At the Core of Marketing Effectiveness
Elevating marketing’s impact across the broader semiconductor organization
With the drop in demand of the PC, there is a huge pressure on margins being felt in the greater hardware market, but the pressure is even greater within the semiconductor sub-sectors where products are "ingredients." Even well-known "ingredient" brands are not immune to this phenomenon.
As a consequence, the pressure on Chief Marketing Officers (CMOs) to perform is higher than ever. With limitations on budget, how can B2B marketing organizations meet increasing expectations? Explore how semiconductor CMOs have the potential to elevate their position in the company further in order to impact not just marketing activities, but also the operations of the broader organization.
Meet our subject matter experts
Strategy & Operations Chief Innovation Officer
Deloitte Consulting LLP
Technology Lead Client Service Partner
Deloitte & Touche LLP
Randy Whitney: With conditions such as slowing PC sales, pricing pressure and intense competition in the mobile space, there is a significant impact on margins being felt in the current semiconductor environment. This pressure is also being felt in the hardware sector as a whole, but the pressure is even greater within the semiconductor subsector where the products are often components or ingredients of the end-consumer product and consequently, the brand may be less visible to the end consumer. Even well-known ingredient brands are not immune to this phenomenon.
As a consequence, the pressure on Chief Marketing Officers to perform and help differentiate products in the market is higher than ever.
Jonathan Trichel: In the new semiconductor market environment, delivering marketing services simply is really not enough. CMOs have the potential to elevate their position in the company further in order to impact not just marketing activities but also the operations of the broader organization.
Many CMOs today have already put in place the foundation they need to take this leap. They have an arsenal of technology and tools and abundance of data. Social media, analytics,
mobility — all feel like buzzwords to many of us, but the reality is that the full power of these tools are still largely unrealized.
Let’s talk first about analytics. Every customer purchase, Internet search and social media comment adds to the growing mountain of data that holds clues for CMOs. However, while many marketers understand the importance of data and analytics, they are not always equipped with the strategies, resources and tools to draw insights from the data.
So where do you start? First and foremost, know what questions you need to answer, so you know what to ask. We call these crunchy questions practical, detailed enquires into tough business issues that lay groundwork for action. Next, enhance your marketing technology and infrastructure to provide the tools to help you answer these questions. Integrated, analytics-based solutions can be applied across a range of capabilities and invest in data analytics tools that enable you to better understand your customers and measure the results.
With up to 60% of B2B customers buying decisions being completed before even engaging with your sales teams, customer insight, mobile and integrated digital marketing execution are key priorities to establish brand preference and accelerate purchase decisions.
When choosing technology solutions, consider the following checklist: choose tools that allow you to measure results, CMOs really should remain laser focused on the value of their marketing investments and invest in marketing automation tools to drive growth and really consider mobile as a key engagement platform. Commercial customers still expect the same multichannel accessibility and personalized experience for business purchase as they do for their personal transactions and then finally to really rethink the applicability of social to your strategy.
Social is a valuable tool for engaging customers even in a B2B environment. Just like with analytics, marketing organizations need a clear social media strategy. So ask yourself — do you have a clear business case around supporting investments in social technologies?
Perhaps your leadership hasn’t bought into the notion that social is a valuable tool for B2B marketing. The mostly likely competitors, channel partners and customers have already begun developing a social strategy and whether or not you as a company participate, people are talking about you.
Think more broadly in terms of your application of social media marketing. Social isn’t just a branding tool. Strategies often left untapped include using social as a listening tool, social as a sales tool, social as a crowd sourcing engine, social as a customer service tool.
With the strategy and tools now in place, CMOs will be empowered to take a deeper and richer view of the company past performance and future performance. This next frontier is really within reach using analytics to hone your ability to predict which customers will likely generate the most revenue moving forward. It is here that perhaps your value to the organization might never be greater, your ability to start looking forward, making business decisions, accelerating the sales cycle and improving sales cycle and revenues.
Randy Whitney: With many products falling into the category of commodities, CMOs in the semiconductor industry face unique challenges. However, by leveraging the information and tools that are well within reach, CMOs have the opportunity to reinvent their role, even within this highly constrained and often volatile hardware market.