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Marketing 2025

The future of skills and technology in marketing


across Australia and New Zealand
2 © Marketo, Inc. Confidential.
2025: A Marketer’s Look Ahead

Marketers are in the midst of the tools that enable these will sit third. Pipeline generation drops
unprecedented changes, fuelled on top of the shopping list. out of the top three altogether.
by business technology and—
just as powerfully—by changing The corollary is that many current The really big change between
consumer expectations. When activities such as email marketing, now and the world of seven
surveyed about the future, they social media marketing, and digital years in the future concerns lead
describe a professional work media marketing are expected generation. Across the board,
environment very different from to decrease—in some cases, marketers believe this will be
the one they occupy today. dramatically. much less of a priority. Among
large companies, the drop is from
For starters, marketers are While the tools marketers use and 18% to 6%, for medium companies
predicting huge changes ahead the skills they need will change, from 21% to 6%, and in smaller
in the kinds of tools they will use the core focus will not. Customer companies (who presumably
and the skills they will need to lifetime value will replace expect to be bigger companies by
do their jobs. Machine learning, customer retention as the top then) the proportion of marketers
sophisticated analytics, and priority, though retention remains who say it will be a top priority
neuromarketing are seen as in second place. The big mover craters—dropping from 26% to
the most important skills in the is marketing-sourced revenue, 9%. That decline represents one of
marketing department in 2025, and which jumps from sixth today to the biggest changes in the survey.

© Marketo, Inc. Confidential. 3


Top priority for marketing KPIs in 2025 (by size of organisation)
31%
Customer lifetime value 22%
27%

18%
Customer retention 25%
21%

12%
Marketing sourced revenue 14%
10%

7%
Cost per lead/acquisition 8%
9%

8%
Market share 6%
8%

6%
Lead generation 6%
9%

7%
Net Promoter Score (NPS) 6%
4%

5%
Vanity metrics 6%
3%

2%
Pipeline generation 5%
5%

3%
Forecasted pipeline/revenue 2%
4%

3%
Other 0.5%
0.4%

Q5 What do you imagine will be the key performance indicators for marketing in 2025? Please indicate the Large
top three. (n=756) Medium
*Vanity metrics: Open rates, click-through rates, likes, shares Small
Weighted average calculated by upweight of first priority by a factor of three and second priority by a
factor of two

We drilled into the results to look perception of marketing’s value Just for fun (and maybe as therapy)
for differences based on the size declines as companies get larger. we asked marketers to identify
of the companies and industry Among the largest companies, the worst excuses they had ever
segments. And we investigated the some of the perceptions are been told for why an initiative was
differences between how CMOs worryingly dismissive. knocked back.
see the future compared to the
people they work for: the CEOs. Finally, we gave marketers the
chance to tell us what gets in the
The survey also looks at current way of getting new initiatives. Not
behaviour and expectations. surprisingly, budget and the need
We examined the perceptions of to demonstrate ROI top the list.
marketing (spoiler: marketers
are their own worst enemies),
and we also found that the

4 © Marketo, Inc. Confidential.


Marketing 2025 - The Survey
In May, we asked over 700 senior us to check the alignment—and After we collected all the data, we
executives to imagine the future. any disconnection—between went back to a smaller group of
In particular, we asked them what the CMO and the CEO. While we marketing leaders and asked them
the world of marketing would look found both, the good news is to provide some context around
like in the year 2025 and how it that marketers and their CEOs are the data.
compared to the job marketers reasonably aligned. There was
do today. an interesting subtext though:
marketers are more likely than
While the overwhelming majority CEOs to believe that marketing is
of those we surveyed were poorly perceived.
marketing leaders, we also sought
the opinions of CEOs. This enabled

Marketing Maturity Today


We started by asking marketers important differentiator. Indeed, The importance of tools and
what sets their team apart from they were three times as likely technology was especially
their peers and competitors. as medium-sized businesses and pronounced in the finance sector,
The answer confirmed a trend twice as likely as large businesses where almost three quarters
that has been recognised for to hold this view. of executives say tools and
some years now: the growing technology set their teams apart—
importance of technology. Large and medium-sized representing one of the strongest
companies, meanwhile, said tools results in the entire study.
Indeed, the number one factor that and technology provided them
marketers believe sets their team with the critical difference to Only 3% of marketers we asked
apart is their investment in tools their peers, and at 47% and 49% considered their teams to be
and technology. At 45%, this was respectively, their views were cutting edge compared to 9% of
rated more important than either very consistent. CMOs, but overall CEOs are more
superior skills or executive buy-
in. CEOs and CMOs are in furious
agreement on this point—returning
exactly the same scores. There
were some differences, however,
with more CEOs also saying that
skills and executive buy-in are
factors that set their marketing
teams apart.

