Article

Mike Owen
Mike Owen 18 September 2015
Categories

CMOs Shift Investment From Acquisition To Retention

In an interesting shift, CMOs are making a marked commitment to improving the overall customer experience.

In an interesting shift, CMOs are making a marked commitment to improving the overall customer experience.



Recent research from the CMO Club and IBM shows that 57% of CMOs expect to increase marketing budgets over the next two to three years, and that most expect to allocate a larger share of their budget to the entire customer journey, rather than concentrating investment on individual channels.

Focus On Retention

The research revealed that focus among CMOs is set to shift away from customer acquisition in favour of retention. As Jerry Jao, CEO and co-founder of Retention Science, underlined in a 2014 thought piece for Forbes, customer choice is rapidly expanding while attention spans are contracting, prompting businesses to shift toward customer-centric engagement strategies and personalisation.

This trend is further highlighted in studies carried out by organisations such as the Gartner Group, whose research suggests that 20% of a company’s existing customers could potentially account for 80% of future revenue. Adobe also reported finding that by retaining 10% of existing customers, online retailers could double their revenue.

Deepak Advani of IBM Commerce agrees: "The brand/customer dynamic is no longer built on isolated interactions. It’s an ongoing relationship that must span all touch points in the customer’s journey.

The Role Of Content

Perhaps the greatest challenge for CMOs committed to optimising customer journeys is identifying how best to engage customers across multiple channels, and how to provide a consistent, seamless experience across those channels. The obvious answer to this conundrum is ’through content’.

Content marketing, native advertising and social media are becoming increasingly significant tools for brands that are keen to engage their audiences in a meaningful, long-term way. Google’s Matt Bush advocates "content you can give people that actually helps them in their quest". In other words, understanding customers’ needs and serving them helpful or entertaining content that answers their questions at every step in their purchase journey – including post-conversion.

Using Data

It’s likely that retention-focused strategies will rely heavily on insights from data: marketers will need to have a thorough understanding of:

  • which channels their audience is using

  • where users are typically dropping off in the purchase journey

  • what type of content users are searching for and for which queries, and

  • hich types of content perform most successfully against key engagement metrics like dwell time and repeat visits.


With greater emphasis on content and data, a software solution that enables brands to produce, manage, publish and monitor content efficiently, and across multiple channels, is a vital tool for retention-focused CMOs in all industries. To find out how censhare is helping businesses to craft more effective customer journeys, take a look at our range of communications solutions.

Original Article

Find out more on the future of Business at our DLUK - Trends Briefing on the 24th September 2015

Please login or register to add a comment.

Contribute Now!

Loving our articles? Do you have an insightful post that you want to shout about? Well, you've come to the right place! We are always looking for fresh Doughnuts to be a part of our community.

Popular Articles

See all
Digital Marketing Vs. Traditional Marketing: Which One Is Better?

Digital Marketing Vs. Traditional Marketing: Which One Is Better?

What's the difference between digital marketing and traditional marketing, and why does it matter? The answers may surprise you.

Julie Cave
Julie Cave 14 July 2016
Read more
The Difference Between AI and Machine Learning

The Difference Between AI and Machine Learning

Artificial Intelligence (AI) and Machine Learning used to be heard when the topic was Big Data Analytics – and maybe in some sci-fi movies- before; but now it is impossible to ignore them with the self-driving cars, knowledge navigators...

Asena Atilla Saunders
Asena Atilla Saunders 15 June 2017
Read more
4 Important Digital Marketing Channels You Should Know About

4 Important Digital Marketing Channels You Should Know About

It goes without saying that a company can't do without digital marketing in today's world.

Digital Doughnut Contributor
Digital Doughnut Contributor 5 November 2014
Read more
How To Write Content That’s Easy To Localize

How To Write Content That’s Easy To Localize

Do you want to know how to reduce costs and get to market faster? Write content that's easy to localize!

David Ost
David Ost 15 June 2017
Read more
How To Master Localized SEO

How To Master Localized SEO

When you’re rolling out different language versions of your website, ignore localized SEO at your peril. Failing to consider local keywords, backlinks and social media could cost you valuable site visitors. You’re investing a lot of marketing budget in reaching out to new clients. But fail to get eyes on your website and your efforts will be in vain.

David Ost
David Ost 14 June 2017
Read more