
 ‘10 Great Expectations: What CEOs Want From Their CMOs’

  “When a CEO hires a CMO, he’s not just looking for
  someone to manage the Marketing Department. The CEO
  wants a real ‘seat-at-the-table’ business partner.”
                        NOT IN PRIORITY ORDER



                 Focused Financial Steward
                 Consistent Innovator
                 Customer Whisperer
                 Customer Advocate
                 Dedicated Brand Steward
                 Social Media Maven
                 Data Analyst
                 Business Strategist
                 Capable Crisis Manager
                 Motivator-in-Chief	
                    35
Rethinking
  the CMO!
    ‘IBM: From Stretched to Strengthened.
                                                            5
    Insights from the Global Chief Marketing Officer Study’

                            1734 CMOs
                            64 countries
                            19 industries across B2C & B2B verticals


                            • 79% of CMOs believe the level of
                            complexity will be high/very high over
                            the next 5 years
                            • Only 48% feel prepared to cope with it
                            	
  
                            	
  
                            CMO’s think market & technology factors
                            are the two most powerful external
                            forces affecting their organizations.

                                                                   36
Rethinking
  the CMO!
    ‘IBM: From Stretched to Strengthened.
                                                            5
    Insights from the Global Chief Marketing Officer Study’

 The digital revolution has forever changed the balance of power between
 the individual & the institution.

 Consumers have greater influence as anyone can become a publisher,
 broadcaster & critic.



       1 Billion active users. Average user posts 90 pieces of content a month.


       500 Million registered users.


       800 Million users. They upload more video content in a 60-day period
       than the 3 major U.S. television networks created in 60 years.
                                                                                  37
Rethinking
  the CMO!
    ‘IBM: From Stretched to Strengthened.
                                                            5
    Insights from the Global Chief Marketing Officer Study’
  >50% of CMOs think they are underprepared to manage key CMO domains
                                % CMOs reporting under-preparedness




                                                                        38
Rethinking
  the CMO!
    ‘IBM: From Stretched to Strengthened.
                                                            5
    Insights from the Global Chief Marketing Officer Study’




                                                                39
Rethinking
  the CMO!
    ‘IBM: From Stretched to Strengthened.
                                                            5
    Insights from the Global Chief Marketing Officer Study’
•  The most proactive CMOs are trying to understand individuals as well
as markets. Customer intimacy is crucial.               95% of business leaders
heading the most successful organizations said getting closer to their
customers was the top priority for realizing their strategy over the next 5 years.


•  CMOs in the most successful enterprises are focusing on relationships,
not just transactions. They are using data to stimulate interest in their
organizations’ offerings and form bonds with customers to a much greater
extent than their peers in less successful enterprises.


•  Outperformers committed to developing a clear corporate character.
CMOs in such organizations recognize that what a business believes & how it
subsequently behaves are as important as what it sells. They make it their job
to help management & employees exemplify the Company’s values & purpose.
                                                                                     40
Rethinking
  the CMO!
    ‘IBM: From Stretched to Strengthened.
                                                            5
    Insights from the Global Chief Marketing Officer Study’

The vast majority of CMOs believe there are 3 key areas for improvement.

•  Must understand and deliver value to empowered customers. Invest in
new technologies and advanced analytics to get a better grasp of how
individual customers behave.

•  Create lasting relationships with those customers. Connect with
customers in ways they perceive as valuable by engaging with             them
throughout the entire customer lifecycle, building online and offline
communities of interest and collaborating with the rest of the C-suite to fuse
the internal and external faces of the enterprise.

•  Capture & measure Marketing’s contribution to the business in
relevant, quantifiable terms. 2/3 of CMOs think ROMI will be the primary
measure of their effectiveness by 2015.
                                                                             41
Rethinking
  the CMO!
    ‘IBM: From Stretched to Strengthened.
                                                            5
    Insights from the Global Chief Marketing Officer Study’




                                                                42
Rethinking
   the CMO!
                                                         2
 ‘10 Great Expectations: What CEOs Want From Their CMOs’



 “Gone are the CMO days of, ‘Trust me, this is going to work’.
 CEOs want concrete, understandable marketing metrics and
 fact-based decision-making. In the area of analytics, CEOs
 are always looking for more than CMOs are able to provide. A
 lot of activities are difficult to measure, and CMOs are always
 running to catch up and satisfy the demand for data and
 analytics.”

     Andrew Hayes, CEO & CMO Practice, Russell Reynolds Associates




                                                                     43
Rethinking
  the CMO!
      ‘Prophet’s 2011 State of Marketing Study:
      Brand-Building in the Complex New Ecosystem of Influence’ 7


- 150 execs: 50% Marketing & 50% C-level or Non-marketing/Business Unit Management
- Businesses with annual revenues ranging from <$25 million to >$40 billion
- Variety of industries: CPG, Financial Services, Technology, Telecommunication



           Top strategic marketing challenges
           management faces to meet growth agenda

           •  Establishing a differentiated brand position (55%)

           •  Identifying new paths to growth (48%)

           •  Growing awareness with new customers (43%)


                                                                                     44
Rethinking
  the CMO!
     ‘Prophet’s 2011 State of Marketing Study:
     Brand-Building in the Complex New Ecosystem of Influence’ 7
 “All respondents recognize that the dramatically changing dynamics between
 company and customers and the broader network of influencers are causing
 their control over their brands to slip away.”
                            today    in 3 years




      % of respondents
        indicating each
       alternative is the
       primary driver of
           brand equity
    today vs. in 3 years




                                                                              45
Rethinking
  the CMO!
     ‘Prophet’s 2011 State of Marketing Study:
     Brand-Building in the Complex New Ecosystem of Influence’ 7
 What are the skills/abilities your marketing organization needs to demonstrate
 over the next 2-3 years to build successful brands?




