"A landmark book, providing marketing practitioners with the tools to
professionalize their marketing decision-making."
Philip Kotler
Do you know if your marketing is profitable? Which activities deliver the
most value? and which simply fail to deliver? These are the questions that Marketing
Payback has been built to answer.
Marketing touches every aspect of your business, but marketing costs money and there
are many choices to be made about where marketing budgets can be spent.
Sooner or later, every marketing executive will have to get to grips with demonstrating
the contribution of marketing. From deciding whether a major campaign is worth
backing, to the immediate and daily challenge of managing budgets and measuring
activities.
If you are drowning in data yet wondering whether your sales promotions are effective,
want a more reliable sales forecast or simply want to justify a marketing budget, Marketing
Payback will help you to unlock the relationship between customer insight and
financial foresight, and use them to your advantage.
These are challenges that every business faces, and questions that every marketer will
encounter. Knowing the answers to these questions will help you and your business to
back the right choices, make the right decisions and deliver more profitable marketing
performance.
Marketing Payback is every marketer's companion to sounder judgment and sharper
decision-making.
Features
- Marketing value is THE emerging topic in marketing. Over two-thirds of the UK's
Marketing Leadership Council membership see marketing accountability as more
important than ever before. (FT, 14 October 2003).
- Top quality endorsements from Philip Kotler, Jack Trout, Jean-Claude Larrache.
- Marketing value is increasingly finding interest in business schools. Teachers at
Business Schools and internal business academics will find clear expositions for teaching,
along with discussion questions. This book is based on a successful executive education
programme at Cranfield.
- Principles of evaluating marketing decisions are not to be found anywhere, not even in
Kotler.
- Worked examples of evaluations ease the difficult process of turning principles into
action.
- Case studies from successful companies, checklists and summaries throughout.
Robert Shaw is one of Europe's top experts on business modelling and
economics, specialising in the study of marketing's effectiveness and return on
investment. He advises the senior executive teams of many large organisations including
Manchester United, IBM Global Services, BP, Direct Line, British Telecom, British
Airways. He is a prolific author and has published many books, reports and articles
on marketing and CRM evaluation. He acted as advisor last year to the Chartered Institute
of Marketing on its Guideline on Marketing Effectiveness. The Institute of Chartered
Accountants has commissioned a Good Practice Guideline from Professor Shaw.
Table of Contents
Chapter 1 : Introduction: payback begins here
Part A : Is Marketing Profitable? Answers to Common Questions
Chapter 2 : Marketing's Mid-Life Crisis helps you assess your own marketing
department and assess how much you are risking from poor marketing evaluation.
Chapter 3 : Demonstrating Success shows why existing approaches to evaluating marketing
success are inadequate and looks at practical ways of demonstrating marketing payback.
Chapter 4 : The Laws of Marketing asks 'do you believe in marketing laws?' and
shows why it's worth making the effort of reading more academic marketing research to find
out what the laws are.
Chapter 5 : Measuring How Marketing Really Works shows why it's important to
understand customer psychology; why the detailed design of market research is too
important to leave to the boffins; and what is the ideal basket of measures for evaluating
marketing payback.
Chapter 6 : Tracking Trends and Forecasting Futures shows why forecasting is too
important to leave to the boffins; how to choose and brief your own modeller; what methods
are available to choose from; how to make forecasting bullet-proof.
Chapter 7 : Avoiding Decision Traps shows how to assess your own decision-making
and avoid repetitive errors and systematic bias.
Part B - Solutions to Common Marketing-Payback Problems
With all the foregoing out of the way, you are ready to dig deeper into a range of
specific marketing decisions, exploring the methods and techniques available for better
decision-making.
Chapter 8 : Expenditure Allocation tells you how to allocate money within your
marketing budget to maximise its payback; and how to challenge the common errors that
accountants often make.
Chapter 9 : Brand Identity Changes shows how by changing brand identity you can
improve business results; and how to decide on the best change to make.
Chapter 10 : Brand Portfolio Planning explains why marketing has a key role in
product launch and range-consolidation decisions; and how to decide when to expand and
when to consolidate your portfolio.
Chapter 11 : Valuing Brands and Corporate Reputation shows why marketing should
be more involved with investor relations; and examines the methods available for putting a
financial value on brands.
Chapter 12 : Marketing Communications Optimisation shows new and better ways of
choosing the best mix of media and creative executions to maximise payback.
Chapter 13 : Pricing Optimisation explains why marketing should be more involved
with pricing; and what are the best ways of setting price to maximise profit.
Chapter 14 : Sales Promotion Optimisation tells you why marketing should be
involved in controlling sales promotion; and how to determine the best mix of promotional
activities.
Chapter 15 : Customer Equity Optimisation shows a new and better way of managing
the customer base, by choosing the right number of customers and spending just enough
money on customer acquisition, cross-selling and retention.
Chapter 16 : Squeezing Value from Marketing Information helps you assess the
effectiveness of your marketing information management and how to squeeze more value from
information
Part C - Financial Planning and Control
The final chapters review the financial planning and control of the corporation, and
the changes needed to accommodate the need to optimise marketing payback.
Chapter 17 : The Number Wizard's Toolbox investigates the tools you use to hammer
the numbers - primarily spreadsheets - and explains how to use them in a disciplined way
to construct models.
Chapter 18 : Marketing Planning describes what marketing plans are and how they
Chapter 19 : Better Budgeting covers the budgeting process and the way it
needs to be modified to be a useful marketing control tool
Chapter 20 : Marketing Bookkeeping and Accounting introduces the methods used to
keep track of marketing expenditure and activity in a way that can be analysed
meaningfully
Chapter 21 : When Results Go Wrong looks at variance reporting and reviews
its limitations and applications for marketing
Chapter 22 : Twenty Things You'll Do Differently now that you've read the book
Paperback, 528 pages