FDs back need to maintain marketing spend

UK— Experts say that companies will come out of the recession in better shape if they don’t cut back on marketing and research spend – and finance directors appear to agree with them, according to a new survey.

The study of 1,000 FDs by database marketing firm KDB and Lightspeed Research found 84% believing that strengthening investment in marketing and consumer insights in the current downturn would benefit firms in the long run.

“Finance directors do understand the historic importance of marketing through a recession,” said KDB’s chief analyst Matt Boot. “What finance directors do want is ROI and accountability from their marketing departments if they are going to maintain or even boost budgets at a time when they have to watch every penny closely.”

But if the Institute of Practitioners in Advertising’s Bellwether Report is anything to go by, the required level of accountability is proving elusive. The survey of UK marketing spend has seen five consecutive quarters of budget cuts.

Author: Brian Tarran