When evaluating profitability, marketers must consider three factors: people, products, and technology. At an event hosted by Drum Network and productivity software specialist Scoro, company executives explained why hitting a profitable balance sheet is so difficult.
As the volatility in the economy increases, the meaning of profitability must change with it. What was once purely for financial gain now seems to have turned into an active business idea.
According to Chris Jones, CEO of Space and Time today, there is a clear moral obligation to address business models and protect the workforce. "I think if we're all honest, we've never found a cure." "There's still a lot of response work going on, a lot of late work hours, a lot of compensation in the fields, a lot of compensation in awards." It's a learning curve, but it's important if companies want to keep their employees afloat and showcase their employees at the same time, without devaluing the work they do.
Fred Krieger, CEO and founder of the Skoro work management platform, supports the importance of work/life balance and, in short, value. "To be profitable, it is not enough to reduce costs and generate more revenue; it is not to maximize utilization, but to increase utilization," he said. We need to understand the profitability of each customer, each project [...] to work smarter."
How to make marketing more attractive?
As Co-Founder and Global CEO of Iris, Steve Bell is well-versed in the elements that drive profitability. But he believes that work needs to be done to attract new talent in order to gain the trust of customers.
"When you think [increasing revenue and reducing costs] is the solution, you imagine how complex or multifaceted the industry we work in is," he says. "For me, it's the development of talent [...] and how the industry attracts top talent, because now I don't think it [attracts top talent]. I don't think it's as exciting as usual. " An industry.
Brave Bison's performance director Hannah Kimiu agrees: “Most of our staff are based in London and the pay is crazy right now. The challenge is 'how do I get the right skills?' But also 'How do you support it?' Basically, the marketing industry comes down to people saying it's a place they always want to be in.
We must continue to do what the customer cannot do alone; More than ever, brands need to be able to justify their marketing spend. "Customers say, 'Now we do it ourselves, because we think we can do it cheaper,'" Bell said. The third important thing is technology, and making sure we use it correctly.
Krieger is technologically savvy enough to provide excellent service, although that doesn't mean it has to be available all the time. "The irony is that there are a lot of technologies that help us communicate better, but secretly make it worse. We've started calling these tools 'mass distraction tools,'" he says, referring to the enterprise instant messaging platform Slack. "We have to be careful about why and how distracting and disruptive we allow it to be to our workflow."
ROI is doing well – sustainability is the key differentiator
At Space & Time, Jones says they are no longer just looking for revenue, but rethinking their entire business model. Chase Good-Loop, an advertising agency and B-Corp that combines international brands with charities, also thought about the nature of their integration: in particular, they commented on fair social impact and "ROI de Fair Good". Amy Williams is optimistic about a shared vision of sustainability among brands.
"The reality is that living a sustainable life is often a privilege," he says. "These decisions cost more to make, and it's unrealistic to expect people to put the planet first when they're thinking about their families. But we're seeing brands shift to sustainability in an affordable way, and when prices are equal, sustainability is key." Choice.” (Reasons) Why consumers choose one brand over another.
Sustainability is a key driver of talent and contributes generously to corporate culture. Space & Time introduced 'carbon credits', eliminating long-haul commercial flights and instead offering customers free strategic time via Zoom, while Good-Loop took on a new role to meet global corporate sustainability needs. Motivation for customers modern motivator and employees.. Why? Because "people can see that we care more about what we're trying to do with our customers," Kimeau says
Has marketing leadership lost its way?
If time is money, corporate leaders must spend it wisely. Bell strongly defends this view, stating that a lack of leadership can often lead to customer churn. "The more seniors there are, the less time they spend with customers," he says. “[They] spend more time with customers and more time doing what their boards, CEOs and chief strategy officers think should be done.
Bell's comments indicate that if they want to be more profitable, agencies should first look at their business structure.
It is important to remember the two-way dialogue in customer relations, "not only to give people a voice, but to shape what that idea looks like," says Jones, reminding us that it is important to be close to you. Maintain existing customers and those relationships in a way that best suits your business. While what you do and what you do is extremely important, it's the "why" that matters most.