                                                                              46
Rethinking
  the CMO!
    ‘Prophet’s 2011 State of Marketing Study:
    Brand-Building in the Complex New Ecosystem of Influence’ 7

   5 distinct shifts to drive this transformation
               From                                    To
     creating marketing strategies 	
       driving business impact	
  


       controlling the message 	
           galvanizing your network	
  


      incremental improvements 	
             pervasive innovation	
  


   managing marketing investments	
       inspiring marketing excellence	
  


          operational focus 	
             relentless customer focus
                                                                               47
Rethinking
  the CMO!
     ‘Prophet’s 2011 State of Marketing Study:
     Brand-Building in the Complex New Ecosystem of Influence’ 7



   Marketing leaders & their teams will need to
   become more aligned with the C-suite & BOD by:

   •  adopting a P&L and Operational mindset

   •  building a perspective keyed to the business growth agenda, and
     being accountable for meeting it

   •  continued development and use of deeper customer insights




                                                                        48
Rethinking
  the CMO!                  Relationships


“While building relationships has always been key to the role, we
see it as being more important than ever before due to the
importance of linking and integrating efforts with Sales and
Operations.

Further, while historically, it has been critical to build
relationships with the end consumers, this has been amplified
exponentially today with inroads of digital and social media.”
             Andrew Hayes & Alan Cork, CEO & CMO Practice, Russell Reynolds




                                                                              49
Rethinking
  the CMO!                                  Relationships
                                                                                                                8
         ‘Ignore the Human Element of Marketing at Your Own Peril’
             Forget	
  Product	
  Posi.oning,	
  This	
  is	
  the	
  Dawn	
  of	
  the	
  Rela.onship	
  Era




           Bob Garfield: 26 year Ad Age contributor
           Doug Levy: CEO imc2




 “Just jettison some old habits, such as trying to manipulate prospects. Stop viewing
 purchasers as conquests. They are members of a community, prepared to adore (or the
 opposite) not just your stuff but the inner you. Your essence is transmitted continually via your
 relationships with consumers, employees, suppliers, shareholders, neighbors and the Earth
 itself.

 In short, as you have realized but most likely not come to grips with, you are being evaluated
 24/7 in countless conversations that have zero to do with your ad slogan. On the contrary, they
 are about your brand's essential self -- which behooves you to think very hard about your
 essential self.”
                                                                                                                    50
Rethinking
  the CMO!                               Relationships
                                                                                                             8
       ‘Ignore the Human Element of Marketing at Your Own Peril’
          Forget	
  Product	
  Posi.oning,	
  This	
  is	
  the	
  Dawn	
  of	
  the	
  Rela.onship	
  Era


  End of the Consumer Era
  Collapse of mass media & mass marketing
  Reduced efficiency of mass advertising & promotion
  Digital Revolution’s hyper-fragmentation and decimation of scale	
  
  	
  
  Network Effect
  Awareness, opinion, consideration, preference and purchase have been
  supplemented by loyalty and advocacy

  Trust
  The new currency of commerce
  Trust is an asset, not a commodity. It cannot be purchased. It must be earned.
  And it can dissolve before your eyes.

  Genuine Company & Brand Purpose
  The foundation for values-based relationships that command loyalty and trust

                                                                                                                 51
Rethinking
  the CMO!                     Relationships
                                                                              9
     ‘Coca-Cola Marketing Shifts from Impressions to Expressions’


“In the near term, ‘consumer impressions’ will remain the backbone of our
measurement because it is the metric universally used to compare
audiences across nearly all types of media. But impressions only tell
advertisers the raw size of the audience. By definition, impressions are
passive. They give us no real sense of engagement, and consumer
engagement with our brands is ultimately what we're striving to achieve.
Awareness is fine, but advocacy will take your business to the next level.

So, in addition to ‘consumer impressions’, we are increasingly tracking
‘consumer expressions’. To us, an expression is any level of engagement
with our brand content by a consumer or constituent. It could be a comment,
a ‘like’, uploading a photo or video or passing content onto their networks.”



Joe Tripodi, EVP, Chief Marketing & Commercial Officer, The Coca-Cola Company 	
  
                                                                                     52
Rethinking
   the CMO!              Reputation
                                                         2
 ‘10 Great Expectations: What CEOs Want From Their CMOs’




“The CEO expects his CMO to be the keeper of the corporate
reputation. CMOs are the prime movers of their brands’
perception. They are the custodians of their brand in all areas
and among how all constituencies—customers, employees, the
media, regulators—view their company.”

              Bruce Goldberg, CMO, International Securities Exchange




                                                                       53
Rethinking
  the CMO!                               Reputation
                                                                              10
                          ‘2011 Edelman Trust Barometer’
‘Reputation’ is now a critical marketing stewardship &
communications role given the speed & transparency of our
global interconnected digital world where customers
increasingly use search engines, social media & community
forums as their first source to get information about products
before they buy.

There are significant business implications of having a trusted
reputation, and conversely the devastating impact of a negative
reputation.
	
  
“In	
  the	
  last	
  12	
  months,	
  85%	
  of	
  respondents	
  report	
  they	
  have	
  bought	
  
the	
  products	
  or	
  services	
  of	
  a	
  company	
  they	
  trusted.	
  	
  Conversely,	
  73%	
  
say	
  they	
  refused	
  to	
  buy	
  products	
  or	
  services	
  from	
  one	
  they	
  did	
  not	
  
trust.”	
  	
