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2019 Marketing Benchmark Report. PDF
2019 Marketing Benchmark Report. PDF
2019 Marketing
Benchmark Report
Research and Insights on marketing challenges,
emerging trends, and effectiveness of marketing
tactics.
NTENTS
TABLE OF CO
TABLE OF CONTENTS 2
Authors’ Note 6
Executive Summary 7
Chart: Marketing challenges becoming more relevant to organizations 7
Chart: Marketers increasing investment into content and growth marketing. 8
Chart: The effectiveness of marketing tactics 9
Chart: The implementation of growth marketing 10
2
SEO 31
Many marketers execute SEO in-house 32
Chart: The execution of SEO 32
Chart: Outsourcing SEO by organization size 33
Great perception of SEO effectiveness 34
Chart: SEO is a highly effective marketing tactic 34
Chart: Very effective ratings of SEO by organization size 35
Chart: Very effective ratings of SEO by industry sector 36
Growth Marketing 36
Few organizations outsource growth marketing 37
Chart: The execution of growth marketing 37
Chart: Outsourcing growth marketing by organization size 38
The effectiveness of growth marketing 39
Chart: Growth marketing rated as highly effective marketing tactic 39
Chart: Very effective ratings of growth marketing by organization size 40
Chart: Very effective ratings of growth marketing by industry sector 41
PPC 41
Many marketers execute PPC in-house 42
Chart: The execution of PPC 42
Chart: Outsourcing PPC by organization size 43
Great perception of PPC effectiveness 44
Chart: PPC is a highly effective marketing tactic 44
Chart: Very effective ratings of PPC by organization size 45
Chart: Very effective ratings of PPC by industry sector 46
Social Media 46
Majority of organizations execute social media in-house 47
Chart: The execution of social media 47
Chart: Outsourcing social media by organization size 48
The effectiveness of social media 49
Chart: Social media rated as highly effective marketing tactic 49
Chart: Very effective ratings of social media by organization size 50
Chart: Very effective ratings of social media by industry sector 51
PR 51
PR execution 52
Chart: The execution of PR 52
Chart: Outsourcing PR by organization size 53
Few organizations find value in PR 54
Chart: The effectiveness of PR 54
Chart: Very effective ratings of PR by organization size 55
3
4
5
Authors’ Note
Welcome to 2019 Marketing Benchmark Report.
While creating this report we identified a number of increasingly important challenges to
marketing community that ranged from generating traffic and high quality leads to
competing across multiple media. We proceeded to conduct a comprehensive research to
learn which marketing tactics would help overcome those challenges.
This study also produced different benchmark data on marketing budgets, strategies,
tactics and operations that we collected from marketers for marketers. We have 277
filled-out questionnaires and a lot to share with you.
The number of filled-out surveys is considered to be statistically significant since all the
trends were set after the first hundred of responses were collected, and no major
qualitative changes were observed afterwards.
The goal of this study is to arm marketers with actionable insights on what works, and what
doesn’t work today.
This benchmark report is packed with useful and actionable information including 90
charts and hundreds of insights from marketing executives employed by organizations
varying in size and industry.
Best regards,
Yaroslav Stepanenko Pavlo Pedenko
Co-founder, Growth Marketing Stage Co-founder, Growth Marketing Stage
@Yaroslav_S @graver_ua
6
Executive Summary
Chart: Marketing challenges becoming more relevant to
organizations
Q: Which of the following marketing challenges are currently most relevant to your organization?
(check all that apply)
The greatest marketing challenge is generating traffic and leads.
7
The majority of marketers are increasing their marketing budgets for content marketing,
SEO, growth marketing, social media, PPC and PR. When considering outbound efforts, TV,
and print ads, there are no huge plans on investment.
The growing potential of utilizing inbound tactics and growth marketing is most likely a
result of cost effectiveness of these channels.
8
A huge preference of utilizing inbound marketing tactics can be seen in the above chart.
The least effective tactics are outbound.
In this report we’ve analyzed each of the marketing tactics separately to better understand
the execution and effectiveness of each of them for different organization sizes and
industry sectors.
9
The adoption of growth marketing is becoming a popular approach. 35% of respondents
said that they tried implementing growth marketing. Another 40% of respondents indicated
that they had plans to implement growth marketing in their organization.
10
11
Marketing Budgets
In the section below you can get an understanding of marketing budgets in terms of
percentage of revenue, allocation and expected changes.
The smaller the company is, the larger the percentage of revenue dedicated to the
marketing budgets is.
12
Organizations in the retail sector tend to dedicate a greater percentage of their revenue to
marketing expenses.
13
A lot of significant expenses are required when participating in trade shows: travel, booth
rental, etc., making this tactic to get a significant portion of marketing budgets of the
respondents.
