CMO Reputation Defended
A few weeks ago, I noticed this headline in Advertising Age, Why are CMOs Dropping like Flies? It is not the first time I have seen a headline like this which focuses on the short tenure of CMOs and questioning of their worth. The article detailed the high turnover of CMOs and how company short-termism was impacting CMO job security. Then I came across another article in HBR on whether companies benefit financially from having CMOs in the C-Suite and the answer was YES, indeed. The study was carried out by Frank Germann of Notre Dame who looked at 155 publicly held firms in the U.S. using a variety of econometric models. What did they conclude: Companies with a CMO perform 15% better than those without one. Good news since it seems to me sometimes like CMOs are hammered when the numbers are missed. The reputation of CMOs needs some old-fashioned PR!