  	
                                                                                       54
Rethinking
  the CMO!             Reputation
                                                         11
 ‘The Company Behind The Brand More Important Than Ever’
                           Weber Shandwick




 “A game-change in branding and corporate reputation is well
 underway. In this fast moving information age, consumers can
 now readily connect the dots between the brand they buy and
 the company behind the brand. Whereas it has long been
 known that a strong brand shines a light on a company’s
 reputation, it is now clear beyond a shadow of a doubt that a
 strong company reputation adds an undeniable brilliance to the
 brand.”

     Leslie Gaines-Ross, Chief Reputation Strategist, Weber Shandwick


                                                                        55
Rethinking
  the CMO!             Reputation
                                                        11
 ‘The Company Behind The Brand More Important Than Ever’
                             Weber Shandwick
  “Our study identified Six New Realities of Corporate Reputation. Each
  reality serves as a reminder to business leaders that they cannot view
  their company’s reputation and their product brands as separately as
  they once did. Aligning and integrating both optimizes their respective
  strengths to achieve strong business results.”
     1 Corporate brand is as important as the product brand(s)

     2 Corporate reputation provides product quality assurance

     3 Any disconnect between corporate and product reputation
     triggers sharp consumer reaction

     4 Products drive discussion, with reputation close behind

     5 Consumers shape reputation instantly

     6 Corporate reputation contributes to company market value             56
Rethinking
  the CMO!            Real-time
                                                    6
      ‘How the CMO Can Take the CEO's Corner Office’ 	
  




 “It's only a matter of time before Marketing becomes the group
 that serves as the conduit for sharing information in real-time
 across the organization. By working more closely with the IT
 department, Marketing will become the provider of the critical
 information that will ultimately be used to optimize business
 processes that extend all the way from the front office to the
 manufacturing floor.”

                 John Squire, Chief Strategy Officer, IBM Coremetrics
 	
  



                                                                        57
Rethinking
  the CMO!              Real-time
                                                       12
      ‘2012 Social Marketing & New Media Predictions.’




                                                            58
Rethinking
  the CMO!                                           Real-time

                                                                 13




   www.fastcompany.com/magazine/168/september-2012



                                                                      59
Does this NEW & IMPROVED role align with the value
Q&A   your customers, C-suite & enterprise partners expect?


                 5
             CGAR!
 Commercial Growth Accelerator !

 Relationships!
 Reputation!
 Relevant re-imagining!
 Revenues & results!
 Real-time !                                                  60
Rethinking
  the CMO!



 Thank you for engaging in a great conversation!

           Let’s keep the conversation going as the
             CMO/Senior Marketing role evolves.
                 #mprofspro & @stevencook




                                Steven@StevenCook.me
 2012 All rights reserved!   www.linkedin.com/in/stevencook1   61
Sources
www.cmo.com/leadership/its-time-raise-cmo-bar




                                                62
Rethinking
  the CMO!                                             Sources
1 ‘Average Chief Marketing Officer Tenure Hits New High: 43 Months.’ Greg Welch and Tom Seclow. CMO Practice. Spencer
   Stuart. 7/5/12 www.spencerstuart.com/about/media/72/

2 ‘10 Great Expectations: What CEOs Want From Their CMOs.’ Stephanie Overby. CMO.com 6/14/11.
www.cmo.com/leadership/10-great-expectations-what-ceos-want-their-cmos

3 ‘From Brand Custodian to General Manager – The new role of the CMO.’ Dick Patton and Michael M. Meier. Global CMO
Practice. Egon Zehnder. 10/11. www.egonzehnder.com/global/practices/industries/consumer/publications/publication/id/17500449/lt/272

4 ‘CMO Habits.’ Jim Stengel. www.jimstengel.com/thought-leadership/category/cmo-habits/

5 ‘From Stretched to Strengthened. Insights from the Global Chief Marketing Officer Study.’ IBM Corp. 10/11.
www.ibm.com/cmostudy2011

6 ‘How the CMO Can Take the CEO's Corner Office.’ Mike Vizard. The CMO Site. 10/18/11.
www.thecmosite.com/author.asp?section_id=1548&doc_id=234625

7 ‘2011 State of Marketing Study: Brand-Building in the Complex New Ecosystem of Influence.’ Andrew Flynn, Jesse
Purewal, and Mike Leiser. Prophet. 6/11. www.prophet.com/thinking/view/586-prophets-2011-state-of-marketing-study

8 ‘Ignore the Human Element of Marketing at Your Own Peril.’ Bob Garfield and Doug Levy. Advertising Age. 1/2/12.
www.adage.com/article/news/dawn-relationship-era-marketing/231792/?utm_source=daily_email&utm_medium=newsletter&utm_campaign=adage

9 ‘Coca-Cola Marketing Shifts from Impressions to Expressions.’ Joe Tripodi. Harvard Business Review. 4/27/11.
www.blogs.hbr.org/cs/2011/04/coca-colas_marketing_shift_fro.html

10 ‘2011 Edelman Trust Barometer.’ 1/25/11. www.edelman.com/trust/2011
11 ‘Study: The Company Behind The Brand More Important Than Ever’. Weber Shandwick. 1/18/12.	
  
www.webershandwick.com/resources/ws/flash/InRepWeTrust.pdf
12 ‘2012 Social Marketing & New Media Predictions.’ Awareness. 12/11.
www.info.awarenessnetworks.com/rs/awarenessnetworks/images/2012_Predictions.pdf

13 Fast Company Social Media cover story. 9/12.
www.fastcompany.com/magazine/168/september-2012                                                                                       63
WW Director                WW VP Strategic Marketing                  SVP, CMO N.A.
 Brand Marketing               & Business Development