The size of organisation a marketer


worked for had a significant impact
on their views. For instance,
smaller businesses nominated the
skills of their teams as the most

© Marketo, Inc. Confidential. 5


likely than marketers to think their This is consistent with the When we asked marketers what
competitors are doing a better job. feedback from marketing leaders was stopping them from the
Just under a quarter of those we we spoke to, who said getting overall maturing of the marketing
surveyed believed their teams to budgets approved for tools and team, budget (28%) emerged as
be better than their competitors. technology is often easier than the top answer followed by a lack
convincing their bosses to spend of management buy-in (25%) and
Instead, the sentiment that money on staff helping them to too few staff (20%). Interestingly,
comes through in the survey is make the most of those tools. when we dove into the attitudes
one of frustration. Almost 30% of CEOs and marketers it looks
of executive said they lagged That needs to be weighed against like the CMO should ask a little
their competitors when it comes the 22% of marketing leaders more loudly.
to skills. A further 10% said that who said they had the skills but not
while they had the right tools, they the tools!
lacked the skills to use them.

What’s holding back marketing maturity (CMO vs. CEO/owner/board)


38%
We need more budget 32%

6%
We need more executive buy-in 32%

28%
We need more staff 14%

13%
Other 12%

18%
It is what it is.. 11%

Q2 What is the core reason for this? (n=108) CEO/owner/board (n=35)


CMO (n=73)

6 © Marketo, Inc. Confidential.


CMOs (31%) are almost six management buy-in problem. In particular, retailers are
times more likely to identify pessimistic about their
executive buy-in as the core Larger companies are less likely to sophistication, while
problem compared to CEOs view themselves as leading edge manufacturing is split. On the
(6%). Meanwhile, twice as many compared to smaller companies. one hand, 27% of manufacturers
CEOs identified staff shortages This reflected the sentiments believed themselves to be
as the core problem compared expressed to us during subsequent more sophisticated than their
to marketers. It’s almost like interviews with marketers—that competitors, but nearly 37% said
they have each identified the start-ups and disruptors are they needed to catch up.
same problem, but they haven’t more willing to adopt the most
discussed it! current technology and are more And not a single marketer from
able to take chances on new manufacturing considered their
Larger companies were three technology as they don’t have business to be leading edge.
times more likely to identify to worry about formal standard Not one.
management buy-in as the core operating environment guidelines
problem compared to smaller or infrastructure inertia holding
companies where management them back.
structures are flattened and the
boss likely sits on the other side of Large companies are also
the cubicle divider. more likely to say they lag their
competitors in marketing
Finance companies by a very maturity, and barely 1% of large
significant margin, of three to one, companies consider themselves to
versus manufacturers and retailers be leading edge.
at a margin of two, identified the

Skills and maturity of marketing function (by industry)


32%
We need to catch up with our competitors 37%
30%

We’re pretty sophisticated, more than most 23%


of our competitors 24%
27%

We’ve got the right skills, 17%


23%
but not all the tools 30%

13%
We’ve got the tools, but not the right skills 7%
11%

We’ve got the skills and tools we need to 2%


perform well 7%
3%

We’re not the most sophisticated, and we 9%


7%
don’t need to be 1%

We’re cutting edge 0%


2%

(very few if any, do what we do) 1%

Q1 How would you describe the skills and maturity of the marketing function in your organisation and Wholesale/retail trade
sector in Australia (n=186) Manufacturing
Finance

7 © Marketo, Inc. Confidential.


