ITSMA’s latest annual budget and trends study documents the continuing transformation of marketing across the world’s leading B2B technology and services firms.
Modest growth in overall budgets and staffing conceal more dramatic changes below the surface. Even with near-flat budgets, the scope of marketing responsibilities is growing, digital first is finally becoming a reality, aggressive recruitment for new skills is pervasive, and top performers are putting customer insight, data analytics, and marketing performance measurement at the top of their lists.
From an investment perspective, services marketing budgets will grow slightly in 2016, to about 1.5% of total services revenue. The increases will lag expected growth in services revenue, however, putting yet more pressure on marketers to expand scope and performance with only minimally additional resources.
Specific areas of increased investment include staffing, content development, digital, Account Based Marketing, and analytics.
One clear sign of alarm: Amid expanding scope and the search for new marketing skills, companies are allocating a mere three days to staff training and development.
More broadly, marketing leaders seem committed to increasing organizational agility—adopting the principals of agile to programs and planning—but few believe they have yet achieved this to any meaningful degree.
In all, this year’s survey points to seven key areas of focus for marketing leaders in 2016:
- Continue to prioritize the development of new roles, skills, and talent
- Continue to invest in and optimize the digital marketing infrastructure
- Accelerate the development of agile processes
- Expand investment in deep customer insight
- Continue to expand the focus on Account Based Marketing precision
- Increase the emphasis on sales and SME enablement
- Accelerate the focus on data-driven decision making
Services Marketing Budgets and Benchmarks: 2016 Budget Allocations and Trends, a PowerPoint-style report, delivers a detailed look at the state of the services marketing profession as it exists in early 2016. It provides data on services marketing budgets, budget allocations, and marketing priorities from a range of companies across the technology and professional services industries.
Topics covered in the report include:
- Size of the Marketing Budget
- Marketing Staffing
- Services Marketing Budget Allocation
- Marketing Programs and Campaigns
- Online/Digital Marketing Spending
- Account Based Marketing Budget and Spending Plans
- Marketing Tools Budget Allocation
- Marketing Priorities and Challenges
- Marketing Organization Perception and Scope
ITSMA gathered detailed data on services marketing budgets, trends, and priorities from a cross-section of large B2B technology and IT services firms with an invitation-only, Web-based survey form during December 2015 and January 2016. Survey respondents were 42 senior marketing and services marketing leaders at 41 mostly global firms, roughly half product-based and half professional service firms, with more than 70% of the respondents from $1 billion+ companies.
The report includes data analyzed four ways:
- The data set as a whole
- By company performance
- By company size
- By company type
|Professional services firm (consulting, outsourcing, systems integration, managed services)||36|
|Computer systems and solutions provider||21|
|Software solutions provider||14|
|Network systems and solutions provider||12|
|Telecommunications services provider||5|
|Other hardware systems and solutions (office equipment, storage solutions)||5|
|Company Size (N=42)|
|Less than $100M in services revenue||7|
|$100–249M in services revenue||5|
|$250–499M in services revenue||7|
|$500–999M in services revenue||10|
|$1–5B in services revenue||26|
|Greater than $5B in services revenue||45|
|Type of Company (N=42)|
|We sell both products and services||55|
|We primarily sell services (10% or less revenue from products)||45|
Table of Contents for 2016 Services Marketing Budget Allocations and Trends
|Survey Methodology and Demographics||21|
|Size of the Marketing Budget||31|
|Services Marketing Budget Allocation||47|
|Marketing Programs and Campaigns Budget Allocation||50|
|Online/Digital Marketing Budget Allocation||55|
|Account Based Marketing Budget and Spending Plans||58|
|Marketing Tools Budget Allocation||61|
|Marketing Priorities and Challenges||64|
|Marketing Organization Perception and Scope||69|
|By Size of Company||113|
|By Type of Company||152|
|Appendix: ITSMA Budget Taxonomy and Definitions Used in This Report||191|
The full report is available at no additional fee to ITSMA member companies that participated in the study.
Non-member companies that participated in the study are eligible to receive an executive summary.
The full report is available at no additional fee to ITSMA member companies that participated in the study. Non-member companies that participated in the study are eligible to receive an executive summary.
For non-participating companies, this report is available for sale at member and non-member prices.