No, It’s Not Just You – Marketing Tech Has No ROI!
In this opinion piece, Saul Flores (pictured below) the executive strategy director at Sydney-based creative tech agency DT, argues that choosing the right martech’s the easy part. Getting it to work effectively is most CMO’s problem.
Investment in marketing technologies is big business. The diversity of technologies in market, the price tag for big ticket items like CMS MA and data, and the pervasiveness of technology as part of the marketers toolkit continue to increase dramatically. Marketers are sprinting towards a future that is data driven, technology enabled, and performance oriented.
At DT we’ve partnered with Australia’s leading companies to build nearly every cutting edge marketing technology available. The challenge we’ve seen most clients struggle with is not how to build the tech, it’s how to get value back after go-live.
There are three key areas to focus on before, during, and after the build of marketing technology that give you a head start on getting return on investment:
- Planning for success
- Roles, team structures, and partnerships
- Project management versus continuous improvement
The problem in detail
Anyone who’s been around the block a few times has seen it happen: a company invests in technology that is promised to make work easier, automate cumbersome tasks, delight customers, and unlock a sexy strategic vision. Months and quarters roll by, and then, like Christmas morning, it’s here: go-live! But then what happens?
The system doesn’t quite work either for technical or operational reasons. The big resources and attention devoted from leadership during the build have moved on to other projects. Training falls short of the mark. Many of the capabilities of the new system are left untouched. Years later no one can quite remember what the promise of the project was, and the transformational bottom line results never seem to materialise.
The fundamental risk with any enterprise scale technology project is confusing the idea that building a tool will solve a problem. Tools don’t solve problems. Think about how we construct buildings: it takes more than hammers and cranes. Success takes planning, people, teamwork, and a rigorous methodology for coordinating effort and managing the unexpected.
When the people selling marketing technology promise out of the box solutions that will transform your business overnight, you need to remember that tools don’t solve problems. Building marketing technology never gets customers across the line.
The organisational change required to get value out of a cutting edge CMS, Marketing Automation, or advanced data and analytics is a huge gap from how you currently operate. In the following sections, we’ll address the three main gaps that clients fail to address, and share our recommendations for how to avoid these pitfalls.
- Plan and Communicate Success
If you’ve got $1 million to invest in marketing technology, cut it in half. Take the $500k you’ve saved, and spend it on training your team and on partnerships that put experienced experts onto the tools alongside your team after go-live.
You shouldn’t build every feature for your first release. You’re going to build a significantly less sophisticated product. This is a good thing. You learned to drive on the family car, not Lewis Hamilton’s F1. Phased releases of software that limit the complexity your team needs to manage will lead to a deeper adoption more quickly. And, if you’re working with a technology partner who is comfortable with an agile methodology, there’s no reason you can’t quickly add features as you go (more details in the next two sections).
You also need to carefully consider the payback schedule on your $1 million investment, and have a plan for managing your CFO, CEO, and board’s expectations. If you’re modelling ROI to begin in the same quarter as Go-Live, you’re probably shooting yourself in the foot. Make sure you’ve got a good model in place, and that you’ve got capability to show quick wins and long term results against the investment back to your board.
On that last point, choosing a partner for build and implementation is crtical. The software vendor will help you create a model for ROI to pitch the project to your board, but they likely wont be as involved in demonstrating results once the project goes live. Selecting a partner who will not only build the tool, but continue to partner with you to make the investment successful ensures you’re not alone in the ongoing stakeholder management effort.
Don’t stop planning at the C-suite. Often times the top executives are aligned, but no one outside the boardroom knows the vision. Good communication of your plan is worth paying for. Plan on creating videos, e-learning modules, and an on-going email campaign for stakeholders at all levels. If you don’t have capacity to do it yourself, ask your agency to help.
Case Study: Tourism Australia has worked closely with Adobe and DT consultants to make long term decisions about the future of their technology stack, and have leveraged the change in technology to bring about a transformation of their global approach to marketing and operations. Check out this testimonial from the leadership team at Tourism Australia.
- Roles, Team Structure, and Partnerships
Your job descriptions, experience, team structures, and processes are all wrong. Every organisation we’ve worked with has underestimated the degree of organisational and operational change needed to take full advantage of their investment.
For example, one of the key selling points for a cutting edge CMS is the ability to rapidly improve content and customer experience, along with an ability to analyse and A/B test the impact of changes. How will your team work together in this environment to ensure that changes made are on brand and support the overall experience on the website? Who’s job is it to report results of a change? How often will you meet as a team to review progress? Who leads that meeting?
Starting to plan these changes before the technology has been rolled out can be difficult or impossible if you haven’t led this type of change before. Working with a partner that can provide a new operating model is be critical for accelerating success. The ideal partner should be able to work with you before go live to set up the roles, team structures, and working processes you’ll need.
