CMOs, CIOs increasingly see chief customer officer as relationship saviour

New report from Accenture Interactive on the ongoing challenges of the CMO/CIO relationship sees both IT and marketing looking to a newly emerging chief experience officer role as key to alignment and engagement

trio.jpg

dreamstime

dreamstime_0
trio.jpg dreamstime dreamstime_0

CMOs and CIOs are increasingly turning to the emerging role of chief experience officer to foster greater collaboration and integration between marketing and technology.

According to the latest Accenture Interactive survey, Cutting Across the CMO-CIO Divide: Digital drives a new wave of collaboration, 35 per cent of Australian CMOs and 25 per cent of CIOs say the creation of a ‘CeXO’ role was a priority for improving collaboration across the two functions.

The position was described as potentially a board-level role that owned the customer, with responsibility for a combined team spanning customer-facing IT, marketing, product development, sales and customer service.

Core benefits cited in creating such as role include delivering better products and services, improving customer service, driving brand value, loyalty and advocacy, and increasing revenue growth and cost and performance transparency.

The fourth annual Accenture report into the CIO-CMO relationship also found fewer Australian CMOs see IT as a strategic marketing partner than do CIOs (45 per cent versus 61 per cent). This compared with global results of 83 per cent and 69 per cent, respectively.

Key reasons for collaboration between IT and marketing cited by respondents were the rise of digital marketing, access to customer insight and intelligence for competitive advantage, and digital transformation.

In addition, a smaller number of CMOs saw collaboration with the CIO as important in driving company growth through customer service excellence in comparison to last year (63 per cent, down from 67 per cent in 2013).

Related: CMOs and CIOs still don’t trust each other, finds Accenture report
CMO Council finds CMO/CIO friction is inhibiting digital marketing innovation

Only 12 per cent of Australian CMOs said the amount of collaboration is currently at the right level, compared to 17 per cent of CIOs, while 32 per cent of CMOs said more was needed. This compared with 35 per cent of CIOs.

Read more: 5 great examples of augmented reality in marketing

The ongoing battle to bring IT and marketing into alignment was also prevalent in the survey results. For example, 53 per cent of CMOs said they were taking control of their marketing IT requirements and isolating them from CIOs. This included commissioning technology services from third-party providers.

The Australian figure contrasted with a global average of just 21 per cent, which was also found to be declining year-on-year. Among the core frustrations for marketing chiefs is that technology is siloed and too difficult to use to craft cross-channel experiences.

Nearly two-thirds of Australian CIOs, meanwhile, were frustrated CMOs didn’t understand the complexities of integrating new data sets into corporate IT systems. This compared with a global average of 49 per cent.

One-third of local IT leaders also said one of the biggest reasons marketing IT implementation issues arose was because marketing teams bypassed IT to work directly with vendors.

Despite this, both functions share views on core areas of marketing technology investment such as customer experience, social media, customer analytics and the corporate website.

CMOs and CIOs also agreed they are struggling to manage multi-channel customer experiences in order to provide real-time, relevant and consistent services to customers across all channels from digital to in-store.

When it comes to how to approach better collaboration, there was some discrepancy. Top priorities for CMOs included establishing a digital marketing function with IT and marketing resources; establishing a CeXO role; establishing a strong CEO mandate and governance structure; and aligning CMO/CIO goals, KPIs, budgets and objectives.

For CIOs, top priorities were establishing a strong CEO mandate and governance structure; training marketing and IT together in emerging marketing technologies and platforms; co-locating marketing and IT teams; and creating an IT lead within marketing and a marketing lead in IT.

The 2014 CMO-CIO Alignment survey is the fourth annual study conducted by Accenture into the impact of digital disruption on IT and marketing executives and their relationship. The latest Australian survey was based on responses from 100 marketing and IT decision makers.

5 key steps to making the CeXO role work

  1. Firm leadership support
  2. Vision and planning
  3. Aligned KPIs with the CMO and CIO
  4. Collaborative mindset
  5. Cross-discipline insight

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

Signup to CMO’s 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

Designing for a cashless society

More movement has been made toward a cashless society recently, and already we are starting to see enormous implications across our society.

Katja Forbes

Founder and chief, sfyte

Setting advertising objectives for financial performance

I’ll often be talking to clients and at some point say, ‘the most important thing is justifying price’. Then moments later, ‘the most important thing is increasing the size of your customer base’.

Kyle Ross

Strategist, TRP

5 common mistakes to avoid in scalable customer experience

CX is about future-proofing your business by ensuring that your commercial model is always looped into your customers' needs, perceptions, values, beliefs, motivators, and detractors.

Tom Uhlhorn

Founder and strategy director, Tiny CX

Thanks for writing about chatbots. Definitely bots have the exciting future when it comes to customer engagement, transactional and conve...

Giridhar Prathap Reddy

Australian Open chalks up strong ticket sales with chatbot

Read more

Hello, where are the explanations of all the levels explained? I'd like to review this with a couple of colleagues. Thanks.

Melinda Gonzalez

CMO launches CMO CX, debuts customer experience maturity assessment

Read more

A great and accurate commentary - today we rarely get true personalisation. On web journeys cookies or logins remember who we are, what w...

Ian Moyse

Salesforce: Personalisation is a long way off what consumers now expect

Read more

Very nice information !! We provide almost every indian satta matka games with fast results. Online Matka play becomes easy with genuine ...

rsgame

Image intelligence:10 must-see infographics for marketers

Read more

One of the best example for email marketing!!This post has completely explained the power of email marketing and how it is beneficial to...

Abhinav Mohan

How email marketing automation is helping this Aussie electrical wholesaler enter the digital age

Read more

Latest Podcast

More podcasts

Sign in