There appears to be a gap between the metrics marketing departments are measuring their success against compared to the expectations of CFOs.
As a result many companies are not launching integrated campaigns and are creating the potential for conflict according to the findings of a Xerox survey.
The majority, 83%, of CFOs quizzed revealed that better communication about the impact of marketing would improve the standing of the department in the wider business.
There have already been some indications that marketing budgets are being cut as a result of the recession with research from the Chartered Institute of Marketing late last year showing a portion of marketers fearing for survival.
Peter Romaine, director and general manager at Xerox Global Services, said that there was little disagreement over the importance of marketing but the problem occurred when chief marketing officers (CMOs) tried to share success stories.
“The main problem is that most CMOs can’t prove it to the CFO. They can’t communicate the benefits of marketing because they can’t measure entire marketing campaigns effectively enough and, in many cases, they’re even struggling to measure the success of individual components of their marketing activity.”
Professor Tim Ambler, senior fellow in marketing at the London Business School said that companies expected a payback on their marketing activities.
“This survey shows that the CMO isn’t getting the right information to communicate the marketing department’s contribution to the overall business performance in the right way. Both finance and marketing departments need to be speaking the same business language,” he said.