Download monitor results - Australian Marketing Institute

1
Australian Marketing Institute
Senior Marketer Monitor 2013
February 2013
Enquiries:
Mark Crowe, CEO AMI, 0408 232 105
Adrian Morgan, Research Director, Colmar Brunton
2
Background & Methodology
The Australian Marketing Institute (AMI) commissioned Colmar Brunton to conduct a
study of Australia's senior marketing professionals.
The aim of the study is to understand senior marketer sentiment, priorities, perspectives
and challenges in the current marketing environment.
The first online survey was administered in 2009 to a selection of Australian Marketing
Institute members and Colmar Brunton clients who were senior marketing professionals.
The study was repeated in 2010, 2011 and 2012. The 2012 fieldwork was conducted in
November and December 2012 and included responses from n=259 senior marketers.
3
Key Findings
Overall, the results of the Senior Marketer Monitor in 2012 are mixed for the marketing profession. Given continued
financial uncertainty, it is encouraging that marketing budgets, overall, are budgeted to increase albeit only 1%. Marketers
are positive about the role of marketing in Australia, and in particular it is smaller organisations that are growing fastest
and most positive.
Marketing Budgets
One third (34%) are expecting their marketing budget to increase in 2013 and 38% are expecting it to remain the same. On a total
level, senior marketers have indicated a total marketing budget increase of about 1% in 2013. Encouragingly, of the organisations
who are expecting an increase, an average budget increase of 16% is expected. Organisations with a turnover of under $150 million
were more likely to expect an increase in their budget for 2013.
Marketing Priorities and Challenges
The top marketing priorities include measures to increase sales, maximising efficiency of marketing expenditure, and focusing on
more profitable market segments. Overall, there was slightly more emphasis on increasing sales and less focus on efficiency and
brand building compared with previous years.
Shifts in Communications Channels
The use of social networking and Web 2.0 as a communication channel continues to grow, but the growth in this channel is less
pronounced than in 2011. The popularity of Viral marketing has decreased somewhat with less intending to use this channel more,
compared with previous years.
Role and Influence of Marketing
Similar to 2011, most senior marketers (76%) feel positive about the role and influence of marketing in Australia.
4
One third (34%) expect their marketing budget to increase in 2013,
which is fewer than a year ago. In total, 28% expect a decrease in
2013 and 38% expect their budget to stay the same.
Marketing Budget Changes
44%
Increase
38%
34%
2010
21%
Decrease
2011
24%
2012
28%
35%
Stay exactly the
same
38%
38%
0%
5%
10%
15%
20%
25%
30%
Q3A. In 2013, how do you expect your marketing budget to change from 2011? Do you expect it to...?
35%
40%
45%
50%
5
Marketing budgets will grow by only 1% in 2013, following growth
in 2012 of 3.4%. In 2013, 34% of marketers expect their marketing budget to
increase, with these organisations anticipating an average increase of 16%. 28% expect a
decrease in 2013, and for these they anticipate an average decrease of 16%.
2007
Budget
2008 Budget
(indexed at
100)
2009 Budget
2010 Budget
2011 Budget
2012 Budget
2013 Budget
95
100
102
109
113
117
118
Q3A. In 2011, how do you expect your marketing budget to change from 2013? Do you expect it to?
Q3B. Can you specify the % that it is likely to increase?
Q3C. Can you specify the % that it is likely to decrease?
6
Nearly half of organisations with 0 – 100 employees again expect to increase
marketing budgets in 2013. These smaller organisations are more positive
than the mid sized and larger organisations.
Increase
Decrease
Marketing Budget Changes - Employee Size
Stay the same
Total 2010
Total 2011
Total 2012
44%
21%
38%
24%
34%
38%
28%
2010 0-100 Employees
2011 0-100 Employees
2012 0-100 Employees
38%
52%
14%
48%
46%
38%
19%
35%
35%
40%
29%
29%
36%
30%
21%
10%
36%
30%
36%
0%
38%
18%
27%
31%
2010 1,000+ Employees
2011 1,000+ Employees
2012 1,000+ Employees
34%
14%
47%
2010 101-1,000 Employees
2011 101-1,000 Employees
2012 101-1,000 Employees
35%
41%
41%
20%
30%
40%
Q3A. In 2011, how do you expect your marketing budget to change from 2010? Do you expect it to?