14
15
16
The majority of marketers are increasing their marketing budgets for content marketing,
SEO, growth marketing, social media, PPC and PR. When considering outbound efforts, TV,
and print ads, there are no huge plans on investment.
The growing potential of utilizing inbound tactics and growth marketing is most likely a
result of cost effectiveness of these channels.
17
18
19
Marketing Operations
In this section you will learn how mature organizations are with their processes, and which
types of organizations have higher level of maturity.
You will also learn the relevance of marketing challenges to organizations varying in size
and industry.
It is very impressive to see how mature organizations are with their marketing processes.
Almost 30% of respondents indicated that they had formal process. And only 12% said they
did not have repeatable process for performing marketing practices.
20
Large organizations tend to be more mature with marketing practices, as 59% of these
organizations indicated they had formal processes.
21
22
The greatest marketing challenge that marketers face is generating traffic and leads.
23
24
25
We analyzed marketing tactics such as SEO, PPC, growth and content marketing, social
media, and we also analyzed more traditional outbound tactics such as print and TV
advertising, and trade show marketing.
26
Content Marketing
Content is King. And as the previous section of this report showed us - the majority of
marketers are increasing their marketing budgets for content marketing. In this section
you’ll learn how marketers execute this tactic, and how effective they find it to be.
The majority of marketers indicated that they execute content marketing in-house.
27
Large organizations are nearly twice as likely to outsource their content marketing to an
agency as small-or medium-sized organizations.
28
The vast majority of organizations find content marketing to be either very effective or
somewhat effective for their organizations.
29
30
Organizations in Retail and IT are most likely to find content marketing very effective. This
may be an indication that organizations in these sectors are also most efficient in their
execution of this tactic.
31
SEO
Search engine optimization has been an integral component to many successful marketing
plans, and in this section we’ll take a closer look at the execution, effectiveness of this
practice.
The majority of organizations practice SEO in-house. The fact that 31% either use an agency
or use a combination of in-house and agency time indicates the value of efficient execution
of this tactic and the specialized skill set effective execution requires
32
The smallest and the largest organizations are more likely to outsource SEO tactics to an
agency.
33
The above chart demonstrates the positive reputation that SEO has as a marketing tactic
for our respondents, 92% of participation organizations indicated that SEO was either very
effective or somewhat effective in achieving results for their organizations.
SEO is an extremely effective tactic when executed correctly. Large amounts of relevant
search engine traffic can be driven to websites at no cost per click. Leads generated from
organic search are commonly high in quality.
34
Small- and medium-sized organizations are more likely to perceive SEO as an effective
tactic for their organization than large-sized organizations.
35
36
Growth Marketing
Utilizing growth marketing to boost the organizations' growth is a rapidly growing trend
among marketers.
The vast majority of organizations are currently executing growth marketing in-house.
37
38
Only 14% of respondents indicated that growth marketing in not effective for their
organizations.
39
40
Organizations in the IT sector are most likely to find growth marketing as a highly effective
tactic. Retail and FMCG are yet to find and understand the value of this marketing tactic.
41
PPC
PPC is a popular inbound marketing tactic that allows to test many campaign and product
components, making its potential for effectiveness very high. In this section, we’ll analyze
the execution of PPC and its effectiveness.
The execution of PPC is very close to execution of SEO. Almost the same number of
organizations are practising this tactic in-house, outsourcing to an agency and using a
combination of in-house and agency time.
42
We can see that financial resources of large companies let the activities like PPC be
outsourced. Throughout this report this fact will continue to be demonstrated.
43
The majority of organizations find PPC as either somewhat effective or very effective. It is
because of its ability to drive traffic and test various components for optimal performance.
44
Medium- and large-size organizations are the most likely to perceive PPC as a very effective
tactic.
45
46
Social Media
Today, many organizations are finding target audiences on social sites and effectively
marketing to them through social media.
The vast majority of organizations are currently executing social media in-house.
47
48
The majority of organizations perceive this as either very effective or somewhat effective
tactic.
49
50
Organizations in Retail sector are the least likely to perceive social media as an effective
marketing tactic.
51
PR
In this section, we review the execution and effectiveness of PR.
PR execution
In this section, we’ll analyze the execution of PR.
21% of respondents said that they either use an agency or use a combination of in-house
and agency time to execute PR. And two thirds of organizations prefer to execute PR
in-house.
52
Large organizations are more likely to outsource PR activities.
53
PR is not considered as effective as tactics like growth marketing, SEO, PPC, and content
marketing. But still, a large number of organizations (77%) find it either very effective or
somewhat effective.
54
We can see that smallest and largest organizations find a value in PR.