Today’s Priorities
For the next twelve months, they are with where the next sales
marketers say their top priorities lead is coming from.
are customer retention, lead
generation, and customer lifetime On these points CEOs and CMOs
value. In many ways, this looks are in lockstep in terms of the
like the natural result of the shift order they rank these issues—14%
over the last few years to customer and 22% respectively. CEOs remain
experience-led marketing. more focused on customer lifetime
value than marketers currently
Under such circumstances, it is not (22% vs. 16%) while marketers still
surprising that two of the three top show more of a preference for
three issues are as concerned with market share (8% vs. 11%).
what the customer does next as

Priorities for next 12 months (comparing first priorities for CMO vs. CEO/owner/board)
24%
Customer retention 24%

22%
Lead generation 22%

22%
Customer lifetime value 16%

8%
Market share 11%

10%
Pipeline generation 10%

13%
Marketing sourced revenue 9%

6%
Cost per lead/acquisition 6%

0%
Net Promoter Score (NPS) 4%

2%
Forecasted pipeline/revenue 2%

Vanity metrics 0.0%


0.8%

3%
Other 4%

Q4 Thinking about your organisational key performance indicators, please indicate the top three priorities CEO/owner/board (n=63)
over the next 12 months. (n=181)
CMO (n=118)
*Vanity metrics:Open rates, click-through rates, likes, shares

8 © Marketo, Inc. Confidential.


And here is an interesting data However, that changes at medium- And small companies share
point: not a single CEO in any sized businesses who are focused something in common with the
company—no matter the size, no on customer retention rates as CEOs of large companies: they
matter the segment—nominated their most important priority couldn’t care less about NPS, with
Net Promoter Score as a priority. (28%). For smaller companies, lead only one rating it a priority.
Not one. generation matters the most. As
anyone who has ever worked for a
There are clear differences around start-up or fast-growing insurgent
priorities depending on the size of understands, it’s all about the top
the business. line (have to get the cash in quick)!

In marketing departments at larger


companies, customer lifetime
value is their top priority today.

9 © Marketo, Inc. Confidential.


Marketing Investment Priorities
Today, marketing budgets are social, takes about 37% of the areas such as paid social, direct
prioritised around advertising spend. Compare that to platform/ marketing, marketing automation,
spend, with three of the top tech investments like CRM, and CRM.
five marketing budget items CMS, and marketing automation
reflecting this. and social media tools, which CEOs believe that about 30% of
collectively account for 33%.That the money is going to technology
The top five areas of spend are means Australia, like the more and 40% is going to advertising,
search engine marketing (SEM) mature markets overseas in the US while for marketers the figures are
& pay-per-click (PPC), traditional and UK, is rapidly approaching the 18% and 44% respectively. CEOs
advertising, CRM, paid social, day when technology spending also underestimate the headcount
and headcount. outstrips campaign spending—a and contractor costs compared
trend that has been evident for the CMOs—6% to 23%.
SEM and PPC, along with some time.
traditional advertising and paid Sounds like it might be worth it
The larger a company is, the to sit down with the boss and
less it invests in technology as running them through the budget.
a percentage and the more it
invests in advertising. Smaller Larger companies spend more
companies have almost achieved on traditional advertising than
parity between their tech spend smaller companies, which makes
and their ad spend, while the gap sense, if only because they have
remains very pronounced among more money to spend on more
larger companies. expensive platforms like TV.

CEOs and CMOs also have very Smaller companies prefer paid
different perceptions about how social as a channel more than
the money is being spent. larger ones, likely because the
cost of entry is so much lower.
Marketers (who, after all, put
the budgets together) say Retailers love traditional
significantly more is spent on advertising more than their peers.
SEM, traditional advertising Manufacturers are much more likely
headcount, and contractors. to invest in CRM—which makes
CEOs are more likely to believe sense since CRM is a B2B platform.
the money is being spent in

“CEOs believe that about 30% of


marketing budget is going
to technology.”

10 © Marketo, Inc. Confidential.


