Wynn Corliss, Chief Operating Officer,Metigy
New research has revealed marketing budgets are at their lowest in nearly a decade, dropping from 11 per cent in 2020 to just 6.4 per cent of companies’ revenue this year.
For years, marketing teams have struggled to adjust their transforming roles amid a period of rapid digital transformation. However, the impetus of the global pandemic and its impact on both business and the economy has supercharged martech automation.
While marketing budgets may be rapidly declining, martech automation continues to dominate and is being largely accelerated by small businesses. Here, we delve into the rise of martech automation and discuss why companies who invest in martech solutions will reap the rewards.
Data matters more now than ever before
More than three in four marketing leaders base decisions on data, and with the average American interacting with their phone 2,617 times each day, it’s clear there’s more data to capture now than ever before.
Martech tools empower businesses by processing and synthesizing data, giving marketing teams more time to spend on creative and inherently human tasks.
Although many businesses already have some form of martech solution in place, research indicates that only 33 per cent feel their existing tech is useful, while the vast majority believe their martech roadmap is outdated.
However, in the past decade, businesses looking to get ahead have leveraged artificial intelligence (AI) in business and marketing software to widen the gap in today’s highly competitive environment.
AI is the perfect application for marketing because of its ability to process large volumes of data at a rapid speed and make analytical decisions faster than humans.
Further to this, AI has the power to support targeted digital marketing campaigns by analysing data about a core demographic, including their interests, preferences and keyword searches. This can then be used to launch digital campaigns and help build brand awareness across diverse markets.
Automate to drive business growth
It’s estimated that marketing teams will lose $222 billion in budget by the end of the year. Yet, despite this reduction in marketing dollars, businesses must remain seen and heard by customers otherwise, they risk losing out.
One of the best ways to maintain the same touchpoints with fewer resources is to automate. Investing in martech that works will allow businesses to remain focused on the activities that are both fulfilling and generating revenue.
From driving efficiencies with fewer resources to targeting new digital audiences and getting your product or service in the right hands, technology can be leveraged to simplify processes and drive business growth. Businesses should take stock of all their processes and consider what can be automated, such as lead generation and nurturing, email marketing, social media brand awareness, content marketing and invoicing.
Thanks to the democratization of software, AI tools have a key role in levelling the playing field by driving efficiencies, helping reduce manual work and automating processes. The results speak for themselves, with 52 per cent of marketers experiencing an increase in sales, and another 51 per cent noticing an increase in customer retention since introducing AI capabilities into the ecosystem.
As digitization continues to accelerate, it’s time for businesses to revisit their existing martech frameworks.
While marketing teams venture into uncharted waters, facing tightened marketing budgets, increased business competition and higher targets, martech and AI solutions are becoming a key resource for driving business growth.
By turning contextual real-time data from social and digital advertising channels into easy to understand insights and recommendations, AI can take the guesswork out of marketing to help businesses that don’t have large or experienced marketing teams.