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Marketing Investment Planner 2007: Benchmarks and Key Performance Indicators

Product Type: Market Research Report
Published by: IDC
Published: September 2006
Product Code: R104-27961
Description

This IDC study on technology marketing investment and resource priorities discusses the results of IDC's fourth annual marketing benchmarks survey of 95 of the largest and most influential technology vendors within the software, hardware, and services sectors. The analysis provides a detailed evaluation of quantitative and qualitative data, including key performance indicators that should be a part of every CMO's marketing dashboard, a breakdown of 15 staff levels and 34 program spend areas by sector, and the identification of keys to success for marketing executives during 2006 and beyond.

"Tech marketing investment for the entire IT vendor community will increase by 7.5% for the full year 2006, the greatest year-on-year annual investment increase since IDC began tracking these trends. Marketing productivity and efficiency indicators are improving by several measures. Marketing staff throughput measures program execution per marketing employee and has increased by about 10% over the past year to $301,400. IDC's program-to-people ratio continues to migrate to a more leveraged model every year (more programs, fewer people); the ratio is now 65:35 for 2006. Although marketing executives have made significant progress in their strategic planning processes and performance measurement, IDC recommends increased focus into product and field marketing disciplines, overall marketing skill set inventories and improvement, and greater development and leverage of IT infrastructure. IDC's fourth annual Technology Marketing Benchmarks Survey provides insight into the management techniques and investment strategies based on IDC's unique access to the world's largest and most influential technology marketing leaders." ? Richard Vancil, vice president, CMO Advisory Practice

Table of Contents
Table of Contents
IDC Opinion
In This Study
Methodology
Fiscal Year Basis and Year-on-Year Data Analysis
Quality Control Processes
Organization of Survey Questions
Survey Eligibility Criteria
Data Comparison with Other IDC Surveys
Executive Summary
Methodology
IDC's Essential Guidance to Tech CMOs for 2007
Investment and Productivity Guidelines
Identification of Focus Areas for Senior Marketers
What's Working Well
What Needs Work in 2007
Field Marketing
Supporting the Direct Sales Team
Supporting the Channel
Product Marketing
People Issues
Technology Issues
Situation Overview
Introduction
IDC's Recommended Operational KPIs for 2006
Respondent Companies: A Partial List
Table: Survey Participants
Table: Technology Vendor Revenue and Marketing Spend by Technology Sector ($M)
Profile of Respondents
Figure: Respondents by Title and Technology Sector
Table: Technology Vendor Revenue by Technology Sector (% of Respondents)
Figure: Technology Vendor Revenue Share and Marketing Spending Share by Company Revenue
Table: Technology Vendor Marketing Spending Share by Company Revenue and Technology Sector (Mean %)
Figure: Technology Vendor Revenue Share by Geographic Region and Technology Sector
Figure: Technology Vendor Revenue Share by Customer Segment and Technology Sector
Marketing KPIs: Impact of Company Size, Sector, and Channel Strategy
Figure: Marketing Spending Share of Technology Vendor Revenue by Company Revenue
Figure: Marketing Spending Share of Technology Vendor Revenue by Technology Sector
Figure: Marketing Spending Share of Technology Vendor Revenue by Channel Strategy
IDC's Target Operational KPIs for Marketing Leaders
Table: Profile of Respondents by Key Performance Indicators and Technology Sector (Mean %)
Marketing Budget Ratio
Marketing Investment Change
Program-to-People Ratio
Figure: Technology Vendor Marketing Spending Share for Programs and Staff by Technology Sector
Marketing Operations Ratio
Centralization Ratio
Program Outsourcing Ratio
Figure: Technology Vendors' Distribution of Marketing Spending Between Centralized and Decentralized Strategies by Program Area
Marketing Staff Throughput
Figure: Employee Throughput by Technology Sector: Program Spending per Marketing Employee, 2006
Awareness-Demand Ratio
Marketing-Mix Allocations
Marketing Program Budget Distribution
Table: Technology Vendor Marketing Program Spending Share by Activity and Technology Sector (Mean %)
Figure: Technology Vendor Marketing Spending Mix by Activity
Figure: Technology Vendor Advertising Spending Share by Technology Sector
Figure: Technology Vendor Event Spending Share by Technology Sector
Figure: Technology Vendor Marketing Support and Sales Tools Spending Share by Technology Sector
Figure: Technology Vendor Direct Marketing Spending Share by Technology Sector
Awareness Versus Demand
Figure: Awareness?Demand Ratio Taxonomy
Figure: Technology Vendor Average Marketing Spending to Build Brand Awareness by Technology Sector
Outsourcing of Marketing-Mix Elements
Table: Technology Vendor Outsourced Marketing Program Spending Share by Activity and Technology Sector (Mean %)
Staff Allocations and Trends
Table: Technology Vendor Marketing Staff by Activity and Technology Sector
Figure: Technology Vendor Marketing Employee Distribution by Activity
The Impact of Channel Strategies on Operational KPIs and Marketing Mix
Figure: Technology Vendor Revenue Share by Sales Channel and Technology Sector
Table: KPIs and Distribution of Marketing Spending and Staff by Technology Sector: Technology Vendors with 75%+ of Revenue from Direct Sales
Table: KPIs and Distribution of Marketing Spending and Staff by Technology Sector: Technology Vendors with 50-74% of Revenue from Direct Sales
Table: KPIs and Distribution of Marketing Spending and Staff by Technology Sector: Technology Vendors with 25-49% of Revenue from Direct Sales
Table: KPIs and Distribution of Marketing Spending and Staff by Technology Sector: Technology Vendors with <25% of Revenue from Direct Sales
Marketing Priorities for 2006/2007: Interviews with CMOs
Awareness Building
Figure: Top Marketing Challenges Facing Technology CMOs
Marketing Efficiency and Effectiveness
Focusing on Growth
Managing Growth
Future Outlook
Impact
Essential Guidance
Actions to Consider
Learn More
Related Research
Appendix A: IDC's CMO Advisory's 2006 Technology Marketing Benchmarks Survey
Respondent Eligibility
Company Overview
Marketing Employees
Marketing Spend
Marketing's Use of Information Technology
Best Practices
Appendix B: Glossary for IDC's CMO Advisory's 2006 Technology Marketing Benchmarks Survey
Table: CMO Glossary: Program Spend
Table: CMO Glossary: Marketing Employees
Table: CMO Glossary: Regions
Table: CMO Glossary: Sales Channels
Table: CMO Glossary: Key Performance Indicators
Table: CMO Glossary: Marketing Applications
Synopsis
Ordering and More Information
Price and Delivery Options



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