Marketing investment priorities – weighted ranking
Highest
Second Third Weighted
priority

1 SEM & pay-per-click 14% 12% 7% 15%

2 Traditional advertising 16% 8% 7% 14%

3 Customer relationship
management (CRM)
9% 8% 5% 10%

4 Paid social 7% 9% 9% 10%

5 Headcount/staffing 9% 5% 7% 8%

6 I'm not sure 6% 6% 8% 8%

7 Direct marketing 5% 7% 8% 8%

8 Content creation & strategy 4% 7% 8% 7%

9 Marketing automation 6% 5% 6% 7%

10 CMS/web 5% 6% 5% 7%

Field events 5% 5% 5% 6%

Agencies 4% 5% 5% 5%

Social media marketing tools 2% 5% 6% 5%

Other 3% 1% 0.4% 3%

Public relations 1% 3% 3% 3%

Commercial sponsorship 1% 3% 3% 3%

Content syndication 2% 2% 1% 2%

Contractors 0.5% 1% 2% 1%

Q11 Please rank the top three areas of marketing investment from the largest to the smallest proportion of
your annual budget. (n=756)

Weighted average calculated by upweight of first priority by a factor of three and second priority by a
factor of two

11 © Marketo, Inc. Confidential.


Measuring ROI
Most marketers are still struggling could easily measure performance companies. In fact, almost half the
to measure performance and ROI and ROI. large companies surveyed said
(and yet don’t plan on investing they struggle to measure ROI.
heavily in attribution technology in Smaller companies are closer to Only 10% of manufacturers have
future, which suggests they care the impact of the marketing than a handle on ROI, and a majority of
less than they should). bigger ones. Almost 40% of small marketers in finance, retail,
companies said they could easily and manufacturing struggle
Only about a third of executives measure performance and ROI on this measure.
agree with the statement that they compared to only 29% of large

Ease of performance and ROI measurement – by industry


36%
Yes 10%
31%

52%
No 63%
52%

7%
Unsure 20%
13%

5%
Other 7%
4%

Q12 Are you able to easily measure the performance and return on investment from your spend? (n=756) Wholesale/retail trade
Manufacturing
Finance

Predictions for 2025


Here’s the headline: a marketer kinds of tasks where machines are leaders interviewed as part of the
today may not recognise the expected to make better decisions survey believe the days of their
marketing team of tomorrow. than people make today. departments being viewed as “the
Artificial intelligence and data colouring-in department” will be
analytics will be the key tech There will be less emphasis left in the rear-view mirror.
drivers and there will be a strong on transactional metrics and
focus on neuromarketing, which much more focus on the overall Those same marketing leaders
barely exists today. relationship with the customer, are very clear about where
according to marketing leaders. responsibility for this changing
The day-to-day work of marketers They believe the most important perception lies—and it’s not
will change dramatically. For metric they will be judged on in outside with their peers. Instead,
instance, there will be much less future is customer lifetime value. the regard in which marketing
emphasis on decisions around is held is owned lock stock and
email marketing or social media. As marketing-sourced revenue smoking barrel by the CMO. Our
Rather, they are precisely the grows in importance, marketing panel of senior marketers are

12 © Marketo, Inc. Confidential.


adamant that any problems with measure of marketing success. The
management buy-in or being main change is that CEOs will have
misunderstood by peers will no finally started engaging—in a small
longer be tolerated by anyone on way—with the idea.
the C-suite—least of all by the head
of marketing! By 2025 CMOs and CEOs will
be aligned around the top three
Marketers expect that by 2025, priorities: lifetime value,
customer lifetime value will be the customer retention, and
most important priority. Customer marketing-sourced revenue.
retention is expected to drop into
the second spot, and marketing- In the marketing department of
sourced revenue will enter the tomorrow, marketers expect to
top three, which is a big change have much more direct input into
on where it sits on the priority list revenue generation, irrespective
today at sixth. of company size. In all instances,
marketing-sourced revenue came
Pipeline generation also drops out in as the third top priority. Among
of the top five and is replaced by large companies, the number of
expand CPA, thanks to much more marketers who rated this a priority
sophisticated AI-driven technology doubles from the 2018 result.
and attribution modelling.
The really big change between
Despite the complete disinterest in present day and the marketers
Net Promoter Scores by the CEOs of 2025 concerns the number of
who responded to this survey, NPS marketers who believe
is expected to be more of a priority lead generation will still be a
in 2025, although still not a major top priority.