The second option for ensuring success is to bring in a team to compliment your existing team that does have experience working with the tools you’ve invested in. Continuing the example above, if you’re excited for your team to begin rapid A/B testing, but they haven’t done it before, consider contracting a complete team of strategists, data analysts, designers, and UX who can act as “role models” for your team while they get up to speed.
Case Study: OzForex chose Sitecore as the experience and content management platform for their global growth strategy. DT worked closely with them to identify key roles, experience, and team structures to re-tool their tech, UX, and analytics teams. DT also embedded an Optmisation and Personalisation team of strategy, analytics, design, and content to role model strong practices on the new tools.
- Project Management versus Continuous Improvement
Don’t build it once. Build it as many times as possible. Project management is driven around the idea that you only have one chance to build something and get it right. While that framework has many virtues, there are limitations. Keeping in mind that ROI only begins after go-live, your optimal approach to investing in Marketing Technology will minimise the time and money spent before your team starts using the tools in production.
Typically this means working with a partner who can help you identify critical requirements upfront, work quickly to build out the core system capabilities, and then switch gears from project management (waterfall) to continuous improvement (agile). This partner should be able to provide a team of developers, analysts, and project managers who are comfortable working in both frameworks and will be dedicated to your business throughout both phases to ensure IP is retained.
Once the system is live, the marketing team needs to continue working closely with the technology team to make changes and enhancements to the tools. Both sides, tech and marketing, need to have KPI set at a department, team, and individual level that are oriented around serving customers and getting ROI from the investment.
Case Study: Working with Kmart on a major site redesign, we vigorously tested hundreds of CX hypotheses to define the optimal customer experience and increase on-site revenue. Rapid testing and daily reports help us build the plane as we were flying it.
Summary
The three areas outlined above are highly interrelated. Setting a plan that includes change management, implementing changes to roles teams and processes on the marketing side, and setting a collaborative technology development pathway are only possible when leadership at the top level is closely aligned. Choosing a partner who can work with you beyond go live is critical. While a great partner is essential, it’s important to remember that the leadership needed to get maximum return on marketing technology investment can only come from within an organisation.
Latest News
Revium Snags Peter Bauld From Deloitte Digital
Revium, a leading full-service digital and AI consultancy, has announced the appointment of Peter Bauld (lead image) as Executive General Manager. Revium is a full-service digital and AI consultancy with over 20 years of experience creating engaging digital experiences for leading organisations and their customers. Bauld joins Revium after an illustrious career spanning over two […]
EMG/Gravity Media Names New Managing Director
The makers of Australia's Got Talent has been a magnet for senior hires in recent times.
Opinion: Shark Tank’s Sabri Suby Slams Politicians Jumping On TikTok Ban Bandwagon
Are politicians actually scaremongering about TikTok or just fed up of you doom-scrolling in the work bogs?
TV Ratings: “Ivana Was Robbed” – Final Three Contestants Revealed On Australian Idol
B&T's unsure if these Idol contestants look extra young or whether we are as old as we feel.
Veridooh Snatches Prashand Menon From ScentreGroup
Out-of-home OOH) and digital media leader Prashand Menon (lead image) has joined OOH ad tech company Veridooh as group business director within NSW and QLD. Menon joins Veridooh from his most recent role as ScentreGroup’s group business director and brings with him more than 10 years of experience in Australian media. Previously, he held positions […]
Creative Content Studio OK COOL Answers APAC’s Call, Opening In Melbourne
Life set to get extra confusing for new agency staffers mistaking OK COOL for a pass-ag housemate text message.
Harry’s Cafe de Wheels & Hipages Launch New Pie To Fuel Tradies While On The Tools
The pies should apparently be better for tradies' health, apparently but won't be better for on-site ribbing.
Women Leading Tech’s Woman Of The Year Megan Dalla-Camina: What’s The True Cost Of Cutting DEI Spending?
Cutting DE&I spending might seem easy but you might change your mind when faced with Dalla-Camina's ire.
Thrive Introduces A Batch Of New Senior Leadership Roles
You could say that Thrive is set to thrive with these new hires. But that would be too obvious.
It’s Coming Home! Sponsors Make Subbuteo World Cup Finals Free
No idea what Subbuteo is? You clearly had a more exciting childhood than our editorial team.
Media Bigwigs Bet On Predictive Intelligence Platform Prophet In $5M Seed Funding
Prophet, profit, geddit? Must be laugh-a-minute in this startup's office.
CommsDeclare Brands Shell Energy An “Olympic Gaslighter” & Urges Agencies Not To Pitch For Creative Account
And we thought the gaslight Olympics took place in the Coogee Bay Hotel smoking area!
