There is no shortage of marketing measurements in most large corporations, yet there is a significant gap in measurement discipline.
Measurement problems occur at several levels, ranging from basic accuracy and prioritizing what should be measured to how those measurements align with business objectives and how the results are applied.
Measurements and analytics are powerful tools that provide insight for improving marketing performance. They serve as the sources for knowledge and facts that shape strategies and guide tactical decisions. Without reliable insights into what's working and where improvements are possible, marketers must piece together their gut feelings on what makes sense with their informal read on marketing's influence on customers and sales.
Putting a measurement discipline in place involves going beyond the occasional campaign measurement or results tracking; it means establishing standard processes across the organization.
Within large marketing organizations there are usually a few measurement "champions" who recognize the benefits of and push to improve their own results with better measurements. However, leadership from the chief marketing officer (CMO) or VPs of marketing is necessary to move measurement to a discipline that is ingrained into the organization's culture. When measurement discipline is achieved, the organization works more effectively and efficiently toward clear business objectives.
To put you on the path to measurement discipline, I'll share what it takes to understand measurement-practice shortfalls, establish a measurement-management process, build capabilities, and create the right culture.
Practice Shortfalls—What's Missing
For most marketing organizations, measurements are an afterthought compared with strategy and campaign development. Some companies have extremely well-designed measurement methodologies using different forms of modeling, tracking analyses, or market testing. But even those companies typically fall short of their full potential.