Does anyone have a case study, report or
Tina S. de la Torre, CFMP
article about the risk of cutting advertising?
I’m working on a business case for our CEO
to defend the need for advertising and could
use some analytics to support it. My goal is
to help the C-suite understand that short-
term expense cuts in marketing have a long-term impact
on business growth.
Merchants Bank | Burlington,Vt.
A Couple of Things that Should Be
Tina, just a couple questions: Do you mea-
sure your marketing spend? Is your CEO
opposed to advertising or all marketing
communications? If you could put some
return on your spend and show that you are
driving traffic and revenue, would he let you
spend? There are also lots of studies you
can find that show that the businesses that do the best are
those that continue with the marketing function.
Other things you might want to share is that a customer
usually makes a buying decision way before they enter the
branch or make a call to your call center.
Joann Marsili, CFMP
Fidelity Deposit and Discount Bank |
Most Measures Are Unable to Quantify a
Lot of What Marketing Does
Advertising should certainly be held to a
standard. The problem with most financial
measures is that they are not able to measure
what a lot of advertising does. You can cer-
tainly use tracking codes and other metrics to
track prospects generated by specific ads or
campaigns, and to track lead quality (closure
rate and average time from prospect to close). But that falls
short of looking at things that are real marketing functions for
m;Awareness (how well is your brand known).
m;Consideration (what percentage of qualified consum-
ers place your brand in the top three, when considering
m;Transaction (how did advertising affect the choice to do
business with you for the first time? This goes to Joann’s
point that most people are well on their way to a purchase
decision before they ever walk into a branch.)
m;Conviction (how does advertising shape the perception of
a satisfied customer, such that they become advocates).
I am sure none of this is new to anyone in marketing. But
it may be good to remind your C-level folks, who (in the
community bank universe) tend to look for linear/ direct
connections between money out (ad spend) and money in
Gibbons-Peck Marketing Communication |
How Do You Respond When Your C-Suite Wants to
Cut Ad Spending?
Below are excerpts from a recent online question-and-answer session conducted by marketers who
participate in the ABA Marketing Network’s Online Community.
Want to Join the Discussion?