Download The future of marketing: eight trends

The future of marketing:!
eight trends !
October 2015
Contents
Overview
The future of marketing: eight trends
3
4
The new competitive set
5
The client-agency relationship redefined 10x in 10 years
6
7
Social integration
8
The emergence of dimensional marketing
9
Digital decoupling
In-house design firm inefficiencies
10
11
Word of mouth marketing 12
Summary
Sources
13
14
Overview
For decades, marketing has been a cyclical exercise. Hire an
agency, create a campaign, launch and repeat. Looking towards the future, the MadMen era where creative
trumps planning, brands control consumer behavior, and
companies sign AORs, no longer holds true. We are entering a modern marketing landscape that craves
measurability more than creativity, experiments with nontraditional agency partnerships, and invests in the corporate
internalization of creative thinking. The Future of Marketing
| October 2015 |
3
Future of marketing: eight trends
1.  The new competitive set
2.  The client-agency relationship redefined 3.  10x in 10 years
4.  Social integration
5.  The emergence of dimensional marketing
6.  Digital decoupling
7.  In-house design firm inefficiencies 8.  Word of mouth marketing
The Future of Marketing
| October 2015 |
4
The new competitive set The addition of creative talent to technology powerhouses
like Google and Facebook, the data challenge from Amazon
and Google, and IBM’s $100 million investment in marketing
consulting has introduced a broad competitive set. Martin Sorrell of WPP is pushing integration of media buying
and data/analytics to combat the competition, and predicts
a rising importance of media planning and procurement. The Future of Marketing
| October 2015 |
5
The client-agency relationship redefined Clients think that traditional agencies are playing catch-up in
digital. They no longer view today’s relationships with
agencies as partnerships, and are taking steps to shift
strategic thinking and planning in-house. Companies plan to move from the exclusive AOR
arrangement to a hybrid relationship of AOR and project
assignments. Fragmentation of the marketing mix will ultimately push
toward the emergence of non-traditional agency partners.
The Future of Marketing
| October 2015 |
6
10x in 10 years
Technology spend by CMOs is expected to increase 10x in
10 years from $12 billion to $120 billion, unlocking a huge
opportunity for marketing technology companies and
opening the door to the “Decade of the CMO.” This continues a trend, developed over the past few
decades, where each successive wave of technology has
disrupted a new line of business and catapulted its executive
into an expanded role.
Technology is estimated to be 10% of the $1.2 trillion total
marketing spend in 2025.
The Future of Marketing
| October 2015 |
7
Social integration Social integration, Deloitte Digital suggests, is the future of
marketing. Businesses that learn to integrate and leverage social
capabilities will be able to better plan their sales pipeline,
respond to spikes in conversation related to their
competitors and the industry at large, and provide more
authentic customer support.
Social has evolved from a medium for sharing to a medium
for one-on-one engagement between businesses and their
customers. The Future of Marketing
| October 2015 |
8
The Emergence of dimensional marketing The modern era for marketing is being formed around four
new dimensions: customer engagement, connectivity,
information and next-generation technology. A new vision for marketing is emerging as CMOs and CIOs
invest in technology for marketing automation, next
generation omnichannel approaches, content development,
customer analytics, and commerce initiatives.
Dimensional marketing replaces linear marketing constructs
grounded in the 4Ps (product, price, promotion and place).
The Future of Marketing
| October 2015 |
9
Digital decoupling The practice of digital decoupling – where marketing and
brand teams separate and work with different partners to
complete creative and production activities – is fast
becoming a marketing best practice. Moving forward, digital content providers will need to
invest and deliver in the dimensions of speed, agility, focus,
and scale.
The Future of Marketing
| October 2015 |
10
In-house design firm inefficiencies Companies are buying design firms in the name of moneysaving efficiency. In doing so, companies lose the outside perspective that
independent design firms offer. For a growing cohort of businesses, the independence of
external design consultancies is exactly what they need to
see their future clearly and march purposely toward it.
The Future of Marketing
| October 2015 |
11
Word of mouth marketing Word of Mouth Marketing (WOMM) is the new brand
storytelling, earning enviable consumer trust. The reach of WOMM is substantial, influencing 50% of
purchase decisions. For CMOs to thrive in the WOMM world, they rely on
solutions across these four dimensions:
1.  Content creation
2.  Content curation
3.  Workflow management/analytics
4.  Advocate management
The Future of Marketing
| October 2015 |
12
Summary
As consumers have more control than ever before, brands
must invest in the two-way conversations across digital
platforms through social integration. Incoming CMOs will need to balance scientific and creative
thinking to optimize campaign results, paying special
attention to developments in the frontier of marketing
technology. Brands must also adjust strategic thinking to accommodate
the four evolving marketing dimensions: customer
engagement, connectivity, information and next-generation
technology. The Future of Marketing
| October 2015 |
13
Sources
The new competitive set:!
“Sir Martin Sorrell’s View on the Future of Marketing Services”
!
!
The client-agency relationship redefined:!
“What CMOs Are Saying About The Future Of Their Relationships With Agencies” !
!
10x in 10 years:!
“MarTech and the Decade of the CMO”
!
!
Social integration:!
Digital Marketing Today Needs a New Type of Insight!
!
The emergence of dimensional marketing:!
MarTech and the Decade of the CMO
!
Digital decoupling:!
Campaign Management: Marketing and Brand Teams Divide and Conquer !
In-house design firm inefficiencies:
A UX Legend On the Much-Rumored Death Of The Design Firm
!
Word of mouth marketing:!
How Word of Mouth Marketing is Transforming Brand Storytelling
The Future of Marketing
| October 2015 |
14
Thank you.
Whether developing a brand strategy, crafting a positioning,
designing an identity or website, or instituting an employee
engagement program, we employ an approach called Informed
Collaboration.
A balance of pragmatism and passion, it’s an approach where
we work with one another and clients, guided by a medianeutral perspective, to find solutions based on an organization’s
real capability to execute.
There are no templates, no formulas: just an internal and
external knowledge pool that collectively works from the
premise that, if you want different answers, you have to ask
different questions.
515 West 20th Street, 3rd Floor New York, NY 10011 T 212 463 5100 F 212 463 5199 infiniagroup.com
‹#›
McKinsey Solutions Organizational Health Index | Positioning Worksession | June 4, 2012