Because I’m a sucker for a snazzy acronym (my latest favorite being “FiDi,” short for Financial District – a great place to hunker down and hide from tourists in New York City), I perked up when the word “SoMoCo” graced my inbox in a pitch this week.
My first thought was whether or not it rhymed with “Kokomo.” But before daydreams of Aruba, Jamaica, ooo I wanna take ya to Bermuda took me to a faraway place, I was hooked when I read that 85 percent of 253 marketers surveyed in an enterprise environment use brand accounts on social networks like Facebook, Twitter, Google+ and Foursquare.
But, interestingly, only 14 percent of those users of social networking sites are tying their marketing efforts to any sort of financial metrics. And 70 percent of respondents say their marketing efforts are under greater scrutiny now than ever before. Talk about pressure.
In the “Marketing ROI in the Era of Big Data” report released by Columbia Business School’s Center on Global Brand Leadership and the New York American Marketing Association, three conclusions arose: big data represents a major hurdle for marketers, marketers are early adopters of tools but struggle to measure results, and marketers know the importance of ROI, but have some difficulty defining it and implementing it.
So back to SoMoCo, which is the fusion of social, mobile, cloud and business processes. It’s really at the forefront of an enterprise’s ability to collect and analyze data, put it in context and improve customer service because of it, according to New York-based venture capital firm StarVest Partners.
In the Marketing ROI report, 74 percent of marketing executives say they collect traditional customer survey data on demographics and 60 percent, usage. But that number decreases to 19 percent when it comes to customer mobile device data and other digital sources. About 35 percent report they collect social media data.
There is a recognition of the need for actionable data, but there is a disconnect between collecting it and using it for real-time decision-making, the report indicates.
Even more telling was the finding that 57 percent of marketers surveyed were not basing their budgets on any ROI analysis with 28 percent basing their marketing budgets on “gut instinct.”
So what’s a marketer to do? The report outlined some steps CMOs and their counterparts can take to address “SoMoCo’s” foray into the enterprise They are as follows:
-Set objectives and design metrics that ensure marketing is linked to these objectives
-Gather the proper data for metrics
-Communicate to the organization your objectives and how they’re being measured
-Evaluate and reward employees when objectives are achieved