A newly released study from go-to-market growth advisory SBI uncovers CMO vulnerabilities in the current economic climate, and provides recommendations for CMOs to drive efficiency and successfully lead during challenging times.
The firm’s research reveals that CMOs started 2022 with optimism anticipating a 31.2 percent increase in revenue and a 22.4 percent increase in budget from 2021 to 2022. Now, despite a shift in market and economic conditions, many CMOs are holding onto the belief that demand will remain strong and have yet to pivot their strategy to a more focused set of growth bets.
“Recessionary environments are ripe for cost-cutting and budget scrutiny, putting pressure on CMOs to show clear ROI for their programs and people by quickly and proactively applying focus and discipline,” said SBI CEO Mike Hoffman, in a news release. “During recessions, a focused approach to growth is more successful than trying to remain agile or hedging one’s bets across investments. It is what high-growth companies do differently than their competitors.”
According to the survey, only 33 percent of respondents are confident in their CMO’s ability to drive success for their organization. Facing a downturn and a lack of confidence from their CEOs has put CMOs in a vulnerable position. It is imperative that they take immediate action to drive efficiency and successfully lead the productivity pivot within their organization.
The researchers identified the following eight steps to correct course:
SBI’s Annual CEO Growth Planning Survey of CEOs included interviews with CEOs from 120 companies representing a mix of public and private companies, predominantly in the tech and business services sectors, ranging in size from $100M to over $10B.