              Global CMO & Biz Dev                 Global CMO & Biz Dev




    25+ years in Fortune 500 & Silicon Valley startup B2C global brand marketing, innovation !
   & biz dev roles on image-based CPG & durable brands with strong emotional connections!
        in Electronics, Beverage, Cosmetics, Personal Care, Health & Well-Being & Food.!
Palo Alto-based CMO Council Advisory Board & London-based CMO Exchange Advisory Council.!        64

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Rethinking the CMO Role in the Digital Age

  • 1. 10.18.12 webinar! Rethinking ! the CMO to deliver! increased value! 2012 All rights reserved! Steven Cook !
  • 2. Rethinking the CMO! Welcome! I am looking forward to a great exchange of ideas with you on this important topic for all customer-centric brand marketers 2
  • 3. Rethinking the CMO! CMO role established in early 1990s SCALE … ONE TO MANY •  mass market •  mass media •  one-way push ---------------------- •  pre-digital •  pre-social media •  pre-smartphone/smart multi-screen 3
  • 4. Rethinking the CMO! Accelerating pace of seismic changes have created more complexity … impacting the CMO & Marketing Function roles, accountabilities & expected delivered value more than any other function. •  shift in consumer influence & engagement with brands •  hyper-connectivity digital & social media enables •  collapse of mass marketing & mass media •  global marketplace … with local needs •  speed & transparency of information •  changed customer buying behavior •  multiple channels & platforms •  leveraging Big Data •  mobile 4
  • 5. Rethinking the CMO! These changes have radically shifted key constituent’s needs & expectations of the CMO & Marketing Function. They want NEW & IMPROVED value & accountabilities. •  Customers •  CEO, C-suite, Board •  Enterprise internal functions & external partners/agencies •  NGO/3rd party stakeholders with immediate digital access, an activist’s passion, a free online megaphone & many followers 5
  • 6. Rethinking the CMO! 1 ‘Average Chief Marketing Officer Tenure Hits New High: 43 Months’   Average CMO Tenure (months) 2004-2011 “But, when compared to the tenure average of the top C-suite function, the CEO, CMOs still have considerable ground to make up in this area. The average tenure of the CEOs of the top 100 advertised brands is 111 months or 9.2 years.”     Greg Welch & Tom Seclow, CMO Practice, Spencer Stuart 6
  • 7. Rethinking the CMO! “The leader of the past was a person who knew how to tell. The leader of the future will be a person who knows how to ask.” 7
  • 8. Rethinking the CMO! Differences & similarities between CMOs/Marketing Function from B2B vs. B2C, vertical, company dynamics & other factors. Comprehensive deep dive: •  CMOs/Senior Marketers •  Recruiters designing next generation CMO/Senior Marketing job specs to understand changing C-suite & organizational expectations •  Insights & trends from recently published CMO experts & related research 8
  • 9. Rethinking the CMO!  Why & how has your CMO/Senior Marketing role changed to deliver increased value to: •  your customers • Enterprise •  C-suite  What have you & your company learned from these changes? 9
  • 10. Rethinking the CMO! Experts Average Chief Marketing Officer Tenure Hits New High: 43 Months. Greg Welch and Tom Seclow. CMO Practice. Spencer Stuart. 10 Great Expectations: What CEOs Want From Their CMOs. Stephanie Overby. CMO.com From Brand Custodian to General Manager – The new role of the CMO. Dick Patton and Michael M. Meier. Global CMO Practice. Egon Zehnder. CMO Habits. Jim Stengel, former P&G Global Marketing Officer. From Stretched to Strengthened. Insights from the Global Chief Marketing Officer Study. IBM Corp. How the CMO Can Take the CEO's Corner Office. Mike Vizard. The CMO Site. 2011 State of Marketing Study: Brand-Building in the Complex New Ecosystem of Influence. Andrew Flynn, Jesse Purewal, and Mike Leiser. Prophet. Ignore the Human Element of Marketing at Your Own Peril. Bob Garfield , Ad Age columnist and Doug Levy, imc2 CEO. Coca-Cola Marketing Shifts from Impressions to Expressions. Joe Tripodi. EVP, Chief Marketing & Commercial Officer, The Coca-Cola Company. 2011 Edelman Trust Barometer. Edelman. Study: The Company Behind The Brand More Important Than Ever. Weber Shandwick. 2012 Social Marketing & New Media Predictions. Awareness. Fast Company Social Media cover story. 10
  • 11. Rethinking the CMO! 11
  • 12. Rethinking the CMO! Marissa Pick: Yes- absolutely- every role has become more involved, taking on new responsibilities- also adapting constantly to newer trends, more effective messaging... it's a challenge for all so we must evolve constantly to remain effective! Shannon Bracken: For sure. With constant change within the technological space, including multiple social media platforms, the responsibilities and content that Marketing executives are accountable for increases. Along with this, the measurement of the effectiveness of these campaigns also grows, forcing proper evaluation of where marketing dollars are spent. This is all in addition to the continued existence of more traditional forms of marketing and advertising, like print, digital, tv and radio. 12
  • 13. Rethinking the CMO! Christine-Shimo Shimasaki: The need to close the chasm between marketing and sales is a strong Ian S. Greenleigh: They're now imperative, and our CMOs need to expected to know everything about be leaders of this shift within the their customers, to use data in any and cultures of our organizations. all decisions, and to prove their efforts are working to the wider org. Eden Hensley: It's changed in terms of accountability. There's more transparency about how marketing and sales work together. Sales and Marketing are beginning to speak the same language. The new technologies require a shift from finger- pointing when goals are missed to collaboratively working to improve processes. There's no more throwing strategies over the fence. Both departments are now sitting down at the table together. 13
