More than 71 per cent of CMOs said they need more budget to fully execute their strategy in 2023, according to a Gartner survey.
The annual Gartner 2023 CMO Spend and Strategy Survey was conducted in March and April 2023.
Survey respondents were CMOs and marketing leaders in North America and Northern and Western Europe across different industries, company sizes and revenue, with the vast majority of respondents reporting annual revenue of over $1 billion.
The survey revealed that marketing budgets compose 9.1 per cent of total company revenue in 2023, remaining relatively flat but still dipping slightly from the 9.5 per cent reported in 2022.
Gartner’s chief of research Ewan McIntyre warned that suppressed budgets, increasing costs and lower productivity were squeezing CMOs’ spending power.
“As volatility becomes the new normal, many CMOs are pricing disruption into their 2023 plans.”
More than 75 per cent of CMOs were being told to “do more with less” to deliver profitable growth in 2023. Because of this, 86 per cent of marketers said they must make significant changes to how the marketing function works to achieve sustainable results.
“In 2023, CMOs need to become a new type of enterprise leader. This goes beyond serving at the helm of the brand but also assuming a more business-focused role that pivots into a period of investing for profitability versus growth. Those that carry on status-quo will face significant challenges in the near-term,” said McIntyre.
