Survey Reveals Marketers' Perspectives on Financial Fluency

Money finances

A recent poll conducted by Our Website on LinkedIn revealed that 69% of marketers believe that there is still room for improvement in the industry's financial fluency.

The survey of 359 individuals revealed that a majority of them, specifically over two-thirds, believe that there is room for improvement in enhancing the financial knowledge of the marketing industry and their respective teams. Additionally, 19% of the respondents identified a lack of skills in this area as a significant concern.

In contrast, only 12% of the marketers who participated in the survey feel that their industry or team is fully proficient in financial matters.

Being financially fluent is crucial for marketers. It helps them justify investments in their brands and maximize their returns.

In a recent interview with Our Website, Dawn Spencer, the managing director at Pilgrim’s Food Masters, highlighted the significance of marketers having a good understanding of finance.

Spencer started her career in marketing and spent twenty years in the field. In 2022, she shifted into general management. She has worked at Coca-Cola Enterprises, The Coca-Cola Company, Kerry Foods as a marketing director, and Pilgrim’s Food Masters as CMO.

When it comes to managing tight budgets, Spencer emphasized the importance of training her team to be financially savvy. She believes in teaching them to handle every penny wisely.

Having financial fluency not only helps marketers manage tight budgets more effectively but also enables them to communicate effectively with senior executives in the boardroom.

According to Chris Burggraeve, a former CMO at AB InBev who is now a marketing strategist and consultant at Vicomte, finance is the primary language spoken in the boardroom. He shared this insight during an interview with Our Website in June.

Burggraeve emphasized the importance of understanding financial terms such as P&L, cash flow, balance sheet, NPV (net present value), and pricing power. According to him, being knowledgeable in these areas is crucial for credibility in boardroom discussions.

Additionally, improving financial literacy can also foster a positive relationship between marketers and finance professionals, leading to collaboration rather than conflict.

Only 22% of CMOs have a truly collaborative partnership with CFOs, as found in a September study by the CMO Council and KPMG. Among the marketing leaders surveyed, 26% describe their relationship with finance as "indifferent", while 7% say it is "hesitant".

To make a significant impact, marketers should consider blending their customer focus with commerciality.

Zoe Harris, the CMO of On the Beach, is a marketer who holds a seat on the board of her company. In a recent interview with Our Website, she emphasized the significance of using the appropriate language and aligning with the rest of the business.

According to Harris, viewing your presentation as a growth presentation, rather than just a marketing or brand presentation, can assist in using the correct language and framing your discussion effectively.

Our Website will be publishing an in-depth feature about the importance of teaching marketers to be financially fluent, the specific skills needed and the benefits of doing so in the coming weeks.

Editor's P/S:

The article highlights the need for enhanced financial fluency among marketers, with a significant majority (69%) believing there is room for improvement. This lack of financial knowledge can hinder marketers' ability to justify investments, maximize returns, and effectively communicate with senior executives.

To address this issue, marketers should prioritize financial training for their teams, fostering a collaborative relationship between marketers and finance professionals. By embracing commerciality and aligning their language with the rest of the business, marketers can make a more significant impact and contribute to the overall success of their organizations.