© 2014 Demand Metric Research Corporation in Partnership with Ascend2. All Rights Reserved.
Benchmark Report
Marketing Automation:
Sponsored By:
TABLE OF CONTENTS
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4
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Executive Summary
Revenue Performance
Marketing Automation Objectives
Marketing Automation Success
Marketing Automation Obstacles
Resources for Marketing Automation
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13
About Marketo
Appendix – Survey Background
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10
Marketing Automation Features & Factors
Marketing Automation Metrics
12 About Demand Metric & Ascend2
EXECUTIVE SUMMARY
Marketing automation has dramatically increased the effectiveness and efficiency of finding, nurturing and converting customers.
But what will marketing automation success look like in the year ahead and how will marketers achieve it?
To find out, Demand Metric, in partnership with Ascend2, fielded the Marketing Automation Benchmark Survey and completed
interviews with 291 business, marketing and sales professionals from around the world. We thank these busy professionals for
sharing their valuable insights with you.
The charts in this edition of our study, titled Marketing Automation Benchmarks by Revenue Performance, compare the
strategies and practices of companies that have achieved or exceeded their revenue goals with those that have not.
This research has been produced for your use. Put it to work in your own marketing strategy planning and presentation
materials. Clip the charts and write about them in your blog or post them on social media.
Please share this research credited as published.
- Jerry Rackley, Chief Analyst – Demand Metric
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13%
45%
42%
Current Revenue Performance
Exceedingrevenue goals
Achievingrevenue goals
Not achievingrevenue goals
REVENUE PERFORMANCE
The charts in this report compare the strategies and
practices of companies responding to the Sales Experience
Quality Benchmark Survey that are achieving or exceeding
their revenue attainment goals.
58% of participating organizations are achieving or
exceeding their revenue goals, while 42% of
participating organizations are not currently achieving
their revenue goals.
Figure 1: Current Revenue Attainment for Organizations Participating in Study
Marketing Automation Benchmark Survey, Demand Metric and Ascend2, July 2014, n=291
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MARKETING AUTOMATION OBJECTIVES
Figure 2: Most Important Marketing Automation Objectives for the Upcoming Year
This study endeavored to understand the most important
goals for marketing automation programs.
Participants were asked to choose all objectives that apply
to their program. The collection of responses is presented
in Figure 2.
Companies achieving or exceeding their revenue goals
indicated they were more likely to target the improvement of
lead nurturing, lead generation and marketing productivity.
While companies not achieving revenue goals
responded that an improvement in marketing
productivity was their most important objective, they
were more likely to rate an increase in sales revenue as
a key objective rather than lead nurturing or lead
generation. It is important to note that an increase in sales
revenue would be greatly impacted by an improvement in
lead nurturing and an increase in lead generation, which it
seems that achieving organizations have already learned
for their processes.
5
Marketing Automation Benchmark Survey, Demand Metric and Ascend2, July 2014, n=291
13%
20%
24%
40%
49%
41%
50%
37%
18%
25%
28%
38%
41%
42%
42%
46%
0% 20% 40% 60%
Reduce sales cycle
Improve marketing-sales alignment
Improve performance measurement
Improve lead quality
Increase sales revenue
Increase lead generation
Improve marketing productivity
Improve lead nurturing
Most Important Marketing Automation Objectives
Achieved or Exceeded Revenue Goals Did Not Achieve Revenue Goals
CURRENT MARKETING AUTOMATION SUCCESS
Figure 3: Self-Assessment Ratings of Current Marketing Automation Success
Study participants were asked to provide a self-assessment
of their current marketing automation success.
The aggregate data collected from these ratings can be
seen in Figure 3 to the left.
Overall, the majority of participants, no matter their revenue
performance, rated their marketing automation program as
either “Very successful” or “Somewhat successful.” 92% of
under-achieving companies reported some level of
success with marketing automation; and their
achieving counterparts reported a 93% success rate.
Although most organizations are reporting some level
of success with marketing automation, companies that
are achieving or exceeding revenue goals were twice
as likely to rate their program as “Very successful.” On
the other hand, both categories of revenue performance are
reporting their programs as unsuccessful at an almost
equal rate.