Q3B. Can you specify the % that it is likely to increase?
Q3C. Can you specify the % that it is likely to decrease?
38%
50%
60%
70%
80%
90%
100%
7
Far fewer larger organisations are planning to increase marketing
budgets in 2013, compared to a year ago.
Increase
Marketing Budget Changes - Turnover
Decrease
Stay the same
Total 2010
Total 2011
Total 2012
44%
21%
38%
24%
34%
2010 $0-$30m Turnover
2011 $0-$30m Turnover
2012 $0-$30m Turnover
35%
38%
28%
38%
57%
15%
58%
11%
42%
2010 $31-150m Turnover
2011 $31-150m Turnover
2012 $31-150m Turnover
42%
65%
12%
31%
41%
31%
22%
34%
31%
26%
25%
10%
40%
31%
20%
23%
37%
28%
47%
0%
31%
16%
32%
2010 $151m+ Turnover
2011 $151m+ Turnover
2012 $151m+ Turnover
28%
30%
40%
Q3A. In 2011, how do you expect your marketing budget to change from 2010? Do you expect it to?
Q3B. Can you specify the % that it is likely to increase?
Q3C. Can you specify the % that it is likely to decrease?
44%
50%
60%
70%
80%
90%
100%
8
There is a great deal of variation at an industry level when it comes to outlook
for marketing budgets. Media & communications (13%) and Manufacturing
(19%) have the lowest proportion increasing budgets in 2013 and Non for
profit (67%) and professional services the highest (45% increasing budgets).
Increase
Decrease
Marketing Budget Changes - Industry
Stay the same
Total 2010
Total 2011
Total 2012
2010 Financial Services
2011 Financial Services
2012 Financial Services
2010 Manufacturing
2011 Manufacturing
2012 Manufacturing
2010 Education
2011 Education
2012 Education
2010 Professional Services
2011 Professional Services
2012 Professional Services
2010 Retailling
2011 Retailling
2012 Retailling
2010 Media & Communciations
2011 Media & Communciations
2012 Media & Communciations
2011 Non For Profit
2012 Non For Profit
2010 Other
2011 Other
2012 Other
44%
38%
34%
21%
35%
38%
38%
41%
40%
35%
36%
48%
36%
38%
36%
24%
28%
26%
33%
34%
26%
41%
24%
51%
13%
19%
19%
33%
44%
38%
36%
21%
24%
28%
14%
55%
64%
10%
36%
45%
17%
53%
60%
12%
20%
29%
29%
10%
48%
63%
67%
13%
20%
24%
20%
13%
43%
38%
40%
10%
33%
34%
38%
33%
13%
20%
43%
57%
33%
0%
35%
41%
38%
35%
23%
25%
32%
22%
40%
34%
30%
40%
Q3A. In 2011, how do you expect your marketing budget to change from 2010? Do you expect it to?
Q3B. Can you specify the % that it is likely to increase?
Q3C. Can you specify the % that it is likely to decrease?
50%
60%
26%
70%
80%
90%
100%
9
Most organisation types and most industry sectors are reducing marketing budgets in
2013, with only smaller organisations, professional services and Not for Profit growing
budgets.
