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Marketing Metrics in B2B Firms - Abstract


Raji Srinivasan (, University of Texas


To measure is to know—Lord Kelvin

Marketing managers face increasing accountability of their programs by their colleagues. Finance executives need to assess the payoffs of marketing investments. A recent McKinsey survey, presented at the Chief Marketing Officer Summit at Wharton, found that CEOs expect marketing leaders to not only cut costs but also increase contributions to growth. Across diverse industries, marketing and finance executives are under incredible pressure to make every dollar count. With this in mind, in this chapter, I will discuss approaches to allocating resources across marketing programs and evaluating the effectiveness of these programs, including the creation of intangible assets including, brands, channels and customer satisfaction.  I will discuss methods to evaluate the financial impact of marketing expenditures, both in the short term and the long term, specifically for business to business firms. The chapter will touch on various topics including: Linking marketing metrics to financial metrics, assessing the ROI of alternative growth paths, what the CFO wants to hear from marketers, Brand as a platform strategy, Measuring brand value, Assessing the lifetime value of customers, Measuring the likelihood of repeat purchases, Measuring marketing assets and Measuring Customer satisfaction: linking drivers, outcomes, and profits.

The Handbook of Business-to-Business Marketing

This chapter is part of the ISBM Handbook of Business-to-Business Marketing, edited by Professors Gary Lilien and Raj Grewal. The Handbook of Business-to-Business Marketing is available from Edward Elgar Publishing and other online book retailers.

As the authors retain the copyright to their chapters, only they have the right to use or distribute their chapter. If you would like a copy of this chapter, please contact the author or authors directly through their emails included above.

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