The role of the chief marketing officer (CMO) is changing rapidly in the face of economic and social changes and advancements in technology. CMOs are tasked with safeguarding and growing brands in an environment of polarized social attitudes while facing budget constraints and increased demand for personalization from customers.
A recent report by Gartner indicates that marketing budgets have decreased from 9.5% of company revenue in 2022 to 9.1% in 2023, with 75% of CMOs reporting being asked to do more with less. To explore the changing role of CMOs, Insider spoke with five top CMOs and a Gartner expert.
Alex Schellenberger, the CMO of premium, midscale, and economy brands at Accor, believes that the CMO has become the driving force behind a company’s commercial performance and that the job’s pressure will continue to increase as the need to deliver quantifiable value to customers and owners grows.
The role of creativity is also rapidly changing due to advances in technology and offerings like ChatGPT. The CMOs interviewed agree that these new tools are primarily efficiency tools for now, with humans still driving creative decisions.
While there is a growing expectation for brands to engage with social and political issues, taking a stand can also damage business, especially in today’s polarized environment. CMO Jessica Jensen of Indeed believes that social issues are central to the company’s presence, and inclusivity and diversity are fundamental business goals. However, Alex Schellenberger of Accor is more cautious, noting that taking a stand on social issues is attached to risk.
Despite the growing dominance of social platforms, traditional media still plays a key role in reaching consumers. Netflix’s CMO Marian Lee Dicus says traditional media is still 100% relevant and that the company relies heavily on it for content with engaged audiences.
Maintaining creativity is essential, but Indeed’s Jensen warns against over-indexing on brand and creativity and under-indexing on math. In contrast, Gartner’s Ewan McIntyre highlights the importance of fiscal responsibility in decision-making during budget constraints.
Overall, the role of the CMO has become more critical and demanding. They must manage brands in an environment of polarized social attitudes amid economic headwinds while simultaneously incorporating new technology and delivering quantifiable value to customers.
