CMOs bullish about the future but not keen on launching new products

First Forbes/gyro CMO Index finds US chief marketing officers are investing in the future but cautious about growing in new markets

Chief marketing officers (CMOs) have a positive outlook over the next six months but continue to be cautious about entering new markets and launching products and services, a new report claims.

The inaugural Forbes Insights/gyro Index surveyed 876 US marketers and found 45 per cent are more optimistic about industry-wide marketing conditions, while 46 per cent are as optimistic about the future as they are today.

In addition, 39 per cent are increasing marketing budgets compared with 49 per cent who are retaining existing numbers. The quarterly poll was completed in October and based on respondents assigning a 0, 10 or 20 point sentiment score to each question.

One the issue of staffing, 54 per cent said they are maintaining existing employee numbers, while 36 per cent plan to add more staff.

In a sign of the continued caution in the market, however, 55 per cent of those surveyed are spending the greatest amount of their time growing existing markets, against 29 per cent who are preparing to enter new markets and 16 per cent who are focus on growing in new markets. The report authors said the overall sentiment score of 7.5 indicated a clear negative sentiment towards entering new markets.

The figure in perhaps unsurprising given industry-wide acknowledgement that customer retention is cheaper than new customer acquisition.

In addition, 58 per cent of respondents are focusing on growing existing product lines and services, while just 14 per cent are prioritising new product or services launches. The overall sentiment score was 5.8, again indicating the negative sentiment towards new product and service expansion currently.

Overall, Forbes and gyro, a global ad agency, assigned a 52.1 sentiment score to respondents for October. Across industry sectors, business services/legal/training and consulting gained the highest optimism score, while aerospace/defence recorded the lowest.

Marketers must transform their story to meet the new customer paradigm: McKinsey
How you can be a digital CMO
Should CMOs own product development?

Follow CMO on Twitter: @CMOAustralia, take part in the CMO Australia conversation on LinkedIn: CMO Australia, or join us on Facebook: https://www.facebook.com/CMOAustralia

Signup to CMO’s new email newsletter to receive your weekly dose of targeted content for the modern marketing chief.

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.
Show Comments

Blog Posts

Using artificial intelligence to surprise your customers

​We have expected artificial intelligence (AI) will become part of our everyday lives for quite some time.

Katja Forbes

Founder and chief, sfyte

Is customer segmentation dead?

Ginni Rometty, the CEO of IBM, announced the death of customer segmentation five years ago saying, "The shift is to go from the segment to the individual. She might have been a bit premature for most marketers, but if customer segmentation isn't dead yet, it's definitely on life support.

Richard Taylor

Senior digital strategist, Spinach

How people buy brands

Andrew Ehrenberg was a giant in the field of marketing science. He believed scientific methods could reveal law-like patterns of how people buy. In this post, I summarise one of Ehrenberg’s most important discoveries and its implications on how people buy brands.

Kyle Ross

Strategist, TRP

Hey there! it is a really meaningful post. I too have written a few similar articles about SEM, SEO, Social Media, Digital Marketing Tren...

Rohit

Digital advertising continues to dominate marketing budgets

Read more

Thanks for sharing the strategies ! :)

Isabella Richardson

Marketing the most of martech for revenue and CX

Read more

Glad to be a part of this informative post... Thanks for sharing this useful info!!! It is very important to stay updated about the lates...

Aaron Alexis

Predictions: 9 digital marketing trends for 2019

Read more

What the hell is with the "He claims, he claims, he claims" nonsense? That's just not good reporting.

Armaan Alfares

Marketers aren't investing enough in direct response and customer data

Read more

This is a great development in the industry. Thanks for putting this together! We’ve been working with companies to help them build intel...

Giridhar Prathap Reddy

Professional services industry develops hybrid chatbot and live-chat

Read more

Latest Podcast

More podcasts

Sign in