  • 14. Rethinking the CMO!  Why & how has your CMO/Senior Marketing role changed to deliver increased value to your customers, C-suite & Enterprise? Focus on Closer linkage with Sales. Revenue & Share growth. Direct Biz Dev responsibility. “Traditional” (web, print, Constantly reinventing collateral, trade shows) brand to stay current. no longer working. Digital & social media driving Consumer behavior shifts. consumer relationships. More financial metrics. Maximize digital & social More data driven. capabilities & focus. 14
  • 15. Rethinking the CMO!  What have you & your company learned from these changes? Total game shift. Cash flow, Continuous learning & relevance & engagement matter. innovation are paramount. Inspect all elements of value Need to be chain to identify growth.   agile, flexible & adaptable. Continuously seek More open communication. Sales & Field input.   Energizing entire Engage customers organization in branding in innovation. through Social Media.   15
  • 16. Rethinking the CMO! More complicated. Hard to implement. Other C-Suite execs need same training. 16
  • 17. Rethinking the CMO! But Steve, I am not a CMO. I am a Marketing Manager/Director/VP. Do these CMO transformations apply to me too? From my experience …YES. Your CMO needs you more than ever to help transform the capabilities of your Company’s Marketing Function. And, if you have goals to be a CMO someday, now is the time for you to become a thought leader & innovator on where our discipline is rapidly going. 17
  • 18. Rethinking the CMO! Q&A @ the end @MarketingProfs @StevenCook 18
  • 19. CMO! Chief Marketing Officer & the Marketing function At a tipping point to develop ! NEW & IMPROVED roles ! so the CMO/Senior Marketer remains relevant, valued & connected…! & focused on the most strategic highest leverage opportunities.! ! ! •  most importantly … with customers! •  CEO, C-suite, Board! •  across the Enterprise & with Partners! •  NGOs/3rd party stakeholders! 19
  • 20. Rethinking the CMO! “There is no one right answer to define the CMO role. I think the role is very situational and influenced by Executive Leadership Team expectations, competitor dynamics, consumer needs, and the overall direction of the company.”     Brad L. McLane, Managing Director, RSR Partners 20
  • 21. 5 CGAR! Commercial Growth Accelerator ! 21
  • 22. 5 CGAR! Commercial Growth Accelerator ! Relationships! Reputation! Relevant re-imagining! Revenues & results! Real-time ! 22
  • 23. 5 CGAR! Commercial Growth Accelerator ! Relationships! Building high-trust relationships between the company/brands, customers & all Enterprise functions & stakeholders … turning them all into advocates & affiliates.! 23
  • 24. 5 CGAR! Commercial Growth Accelerator ! Reputation! Building an authentic, transparent, trusted reputation for company/brand, & ensuring that all messaging consistently reinforces this across all online & offline touch points.! 24
  • 25. 5 CGAR! Commercial Growth Accelerator ! Relevant re-imagining! Leading & enabling the re-imaging of what the company/brand can be to stay relevant in a fast-paced environment with evolving expectations. ! 25
  • 26. 5 CGAR! Commercial Growth Accelerator ! Revenues measuring & being accountable for delivering revenues & Identifying, developing, & results! other key company/brand metrics.! 26
  • 27. 5 CGAR! Commercial Growth Accelerator ! Real-time ! Building CGAR5 Team capabilities to energize the enterprise & lead all of the above areas collaboratively across the C-suite, all functions & partners, & to dialogue with customers, at the speed of business today.! 27
  • 28. Rethinking the CMO! 2 ‘10 Great Expectations: What CEOs Want From Their CMOs’ “CEOs want a lot out of their CMOs—but the things they want may be different than what most CMOs think.” CEOs expect their CMOs to: •  run a P&L [not just a cost budget] •  set priorities & make trade-offs •  orchestrate marketing sub-disciplines •  be great business partners to the rest of the organization Matt Blumberg, CEO, Return Path 28
  • 29. Rethinking the CMO! 3 ‘From Brand Custodian to General Manager – The new role of the CMO’   “Marketing has changed radically in recent years – and the transformation is not yet complete. CMOs of large international corporations reveal the wide scope and complexity that this position carries today. In a growing number of firms, Marketing acts as the voice of the customer, initiating, enabling and driving market-oriented corporate governance. This often means that under its direction, processes and structures undergo a full- scale realignment. Marketing is becoming a driving force within the Company. This has also meant redefining the role of the CMO, which is expanding to include responsibilities & powers similar to those of a General Manager. ” Dick Patton & Michael M. Meier, Global CMO Practice, Egon Zehnder   29
  • 30. Rethinking the CMO! 2 ‘10 Great Expectations: What CEOs Want From Their CMOs’ “More and more, we’re seeing clients look to CMOs to be thought leaders for the corporation, providing a broad-based commercial perspective on the business as opposed to narrow brand-building mind-set. CEOs want CMOs who can set a vision, but also inspire, align, and motivate troops. And not just in the marketing organization, but the larger organization.” Andrew Hayes, CEO & CMO Practice, Russell Reynolds Associates 30
  • 31. Rethinking the CMO! “More CMOs are gaining responsibility or a hand in the line operating organization either though direct responsibility for field marketing, lead generation, or sales strategy, or through close integration with sales. Also, more connections to other parts of the organization, not just brand equity and top-line advertising leadership is happening. Companies are ensuring role clarity and putting processes in place to enable the required cross-functional interactions and maximize the benefits of the interdependencies. The biggest change is adding the tools, people and analytics to manage all the data and inputs around the business.”   Andrew Hayes & Alan Cork, CEO & CMO Practice, Russell Reynolds 31
