Navigating B2B Growth: The Definitive Guide to CMO-CFO Collaboration
Aligned CFOs and CMOs Are Crucial for Ushering in Sustained Growth
According to an EY survey, “81% of finance professionals and 88% of those in marketing agree that marketing investments become more effective as a direct result of stronger collaboration between the two functions.” For most marketers the relationship with their CFO is just as important as that with their boss, the CEO. And with finance often being marketing’s biggest challenger, it’s crucial any CMO new in post seek to lay the groundwork for a great working relationship with their CFO as a priority.
Setting the Ground Rules with an Open Transparent Approach
As a first step, in a recent Forbes article on this relationship, the author Carol Howley stresses the importance of being frank and genuine from the get go. “For a successful CFO-CMO relationship, both parties must strive for open, transparent and regular dialogue. They should be willing to share insights, discuss challenges and brainstorm solutions together.”
Agreeing on How to Measure the Real Impact of Marketing
A second step is to agree on how to measure marketing’s contribution to revenue growth. Once done, both the CMO and CFO will be speaking the same language from the beginning. Not only does this facilitate better measurement, it also builds trust, making it easier to get sign off on future marketing projects that align with both departments’ key objectives. For CFOs, that’s a focus on financial health and stability, while for CMOs that’s about driving brand awareness and customer acquisition. It’s a powerful alignment that simultaneously drives sustainable growth while maximising ROI.
Working Together to Navigate Uncertain Terrain
Like explorers charting new territories, CFOs and CMOs must also navigate uncertain
terrain in an ever-evolving marketplace. CFOs provide financial foresight to mitigate risks, while CMOs can adapt marketing strategies to changing consumer behaviours and market conditions. Together, they can steer their organisations through turbulent times to chart a growth course while minimising potential risks.
Balancing Short-Term Gains with Long-Term Value
Just as a gardener balances immediate needs with long-term sustainability, CFOs and CMOs must also strike a balance between short-term gains and long-term value creation. While CFOs focus on managing costs and profitability, CMOs invest in brand equity and customer loyalty against a backdrop of lengthening sales B2B cycles. By bridging the gap between their short and the long term needs their businesses will cultivate a thriving ecosystem that withstands the test of time.
The relationship between CFOs and CMOs is key to driving innovation, growth, and success. By harnessing the collective expertise of these two roles, businesses can weather any storm and thrive in any season.