6
Marketing Automation Benchmark Survey, Demand Metric and Ascend2, July 2014, n=291
28%
65%
7% 14%
78%
8%
0%
20%
40%
60%
80%
Very successful Somewhat successful Not successful
Ratings of Current MA Success
Achieved or Exceeded Revenue Goals Did Not Achieve Revenue Goals
MARKETING AUTOMATION OBSTACLES
Figure 4: Most Challenging Obstacles to Marketing Automation Success
As with any strategy or implementation, we may encounter
obstacles in order to become successful.
This study examined the most challenging obstacles to
marketing automation success and the responses are
detailed in Figure 4.
Not surprisingly, budget limitations was ranked as the
most challenging obstacle for achieving companies
and the second most challenging obstacle for non-
achieving companies.
Most notably, more than half (52%) of all companies
not achieving revenue goals indicated that lack of an
effective strategy as the most challenging obstacle to
obtaining success with a marketing automation
program. Developing and implementing an effective
strategy for marketing automation would most likely
eliminate the likelihood that these organizations would
encounter any other challenges in their processes.
7
Marketing Automation Benchmark Survey, Demand Metric and Ascend2, July 2014, n=291
20%
18%
25%
22%
42%
28%
52%
45%
9%
16%
22%
22%
38%
41%
42%
44%
0% 20% 40% 60%
Not enough leads
Ineffective metrics
Lack of management buy-in
Difficult to use interface
Lack of skilled staff
Insufficient data quality
Lack of an effective strategy
Budget limitations
Obstacles to Marketing Automation Success
Achieved or Exceeded Revenue Goals Did Not Achieve Revenue Goals
RESOURCES FOR MARKETING AUTOMATION
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Figure 5: Description of Resources Used for Marketing Automation Campaigns
This study attempted to discover what resources were most
commonly used to implement, manage and track marketing
automation programs.
Participants indicated whether they used an outsourced
agency/consultancy, in-house resources or a combination
of both. The results of this inquiry appear in Figure 5.
More than half of companies not achieving revenue
targets and nearly half of those achieving or exceeding
their goals indicate using in-house resources only to
run their marketing automation campaigns.
Interestingly, companies achieving or exceeding their
revenue goals are more likely to outsource all or part
of their automated marketing campaigns, gaining
expertise not found internally.
Consequently, the revenue achieving organizations may
obtain a higher level of marketing and revenue
performance.
Marketing Automation Benchmark Survey, Demand Metric and Ascend2, July 2014, n=291
9%
45% 47%
5%
37%
57%
0%
10%
20%
30%
40%
50%
60%
Outsourced to an agency orconsultancy
Combination of outsourced andin-house resources
In-house resources only
Resources Used for MA Campaigns
Achieved or Exceeded Revenue Goals Did Not Achieve Revenue Goals
MARKETING AUTOMATION FEATURES & FACTORS
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Figure 6: Most Important Features & Factors Considered for Marketing Automation Systems
The marketing automation technology landscape is rapidly
expanding with many new features and functionality. There
are many factors that need to be considered in order to
select the system that fits best with an organization.
Study participants were asked to select the most important
features and factors to be considered in order to select a
marketing automation system.
Respondents had the ability to choose any and all options
that apply to their selection process and the responses are
detailed in Figure 6.
The ability to analyze and report on marketing
performance is the most important factor in choosing a
marketing automation system for companies achieving
or exceeding revenue goals. While this functionality
was second on the list for under-achieving companies,
the most important factor for these organizations was
a system’s ease-of-use.
Marketing Automation Benchmark Survey, Demand Metric and Ascend2, July 2014, n=291
6%
12%
15%
19%
25%
29%
24%
34%
45%
33%
37%
9%
12%
18%
20%
25%
25%
26%
34%
36%
36%
42%
0% 10% 20% 30% 40% 50%
Landing page builder
Message personalization
Website visitor ID and tracking
CRM included
Lead segmentation and scoring
Pricing and/or pricing model
Lead capture and management
Email and campaign management
Ease of use
All-in-one solution
Analytics and reporting
Important Factors for MA System Selection
Achieved or Exceeded Revenue Goals Did Not Achieve Revenue Goals
MARKETING AUTOMATION METRICS
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Figure 7: Most Useful Metrics to Measure Marketing Automation Performance
As analytics and reporting functionality were rated as one of
the most critical factors in selecting a marketing automation
system, this study attempted to understand what the most
useful metrics were to measure the success of marketing
automation program.
