Strategy and Economy in 2024: The Fractional CMO, Key to Efficient and Profitable Marketing (1 of 5)
In an ever-evolving economic context, businesses, especially startups and SMEs in Montreal, are facing unprecedented challenges. The need for strategic marketing expertise is more critical than ever, but budgetary constraints require innovative solutions. This is where the role of the fractional CMO, or marketing strategy consultant, becomes essential.
Link to my previous article: As I highlighted in that article, the fractional CMO brings significant value to businesses. Today, I would like to share with you concrete examples from my past and recent experience, illustrating the importance and effectiveness of this model in the current economic landscape of Montreal.
Let's look together at the economic aspect for a company to work with this new tool: the Fractional CMO.
Adapting to Limited Budgets
In early 2024, I began collaborating with two well-known Montreal companies in their respective fields. Despite their absolute dynamism on the local scene, they must now juggle, like everyone else, with tight marketing budgets and limited resources, while seeking to stand out and ensure their longevity in their respective markets. As a fractional CMO, my first objective is to support them with complete transparency (which is much easier for an external person to do), and to maximize the impact of every dollar spent by providing strategic expertise and an external perspective.
The Fractional CMO can very easily adapt to the reality of each company. What reassures my clients is my experience in startups, SMEs, and large national or international companies. I make no judgments about the available budgets, but I can provide very enlightened recommendations without a personal agenda due to my neutrality.
First and Foremost, the Budgetary Evidence
Indeed, the number one financial advantage of availing the services of a Fractional CMO is not having the salary of a senior marketing executive on your payroll. Instead of investing several hundred thousand dollars, you can afford their advanced knowledge while perfectly controlling your budget over a set duration and/or determined monthly amounts.
Strategic intervention for a set duration
The strategic intervention of a Fractional CMO for a set duration offers unparalleled flexibility and efficiency for businesses. This model aligns the specific objectives of the company with the expertise of a marketing leader, without the long-term commitment and costs associated with a permanent position. You can then hire a less senior, less expensive marketing manager who can build on the solid foundations previously established. They can also assist you in establishing the profile and their recruitment.
Key Advantages:
Targeted Objectives: The intervention is focused on specific goals, whether launching a new product, entering a new market, or redefining the company's overall marketing strategy.
Budgetary Flexibility: You have total control over the costs, determining in advance the duration and budget of the intervention. This eliminates financial surprises and allows for more precise budget planning.
Concentrated Expertise: The Fractional CMO brings focused expertise during a critical period, ensuring rapid and effective execution of strategies without the burden of a long-term commitment.
Intervention in the form of coaching for a set number of hours per month
Coaching by a Fractional CMO is a flexible and scalable method to strengthen a company's internal marketing capabilities. This format allows for a transfer of knowledge and gradual skill development of the internal team.
Key Advantages:
Skill Development: Internal teams directly benefit from the CMO's expertise and experience, strengthening their strategic and operational capabilities.
Flexibility and Adaptability: The company can adjust the number of coaching hours according to its needs and budget availability, thus having total control over the investment.
Continuous Support: This model allows for regular and tailored support to challenges and opportunities in real-time, providing continuous strategic support for growth and innovation.
These two modes of intervention by the Fractional CMO offer distinct and complementary advantages, allowing businesses to benefit from high-level marketing expertise in a flexible and economically viable way.
An Unforeseen Advantage
As an external consultant, I can bring a fresh perspective, essential for innovating and standing out from the competition. This allows companies to not only survive but thrive in a competitive market.
90% of the time, I'm initially talked to about tactics, and I regularly have to step aside with management to address first some strategic questions. This is one of the main economic aspects in reality: spending resources on tactics that don't meet the real needs. Once again, the advantage of the Fractional CMO is being able to lucidly approach "taboo" subjects that are too often avoided internally. And mind you, let's not be harsh on the internal team, I can assure you (despite what one might hear) that it is very difficult for many executives of TPEs, SMEs, large companies, or even multinationals to completely and transparently tell their CEO what they really think. This point deserves not just a post but a book on the subject, but that is not the goal here.
Custom Strategy, Back to Basics
Each company having its specificities, I develop custom strategies, focused on high-impact actions and optimized return on investment. But it is important to go back to the basics first. Every time I ask these seemingly simple questions, things get complicated. Why? Because every entrepreneur knows that they will quickly have to become opportunistic. It's normal, healthy, and ultimately even vital! But be careful, it is important to do a small "check" every 3-5 years and make sure to find the balance between drifting with the wind and following a vision and strategy. That's why it is recommended to make strategic plans every 3-5 years and update them annually.
What is my offer? (you would be surprised at the complexity of this question, especially when there are several people in management)
What does my company offer that others cannot claim, and therefore what are my distinctive elements?
Where do we want to land in 5 and 10 years?
What does the market think of us? What do our customers/consumers think of us (services/products)?
Who are my target customers? Are they the ones I am talking to today, and if not, what is this gap and why?
What is the customer's journey from their perspective? And how do I meet their needs?
What are my main KPIs and what are my goals for the year for them?
What are the priorities for the year?
And the one that often hurts... do we have a good performance monitoring dashboard that is truly usable and used to carry out effective actions?
These questions often generate a lot of discussions when everyone thought they were obvious. I have worked for large consulting firms and international agencies. It is possible to spend weeks, even months, on these questions in large companies. But time is money! I believe that the strength of a Fractional CMO is to be able to quickly and effectively guide you through these strategic elements to quickly get everyone on the same wavelength. And if this is not the case for an element, believe me, this preliminary work was absolutely necessary, even vital!
It is after this that we can look at the annual plan and analyze the resulting marketing plan. We quickly see the gaps between the actions carried out and the objectives to be achieved. This includes identifying the most effective marketing channels, developing clear messages, and setting up targeted campaigns.
Agility and Tangible Results
Flexibility is the key to success as a Fractional CMO. I adapt strategies in real-time to respond to market evolutions and campaign results. This agility has led to tangible results, even with limited resources.
In an ever-changing business environment, agility is more than a skill - it's a necessity! As a Fractional CMO, I make it a point of honor to integrate this agility into every strategy I develop for my clients.
Rapid Response and Adaptation
Agility manifests in the ability to react quickly to market changes. For example, for one of the companies I collaborated with, we had to adjust our digital marketing strategy in response to an unexpected change in consumer behavior. This reactivity allowed us to maintain the effectiveness of the campaign despite a fluctuating context.
Data-Driven Decisions
A crucial aspect of agility is the intelligent use of data. By analyzing data in real-time, I helped companies quickly identify emerging trends and adjust their campaigns for maximum effectiveness. This translates into more informed marketing decisions, reducing resource wastage and increasing ROI.
Flexibility in Resource Allocation
Agility also involves - especially - flexibility in resource allocation. For a startup I worked with, this meant redeploying the budget from underperforming campaigns to more promising initiatives, based on results and feedback.
Tangible and Measurable Results
The ultimate goal of agility is to achieve tangible results. In my recent collaborations, this has translated into a significant increase in brand visibility, improved customer engagement, and more importantly, significant sales growth. These concrete results prove that agility, combined with thoughtful strategy, can turn challenges into real opportunities.
To Conclude
The Fractional CMO model, particularly suited to the economic reality of Montreal, offers businesses a flexible and cost-effective solution to navigate the complex marketing landscape of 2024. As a marketing strategy consultant, I witness the positive impact of this model, not only on budgets but also on the overall effectiveness of marketing strategies.
Are you a Quebec-based company looking for marketing expertise without hiring a full-time CMO? Contact me to discuss how a Fractional CMO can transform your marketing approach.
