by May 25, 2022News

CMOs lose out on 13% of their marketing budgets due to underutilised MarTech

Bristol, UK: Modern, the B2B digital marketing consultants, have released new research which finds that two out of three Chief Marketing Officers (CMOs) are using less than 50% of their marketing technology stack. According to a survey conducted by Statista, approximately 26.6% of marketing budgets were spent on marketing technology in 2021. This equates to CMOs losing out on 13.3% of their budgets last year due to underutilised marketing technology stack. 

Marketing technology budgets remain strong, however an ongoing challenge is optimising the use of technology. Human factors were highlighted (55%) as the biggest reason marketing technology is not used to its full potential. With 16% of respondents (20% in companies of 5,000+ employees), believing its due to a lack of knowledge and experience in their teams. An indication that the majority of marketing teams are made up of marketers, not technologists. Marketers need more input and support from other sources if they are to achieve their objectives and get the most out of their technology.

“At a time when digital technology and automation are accelerating, the range of skills expected from marketing professionals will continue to expand. It is a CMOs responsibility to identify this and help employees acquire the skills to succeed. The digital skills shortage has far-reaching consequences as outlined in the report. Digital skills are the currency for transformation, and the solution lies in making development sustainable and fostering a learning culture that embraces development, agile working and collaboration” 

Nicola Ray, CEO at Modern

With CMOs under constant pressure to demonstrate the value of their technology and increasing technology spend, they are presented with the added constraints of resistance from employees. 14% of CMOs say resistance to change is an issue that halts progress. Another obstacle that is hampering performance is the lack of digital implementation and execution skills. 57% of CMOs said it is one of the biggest factors their teams come up against.

The report asks CMOs to select from a list of 12 digital skills that need to be addressed despite the consensus around the digital skills gap. The data shows that every option was selected by at least 17% of CMOs – suggesting enterprises are struggling with a whole range of different issues and shortfalls in their teams’ capabilities.

The research was conducted in December 2021 with 300 CMOs across the UK and the US. More information is available in the report: Digital Connections. 

 

About Modern

Modern challenges the status quo to unlock the potential behind technology. Partnering with forward-thinking CMOs and business leaders to help them transform their marketing function; connecting technology with customer data and in-depth insight to add more value to the business.

Through long-lasting partnerships, we support our clients to shape change through technology, strategy and execution of programmes designed to enhance the customer experience at every part of the buying journey.

We provide expert technology advice from our multidisciplinary team of strategists, technologists and digital and data experts to support the CMOs vision to deliver organisational growth in today’s complex market.

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