Here the latest on how Gartner thinks Marketing budgets are shaping up for 2020. It’s somewhat contradictory – on the heels of budgets not seen since 2011 with flat to declining budgets, the report is also saying Marketers are surprisingly optimistic with a small percentage saying they expect budget increases year over year despite the economic climate of China tariffs, Brexit, and other extraneous forces. Keep in mind that of the companies they polled, they consist of 326 b2b and b2c clients of theirs.
This one section I’ve highlighted here struck me as interesting.
- Gartner saying y/y drop in MarTech significant but not a retraction – they are claiming the retraction is ‘more efficient use of MarTech’ vs. ‘disillusionment of use.’
- In our experience, there is the start of retraction. If MarTech isn’t providing value to a company, it’s exited from that company. Many companies right now need agencies to prove the value of existing investments instead of recommending net new investments.
- Gartner saying hiring MarTech generalists instead of specialists
- I question that finding, that’s why so many companies are struggling with adoption right now – too many generalists have put the companies in a mess.
- Marketing Analytics is highest strategic priority of investment.
- This observation makes sense.
- Hiring Marketing Ops is a recommendation
- I agree with this observation
- 12.6% of budget going to Marketing ops (2/3 of orgs have Marketing Ops).
- I’m on the board of MOCCA (Marketing Operations Cross Company Alliance) and would agree many MarTech vendors are now shifting efforts towards Marketing Operations.
- Trend towards MVP agile budgeting on project based approach
- CFOs are #1 inhibitor of Marketing
- Are they an inhibitor or do Marketers not know the language of the CFO? CFOs can be real enablers if you can speak their language – CAC, Churn, retention, Net revenue dollar, etc.
- CMOs gravitate towards volume vs. value metrics
- Love that quote – very true
If you need a copy of their report, you can find it on their website Gartner.com or if send me an email for a copy of their report.