  • 32. Rethinking the CMO! 2 ‘10 Great Expectations: What CEOs Want From Their CMOs’ “Marketing today is a delicate mix of art and science, but from the point of view of the corner office, the ultimate focus must always be the business. Unfortunately, some CMOs focus too much on the creative itself, as opposed to what’s driving the business.” Kate Sayre, BCG Partner 32
  • 33. Rethinking the CMO! 4 ‘CMO Habits: The most common mistakes CMOs are making’ “Defining the role of CMO too narrowly. Too many see it as ‘MarComm’ … the key advertising and media leader. It needs to be much more than that. The CMO role needs to: •  ensure the consumer/customer is first in the Company •  drive the strategy and innovation agenda •  provide the leadership for a creative & analytical organization •  be accountable for profitable growth” Jim Stengel, former P&G Global Marketing Officer 33
  • 34. Rethinking the CMO! 2 ‘10 Great Expectations: What CEOs Want From Their CMOs’ “CMOs need to invest their time in understanding the other departments they interact with and act like a company-wide leader. People who are too focused on the effort to market and point their energy on new logos and campaigns are not the long-term CMOs that CEOs need today.” David Cooperstein, Forrester Research VP, CMO Practice Leader 34
  • 35. Rethinking the CMO! 2 ‘10 Great Expectations: What CEOs Want From Their CMOs’ “When a CEO hires a CMO, he’s not just looking for someone to manage the Marketing Department. The CEO wants a real ‘seat-at-the-table’ business partner.” NOT IN PRIORITY ORDER Focused Financial Steward Consistent Innovator Customer Whisperer Customer Advocate Dedicated Brand Steward Social Media Maven Data Analyst Business Strategist Capable Crisis Manager Motivator-in-Chief   35
  • 36. Rethinking the CMO! ‘IBM: From Stretched to Strengthened. 5 Insights from the Global Chief Marketing Officer Study’ 1734 CMOs 64 countries 19 industries across B2C & B2B verticals • 79% of CMOs believe the level of complexity will be high/very high over the next 5 years • Only 48% feel prepared to cope with it     CMO’s think market & technology factors are the two most powerful external forces affecting their organizations. 36
  • 37. Rethinking the CMO! ‘IBM: From Stretched to Strengthened. 5 Insights from the Global Chief Marketing Officer Study’ The digital revolution has forever changed the balance of power between the individual & the institution. Consumers have greater influence as anyone can become a publisher, broadcaster & critic. 1 Billion active users. Average user posts 90 pieces of content a month. 500 Million registered users. 800 Million users. They upload more video content in a 60-day period than the 3 major U.S. television networks created in 60 years. 37
  • 38. Rethinking the CMO! ‘IBM: From Stretched to Strengthened. 5 Insights from the Global Chief Marketing Officer Study’ >50% of CMOs think they are underprepared to manage key CMO domains % CMOs reporting under-preparedness 38
  • 39. Rethinking the CMO! ‘IBM: From Stretched to Strengthened. 5 Insights from the Global Chief Marketing Officer Study’ 39
  • 40. Rethinking the CMO! ‘IBM: From Stretched to Strengthened. 5 Insights from the Global Chief Marketing Officer Study’ •  The most proactive CMOs are trying to understand individuals as well as markets. Customer intimacy is crucial. 95% of business leaders heading the most successful organizations said getting closer to their customers was the top priority for realizing their strategy over the next 5 years. •  CMOs in the most successful enterprises are focusing on relationships, not just transactions. They are using data to stimulate interest in their organizations’ offerings and form bonds with customers to a much greater extent than their peers in less successful enterprises. •  Outperformers committed to developing a clear corporate character. CMOs in such organizations recognize that what a business believes & how it subsequently behaves are as important as what it sells. They make it their job to help management & employees exemplify the Company’s values & purpose. 40
  • 41. Rethinking the CMO! ‘IBM: From Stretched to Strengthened. 5 Insights from the Global Chief Marketing Officer Study’ The vast majority of CMOs believe there are 3 key areas for improvement. •  Must understand and deliver value to empowered customers. Invest in new technologies and advanced analytics to get a better grasp of how individual customers behave. •  Create lasting relationships with those customers. Connect with customers in ways they perceive as valuable by engaging with them throughout the entire customer lifecycle, building online and offline communities of interest and collaborating with the rest of the C-suite to fuse the internal and external faces of the enterprise. •  Capture & measure Marketing’s contribution to the business in relevant, quantifiable terms. 2/3 of CMOs think ROMI will be the primary measure of their effectiveness by 2015. 41
  • 42. Rethinking the CMO! ‘IBM: From Stretched to Strengthened. 5 Insights from the Global Chief Marketing Officer Study’ 42
  • 43. Rethinking the CMO! 2 ‘10 Great Expectations: What CEOs Want From Their CMOs’ “Gone are the CMO days of, ‘Trust me, this is going to work’. CEOs want concrete, understandable marketing metrics and fact-based decision-making. In the area of analytics, CEOs are always looking for more than CMOs are able to provide. A lot of activities are difficult to measure, and CMOs are always running to catch up and satisfy the demand for data and analytics.” Andrew Hayes, CEO & CMO Practice, Russell Reynolds Associates 43