Participants were asked to select all choices that apply to
their program and the results are presented in Figure 7.
For both achieving and under-achieving organizations,
more than half of respondents indicated that the most
useful metric was lead conversion rates.
After the top rated metric, we begin to see discrepancies
between the two revenue performance categories.
Companies achieving or exceeding revenue targets
rank lead generation ROI and revenue generated as the
second and third most useful metrics, respectively.
Those companies not achieving revenue targets
ranked revenue generated and leads generated as the
second and third most useful metrics, respectively.
Marketing Automation Benchmark Survey, Demand Metric and Ascend2, July 2014, n=291
18%
19%
41%
26%
32%
49%
32%
56%
16%
22%
25%
31%
32%
38%
47%
57%
0% 20% 40% 60%
Website traffic
Open/click-through rate
Leads generated
Pipeline value generated
Cost per lead
Revenue generated
Lead generation ROI
Lead conversion rate
Metrics for Marketing Automation Performance
Achieved or Exceeded Revenue Goals Did Not Achieve Revenue Goals
ABOUT MARKETO
Marketing Software. Easy. Powerful. Complete.
You want results and you want them fast. The Marketo platform is built by marketers, for marketers. Everything you need –
marketing automation, social campaigns, inbound marketing, sales apps, ROI reporting, - all in one place.
For more information, visit www.marketo.com.
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ABOUT DEMAND METRIC & ASCEND2
About Demand Metric
Demand Metric is a global marketing research & advisory firm serving a membership community of over 40,000 marketing
professionals, CEOs, and business owners with advisory services, 100+ research & benchmark reports, 20+ consulting
methodologies, 50+ training e-workshops & courses, and a library of 500+ practical tools and templates.
Using Demand Metric resources, members complete projects faster and with greater confidence, boosting respect for the
marketing team and making it easier to justify needed resources. Our 1,200+ corporate clients range from start-ups to consulting
firms to members of the Global 1000.
To learn more about Demand Metric, please visit: www.demandmetric.com.
About Ascend2
Ascend2 is a market research firm with over 50,000 research subscribers and survey panelists comprised of sales & marketing
professionals. Each month they field new research studies and generate reports that typically include 12 to 18 pages of charts and
analytical commentary.
Demand Metric partners with Ascend2 to leverage their panel of research survey panelists and develop additional benchmark
reports for community members. Learn more about Ascend2 at www.Ascend2.com.
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APPENDIX – SURVEY BACKGROUND
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Surveys are conducted online from a panel of more than 50,000 Ascend2 research subscribers, representing US and
international marketing and sales decision-makers and practitioners in a range of contact roles, company types, sizes and
geographic regions.
The questionnaire used incorporates standardized research practices across all studies while maintaining a proven 3-minute
survey format. Survey findings are examined in a quantitative context by experienced analysts and reported objectively.
The Demand Metric and Ascend2 2014 Marketing Automation Benchmark Survey was administered online in July 2014. During
this period, 291 responses were collected for inclusion in the analysis.
Summarized below is the basic categorization data collected about respondents:
Primary Role of Respondent:
C-level Executives (33%)
Marketing VP, Director or Manager (37%)
Sales VP, Director of Manager (5%)
Marketing or Sales Staff (16%)
Other (9%)
Employee Size:
More than 500 (25%)
50 to 500 (27%)
Fewer than 50 (49%)
For more information, visit us at:
www.demandmetric.com
Demand Metric Research Corporation 562 Wellington Street
London, ON, Canada N6A 3R5
© 2013 Demand Metric Research Corporation. All Rights Reserved.
Benchmark Report
© 2014 Demand Metric Research Corporation in Partnership with Ascend2. All Rights Reserved.