Priorities for next 12 months (weighted average)

Customer retention 24%

Lead generation 22%

Customer lifetime value 17%

Market share 16%

Pipeline generation 10%

Marketing sourced revenue 9%

Cost per lead/acquisition 7%

Net Promoter Score (NPS) 5%

Forecasted pipeline/revenue 4%

Vanity metrics* 4%

Other 3%

Q4 Thinking about your organisational key performance indicators, please indicate the top three priorities over the
next 12 months. (n=756)

* Vanity metrics: open rates, click-through rates, likes, shares


Weighted average calculated by upweight of first priority by a factor of three and second priority by a factor of two

13 © Marketo, Inc. Confidential.


Predictions for marketing KPIs in 2025 (weighted average)
Customer lifetime value 30%

Customer retention 23%

Marketing sourced revenue 13%

Market share 12%

Cost per lead/acquisition 11%

Lead generation 9%

Net Promoter Score (NPS) 7%

Pipeline generation 6%

Vanity metrics* 5%

Forecasted pipeline/revenue 5%

Other 2%

Q5 What do you imagine will be the key performance indicators for marketing in 2025? Please indicate the
top three. (n=756)

*Vanity metrics: open rates, click-through rates, likes, shares


Weighted average calculated by upweight of first priority by a factor of three and second priority by a
factor of two

Across the board, marketers that retailers aren’t quite as


believe this KPI will decline as the enamoured as their peers in
relationship with the consumer manufacturing and finance.
switches from transactional Among retailers, a quarter believe
to experiential. Among large their top priority in seven years’
companies, the drop is from 18% time will be customer retention,
to 6%. For medium companies while marketing-sourced revenue
it’s from 21% to 6%, and in smaller will be placed second, and
companies (who presumably customer lifetime value relegated
expect to be bigger companies to third place.
by then) the number of marketers
who say it will be a top priority Marketing-sourced revenue
craters—dropping from 26% to also doubles as a priority in
9%. That decline means 65% of finance and more than doubles
marketers in small companies in manufacturing.
who think lead generation is a
top priority today don’t think it
will be in seven years. This shift
represents one of the biggest
changes in the survey.

While across the board customer


lifetime value tops the results
in 2025, it is worth noting

14 © Marketo, Inc. Confidential.


Skills for 2025
No result in the study more operations. Put another way, team in 2025, according to
demonstrates the huge extent to marketing will be a technology hub. survey respondents.
which the work of marketers will The corollary to these changes
change over the coming decade Some of the changes in marketing is decline in the importance of
than the expectations around capabilities are staggering. current capability priorities. All
skills. Niche capabilities today will four of the skills rated as top
emerge as the most important There is a huge increase in the priorities today will fall away. That
skills, while the current tasks number of marketers who say includes digital marketing and
performed by the marketing team they will need AI capabilities media— down from 73% today
will decline in importance or be for machine learning up from to 52%. Social media marketing
automated into oblivion. 6% today to 60% by 2025—and will halve from 66% to 33%, and
neuromarketing, which leaps from content marketing falls from
In 2025, the most in-demand skills a 8% niche to 52% by 2025. 63% to 39%.
in marketing will be centred around
analytics, data & insights, CX/UX, AI Not surprisingly, the foundational Another staggering result: general
& machine learning, Vanity metrics: enabling technology behind marketing skills are expected to fall
open rates, digital marketing & these two trends—sophisticated entirely out of fashion, according
media (though this is declining), data analytics—will be the most to the executives we surveyed—
and marketing technology & important skill in the marketing dropping from 65% today to just
13% in 2025. In manufacturing, the
number of executives who rated
general marketing as a core skill
by 2025 is precisely zero—down
from 73% today. The retail result is
almost as pronounced, falling from
70% to just 7% in seven years’ time.

15 © Marketo, Inc. Confidential.


