Brand “purpose” has been all the rage in recent years. The notion of brand purpose rests on the assumption that a brand, product, or company should stand for something more important than just the functional benefits it delivers. A purpose is the reason a product or company exists and what it stands for beyond the usual business goals and objectives, such as making a profit. It is a noble statement of how the product or...
Most businesspeople would be pleased to own a profitable business that was a pioneer in its category, had a stellar brand reputation, and generated more than a billion dollars in annual revenue. Yet, in 2012, IBM got rid of just such a business when it sold its retail point-of-sale (POS) business to Toshiba.
Much has been written about the role of the Chief Marketing Officer (CMO). Industry data suggests CMO tenure is short and becoming shorter. Some firms have experimented with eliminating the position or renaming it with terms like Chief Growth Officer and Chief Brand Officer. Academic studies offer mixed results about the value of the CMO. It is also clear that the way the CMO role is defined, like the marketing function itself, is different across...
Ask a Chief Marketing Officer about the challenges they confront in their organizations and the relationship with the CFO is frequently near the top of the list. The same conversation with the Chief Financial Officer usually includes frustration with marketing. Such tension is normal, and if managed well (hello, CEO) can by healthy and productive for the organization.
In an effort to bring more of the rigor and discipline of financial analysis to marketing decisions, a number of scholars and consulting organizations have attempted to apply financial investment models to the management of multiple products within the firm. After all, firms manage portfolios of products.
