MarTech leaders must strategically source marketing tools and solutions to handle heightened competition, cut costs, and accomplish organizational objectives.
Companies must be adaptable in a dynamic economy where technologies develop quickly to foresee future trends that will likely fuel their growth. Modern MarTech can help in this situation. It provides businesses with a roadmap for engaging with customers at every stage of their purchasing journey and ensuring their loyalty by focusing sharply on buyers and their buying journey. In an increasingly digital world where budgets are shrinking, marketers can innovate with MarTech solutions.
Technology can assist the CMO in becoming a more strategic business partner by enabling them to quickly and accurately respond to questions about customer needs, product features, demand forecasting, pricing, targeting and segmenting, campaign effectiveness, and customer service. MarTech leaders need a strategy incorporating short-term and long-term solutions as businesses tighten their belts and their marketing budgets decrease.
Challenges for the present-day MarTech
The biggest problem facing MarTech leaders is the decline in marketing budgets brought on by cost pressures and uncertain economic conditions. The budget cut requires them to periodically review their relationships with vendors and look for new technologies that will enable them to work more efficiently.
To handle increased competition, cut costs, and accomplish organizational goals, MarTech leaders must strategically source marketing tools and solutions.
They must create a strategic roadmap that considers all of these factors and opens up new growth opportunities if they are to get the most out of their marketing investments.
To do this, they must thoroughly understand changing market trends while keeping an eye on spending analytics and organizational needs. In theory, it sounds simple but can be difficult in practice.
How can MarTech leaders overcome the challenges
According to a Gartner Marketing Budgets survey of 405 CMOs and other marketing executives, 61% of respondents said they lacked internal capabilities to execute their strategy. The lack of resources is a persistent problem for marketing teams.
MarTech, for instance, continues to account for 25.4% of the marketing expense budget, but it is not used to its full potential due to training investment and talent recruitment issues. MarTech is a complex industry with many tools available to businesses. Given their limited budgets, they must choose the most appropriate tools to maximize their marketing expenditures.
Also, it is getting harder and harder for MarTech leaders to consistently produce a reliable pipeline for the revenue teams due to the complexity of the marketing funnel. To succeed, they must divide the database into subsets according to factors like geography and market influence. To assist MarTech leaders in creating a strong, reliable pipeline for their organizations, they can use descriptive and diagnostic solutions to build a full-fledged analytics solution that offers predictive and prescriptive capabilities.
The majority of MarTech executives understand how crucial it is to know who their target market is. To realize they are on the right track, they must continually reexamine and reanalyze this engagement. Marketing leaders must also collaborate closely with the management to demonstrate how each initiative will promote market differentiation, company expansion, and client loyalty. If the management is averse to change, they may hesitate to support it without understanding how the marketing branding initiative represents change and potential disruption.
Data Foundation and Strategy First
Start with the facts. Consider the customer data layer and the marketing function when assessing the various marketing technologies available. Many CMOs who foster connected, consistent, and hyper-personalized customer experiences across all touchpoints throughout the customer journey take an enterprise-wide approach to customer data. A connected customer dataset created for the experience economy can support the marketing team as they adopt advanced analytics, AI, and machine learning to improve customer experience. Otherwise, there is no expected return on investment from those investments.
Create a customer data foundation and strategy tailored to the experience economy. Advanced analytics, machine learning, and AI can support the development of big ideas and provide business agility and enterprise scale. Every customer touchpoint and the teams that work with customers should receive insights from it. Additionally, it should simplify compliance with rules like the GDPR, CCPA, and future customer privacy laws.
How can MarTech executives use technology to cut costs
By utilizing data-driven marketing strategies, marketing professionals can boost customer engagement, push for higher conversion rates, and achieve greater revenue growth. To save time, energy, and money, they must harness the power of automation.
However, the global shift toward a cookie-free world comes with several difficulties. To accurately and safely assess the impact of strategies, MarTech leaders should adopt appropriate tools and embrace best practices. Additionally, they should investigate how to create scalable data lake solutions to quicken the choice-making procedure for advanced or descriptive analytics. This strategy is crucial because the lack of the appropriate KPI metrics for the business and its code can impact the effectiveness and precision of a company’s marketing.
With artificial intelligence (AI) getting massive attention, MarTech leaders can use AI algorithms to examine vast amounts of user data, design personalized experiences, segment and categorize customers based on their preferences, and predict future behavior. They can also save time and money by utilizing AI-powered chatbots to respond to customer inquiries and offer round-the-clock customer support.
Most businesses know the advantages AI provides in MarTech: it can enhance customer experience and optimize marketing strategies, which can help enterprises to expand. However, they frequently don’t know how to proceed.
The best way is to spot AI integration opportunities and implement the appropriate tools and tactics. Work with a MarTech supplier to receive ongoing support and direction if necessary. The proliferation of MarTech solutions and vendor hype fuels marketing departments’ IT spending binges. But they frequently lead to a siloed sprawl of technologies and possible underutilization.
Therefore, MarTech leaders must create a technology-neutral, future-ready business capability map with distinct milestones to achieve their organization’s objectives. They should also coordinate IT-marketing talent-hiring decisions, conduct joint business case development, and establish regular MarTech audits.