  • 44. Rethinking the CMO! ‘Prophet’s 2011 State of Marketing Study: Brand-Building in the Complex New Ecosystem of Influence’ 7 - 150 execs: 50% Marketing & 50% C-level or Non-marketing/Business Unit Management - Businesses with annual revenues ranging from <$25 million to >$40 billion - Variety of industries: CPG, Financial Services, Technology, Telecommunication Top strategic marketing challenges management faces to meet growth agenda •  Establishing a differentiated brand position (55%) •  Identifying new paths to growth (48%) •  Growing awareness with new customers (43%) 44
  • 45. Rethinking the CMO! ‘Prophet’s 2011 State of Marketing Study: Brand-Building in the Complex New Ecosystem of Influence’ 7 “All respondents recognize that the dramatically changing dynamics between company and customers and the broader network of influencers are causing their control over their brands to slip away.” today in 3 years % of respondents indicating each alternative is the primary driver of brand equity today vs. in 3 years 45
  • 46. Rethinking the CMO! ‘Prophet’s 2011 State of Marketing Study: Brand-Building in the Complex New Ecosystem of Influence’ 7 What are the skills/abilities your marketing organization needs to demonstrate over the next 2-3 years to build successful brands? 46
  • 47. Rethinking the CMO! ‘Prophet’s 2011 State of Marketing Study: Brand-Building in the Complex New Ecosystem of Influence’ 7 5 distinct shifts to drive this transformation From To creating marketing strategies   driving business impact   controlling the message   galvanizing your network   incremental improvements   pervasive innovation   managing marketing investments   inspiring marketing excellence   operational focus   relentless customer focus 47
  • 48. Rethinking the CMO! ‘Prophet’s 2011 State of Marketing Study: Brand-Building in the Complex New Ecosystem of Influence’ 7 Marketing leaders & their teams will need to become more aligned with the C-suite & BOD by: •  adopting a P&L and Operational mindset •  building a perspective keyed to the business growth agenda, and being accountable for meeting it •  continued development and use of deeper customer insights 48
  • 49. Rethinking the CMO! Relationships “While building relationships has always been key to the role, we see it as being more important than ever before due to the importance of linking and integrating efforts with Sales and Operations. Further, while historically, it has been critical to build relationships with the end consumers, this has been amplified exponentially today with inroads of digital and social media.” Andrew Hayes & Alan Cork, CEO & CMO Practice, Russell Reynolds 49
  • 50. Rethinking the CMO! Relationships 8 ‘Ignore the Human Element of Marketing at Your Own Peril’ Forget  Product  Posi.oning,  This  is  the  Dawn  of  the  Rela.onship  Era Bob Garfield: 26 year Ad Age contributor Doug Levy: CEO imc2 “Just jettison some old habits, such as trying to manipulate prospects. Stop viewing purchasers as conquests. They are members of a community, prepared to adore (or the opposite) not just your stuff but the inner you. Your essence is transmitted continually via your relationships with consumers, employees, suppliers, shareholders, neighbors and the Earth itself. In short, as you have realized but most likely not come to grips with, you are being evaluated 24/7 in countless conversations that have zero to do with your ad slogan. On the contrary, they are about your brand's essential self -- which behooves you to think very hard about your essential self.” 50
  • 51. Rethinking the CMO! Relationships 8 ‘Ignore the Human Element of Marketing at Your Own Peril’ Forget  Product  Posi.oning,  This  is  the  Dawn  of  the  Rela.onship  Era End of the Consumer Era Collapse of mass media & mass marketing Reduced efficiency of mass advertising & promotion Digital Revolution’s hyper-fragmentation and decimation of scale     Network Effect Awareness, opinion, consideration, preference and purchase have been supplemented by loyalty and advocacy Trust The new currency of commerce Trust is an asset, not a commodity. It cannot be purchased. It must be earned. And it can dissolve before your eyes. Genuine Company & Brand Purpose The foundation for values-based relationships that command loyalty and trust 51
  • 52. Rethinking the CMO! Relationships 9 ‘Coca-Cola Marketing Shifts from Impressions to Expressions’ “In the near term, ‘consumer impressions’ will remain the backbone of our measurement because it is the metric universally used to compare audiences across nearly all types of media. But impressions only tell advertisers the raw size of the audience. By definition, impressions are passive. They give us no real sense of engagement, and consumer engagement with our brands is ultimately what we're striving to achieve. Awareness is fine, but advocacy will take your business to the next level. So, in addition to ‘consumer impressions’, we are increasingly tracking ‘consumer expressions’. To us, an expression is any level of engagement with our brand content by a consumer or constituent. It could be a comment, a ‘like’, uploading a photo or video or passing content onto their networks.” Joe Tripodi, EVP, Chief Marketing & Commercial Officer, The Coca-Cola Company   52
  • 53. Rethinking the CMO! Reputation 2 ‘10 Great Expectations: What CEOs Want From Their CMOs’ “The CEO expects his CMO to be the keeper of the corporate reputation. CMOs are the prime movers of their brands’ perception. They are the custodians of their brand in all areas and among how all constituencies—customers, employees, the media, regulators—view their company.” Bruce Goldberg, CMO, International Securities Exchange 53
