The Evolving Role of the CMO

Did the widget’s ability to keep the beer cooler matter enough to invest millions in a global TV advertising campaign? Would that transform a dusty global brand into something your ad agency assured you would win all the accolades at the Cannes Lions Awards, the praise of your bosses, and the envy of your peers?

Then, you took this outstanding plan to your retailers, convincing them to give you more floor space, and your commercial team, to agree on revised and appropriate pricing for the widget cans. Eventually, you remembered to add outdoor posters and maybe some press. Ensuring comprehensive coverage, you included a double-page spread in the Saturday Times, a publication well regarded by your target audience.

The internet revolutionized the CMO role

Then the internet landed. There was a brief sputter in 1999 where the Mad Men in adland and FTSE advertisers looked at each other with relief that the dot-com bubble had been just that. But all of a sudden, it was back and it changed marketing forever.

The role of the Chief Marketing Officer evolved dramatically. This shift is well known to those who’ve managed to stay ahead of the curve. 

A decade ago, mid-level marketing managers were struggling to adapt their traditional brand strategies to the relentless waves of multi-platform segmentation, behavioral targeting, and the rise of data-driven media agencies that had replaced the creative "Mad Men" of old. Today, many of those same managers are now leading the charge – if they haven’t been pushed out for failing to keep pace with the rapid changes. 

But is the CMO now in crisis?

So, what does this mean for today’s CMOs? In nearly three decades, we’ve never seen so many seasoned CMOs entering the job market. These are individuals with substantial experience, both high IQ and EQ, a track record of marketing successes, and early-career credentials from blue-chip companies like Coca-Cola or P&G. So, what’s driving this shift?

The AAR Burning Platforms Report 2024, a joint effort between AAR and The Drum, explores these challenges and concerns. The report combines quantitative data from a UK-wide study with qualitative insights gathered from over 100 senior marketers from leading companies such as BT, Halfords, HSBC, M&S, Samsung, and Tesco.

However, achieving this is easier said than done, given the complexity of platform limitations, global mandates, and inconsistent third-party data. This challenge has brought the Chief Data Officer closer to the CMO than ever before.

The ability to measure and prove marketing ROI is crucial, yet 55% of marketers struggle to link their efforts to business growth. As a result, CMOs need to possess strong analytical skills, ensuring their marketing metrics align with business objectives to clearly demonstrate the value of their strategies.

This approach only succeeds if systems and teams work together seamlessly. The ability to adapt to rapid change is essential at every level of the marketing team, requiring a "start-up" mentality but with the risk tolerance typical of a large corporate environment. 

They must also be proficient in technology management and data analytics, ensuring these tools are optimized to deliver maximum value.

Talent and team structure have also emerged as critical challenges. The report highlights a talent crisis, with 75% of CMOs stressing the need for upskilling and restructuring teams to meet evolving market demands. With AI now at the forefront, many companies must undertake a complete overhaul of their approach to third-party platforms and risk. This is especially difficult in creative industries, where Gen AI is significantly impacting the TV, film, and music sectors.

The CMO role is still the same at heart

So, where does this leave us? The future CMO – assuming they aren’t rebranded as Chief Growth Officer, Chief Customer Officer, or even Chief Product and Marketing Officer – will face a more fragmented role. Their responsibilities will vary depending on industry dynamics and the company's level of technological maturity. This complexity will certainly make things interesting for CEOs and their search partners.

But at its core, the essence of the role hasn’t changed in centuries: identify a product’s value for a specific audience and communicate it in a compelling way that drives engagement. Do this consistently, and eventually, your audience will promote it for you. The tools may evolve, but the fundamentals remain the same.

As they say, the more things change, the more they stay the same.

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