Summary
Marketing leaders are at a crucial tipping point in the rapidly evolving marketing landscape, marked by economic pressures and disruptive technologies.
Today’s marketers must navigate an integrated environment, collaborating across functions like product development, sales, and finance while staying deeply connected with customers. Through interviews with over 70 CXO-level leaders, the research highlights the growing expectation for marketers to possess T-shaped skills—combining deep marketing expertise with broad business acumen. These leaders emphasize the need for strategic thinking, customer-centric approaches, digital proficiency, creativity, and cross-functional collaboration. Marketers must now think and act like business leaders, driving holistic business impact and adapting to the speeding treadmill of corporate demands.
At the Tipping Point: Breaking Research on What CXO Leaders Expect from Marketers
“Marketing is like running on a treadmill that is constantly speeding up,” said a Fortune 500 Technology company CMO.
Economic pressures, heightened growth expectations from executives, and disruptive technologies are reshaping the marketing landscape. Ethical and societal pressures are also reshaping it.
The marketing function’s business-as-usual operations are disrupted. We are at a crossroads—a tipping point.
Today’s marketers are expected to navigate an integrated environment, collaborating with peers from product development, sales, finance, and customer experience while engaging more closely with customers than ever before.
But are they ready for this new era? Are marketing leaders effectively preparing their teams for these challenges?
Success now demands deep expertise in marketing, strong general business acumen, and the ability to operate across various functions, a T-shaped marketer.
What do executives expect from marketing?
To answer the question, I conducted in-depth interviews with more than 70 CXO-level leaders across various industries to understand the evolving expectations for marketers and the marketing function.
These interviews uncovered insights into the skills, behaviors, and strategic thinking senior executives believe are essential for today’s marketers.
The discussions focused on the challenges faced by the marketing function, the impact of economic pressures, and the importance of cross-functional collaboration. The findings from these conversations provide a comprehensive view of what top executives expect from their marketing teams.
What’s Driving the Evolution of the Marketing Function?
The marketing landscape is rapidly changing, driven by three main factors: the increased expense of borrowing capital, the effectiveness of marketing in growing the pipeline, and a loss of confidence in the marketing function.
When capital was inexpensive, companies were more willing to invest in campaigns, events, and large marketing teams. However, this period of abundance masked underlying issues.
Many marketers operated without understanding how their activities impacted growth or customer acquisition costs. As a result, marketers burned through cash without delivering measurable results. This problem became more pronounced when the cost of capital increased.
Chief Financial Officers, often unfamiliar with marketing’s role as a non-linear amplifier of sales (marketing investments create long-term value that often can’t be measured for ROI in the next quarter) and Chief Executive Officers, focused on the bottom line, questioned the value of marketing investments. The perfect storm of rising capital costs and ineffective marketing strategies led to declining marketing investments.
Senior executives expect marketing to think and behave more like business leaders. Fifty CXO-level leaders who’ve participated in my research want marketers to apply their marketing expertise in a fiscally responsible manner and to understand how marketing investments impact the company’s margin and mission.
The T-Shaped Model
The term “T-shaped” was coined in the 1980s by McKinsey & Company to describe the ideal skill set for consultants. It has since been adopted by various industries, including design, technology, and marketing.
The T-shaped model has two main components:
Vertical Aspect: This denotes deep expertise in a specific area, such as SEO, content marketing, or data analytics. Achieving this level of specialization requires years of dedicated learning, practical experience, and staying current with industry trends. Marketing leaders should support team members pursuing deep specialization and offer professional development opportunities.
Horizontal Aspect: This signifies broad knowledge across multiple disciplines, allowing marketers to collaborate effectively with various departments. This includes understanding business strategy, finance, customer experience, and technology. Developing these skills involves participating in cross-functional projects, workshops, and interdisciplinary training, helping marketers become more adaptable and effective problem-solvers.
Top Five Insights from CXO Leaders on the Expectations for Marketers
1. Strategic Thinking and Business Acumen
One of the most prevalent expectations from CXO leaders is for marketers to possess strong strategic thinking and business acumen. This involves understanding the broader business objectives and aligning marketing strategies accordingly. Marketing leaders emphasized the importance of marketers knowing market dynamics, competitive landscapes, and financial metrics. Strategic thinking ensures that marketing efforts contribute significantly to business growth and profitability.
Jillian, the CMO of a Fortune 500 tech firm, experienced this firsthand. Before her team used business analytics, their campaign funding proposals often got denied because they couldn’t clearly communicate the potential ROI.
Integrating business analytics changed everything. It showed the direct impact of their efforts on revenue, elevating marketing to a strategic partner within the company. This transformation proved crucial during a challenging financial quarter. Thanks to data-driven evidence, they secured additional budget for a vital campaign.
Why It Matters: By adopting a strategic mindset, marketers can craft campaigns that resonate with customers and business goals, ensuring marketing efforts drive tangible results and align with the company’s overall direction.
Behaviors and Skills Required:
- Data-Driven Decision-Making: Cultivate a habit of using data and analytics rather than intuition alone. Focus on increasing proficiency in data analytics, market research, and performance measurement.
Financial Acumen: Understand the financial implications of marketing decisions. Build skills in budget management, ROI analysis, and financial forecasting.
2. Customer-Centric Approach
CXO leaders stressed the necessity of a customer-centric approach. Marketers must prioritize understanding and addressing customer needs, behaviors, and preferences. This expectation goes beyond traditional customer service; it involves leveraging data analytics to gain insights and tailor marketing efforts accordingly.
When Jonathan, the Chief Marketing Officer at a retail giant, assumed his role, net new sales were flat, and the company was looking for ways to grow its pipeline.