2007
Budget
2008
Budget
2009
Budget
2010
Budget
2011
Budget
2012
Budget
2013
Budget
Change
from 2012
95
100
102
109
113
117
118
0.9%
0 to 100
94
100
103
112
118
130
138
6.0%
101 to
1,000
94
100
101
108
113
115
113
-1.7%
1001 +
94
100
102
109
109
109
105
-3.6%
< $30
94
100
103
112
119
129
135
4.4%
$ 31 -150
96
100
101
109
116
116
116
0.2%
$ 151 +
94
100
102
108
110
112
111
-1.0%
Financial Services
98
100
99
104
102
102
100
-2.3%
Manufacturing
95
100
105
115
120
119
112
-6.0%
Education*
95
100
106
114
116
118
117
-0.9%
Professional Services
91
100
105
111
119
125
133
6.0%
Retailing
92
100
96
103
110
118
112
-4.7%
Media & Communications
107
100
91
95
101
103
100
-3.1
100
107
110
2.9%
Total
Number of
Employees
Annual Turnover
(millions)
Not for Profit*
*Base year is 2011
10
Customer acquisition
Marketing Priorities
Measures to increase sales and
maximise efficiency of marketing
expenditure continue to be the top
marketing priorities.
Maintaining, building brand(s)
Measures to increase current period profits
Customer retention
New product development
More Focus Less Focus
Measures to increase sales
Maximising efficiency of marketing expenditure
More profitable market segments
2009
65%
2%
2010
58%
2%
2011
66%
2%
2012
63%
2%
2009
68%
2%
2010
61%
2%
2011
62%
4%
2012
58%
3%
2009
52%
2%
2010
50%
2%
2011
52%
2%
2012
51%
3%
Pricing issues
Channels, channel partners
Longer term return on marketing investment
Internal marketing
Your direct competitors
Q4. Have your marketing priorities shifted in the past 12 months?
2009
2010
2011
2012
2009
2010
2011
2012
More Focus Less Focus
56%
8%
46%
6%
63%
6%
49%
7%
50%
8%
52%
6%
53%
11%
47%
11%
2009
47%
2%
2010
2011
2012
2009
2010
2011
2012
2009
2010
2011
2012
2009
2010
2011
2012
2009
2010
2011
2012
37%
49%
47%
58%
45%
48%
45%
43%
46%
41%
42%
47%
35%
36%
36%
39%
45%
38%
34%
3%
4%
3%
2%
4%
4%
4%
19%
9%
15%
12%
8%
9%
6%
5%
8%
6%
11%
7%
2009
33%
18%
2010
2011
2012
2009
2010
2011
2012
2009
2010
2011
2012
27%
33%
29%
33%
33%
36%
28%
23%
18%
21%
16%
14%
16%
17%
16%
19%
20%
20%
14%
15%
16%
16%
11
Effectively getting your message to market
Major Marketing
Challenges
Acquiring new customers,
maintaining current
customers, along with
effectively getting the message
to market, continue to be the
major challenges for senior
Australian marketers.
Acquiring new customers
Maintaining current customer base
Demonstrating the contribution of marketing
to senior management
Maintaining pricing /margins
Committing sufficient budget to long
term goals
Maintaining marketing budgets
Product issues
Dealing with competition
Supply channel, distribution issues
Q5. What are the major marketing challenges you are facing in your organisation today.
2009
2010
2011
2012
2009
2010
2011
2012
2009
2010
2011
2012
2009
2010
2011
2012
2009
2010
2011
2012
2009
2010
2011
2012
2009
2010
2011
2012
2009
2010
2011
2012
2009
2010
2011
2012
2009
2010
2011
2012
54%
35%
51%
37%
50%
39%
52%
38%
45%
39%
47%
30%
52%
35%
34%
50%
51%
36%
40%
36%
46%
36%
38%
45%
36%
42%
34%
38%
38%
38%
34%
35%
37%
37%
31%
33%
33%
36%
39%
31%
27%
46%
30%
40%
28%
42%
25%
42%
29%
45%
30%
38%
31%
39%
29%
37%
30%
38%
28%
40%
29%
41%
26%
35%
24%
39%
22%
37%
24%
38%
18%
40%
20%
35%
18%
39%
20%
32%
18%
34%
Very high level
High level
12
Use of social networking and Web 2.0 is high but growth is less
pronounced. The popularity of Viral marketing has decreased.
