An Allocation Based Marketing Framework

Executives tend to speak about 'Marketing' in sweeping generalities. Or worse...they get stuck in the quagmire of debating the merits of traditional marketing versus social marketing versus internet marketing, etc.

Newsflash: Marketing is the same as every other function in an organization: The primary objective is to...

contribute to revenue generation revenue and deliver a return for the shareholders/stakeholders.

Generally, marketers have a difficult time accepting the reality that every dollar spent must deliver to a return on that investment. Similarly, marketer tend to resist direct accountability for that return on marketing investment dollars choosing instead to hide behind 'fluffy' terms like 'branding' and 'awareness.'

This is unfortunate but creates an opportunity for those that do.

If the goal of marketing is to generate a return on investment, then it makes sense to categorize marketing according to the nature of the investment. Stated simply, executives need to organize their thinking (and marketing spend) based on how that investment will contribute to revenue generation.

The following visual provides a framework for thinking about where your marketing dollars are currently allocated as well as how you can align this spend across the sales cycle.