Jonathan formed a cross-functional team to map the company’s customer journey. His team’s focus on post-purchase experiences uncovered opportunities to up-serve existing customers. It led to a 30% increase in repeat purchases, showcasing the power of truly understanding and empathizing with customers.
Why It Matters: A deep focus on the customer fosters loyalty and satisfaction, which are critical for long-term success and sustained revenue growth. Marketers who excel in this area can anticipate and meet customer needs more effectively, enhancing the overall customer experience.
Behaviors and Skills Required:
- Customer Empathy: Develop a deep understanding and empathy towards customer needs and experiences. Develop skills in customer journey mapping, user experience principles, and qualitative research.
- Agility and Adaptability: Develop the ability to quickly adapt to changing market conditions, customer preferences, and emerging technologies.
3. Digital and Technological Proficiency
In an era where digital transformation is paramount, proficiency in digital marketing tools, platforms, and technologies is non-negotiable. CXO leaders highlighted the need for marketers to be adept at data analytics, artificial intelligence, social media, SEO, and digital advertising.
Facing low engagement and a prolonged sales cycle, Samantha, the VP of Marketing at a financial services firm, asked her team to personalize the buying journey for prospective high-value customers. Her team used AI-driven analytics to tailor content and segment audiences more precisely. This digital transformation boosted engagement by 25% and increased conversions by 20%, proving the effectiveness of targeted, data-driven marketing.
Why It Matters: Mastery of digital tools allows marketers to execute campaigns more efficiently, target audiences precisely, and accurately measure their efforts’ impact. This proficiency enables marketers to stay competitive and relevant in a rapidly evolving digital landscape.
Behaviors and Skills Required:
- Technological Savvy: Stay updated with the latest digital marketing tools and technologies. Develop your digital analytics, marketing automation, and social media management skills.
- Continuous Learning: Embrace lifelong learning to keep up with the fast-paced changes in technology and digital marketing trends. Network with innovators and thought leaders from other companies leading digital and technological disruptions.
4. Creative and Innovative Mindset
CXO leaders expect marketers to be innovative and creative. This involves creating creative content and branding and exploring new channels and formats for engagement.
Michael, CMO of a luxury global consumer goods company, spearheaded an augmented reality-based campaign that allowed customers to visualize products in their homes. This creative approach generated a 40% rise in pre-orders, demonstrating how innovative marketing can capture the audience’s imagination and drive significant results.
Why It Matters: Creativity in marketing helps differentiate the brand and capture the audience’s attention in novel ways. It fosters a unique brand identity and enhances customer engagement, crucial for building a loyal customer base and driving brand growth.
Behaviors and Skills Required:
- Innovative Thinking: Foster a mindset that encourages creative problem-solving and innovation. Develop skills in creative brainstorming, design thinking, and experimentation.
- Effective Communication: Communicate creative ideas clearly and persuasively with internal teams and external stakeholders. Develop skills in writing, presentation, and negotiation.
5. Collaboration and Cross-Functional Skills
Marketers must master effective collaboration with other departments. CXO leaders expect marketers to develop skills that enable seamless collaboration with sales, product development, finance, and customer service.
Before Laura, the Chief Marketing and Sales Officer at a healthcare company took action, marketing and sales ran separate and uncoordinated campaigns. She broke down the silos between the two functions, leading to a unified, integrated campaign. This collaboration resulted in a 35% increase in lead conversions, showcasing the power of cross-functional teamwork.
Why It Matters: Cross-functional collaboration ensures that marketing strategies are cohesive and integrated with the overall business strategy. It leads to more consistent and effective outcomes, as marketing initiatives are aligned with the goals and efforts of other departments.
Behaviors and Skills Required:
- Team Collaboration: Develop the ability to work effectively within and across teams. Skills in team-building, conflict resolution, and collaborative planning are also important.
- Interdisciplinary Knowledge: Gain a broad understanding of various business functions to facilitate better collaboration. Build your knowledge of sales processes, product development cycles, and financial metrics.
Why CXO Leaders Expect Growth Beyond Marketing Skills
Holistic Business Impact: By understanding various aspects of the business, marketers can align their strategies with the company’s goals, resulting in more integrated and impactful initiatives.
Integration and Collaboration: Modern businesses require departments to work together cohesively. T-shaped skills enable marketers to collaborate effectively across functions, ensuring that marketing efforts support overall business objectives.
Complex Problem Solving: The business environment is becoming increasingly complex. T-shaped skills equip marketers to address multifaceted challenges, leading to more innovative and effective solutions.
Customer-Centric Innovation: As customer expectations evolve, marketers must innovate to meet these demands. A broader skill set allows marketers to comprehensively understand and respond to customer needs.
Sustainable Competitive Advantage: To maintain a competitive edge, businesses need versatile marketers who can contribute to long-term success. Developing cross-functional skills ensures marketers are well-rounded and capable of driving sustained growth.
David, CEO of a manufacturing firm, shared an inspiring story about how a marketer’s financial analysis skills revitalized a declining product. With sales shrinking, the marketer analyzed financial data and identified a promising new market segment.
He convinced the leadership team to pivot their strategy by presenting a well-researched business case. This move breathed new life into the product and spurred significant company growth. This story highlights the powerful impact of combining marketing expertise with financial acumen to drive strategic business decisions.
T-Shaped Marketers Can Keep Pace with the Speeding Treadmill
By developing T-shaped skills, marketers can meet executive expectations and drive meaningful business results. The T-Shape marketer is also positioned to keep up with the constantly accelerating corporate treadmill. The future of marketing leadership lies in the ability to think strategically, act creatively, and collaborate seamlessly across the organization.
