Gartner Research

CMO Spend Survey 2016-2017: Budgets Climb (Again!) to 12% of Revenue as Marketers Juggle More Demands

Published: 24 October 2016

Summary

Marketing budgets have increased for the third consecutive year as the marketing leader's mandate broadens and the CMO's marketing tech spending approaches the levels of the CIO's technology spend.

Included In Full Research

  • Marketing Budgets Continue Their Steady Ascent in 2016, Climbing to 12% of Company Revenue
  • A Majority of Marketers Expect 2017 Budget Increases, but the Percent Bracing for a Cut Has Gone From 3% to 14% Over the Last Two Years
  • CMO Marketing Tech Spending Is on Track to Exceed the CIO Technology Spend
  • Marketing Leaders Spend More on Their Websites, Digital Commerce and Digital Advertising Than Other Categories in 2016
  • Digital Commerce Investments Remain a High Priority With Marketing Leaders as a Way to Meet Company Growth Objectives, Particularly in CPG
  • Nearly Two-Thirds of Marketing Leaders Plan to Increase Spending on Digital Advertising in 2017, Suggesting That Reports of Advertising's Demise May Be Overstated
  • The CMO Takes on More Responsibility, as Some Sales, IT and Customer Experience Functions Now Report Into Marketing in 30% or More Organizations
  • Customer Experience Functions Often Report Into the CMO While the Chief Customer Officer Reports Elsewhere, Leading to Potential Conflicts in Priorities
  • Only a Quarter of IT Organizations Maintain Control Over Martech Capital Investments
  • Budgets of Marketing Leaders Who Own or Share P&L Responsibility Are 20% Higher, on Average, Than Those Without Plans for a P&L
  • Methodology
  • Definitions

Analyst(s): Yvonne Genovese Jake Sorofman Anna Maria Virzi

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