Marketing as a Culture, Not a Department
Ross Hastings
CEO @ Ne-Lo & The Anatomy of Marketing | Global Scot | MAICD | Coaching/Positive Psychology Researcher & Editorial Board Member
How brand experience is no longer the sole responsibility of the marketing department.
This article was originally published in MediaWeek on 18th March 2024
Context
Reflective of broader changes in market dynamics, consumer behaviours, and technological advancements, the very essence of marketing is undergoing a profound transformation. This shift suggests that marketing can no longer be confined to a single department.
While the traditional marketing mix of the 4Ps – Product, Price, Place, Promotion (or whatever other combination of Ps and Cs tickles your fancy) still holds true today, they now sprawl across multiple departments within most organisations, signalling a pivotal shift in how businesses need to approach marketing.
The Evolution of Marketing Needs in Modern Business
The metamorphosis in marketing's needs reflects a changing business environment where the 4Ps (Product, Price, Place, Promotion) have outgrown their original departmental confines. While anomalies, from PT Barnham to Phil Knight, mark the history of marketing, we’ve never before seen this company-wide approach at the scale we’re seeing now.
In the tech industry, 'Product' has evolved into a distinct department and related practice, underscoring the need for specialised expertise in development and innovation. This trend is not exclusive to the tech industry, but is most pronounced there, often leading to siloed approaches to segmentation, value proposition, and brand direction across marketing and product departments.
Similarly, 'Price' has, in many cases, transitioned into the realm of financial analysts, a move that underscores the strategic importance of pricing in competitive positioning and profitability. This shift highlights the need for a collaborative approach that marries market insight with financial acumen to craft pricing models that attract and retain customers while ensuring business sustainability.
'Place', encompassing the distribution and accessibility of products, has also evolved. With digital marketplaces and e-commerce sitting alongside traditional retail networks, the dynamics of Place have become increasingly complex. This complexity necessitates a multifaceted strategy that integrates logistics, digital presence, and customer experience.
Among the 4Ps, 'Promotion' remains most closely aligned with the activities of the marketing department itself, given its focus on communication and engagement strategies. However, the discipline of promotion has itself become more intricate in the digital age., encompassing many channels and tactics, from social media marketing to content creation and beyond.
This integration of marketing functions across departments highlights the inadequacy of siloed marketing departments. Instead, a holistic, company-wide approach to marketing is necessary, where every employee understands how they contribute to a strategy informed by customer needs. This shift underscores the transition from marketing as a distinct entity to a pervasive culture within the organisation and allows for a seamless end-to-end brand experience.
So, here’s the problem. We now have people working in departments that don’t identify as ‘marketers’ and don’t recognise their role in ‘marketing’, who are developing their own fundamentals. And we have people working in departments called ‘marketing’, yet they don’t control or have the experience to manage all aspects of marketing in a modern business.
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Customer-centricity: A Synonym for Marketing
The terms "customer-centric" and "customer-first" have gained prominence. They embody the principle that understanding and prioritising customer needs leads to better product development, enhanced customer experiences, and ultimately, business success. That sounds a lot like marketing, right?
I believe the rapid adoption of these terms reflects growing recognition of the need for a company-wide approach to marketing, as they highlight an understanding that control over the customer experience is no longer the sole responsibility of the marketing department. However, the term “marketing” comes with too much baggage and implied meaning, associated with the marketing department itself, thus the emergence of alternative nomenclature.
Whatever the term, they’re all just synonyms for taking a company-wide approach to marketing, representing a cultural shift within modern organisations, where every employee, regardless of their department, adopts a mindset focused on enhancing customer value. Such an approach ensures that customer needs and experiences are at the forefront of all decision-making processes.
This language shift is important, highlighting that the desire is there - but perhaps lacking the model and methodology for success.
Brand Reputation: A New Age of Custodians
At the heart of this transformation is the understanding that the most complete definition of a brand is the reputation of a business. Managing the myriad touchpoints that determine this reputation extends far beyond the capabilities of any single department. It necessitates a values-driven, aligned cultural mindset that embodies the fundamentals of marketing at every level of the organisation.
The evolution from departmental functions to integral components of a broader organisational culture reflects the adaptability and expansiveness of marketing. This shift underscores the necessity for businesses to embrace a company-wide approach to marketing, one that leverages the strengths and insights of various departments while maintaining a unified focus on delivering superior customer value.
Challenges and Considerations
While the benefits of a marketing culture are clear, implementing it is not without challenges. Resistance to change, especially in well-established organisations, can be a significant hurdle. Aligning the entire company around a company-wide approach to marketing, requires aligned leadership, a shared language, strong company mindset, and a clear change methodology.
As the business world continues to evolve, the concept of marketing as a single department is becoming obsolete. Forward-thinking companies understand that maintaining an advantage in today's competitive and rapidly changing environment, requires removing distinctions between business and marketing strategy, and orienting every aspect of their operations around customer value creation. In these cultures, marketing permeates every aspect of the company. It becomes an organisational imperative ethos, and every employee understands their role in marketing and contributing to the brand's reputation.
By fostering this culture of marketing, organisations can create more meaningful connections with their customers, drive innovation, and build a sustainable competitive advantage. This strategic reorientation not only redefines the role of marketing within the company but also sets a new standard for how businesses operate in the 21st century.
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