Social Networking and Web 2.0 applications
Online advertising
Public relations
Viral marketing
Direct marketing
Mobile / SMS
2009
2010
2011
2012
2009
2010
2011
2012
2009
2010
2011
2012
2009
2010
2011
2012
2009
2010
2011
2012
2009
2010
2011
2012
-6%
-2%
-2%
-2%
-9%
-5%
-4%
-4%
-10%
-10%
-10%
-13%
-9%
-6%
-9%
-8%
-9%
-12%
-11%
-15%
-13%
-9%
-7%
-9%
61%
71%
77%
66%
63%
64%
64%
56%
46%
44%
47%
34%
34%
43%
32%
23%
50%
41%
48%
38%
34%
35%
46%
30%
Using more
Q6. Has your use of different communications channels changed in the past 12 months?
Using less
13
Traditional media is being used more by a minority of marketers e.g.
Free to air TV (4%), print (12%) and radio (8%).
Point of sale advertising
Outdoor
Free to air television
Sponsorships
Pay Television
Print advertising
Radio advertising
2009
2010
2011
2012
2009
2010
2011
2012
2009
2010
2011
2012
2009
2010
2011
2012
2009
2010
2011
2012
2009
2010
2011
2012
2009
2010
2011
2012
-14%
-13%
-11%
-15%
20%
27%
28%
24%
-31%
-18%
-23%
-19%
11%
-35%
-23%
-28%
-17%
-34%
-22%
-25%
-26%
-32%
-19%
-24%
-16%
-38%
-27%
-35%
-42%
-31%
-28%
-23%
-22%
Using more
Q6. Has your use of different communications channels changed in the past 12 months?
28%
31%
32%
21%
23%
18%
8%
22%
22%
28%
22%
22%
21%
18%
4%
20%
19%
19%
12%
25%
18%
23%
8%
Using less
14
Similar to prior years, most senior marketers (76%) feel positive about the role and
influence of marketing in Australia. Furthermore, 72% of marketers are highly
positive about the role & influence of marketing within their own organisations.
In Australia
2009
16%
2010
17%
2011
16%
2009
32%
2012
24%
46%
58%
Positive (6-7)
11%
47%
49%
14%
Neutral (5)
7%0%
12% 1%
10%
45%
28%
Very Positive (8-9)
9%
64%
31%
2011
9%
61%
2012
2010
In your
organisation
67%
8%
11% 2%
10% 2%
11%
13%
3%
10%
14%
3%
15%
Negative (3-4)
9%
12% 1%
Very Negative (1-2)
Q1. How do you feel about the role and influence of marketing in Australia organisations today?
Q2. How do you feel about the role and influence of your marketing department/team in your organisation today?
15
Senior Marketers - Sample Characteristics
Industry
2009
2010
2011
2012
Category
N=
%
N=
%
N=
%
N=
%
Financial Services
57
17%
42
11%
50
14%
17
7%
Manufacturing
49
14%
47
13%
32
9%
36
14%
Education
32
9%
37
10%
36
10%
14
5%
Professional Services
32
9%
31
8%
44
12%
47
18%
Retailing
25
7%
17
5%
20
5%
16
6%
Media & Communications
23
7%
30
8%
25
7%
15
6%
Other
127
37%
165
45%
158
43%
111
43%
Total
345
100%
369
100%
365
100%
256
100%
Q8. In which sector does your organisation operate primarily?
16
Senior Marketers - Sample Characteristics
Number of Employees of Organisation
2009
2010
2011
2012
Category
N=
%
N=
%
N=
%
N=
%
0 to 100
92
27%
104
28%
105
29%
101
40%
101 to 1,000
153
44%
136
37%
153
42%
78
31%
1001 +
100
28%
129
35%
107
29%
76
30%
Total
345
100%
369
100%
365
100%
255
100%
Annual Turnover (millions)
2009
2010
2011
2012
Category
N=
%
N=
%
N=
%
N=
%
< $30
110
33%
61
30%
72
31%
64
36%
$ 31 -150
87
26%
43
21%
68
29%
51
29%
$ 151 +
138
41%
100
49%
96
41%
64
36%
Total
345
100%
204
100%
236
100%
179
100%
Q9. How many employees are there currently working for your organisation in Australia?
Q10. What is your organisations approximate annual turnover in Australia (in AU$ millions)?