Predictions for marketing skills in 2025

2025 Now Change

1 Artificial intelligence/machine learning 60% 6% 54%

2 Neuromarketing/buyer behaviour 52% 8% 44%

3 Customer experience/UX/UI 66% 35% 31%

4 Experiential marketing 39% 15% 23%

5 Analytics, data, and insights 71% 52% 19%

6 Influencer marketing 33% 21% 12%

7 Marketing technology & operations 41% 33% 8%

8 Programamatic buying 22% 16% 7%

9 Ecommerce 24% 22% 2%

10 Web/app development 30% 31% -0.4%

Shopper marketing 6% 8% -3%

Segment marketing 28% 37% -10%

Telemarketing 0.8% 12% -12%

Market research 24% 35% -12%

Digital marketing and media 52% 73% -21%

Content marketing 39% 63% -24%

Public relations/corporate communications 15% 44% -29%

Social media marketing 34% 66% -32%

Field marketing & events 7% 41% -34%

Product marketing 14% 48% -35%

Generalist marketing 13% 65% -53%

Other 0.5% 0.5% 0%

Q6 What are the skills your marketing team has now? (n=756)

Q7 What are the skills that will be most important in 2025? (n=756)

16 © Marketo, Inc. Confidential.


In fact, only analytics remains a Among large companies,
top priority from the current crop the biggest increases
of top five skills. are in machine learning,
neuromarketing & learning
Outside of the top five, demand and CX, while the biggest
for PR and product marketing declines are in general
skills is also predicted to crash. marketing, product
marketing, and field
When the attitudes of CMOs marketing. (Although that
and CEOs are compared, CMOs last one sounds more like
are much more aggressive in wishful thinking to us!)
their predictions around the
changing skill mix—with one
exception: their views around the
emergence of machine learning “Across the board, marketers predict the
and artificial intelligence are very
similar to those of the CEO. coming age of the machine.”
CEOs aren’t quite as willing to
let go of traditional marketing
skills and are more likely to
rate currently popular skills
like social media marketing,
influencer marketing, web &
app development, and digital
marketing as a priority.

When it comes to machine


learning, the size of the
organisation doesn’t seem
to matter. Across the board,
marketers predict the coming
age of the machine. The scale
of change is also similar in areas
such as neuromarketing and CX.

17 © Marketo, Inc. Confidential.


Technology, 2025

The tools and technologies industry, who told us “Although I with CX not far behind. Marketers
marketers say they will use by 2025 believe that the impact of AI on also rate these very highly—but not
align with the skills they expect to marketing will be massive, as it as high relatively speaking.
find in their department—which already is in certain niches, the role
will be a relief for anyone on the of social media and email marketing When looking at company size, the
job on 1 January 2025 (and a will not decline massively by 2025. most dramatic changes appear
change for many people in the Facebook’s 2.3 billion members in the largest companies. Large
job today). are not going to disappear or be companies reported the biggest
replicated by another network by increase in a tool category with
As such, the changes to the tools 2025, and email will remain the machine learning up 65% and
marketers use will be almost as most effective lead-generation and the most significant decline with
dramatic as the changes in skills. customer-nurturing tool for small to email marketing at 63%. But while
mid-sized businesses.” these were the biggest changes
Today email marketing, social with large companies, small and
media marketing, and CRM are Advanced micro-segmentation, medium companies reflected
the most-used tools—but none of VR, and chatbots are also on similar variances.
these make the top three by 2025. the rise. Chatbots are up from
14% to 36%. This actually looks The financial services sector is
Instead, AI/machine learning for a little conservative, given they most enamoured with AI. The
content delivery, data analytics/ are gaining significant market number of executives who expect
visualisation are first and second, attention and also often the first it to be part of the marketer’s
with customer experience entry to AI for many companies. toolkit grows from 6% today to
management third. 77% in 2025. It should be noted
CMOs are much more bullish that the changes in both retail and
However, there is an important than their CEO colleagues when manufacturing are also impressive.
subtlety in this result. When it comes to the role machine Today, 5% of retailers say AI is part
we drilled behind this number, learning will play in 2025. 65% of the toolkit, but by 2025 retailers
marketers were not saying that of marketers say AI tools will be expect that to grow to 66%.
email and social won’t be part of an important part of the stack by
the mix. Instead, the view is that then, while for CEOs the figure is Meanwhile, 63% of manufacturers
they will be led by AI. only 44%. expect AI will feature in their
stack compared with precisely
Perhaps this was best described by CEOs instead believe CRM will be zero today.
a digital leader from the consulting the most important technology,

18 © Marketo, Inc. Confidential.