  • 54. Rethinking the CMO! Reputation 10 ‘2011 Edelman Trust Barometer’ ‘Reputation’ is now a critical marketing stewardship & communications role given the speed & transparency of our global interconnected digital world where customers increasingly use search engines, social media & community forums as their first source to get information about products before they buy. There are significant business implications of having a trusted reputation, and conversely the devastating impact of a negative reputation.   “In  the  last  12  months,  85%  of  respondents  report  they  have  bought   the  products  or  services  of  a  company  they  trusted.    Conversely,  73%   say  they  refused  to  buy  products  or  services  from  one  they  did  not   trust.”       54
  • 55. Rethinking the CMO! Reputation 11 ‘The Company Behind The Brand More Important Than Ever’ Weber Shandwick “A game-change in branding and corporate reputation is well underway. In this fast moving information age, consumers can now readily connect the dots between the brand they buy and the company behind the brand. Whereas it has long been known that a strong brand shines a light on a company’s reputation, it is now clear beyond a shadow of a doubt that a strong company reputation adds an undeniable brilliance to the brand.” Leslie Gaines-Ross, Chief Reputation Strategist, Weber Shandwick 55
  • 56. Rethinking the CMO! Reputation 11 ‘The Company Behind The Brand More Important Than Ever’ Weber Shandwick “Our study identified Six New Realities of Corporate Reputation. Each reality serves as a reminder to business leaders that they cannot view their company’s reputation and their product brands as separately as they once did. Aligning and integrating both optimizes their respective strengths to achieve strong business results.” 1 Corporate brand is as important as the product brand(s) 2 Corporate reputation provides product quality assurance 3 Any disconnect between corporate and product reputation triggers sharp consumer reaction 4 Products drive discussion, with reputation close behind 5 Consumers shape reputation instantly 6 Corporate reputation contributes to company market value 56
  • 57. Rethinking the CMO! Real-time 6 ‘How the CMO Can Take the CEO's Corner Office’   “It's only a matter of time before Marketing becomes the group that serves as the conduit for sharing information in real-time across the organization. By working more closely with the IT department, Marketing will become the provider of the critical information that will ultimately be used to optimize business processes that extend all the way from the front office to the manufacturing floor.” John Squire, Chief Strategy Officer, IBM Coremetrics   57
  • 58. Rethinking the CMO! Real-time 12 ‘2012 Social Marketing & New Media Predictions.’ 58
  • 59. Rethinking the CMO! Real-time 13 www.fastcompany.com/magazine/168/september-2012 59
  • 60. Does this NEW & IMPROVED role align with the value Q&A your customers, C-suite & enterprise partners expect? 5 CGAR! Commercial Growth Accelerator ! Relationships! Reputation! Relevant re-imagining! Revenues & results! Real-time ! 60
  • 61. Rethinking the CMO! Thank you for engaging in a great conversation! Let’s keep the conversation going as the CMO/Senior Marketing role evolves. #mprofspro & @stevencook Steven@StevenCook.me 2012 All rights reserved! www.linkedin.com/in/stevencook1 61
  • 63. Rethinking the CMO! Sources 1 ‘Average Chief Marketing Officer Tenure Hits New High: 43 Months.’ Greg Welch and Tom Seclow. CMO Practice. Spencer Stuart. 7/5/12 www.spencerstuart.com/about/media/72/ 2 ‘10 Great Expectations: What CEOs Want From Their CMOs.’ Stephanie Overby. CMO.com 6/14/11. www.cmo.com/leadership/10-great-expectations-what-ceos-want-their-cmos 3 ‘From Brand Custodian to General Manager – The new role of the CMO.’ Dick Patton and Michael M. Meier. Global CMO Practice. Egon Zehnder. 10/11. www.egonzehnder.com/global/practices/industries/consumer/publications/publication/id/17500449/lt/272 4 ‘CMO Habits.’ Jim Stengel. www.jimstengel.com/thought-leadership/category/cmo-habits/ 5 ‘From Stretched to Strengthened. Insights from the Global Chief Marketing Officer Study.’ IBM Corp. 10/11. www.ibm.com/cmostudy2011 6 ‘How the CMO Can Take the CEO's Corner Office.’ Mike Vizard. The CMO Site. 10/18/11. www.thecmosite.com/author.asp?section_id=1548&doc_id=234625 7 ‘2011 State of Marketing Study: Brand-Building in the Complex New Ecosystem of Influence.’ Andrew Flynn, Jesse Purewal, and Mike Leiser. Prophet. 6/11. www.prophet.com/thinking/view/586-prophets-2011-state-of-marketing-study 8 ‘Ignore the Human Element of Marketing at Your Own Peril.’ Bob Garfield and Doug Levy. Advertising Age. 1/2/12. www.adage.com/article/news/dawn-relationship-era-marketing/231792/?utm_source=daily_email&utm_medium=newsletter&utm_campaign=adage 9 ‘Coca-Cola Marketing Shifts from Impressions to Expressions.’ Joe Tripodi. Harvard Business Review. 4/27/11. www.blogs.hbr.org/cs/2011/04/coca-colas_marketing_shift_fro.html 10 ‘2011 Edelman Trust Barometer.’ 1/25/11. www.edelman.com/trust/2011 11 ‘Study: The Company Behind The Brand More Important Than Ever’. Weber Shandwick. 1/18/12.   www.webershandwick.com/resources/ws/flash/InRepWeTrust.pdf 12 ‘2012 Social Marketing & New Media Predictions.’ Awareness. 12/11. www.info.awarenessnetworks.com/rs/awarenessnetworks/images/2012_Predictions.pdf 13 Fast Company Social Media cover story. 9/12. www.fastcompany.com/magazine/168/september-2012 63
  • 64. WW Director WW VP Strategic Marketing SVP, CMO N.A. Brand Marketing & Business Development Global CMO & Biz Dev Global CMO & Biz Dev 25+ years in Fortune 500 & Silicon Valley startup B2C global brand marketing, innovation ! & biz dev roles on image-based CPG & durable brands with strong emotional connections! in Electronics, Beverage, Cosmetics, Personal Care, Health & Well-Being & Food.! Palo Alto-based CMO Council Advisory Board & London-based CMO Exchange Advisory Council.! 64