AFL Wins Battle With Warner Bros. As New AFL Team Is Revealed
There hasn't been this much wrangling over a cartoon animal since, well, ever!
BBC Podcasts Go Global With Amazon Music
Ironically, BBC podcasts unlikely to be available in the Amazon given the lack of signal.
Johnson & Johnson’s Former Consumer Healthcare Arm Reviews Creative
J&J inspired by Scottish term for knowledge 'ken' in its rebrand; nothing says 'wise' like a shot of Listerine.
Kat & Co Transforms Into THE WORLD OF Experiential Agency
After more than twelve years of producing experiences for some of the world’s most innovative brands, including Hermes, Van Cleef & Arpels, Louis Vuitton, and Tiffany & Co, Kat & Co has quietly metamorphosed into THE WORLD OF. THE WORLD OF is an experiential agency at the juncture of culture, technology and the human condition. […]
Adobe Brings Firefly Generative AI Into Substance 3D Workflows
Still unclear of what generative AI actually is? Steer clear of this story.
Clemenger BBDO Introduces Saucy Campaign With Declan Cleary & Lee Kum Kee
When we heard this was a saucy campaign, we thought it be the barbecue and ketchup showdown we'd been waiting for.
Gawk Acquires 40 Billboard Locations From Transad
Gawk makes it move out of VIC into NSW with acquisition. Has promised to stop going on about Melbourne nightlife.
All About Attribution: Commission Factory Releases New eBook
Ever wanted to dive deep into channel attribution? Consider this the perfect springboard.
SMG Studio Launches Risk: Global Domination X Dune Part Two
Through a licensing agreement with Legendary Entertainment, SMG Studio inked the rights to adapt Dune: Part Two into a game based on Risk: Global Domination, Hasbro’s interactive board game. Inspired by Denis Villeneuve’s cinematic masterpiece, Dune: Part Two, this new digital adaptation, RISK: Global Domination X Dune: Part Two, is poised to captivate players from […]
RMIT Study Reveals That 73% Of Employees Don’t Believe Gen AI Is Relevant
Noticing staff switching off when you tell them about gen AI? Understand why here.
Australian Eggs Launches Egg-citing New Campaign Via Connecting Plots
How do you like your eggs in the morning? We usually skip them and go straight for the darts and whisky.
Future Lions 2024 Invites Young People To Be Heard With Spotify
Future Lions, of course, is the AKQA-backed student initiative at Cannes Lions, not a feeder for the rugby team.
QMS: Taylor Swift, Lunar New Year & Mardi Gras Were Boon For OOH Market
Taylor Swift, Lunar New Year and the Sydney Gay and Lesbian Mardi Gras Festival have had a dramatic impact on the number of people moving in and around Sydney over the past month, drawing big crowds into the heart of the city and its surrounding suburbs. New data from digital outdoor company QMS reveals a […]
Legend John McEnroe Joins Pepperstone’s Team Of Global Tennis Ambassadors
Despite the deal, McEnroe remains confused about difference between above- and below-the-line marketing.
LinkedIn Launches New Thought Leader Ads For Companies To Promote Member Posts
Though LinkedIn couldn't get any more insufferable? You thought wrong.
Latrell Mitchell Smacked On Wrist After Dropping Multiple F-Bombs In Post-Match Triple M Interview
Andrew Abdo has confirmed he is not angry... just disappointed.
TV Ratings: “When You Do Love Yourself, You’re Amazing” – Is This MAFS Most Heart-breaking Split?
Hold the press. MAFS groom and bride actually shown to be nice people.
Opinion: The Only Drag Marketers Should Be Worried About
Thought Transactional Drag was a lifeless club night in Newtown? Read this and you'll think again.
AWARD School Welcomes Class Of 2024
It's best to think of AWARD School like Survivor but with pitch decks instead of swimwear.
Interest In Motorsports Reaches New Heights As Formula 1 Grand Prix Revenue Expected To Surpass $100 Million
Need to get a dull sports client some quick results? Rustle up a Netflix series and watch the dollars roll in.
Chair Rob Murray To Depart As SCA Considers ARN’s Latest Takeover Bid
Struggling to make heads or tails of the SCA & ARN saga? Add this to your woes.
Adland Legend John Singleton Separates From Seventh Wife
Singo calls it quits with seventh wife as his race with Rupert Murdoch to become the most-married man continues.
ACCC Eyes Search Competition, Citing ‘Decreasing’ Quality & Rise In Generative AI
The only decline in search quality we notice is when B&T doesn't appear at the top of Google.
“Imagine A Career Above The Clouds”: Royal Australian Air Force Launches New Campaign Via VML
Don't worry about the forthcoming war with China - at least you'll get a bird's-eye view of the apocalypse.