Be Proactive, Not Reactive!

Posted by on Aug 19, 2013 in Costing, Marketing, Procurement, Return on Investment (ROI), wasted spend

As a consultancy marketing procurement we are normally called in by companies to help solve a problem. It’s usually the case that they need to cut back costs in some form or another, so we’ll look through their data and speak to their suppliers to ensure they are getting the best value for money on all aspects of their marketing spend. Nine times out of ten, we will find that there are enormous savings to be had, working practices to amend and marketing activities to align. To the client, this all sounds great. We charge a fee that is comparatively insignificant to the savings they make, get on with the work and help their company to get the value for money they need. Job done. Increasingly, companies are bringing in external experts to turn around the fortunes of their struggling brands and businesses. I recently read an article based on Beatrice Lafon, who has built a reputation as one of the world’s top fixers having worked with retailers such as M&S, Dorothy Perkins and River Island to helping address the problems they face. More recently, Lafon has been setting down roots as the president of Claire’s Accessories Europe, where she is working on an essential recovery plan for the...

Learn More

BIG is good, but SMART is better

Posted by on Aug 12, 2013 in Advertising, Cost Transformation, Costing, Marketing, Media, Return on Investment (ROI)

Marketing Effectiveness: There are many occasions when adopting the ‘be big’ attitude works and works well. Large TV advertising campaigns such as Guinness’$20million ‘Tipping Point’ or the £13.4million advert Aviva Insurance used to promote their name change from Norwich Union highlight the potential successes and failures of going ‘big’. They can lead to an award winning memorable and talked about campaign (Guinness), or they can just as easily leave consumers underwhelmed (Aviva).  Like many marketing channels, ‘big’ can be used effectively but how efficient or necessary is it? We understand that certain brands require this approach but for the most part, we prefer to be ‘smart’ rather than ‘big’. Often, being smart with your strategy can provide you with both greater efficiency and effectiveness on your investment, but this doesn’t necessarily mean lower spending. Obviously, you can decrease your spend by being smarter with the marketing channels you use and the activities that you opt for within each of them. However, with marketing budgets normally set in place, the money is already there. So why not spend the same amount but spend it better? This way everyone wins!’ Social media is a good example of being too focused on ‘big’ as many companies invest time and resources in appearing...

Learn More

Shared Service Procurement for SMEs – Cost Transformation

Posted by on Jun 28, 2013 in Cost Transformation, Marketing, Procurement, Return on Investment (ROI), Shared Service Procurement

We live in a world where large corporates have the ability to leverage their size and scale across all areas of procurement. This drive towards a more and more unified procurement methodology is helping these companies to drive efficiency into their business in a way that has never happed before. We were recently at a marketing procurement conference in London (we were one of the sponsors) were there were about 160 specific marketing procurement practitioners, this was probably the largest single gathering of marketing procurement professionals in Europe, if not the world this year. What it showed us was the range and breadth of marketing procurement talent out there and the variety of, and level success, that can be achieved. It’s clear that the more advanced and forward thinking the company is, they’re more likely to have a dedicated marketing procurement function. We all know that marketing is complex and requires the procurement department to have a multitude of category expertise; Media, Print, PR, Events, Market research and so on. Where this expertise is in place, and is working well with their colleagues in the marketing department, it is possible to drive tremendous value into the marketing spend. It’s also clear for a lot of these companies that’s it’s...

Learn More
How do you deliver cost transformation in marketing spend? Comments Off on How do you deliver cost transformation in marketing spend?

How do you deliver cost transformation in marketing spend?

Posted by on Jun 7, 2013 in Marketing, Procurement, Return on Investment (ROI), White Papers

Too many cost reduction programmes fail to deliver in the longer term. In this white paper the Marketing Factory looks at the key steps to delivering cost transformation. Whilst cost management is vital in all areas of business, marketing spend should be at the forefront of this transformational process for many companies as it often forms the second largest area of spend within the business. Most companies have embarked upon some form of cost reduction programme, but a recent survey by the Marketing Factory shows 40% of all programmes fail in the short term and this rises to 60% in the medium to long term. So why do some companies manage to deliver sustainable results whilst others fail time and time again? To download the rest of this white paper click on the link below. Marketing Procurement...

Learn More
Marketing procurement in growing organisations Comments Off on Marketing procurement in growing organisations

Marketing procurement in growing organisations

Posted by on Mar 19, 2013 in Marketing, Procurement, Return on Investment (ROI)

Deciding on when to bring in external marketing procurement support can be difficult. It can be an expensive business and if you’re organisation / leadership team has never bought this type of service it may be difficult to assess whether it really will deliver the benefits you’re looking for.   Many businesses face this issue, it’s normally when they’re too small or lack the complexity to have specialised internal resource, but large enough that the level of complexity in the marketing they use demands that they need some external help. By not enlisting help they run the risk that they may not be getting the best value from their suppliers, and more importantly, may be leaving themselves open to risk.   We spent some time last week going through this process to try and understand and identify the conditions, including levels of complexity that would pinpoint where companies, and company types are on this journey.   This process has proven to be incredibly useful and has led to a number of conclusions.   The range of spend and number of marketing channels used has a direct correlation to when support should be sought out. The growth curve has a direct impact on whether the company is likely to have...

Learn More