55
In the previous chapter we saw that IT sector is increasing marketing investments ito PR
more than other sectors. And now it is pretty logical to see that this fact correlates with IT
sector finding PR tactics as very effective ones.
56
Email Marketing
In this section, we’ll review the execution and effectiveness of email marketing.
Very few organizations outsource email marketing. There are a lot of email marketing tools
to execute and automate email communication, which enables organizations to facilitate
email tactics in-house.
57
58
Email marketing is perceived as pretty effective marketing tactic.
59
60
Organizations in FMCG sector are the least likely to perceive email marketing as a very
effective marketing tactic. IT (outsourcing companies) do not see huge value in email
marketing. Only 14% of these organizations said that they found email marketing very
effective.
61
Even though these tactics require specialized skills, 77% of organizations prefer to execute
those in-house.
62
Large organizations are more like to outsource website design, management and
optimization that medium- and small-size organizations.
63
Today, a business cannot exist without a website. And for a lot of organizations a website is
a key destination for their leads and users. So, it is not surprising that 95% of respondents
rate website design, management and optimization either as very effective or somewhat
effective tactic.
64
65
Retail and IT are more likely to rate website design, management and optimization as a
highly effective marketing tactic than FMCG organizations (only 2%).
66
Event marketing
This section reviews the execution and effectiveness of event marketing tactics. Here,
we’ve analyzed offline event marketing tactics. For the virtual events and webinars there is
a separate section in this report.
It is not common to use an agency to execute event marketing.
67
Those organizations who prefer to outsource offline event marketing tactics mainly
represent large organizations.
68
Event marketing is one of the oldest marketing tactics, and marketers still find value in it:
83% of organizations said that event were either very effective or somewhat effective for
them.
69
70
In the previous sections of this report we have seen that FMCG organizations rarely see
value in such marketing activities as PPC, SEO, and growth marketing. Here we can see that
events are more effective for them.
71
Outbound marketing
Although inbound marketing tactics are becoming more popular, outbound efforts are still
instrumental to a lot of organizations.
72
73
Majority of organizations said that outbound marketing was either very effective or
somewhat effective for them.
74
75
Organizations in the IT sector are most likely to find outbound marketing very effective.
Only 1% of organizations in the Retail sector and 2% of organizations in FMCG sector find
outbound marketing to be a very effective tactic.
76
Many organizations choose to execute virtual events in-house.
77
78
Virtual events are a pretty effective tactic for our respondents. At the same time, almost a
third of the organizations said they did not find a lot of value in this marketing tactic.
79
80
In some of the previous sections we’ve seen that organizations from Retail and FMCG
sectors are less likely to adopt the new and trending tactics like growth marketing, for
example, and are more loyal to older approaches like events. This graphs shows the same
trend: Retail and FMCG do not find value in online events at all, while they were the most
active adopters of offline event tactics.
81
Print Advertising
Internet era could have destroyed print advertising by now, but it still can be an important
marketing tactic for a lot of different organizations.
39% of organizations use an agency or a combination of in-house and agency time to
execute print advertising.
82
Smaller organizations tend to execute print advertising in-house.
83
The vast majority of organizations do not perceive print advertising as an effective tactic.
84
Only large organizations can really benefit from executing print advertising activities.
85
Again and again, this is the trend we’ve seen a lot is this report - FMCG are classic and
“old-school” tactics believers.
86
TV Advertising
How are organizations executing TV advertising and how effective is this marketing tactic?
Learn the answers to these questions in this section.
TV advertising execution
In this section, we’ll analyze the execution of TV advertising by different organizations and
learn what percentages execute this tactic in-house, outsource to an agency or use a
combination of in-house and agency time.
87
Large organizations are more likely to outsource TV advertising than smallerones.
88
TV advertising effectiveness
Majority of organizations do not find value in TV advertising. Only 15% said it was a very
effective marketing tactic.
89
90
Again and again, this is the trend we’ve seen a lot is this report - FMCG and Retail are classic
and “old-school” tactics believers.
91
92
The above chart demonstrates the positive reputation that growth marketing has as a
marketing tactic. 87% of respondents said it had a positive impact of their business, 13%
were not sure about it, an 0% thought there was no positive impact.
93
As we can see, organizations who tried growth marketing are enjoying higher conversion,
growing user base, and increased retention. Changes are happening faster in their
organizations, teams are more effective. The respondents also mention that their products
became better with growth marketing being implemented.
94
Building a process, run analytics and find good hypotheses top the list.Running tests and
communicating the value of growth marketing to the team have also been strong
challenges for our audience.
95
The vast majority of those 25% who did not try growth marketing said that they were not
sure how to do growth marketing right, and they did not have enough resources to start.
Being afraid of risks and a necessity to redesign the processes also stops organizations’
moving into growth direction.
96
97
98