The Dream Technology Stack in 2025
‘Dream’ technology stack of 2025?

1 Data analytics/visualisation 65%

AI/machine learning for content


2 delivery
64%

3 Customer experience management 61%

4 Marketing automation 61%

Customer relationship management


5 (CRM)
57%

6 Advanced or micro-segmentation 54%

7 Content management system (CMS) 50%

8 Social media marketing 44%

9 Social media listening 43%

10 Marketing attribution 41%

Mobile marketing 39%

Email marketing 37%

Data warehouse 33%

Chat bot 33%

Virtual reality 33%

Live chat 30%

Ecommerce 27%

Other 2%

Q14 What technology will be in your dream technology stack in 2025? (n=756)

Data analytics, AI & machine Ecommerce rates last. In virtual reality. Again, this seems
learning, CX, marketing Australia, ecommerce often unusual given the rise of AI and
automation, and CRM are the began life outside the marketing machine learning.
five top tools in the ideal 2025 department usually in IT or in a
tech stack according to the separate silo. Clearly marketers CMOs and CEO seem to
CMOs we asked. don’t expect that to change. disagree on the efficacy of some
technologies. AI, marketing
And at the other end of the But chatbots come in at second attribution, and advanced
scale, the low scores are just as to last place, with live chat in segmentation all rate higher with
interesting as the high ones. the fourth to last spot, split by CMOs than with CEOs, while

19 © Marketo, Inc. Confidential.


‘Dream’ technology stack of 2025? CMO vs. CEO/owner/board

CEO/owner/board
CMO (n118) Difference
(n=63)

Virtual reality 25% 37% 12%

Social media marketing 42% 54% 12%

Customer experience management 57% 68% 12%

Social media listening 41% 51% 10%

Live chat 33% 4% 8%

Mobile marketing 39% 46% 7%

Email marketing 39% 41% 2%

Content management system (CMS) 55% 57% 2%

Chat bot 31% 33% 2%

Ecommerce 36% 38% 2%

Customer relationship management (CRM) 58% 59% 1%

Data warehouse 36% 35% -0.7%

Marketing automation 62% 60% -1%

Data analytics/visualisation 69% 64% -5%

AI/machine learning for content delivery 60% 49% -11%

Marketing attribution 53% 38% -14%

Advanced or micro-segmentation 63% 46% -17%

Q14 What technology will be in your dream technology stack in 2025? (n=181)

CEOs rate VR, social media, Although more large companies put AI at the top of their stack,
customer experience, and opted for AI, data analytics, and but they were more likely to want
social listening higher than their marketing automation than their to invest in technologies like VR.
colleagues in marketing. smaller peers. These were the top More retailers chose more
three, regardless of the size of options on the stack than either
The stacks don’t differ much the company. finance or manufacturing.
whether you work for small,
medium, or large companies. Manufacturers were less likely to

20 © Marketo, Inc. Confidential.


Perceptions of Marketing

Given the dramatic changes I worked for a smallish software stars but in themselves. It turns out
marketers expect to the skills they company in the past, of about a that the way marketers think they
need, the tools they need, and the hundred people, everyone used are perceived is more negative
expectations on them, we also to ask: what is it that marketing than the reality.
took the opportunity to investigate actually does? Part of the problem is
how marketing is perceived today. that unless you work for marketing, We compared the views of CEOs
customer service, or in product and CMOs.
Respondents to the survey say management, you don’t really
marketing is presently seen as engage much with customers, or CEOs provided much stronger
both a driver of revenue growth with what goes on in the market. responses to positive statements
and a partner of sales. And, consequently, you are not about marketing and much lower
exposed to marketing’s work.” responses to negative statements
The results are positive and reflect about marketing.
a change from the days when This is a common experience
marketing was considered to be for many marketers. The On each measure marketers rated
“the colouring-in department”— biggest perceived negative that positive statements about marketing
although that perception still respondents identified was a lack more negatively than CEOs
lingers. 18% of executives said that of understanding from their peers and negative statements about
was still a common opinion among about the work they do, with one marketing more highly than CEOs.
their peers. third selecting this option.

A marketing leader from the However, when it comes to


networking sector told us, “When marketers, the fault is not in their

21 © Marketo, Inc. Confidential.


How is marketing perceived? CMO vs. CEO/owner/board
Marketing is considered a driver of 81%
revenue growth 73%

Marketing is considered a partner to 67%


the sales department 60%

My colleagues do not really 22%


understand marketing 33%

Marketing is thought of as the 8%


colouring-in department 22%

Marketing is mostly considered to 6%


be an events business 13%

16%
Other 9%

Don’t know 14%

Q8 Which of the following marketing tools does your organisation use now? (n=181) CEO/owner/board (n=63)
CMO (n=118)
Q10 Please select all statements that are relevant (n=181)

Take the example of marketing considered a driver of revenue “driver of revenue” and received
as “the colouring-in department.” growth compared to only fewer votes for negatives statements
Only 8% of CEOs hold this view, 73% of marketers. like “colouring-in department” from
compared to 22% of marketers! smaller companies.
And twice as many marketers as Marketers do still have a problem
CEOs felt they were perceived as in some areas. Our survey revealed Finally, finance, manufacturing, and
mostly event managers although that the larger the organisation, retail all see marketing as a driver of
the numbers were low in both the more likely marketing is to be growth in roughly equal measure.
cases—13% and 6%. poorly perceived.

At the other end of the scale, In every case, marketing scores


81% of CEOs said marketing was stronger on positive statements like

What sets your marketing team apart


45%
Investment in technology and tools
45%

Superior skills 43%


26%

Executive buy-in 29%


24%

Other 10%
5%

Q3 What is it about your marketing team that sets it apart from other Australian and New Zealand CEO/owner/board (n=21)
organisations? (n=63) CMO (n=42)

22 © Marketo, Inc. Confidential.


MARKETING 2025 – COMMENTARY
Digital leader, Marketing Digital analytics
insurance leader, big four leader,
on the shift bank: professional
to customer “Traditional services, on
lifetime value marketing the rise of AI:
by 2025: functions like “Although I
“It’s more expensive to create a email marketing and social media believe that the impact of AI on
new business than to keep existing marketing—how quickly the world marketing will be massive, as it
customers. As more businesses turns! New technologies and already is in certain niches, the role
move to the point of having a single channels appear at an ever-faster of social media and email marketing
view of their customer, the retention rate. Machine learning and AI will will not decline massively by 2025.
and lifetime value will be easier to undoubtedly be growth areas but Facebook’s 2.3 billion members
execute. This approach also reflects I’m not so sure that email and social are not going to disappear or be
the increasing need to provide media is what they will replace replicated by another network by
outstanding customer experiences, (rather they might enhance them). 2025, and email will remain the
alongside ever-increasing The jury is still out.” most effective lead-generation and
expectations from customers.” customer-nurturing tool for small to
mid-sized businesses.”

Marketing FSI marketing Marketing


leader, leader on leader, services
technology lifetime value: sector, on the
sector: ”Smart marketers perception of
“When I worked already are marketing:
for a small-ish (especially in “I have come
software company (100 people) larger organisations). It’s hard to back into an organisation after 12
everyone used to ask: what is it refill a leaking bucket and should be months and have really noticed this
that marketing actually does? Part easier to grow share of wallet than shift—the rise of the CMO and the
of the problem is that unless you acquire new customers. If you are role they now play in organisations
work for marketing, customer large and have nimble disruptors (particularly in Australia) has been
service or in product management, nipping at your heels then you huge. It’s a shift and something that
you don’t really engage much with better be loving your customers a we just need to get used to and I
customers, and what goes on in the whole lot.” think it varies depending on industry
market. And, consequently, are not and size of organisation. It correlates
exposed to marketing’s work. That directly to the findings around how
said, CMOs and marketing directors marketers are perceived as the
often fail to tell the story internally, “colouring department”—if a CMO
which is also one of the measures of has a seat at the boardroom table, is
how strong a brand is. Management closely aligned with sales and is tied
tends to fail, whether on purpose or to bottom line revenue then I truly
not, to implement strong analytics believe this will change.”
and reporting. Including attribution.”

23 © Marketo, Inc. Confidential.


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